doi: 10.62486/agma202439
ORIGINAL
International marketing mix for export in the seafood sector of the Riohacha DETC
Mezcla de marketing internacional para la exportación en el sector de mariscos del DETC de Riohacha
Nair Cantillo Campo1 *, Carlos Julio Pedraza Reyes1 *
1Universidad de La Guajira. Colombia.
Cite as: Cantillo Campo N, Pedraza Reyes CJ. International marketing mix for export in the seafood sector of the Riohacha DETC. Management (Montevideo). 2024; 2:39. https://doi.org/10.62486/agma202439
Submitted: 04-12-2023 Revised: 25-03-2024 Accepted: 30-07-2024 Published: 31-07-2024
ABSTRACT
Companies, especially SMEs, seek access to international markets in search of economic development as a factor of sustainability and competitiveness. The objective of this paper was to analyze the importance of the international marketing mix for export in the seafood sector of the Special Tourist and Cultural District (STCD) of Riohacha. Methodologically, this research is descriptive and is framed in a quantitative paradigm. The population was composed of 14 managers of fishmongers registered in the Chamber of Commerce of Riohacha. The results indicate that, in terms of products, the marketers recognize that they are competitive for the foreign market. In relation to price, transactions in foreign currencies such as dollars are adequate and competitive. Regarding distribution channels, there are adequate means to export and maintain the cold chain. However, in terms of communication strategies, it was observed that no company has effective tools to make itself known abroad. It is concluded that the entrepreneurs perceive that their products are in demand in the destination markets and that prices and distribution channels are adequate, although the latter could be improved. However, their means and forms of communication are not being used effectively.
Keywords: SMEs; International Marketing; Seafood Sector; Riohacha; Marketing Mix; Export.
RESUMEN
Las empresas, especialmente las pymes, buscan acceder a mercados internacionales en busca de desarrollo económico como un factor de sostenibilidad y competitividad. El objetivo de este artículo fue analizar la importancia de la mezcla de marketing internacional para la exportación en el sector de mariscos del Distrito Especial Turístico y Cultural (DETC) de Riohacha. Metodológicamente, esta investigación es descriptiva y se enmarca en un paradigma cuantitativo. La población estuvo compuesta por 14 gerentes de pescaderías registradas en la Cámara de Comercio de Riohacha. Los resultados indican que, en cuanto a los productos, los comercializadores reconocen que son competitivos para el mercado exterior. En relación con el precio, las transacciones en divisas como el dólar son adecuadas y competitivas. Respecto a los canales de distribución, se dispone de los medios adecuados para exportar y mantener la cadena de frío. Sin embargo, en cuanto a las estrategias de comunicación, se observó que ninguna empresa cuenta con herramientas efectivas para darse a conocer en el extranjero. Se concluye que los empresarios perciben que sus productos tienen demanda en los mercados de destino y que los precios y canales de distribución son adecuados, aunque estos últimos podrían mejorarse. Sin embargo, sus medios y formas de comunicación no están siendo utilizados efectivamente.
Palabras clave: Pymes; Marketing Internacional; Sector de Mariscos; Riohacha; Mezcla de Marketing; Exportación.
INTRODUCTION
The internationalization of trade is favourable for the companies of any country when they are prepared in the production, infrastructure, transportation and everything related to the business; this will be reflected in the companies since this change will make them competitive and profitable at the same time. Referring to the seafood sector, where Colombia has a low per capita consumption, it should seek the opportunity to supply some international markets, such as the Caribbean countries, where consumption is high and production is low.
To prosper today in this world of abrupt changes, forces and dangers of recent appearance, companies need to prepare themselves to give active answers according to the needs of each market. Therefore, new strategies must be devised, new plans must be formulated, and the way of doing business must be restructured, and creative and innovative personnel must be created because this will provide development and breadth in the new market.
