MNM2615 Assignment 02

MNM2615 MARKETING IN AFRICA Assignment 02 DECLARATION BY STATEMENT I Nelisiwe Happiness Msimango, student number _________ _______ understand the consequences of plagiarism & collusion and hereby declare that the work submitted for this report for MNM2615 is my own work. 1 Contents Introduction........................................................................................................................................ 4 Marketing communication factors that affect brands in Africa.........................................5 Visibility.......................................................................................................................................... 5 Trials and promotions.................................................................................................................. 5 How the identified Style closet can incorporate the marketing communication factors that affect brands in Africa to improve its business................................................................5 Flash sales..................................................................................................................................... 5 Generic marketing communication mode..................................................................................6 Source/Encoding.......................................................................................................................... 6 Message.......................................................................................................................................... 6 Channel........................................................................................................................................... 6 Receiver/Decoding....................................................................................................................... 7 Noise................................................................................................................................................ 7 Response/Feedback..................................................................................................................... 7 Risk management in Africa............................................................................................................ 8 Risk management framework.................................................................................................... 8 Risk management process......................................................................................................... 8 Practical example......................................................................................................................... 8 The risk of ‘Fake Stores’......................................................................................................... 8 Bases of market segmentation...................................................................................................... 9 Bases of pyramid segment......................................................................................................... 9 Middle-class segment.................................................................................................................. 9 Challenges of doing business in Africa.................................................................................... 10 Weak government institutions................................................................................................. 10 Poor infrastructure..................................................................................................................... 10 Economic instability.................................................................................................................. 11 How to overcome challenges of doing business in Africa...................................................11 Basic company orientation...................................................................................................... 11 Infrastructure development...................................................................................................... 12 Building partnerships with local stakeholders....................................................................12 Investment in human capital.................................................................................................... 12 Practical example of how to overcome these challenges................................................13