The purpose of international trade is to place the products or services of a country in another, and international marketing is to meet the needs and desires of customers in other nations, help to find new opportunities and expand in other markets; this improves sales and shows the best way to do it. Hence, the importance of international marketing mix; this tells us the products that are most in demand and how you should be presented, which is the right price with which to enter the new market; another factor is the segment to which it should be directed; this allows not waste time or money at the time of penetrating the new country, last but not least, the right way to market it is always to seek to meet the demands of buyers in terms of time, packaging, and cold chain required for this type of product.
The above is supported by research such as that of Moreno (2007), who conducted research which was called international marketing as an indispensable tool for an effective export, whose main objective is to show the results of a literature review on the subject of international marketing, which allows specialists and researchers of the territory and the country, to use the tools and information provided for the achievement of efficiency and effectiveness of their organizations and therefore the country. The research methodology is documentary.
In this research, several authors have investigated the factors, elements and tools to achieve success in international markets, among them Michael Porter and Luis Patricio Estrada; among others, the analysis carried out by the first author mentioned to determine the reason why certain countries are home to successful multinational companies. His examination is based on the companies, the environment and the factors that lead them to succeed in international markets. This reasoning employs the theoretical framework developed by Porter himself in his book Competitive Strategy. His research deals with productive sectors, their characteristics and competitive forces. The study carried out in this work brings together the explanatory factors into six groups: resources, demand, supply, relationships in the sector, government, and business management.
As a result, the fundamental elements for the effective insertion of Cuban companies in international markets were defined. Understanding and applying these elements may contribute to reversing the existing situation in the territory regarding the decrease in exportable funds.
This background provides theoretical contributions to this research since it describes the dimensions and indicators of international marketing to increase exports. Therefore, it will serve as a guide for developing the theoretical basis of our research.
Apart from the above, Gómez, Granados and Landaverde (2014) developed the International Marketing Plan for DIACO S.A. DE C.V. towards the Guatemalan market. This agroindustrial company that imports different products and processes fruits for the extraction and commercialization of juices is interested in exporting its product, Dr Juice brand orange juice, to Guatemala. Dr Juice is a freshly squeezed orange juice, a 100 % natural elixir, rich in many beneficial nutrients for health, much more than the drink made from concentrate and aggressively pasteurized. In order to successfully penetrate the Guatemalan market with a Salvadoran product, it is necessary to conduct exhaustive research to help obtain the necessary information and formulate the best strategies to enter this market.
This research analyzes the main Marketing variables (Product, Price, Place and Promotion) and the demand in the Guatemalan market to market the juice produced in El Salvador called Dr. Juice in that country. The scientific method was used to carry out the research, a systematic, controlled, empirical and critical study of the objective reality.
As a result of the research, DIACO S.A. DE C.V. has elements such as capacity and financial stability that allow it to enter the Guatemalan market. However, the company must improve internal marketing aspects such as advertising material, promotions and other actions to improve its brand identity. It is necessary to adapt the presentation of its products according to the tastes of Guatemalans; this implies changing the name and presentation of the label; in the same sense, emphasis should be placed on the appropriate use of advertising media to position the Dr Juice brand as a new product in the Guatemalan market, improving, in turn, the perception of the brand in the Salvadoran market.
This background offers theoretical and methodological contributions. Among the theoretical contributions, we can demonstrate efficient export processes and the conditions a product must have to be exported and competitive. It is essential that the seafood sector of the Special, Tourist and Cultural District of Riohacha can internationalize competitive products with efficient processes to achieve positioning in international markets. Methodological contribution: This background will serve as a guide for the methodological design of the research, especially for the elaboration of the instrument (survey) to be applied to the target population.
Apart from the above background, the theoretical foundation complements the above and shows how the variables that are handled in the marketing mix are of great importance to implement the entry into new markets and how knowing the management of these tools allows the proper management of products, prices, marketing and communication, then, reference is made to theories that support this article.
The concept of international marketing was exposed by Cateora, Gilly, and Graham (2010), who states that it is the performance of commercial activities designed to plan, assign prices, promote and direct the flow of goods and services of a company to consumers or users in more than one country in order to obtain profits.
Similarly, Kirchner & Márquez Castro (2010) say that international marketing is the set of knowledge that aims to promote and facilitate the processes of exchange of goods, services, ideas and values between suppliers and demanders of two or more countries to meet the needs and desires of customers and consumers, while suppliers (companies, institutions or individuals), achieve their purposes regarding income, profit, service, aid or proselytizing, which are the reason for their action and existence.
Similarly, Czinkota, M. R., Ronkainen, I. A. (2019), international marketing consists of the activity, institutions and processes beyond national borders that create, communicate, deliver and exchange offers that have value for stakeholders and society.
Continuing with the theme, we take what refers to the marketing mix and develop the variables found in it, as stated by Czinkota and Ronkainen. (2013), alluding to the product variable, states that it is the essence of the company, whether it is a good or a service; these can be defined as the complex combination of tangible and intangible elements that distinguishes them from other entities in the market, products can be differentiated by their composition, their country of origin, their tangible characteristics, such as packaging or quality, or by their added features, such as warranty.
Continuing with the theme, Keegan and Green (2009) state that the product is the most essential element of a company’s marketing program. Global marketers face the challenge of formulating globally consistent product and brand strategies. A product is considered a set of tangible and intangible features that benefit a buyer or user together. A global product satisfies the wants and needs of a global market. Product and communication strategies can be considered from a scheme that allows combinations of three strategies: extension, adaptation, and innovation.
In the same way (Espinoza, 2019), The product is the variable par excellence of the marketing mix since it encompasses both the goods and services a company markets. It is how consumers’ needs are satisfied. Therefore, the product must focus on solving these needs rather than its characteristics, as was done years ago. We find aspects essential to work on within the product, such as image, brand, packaging or after-sales services. The marketing manager must also make decisions about the product portfolio, the product differentiation strategy, the life cycle, and even the launch of new products.
As for the price variable, to refer to this variable, Czinkota and Ronkainen (2019) adduce that price is the only element of the marketing mix that generates revenue; all others are costs. Therefore, it should be used as an active strategy instrument in the main areas of marketing decision-making. Price serves as a means of communication with the buyer by providing a basis for judging the offer’s attractiveness. It is an essential competitive tool for knowing and defeating rivals and close substitutes. Price should not be determined in isolation from the other elements of the marketing mix. It can be used effectively to position the product in the market.
Keegan & Green (2009) say that a product can be positioned as a mass-market, low-priced product in some countries and a high-priced niche product in others. In addition, pricing objectives vary according to the stage of a product’s life cycle and the competitive situation in a specific country. When making global pricing decisions, it is also necessary to consider external aspects, such as the additional cost of shipping goods over long distances across national borders.
On the other hand, (Kirchner & Márquez Castro, 2010) Price is the quantification in money of a value that depends on the utility that the product has to satisfy the needs or desires of the buyer of the product the needs or desires of the person acquiring the product or service. Price is one of the four fundamental elements of the marketing mix that entrepreneurs must implement to achieve the company’s objectives in terms of profit and market share.
Another critical variable in this internationalization process is distribution channels. Keegan and Green (2009) state that distribution channels link manufacturers with customers. Although channels for consumer and industrial products are similar, they also differ. In business-to-consumer (b-to- -c or B2C) marketing, consumer channels are designed to get products into the hands of people for their use; as participants in a process known as business-to-business (b-to-b or B2B) marketing, industrial channels deliver products to manufacturers or other types of organizations that use them as inputs in the production process or day-to-day operations. Distributors play essential roles as wholesale intermediaries, usually selectively supplying product lines or brands.
Similarly, Czincota and Ronkainen (2019) state that distribution channels provide the essential linkages that connect producers and customers. The linkages comprise entities that perform various functions within and outside the firm. Optimal distribution systems are flexible and can adjust to short- and long-term market conditions.
It is essential for the seafood sector in Riohacha DTC, when implementing international marketing for the selection of distribution channels, to consider alternative channels and regional market schemes for the products to reach the target population in the best condition.
Last but not least are the forms of communication and promotion to be used in foreign markets; in this regard, Kirchner Marquez (2010) talks about the strategies for international promotion, referring to actions, sequence, intensity, media, messages and budgets related to advertising, promotional and public relations in the international target market.
On the other hand, (Cateora et al., 2010) Integrated marketing communications [integrated marketing communications, IMC] is composed of advertising, sales promotion, trade shows, personal selling, direct selling and public relations. All of these elements, which are involved in promotional preparation and are mutually reinforcing, are aimed at successfully selling a product or service.
Continuing the theme, Czincota and Ronkainen (2019) say that effective communications require three elements: the sender, the message, and the receiver, connected by a message channel. The process may begin with an unanticipated request from a potential customer or as a planned effort by the company. Whatever the goal of the communications process, the sender must study the characteristics of the receiver before encoding the message to achieve maximum impact. Encoding the message means converting it into a symbolic form that the receiver can understand.
When exporting its products, the seafood sector of Riohacha DTC must apply effective international marketing strategies in communication to promote the products and thus attract and retain customers, which allows positioning in the market intended to perform the export.
When we focus on the region to which the article was directed, the District of Riohacha, it shows how La Guajira needs to develop the industry, markets and sign trade. Therefore, Riohacha is no exception and has been doomed to neglect and backwardness in its international trade. Therefore, this article was born as a response to various problems framed in economic and social aspects in the district of Riohacha, such as the lack of internationalization and business innovation, the negligible diversification in the economic activities developed in this locality and the lack of knowledge of the benefits of interacting with other markets.
In Riohacha and the adjacent villages, the main economic activity is artisanal fishing, where a high level of informality is perceived, and these tasks are performed daily; when the extraction of the different marine species is carried out, they are marketed directly, where part of it remains in the community for immediate consumption, the other is marketed in hotels and restaurants. Therefore, these movements or transactions need to be registered and become informal, which causes a vacuum of impact when taking action for economic aid from public and private investments.
This causes a vacuum of impact when taking action for economic aid from both public and private investments, which can mitigate the problem of informality in the sector.
According to this problem, due to the low consumption that Colombia contemplates in this sector, the type of artisanal fishing practised in the District of Riohacha and the opportunity to supply the international market of the Caribbean countries, the elaboration of this article arose, whose objective is to analyze the international marketing mix for export in the seafood sector of the Special Tourist and Cultural District of Riohacha.
METHOD
This article will use theoretical sources endorsed by authors from scientific criteria, where the following aspects are explained: epistemological approach, type and design of research, population, data collection technique and instrument, validity, reliability of the instruments, statistical analysis, and the research procedure. Given the above, this article assumes a quantitative approach, seeking to obtain elements inserted in the studied reality through the opinion expressed by the population that is part of the target situation. In this sense, Hernández, Fernández and Baptista (2014), the quantitative approach uses data collection to test hypotheses based on numerical measurement and statistical analysis to establish behaviour patterns and test theory.
According to Gómez (2016), descriptive research consists of describing situations, events and facts, that is, how it is and how particular phenomena are manifested, while descriptive studies seek to specify the properties, characteristics and important aspects of the phenomenon under analysis, this study focuses its objectives on determining and describing how those facts, or relevant concepts of the phenomenon under investigation are.
Similarly, Arias’s (2016) descriptive research involves characterizing a fact, phenomenon, individual or group to know its structure or behaviour.
Then, this type of research results are located at an intermediate level in terms of depth of knowledge. For Méndez (2013), descriptive research subscribes to characteristic aspects, where different elements, components and their interrelation are identified to delimit facts involved in the study.
The research design is non-experimental. For their part, they admit. Hernandez et al. (2014) state that non-experimental designs are studies conducted without deliberate manipulation of variables, where only phenomena are observed in their natural environment and then analyzed.
Arias (2016) also agrees that non-experimental designs measure variables independently, and even when hypotheses are not formulated, such variables are stated in the research objectives.
Similarly, it is recognized as field research; according to Arias (2016), field research collects data directly in reality, where the facts are generated without manipulating or controlling any variable. For Tamayo & Tamayo (2010), in a field design, data are collected directly from reality, which is why it is called primary.
As for the population, all research must also be delimited in terms of whom to turn to in order to obtain information about the subject being studied, where, in turn, they are valid and reliable sources, representing the informant subjects the objective basis for issuing their position on a given situation in this case, the analysis of the international marketing mix for the export of the seafood sector of the DETC of Riohacha.
According to Méndez (2013), the population is the total set of study elements. The approach of Hernandez et al. (2014) is that the population is the set of all cases that match certain specifications, starting from content characteristics, place and time. Considering the theories exposed by the consulted authors, the information to fulfil the stated objectives will be collected from the opinion of the managers of the fishmongers registered in the chamber of commerce of the unique tourist and cultural district of Riohacha, which consists of 14 fishmongers.
As for data collection, the survey was used, which is used for field designs, Méndez (2013). The survey is an observation instrument formed by a series of formulated questions, whose answers are noted by the interviewer; this technique allows the knowledge of the individuals’ motivations, attitudes and opinions about the object of investigation.
After the elaboration of the questionnaire, it will be subjected to a content validity test, under the assessment of experts in the area, being represented by five evaluators with professional and research experience in the research variables Hernández et al (2014) validity as the degree where an instrument measures the variable it seeks to measure, while content validity is the degree to which an instrument reflects a specific content domain in what is measured, i.e. the degree of measurement represents the concept or variable measured.
In the proposed research, the data to be obtained from the application of the questionnaire to the target population used descriptive statistics, which consists in the first instance of coding the response options of the questionnaire, assigning a numerical value and then recording the coded data in a double entry table, to calculate the measures of central tendency, as well as absolute frequencies, relative frequencies, to be interpreted according to the categories and ranges of a scale of interpretation of data averages Tamayo & Tamayo (2010) statistical treatment allows conclusions to be reached about the proposed hypotheses.
RESULTS
|
Table 1. International marketing mix |
|||||||||||
|
Indicators |
Response Options |
||||||||||
|
Very much in agreement |
Agreed |
Neutral |
Disagree |
Strongly disagree |
Media |
||||||
|
FA |
FR% |
FA |
FR% |
FA |
FR% |
FA |
FR% |
FA |
FR% |
||
|
Sector demand |
6 |
42,9 % |
5 |
35,7 % |
3 |
21,4 % |
|
|
|
|
4,6 |
|
Real needs of the seafood market in the importing country. |
|
|
7 |
50 % |
2 |
14,3 % |
4 |
28,6 % |
1 |
7,1 % |
3,5 |
|
Competitive products |
2 |
14,3 % |
6 |
42,9 % |
3 |
21,4 % |
3 |
21,4 % |
|
|
3,5 |
|
Adequate prices |
2 |
14,3 % |
9 |
64,3 % |
2 |
14,3 % |
1 |
7,1 % |
|
|
3,5 |
|
Product pricing |
3 |
21,4 % |
1 |
7,1 % |
2 |
14,3 % |
4 |
28,6 % |
4 |
28,6 % |
2,8 |
|
Price stability |
3 |
21,4 % |
4 |
28,6 % |
|
|
7 |
50 % |
|
|
4,6 |
|
Distribution channels |
1 |
7,1 % |
2 |
14,3 % |
1 |
7,2 % |
7 |
50 % |
3 |
21,4 % |
2,8 |
|
Delivery time |
4 |
28,6 % |
7 |
50 % |
3 |
21,4 % |
|
|
|
|
4,6 |
|
Adequate cold chain |
2 |
14,3 % |
8 |
57,1 % |
1 |
7,1 |
3 |
21,4 % |
|
|
3,5 |
|
Means to make products known on the international market |
2 |
14,3 % |
6 |
42,9 % |
2 |
14,3 % |
2 |
14,3 % |
2 |
14,3 % |
2,8 |
|
Communication or marketing strategies |
2 |
14,3 % |
3 |
21,4 % |
|
|
6 |
42,9 % |
3 |
21,4 % |
3,5 |
|
Communication decisions |
|
|
5 |
35,7 % |
2 |
14,3 % |
1 |
7,1 % |
6 |
42,9 % |
3,5 |
|
Average Frequency |
2,7 |
19,3 % |
5,25 |
37,5 % |
2,1 |
15 % |
3,8 |
27,14 % |
3,16 |
22,62 % |
3,6 |
|
Interpretation of the scales |
High Level |
||||||||||
The table shows that 78,6 % of those surveyed agree that the seafood sector is in demand in the country they plan to export to. Similarly, the indicator for the real needs of the seafood market in the importing country shows that 50 % responded that they were aware of the real needs of that market. Another indicator is competitive products; 57,2 % consider that the products marketed are competitive to conquer the market of the Caribbean islands.
Regarding the indicator of Adequate prices, 78,6 % responded that the prices are adequate to reach the foreign market. Regarding the product prices indicator, 57,2 % of the respondents agree that they decided to set prices for the foreign market based on the competition’s prices. Regarding the price stability indicator, 50 % responded that they could not manage the same prices every season, and the other 50 % responded that they could sustain the price.
Regarding distribution channels, 71,4 % responded that there are indeed more distribution channels for exporting. Another indicator is delivery time; 78,6 % answered they could deliver within the stipulated or agreed time. In the cold chain indicator, 71,4 % of the respondents answered that they manage the adequate cold chain required by the products.
Regarding the indicator Means to make the products known in the international market, 57,2 % responded that the company makes its products known by some type of means; similarly, the indicator communication strategies, 64,3 % of respondents said that they do not use any communication or marketing strategy to make themselves known in international markets, finally, the indicator communication decisions, 50 % of the entrepreneurs responded that when making communication decisions they do not take into account the needs of their target market.
CONCLUSIONS
When the international marketing mix was analyzed in the seafood sector of the DETC of Riohacha, the results indicated that the seafood sector has a demand in the country it intends to export and that they know the real needs of this market. Based on this, they can highlight that the products marketed are competitive to conquer their target market.
On the other hand, the studied population thinks that their prices are adequate to export, and they also express that the decisions of the prices of their products are directly related to the prices of the competition. Regarding price setting, their opinions are divided as they consider that they can manage the same price, regardless of whether the season is low or high; some agree, and others disagree.
Respondents also indicated that the distribution channels used by the company to market its products are adequate for exporting, agreeing that it is essential to make deliveries in the time required by customers. They also stated that the company manages the appropriate cold chain required by its products, adding that it makes its products known by some means to take advantage of the international market.
Similarly, they are aware that the company does not use communication or marketing strategies to make itself known in international markets, and they also consider that, when making communication decisions, they would take into account the needs of their target market.
RECOMMENDATIONS
To achieve the mission of any organization, which is to grow its market, position itself in other markets, be competitive and improve profitability, the international marketing mix is a fundamental factor for the seafood sector of the DETC of Riohacha. Therefore, it is recommended that departmental entities plan and develop workshops oriented to courses on pricing for the export of their products, as well as on logistics, marketing channels, supply chains, and the use of communication or marketing strategies to make themselves known in international markets.
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FINANCING
There is no funding for this work.
CONFLICT OF INTEREST
The authors declare that there is no conflict of interest.
AUTHORSHIP CONTRIBUTION
Conceptualization: Nair Cantillo Campo, Carlos Julio Pedraza Reyes.
Research: Nair Cantillo Campo, Carlos Julio Pedraza Reyes.
Methodology: Nair Cantillo Campo, Carlos Julio Pedraza Reyes.
Project administration: Nair Cantillo Campo, Carlos Julio Pedraza Reyes.
Original drafting and editing: Nair Cantillo Campo, Carlos Julio Pedraza Reyes.
Writing-revision and editing: Nair Cantillo Campo, Carlos Julio Pedraza Reyes.