Why It Fails? Marketing Strategy Analysis On The Brand “X” Instant Noodle Sales Performance In South Korea Market
Abstract
This study aims to examine the reason why the sales performance of Brand “X” Instant Noodles from Indonesia is not successful yet to expand its market in South Korea. This study used sequential mixed-method approach comprising two steps: first is to analysing the external and internal factors using a qualitative approach. Secondly, the researcher also observed the behaviour of the customers that fit into the targeted segment, who are likely to be influenced by price, flavour variety, convenience, and brand loyalty. The results lead to indication of unprofitable business of instant noodles because of high intensity of rivalry and substitutes, and also unfavourable bargaining power of buyers and how it is easy for the competitors to entering the market. Furthermore, the company of Brand “X” Instant Noodle is still a conservative manufacturing-oriented company, taking a risk such as doing aggressive marketing to introduce its brand to a new market is still difficult. Additionally, competitor analysis shows that there are many contenders and stiff competition in the market. There are some limitations for this research, to make it more focused. First, The research only focused on Brand “X” Instant Noodle sales in South Korea. This research was conducted in South Korea since the analysis is focusing on the analysis of marketing strategy on the Brand “X” Instant Noodle Sales Performance in South Korea market. In this paper, the focus is on analysing the reasons why the Brand "X" Instant Noodle has not been able to achieve its sales targets compared to other foreign markets, particularly within the instant noodle industry. Rather than exploring the various factors that influence sales performance in general, the study specifically looks at the factors that are hindering the success of Brand "X" in the market. Overall, the goal of this paper is to provide valuable insights that can help Brand "X" Instant Noodle to understand its situation better
References
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Tabachnick, B. G., & Fidell, L. S. (2013). Using multivariate statistics (6th ed.). Pearson Education
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Armstrong, G., Kotler, P. (2018). Principle of Marketing. (Global ed.). USA: Pearson Education
Boone, L.E, & David, L, Kurtz (1974). Contemporary Marketing. Dryden Press
Chea, Sarah (17 September 2022). “[WHY] Koreans' love for spicy foods: Crazy trend or comfort food?”. Retrieved from: https://koreajoongangdaily.joins.com/2022/09/17/why/koreans-craving-koreans-love-korean-restaurant/20220917070012724.html
Crittenden, V. L. (2005). Building a capable and adaptive workforce: Training and development strategies. Greenwood Publishing Group.
Dewasiri, N.J., Rana, S. and Kashif, M. (2021), “Editorial–theory building in marketing: rationalizing South asian perspective”, South Asian Journal of Marketing, Vol. 2 No. 1, pp. 1-4.
Euromonitor. (2021). “Market Share by Sales Amount and Manufacture”. Retrieved from: www.euromonitor.com
Feurer R. and Chaharbaghi K. (1995), «strategy development: past, present, and future», management decision, vol.33 No.6
Field, A. (2009). Discovering statistics using SPSS (3rd ed.). Sage Publications
Gituma, M. M. (2017). Effect of Maketing Mix on Sales Performance: Case of Unga Feed Limited. Research Project Submitted to the Chandaria School of Business in Partial Fulfillment of the Requirements for the Degree of Masters in Business Administration (MBA), 1-7
Hax C.A. and Wilde IT L.D. (2002). The Delta Model – toward a unified framework of strategy. MT Sloan School of Management, WP: 42261-03, Sep.
Hooley J.G. Greenley E.G., Gadogan W.J. and Fahy J. (2003), «the performance impact of marketing resources», Journal of business Research
Hoover, Lissie. (01 June 2021). “What is Qualitative vs. Quantitative Study?”. Retrieved from: https://www.gcu.edu/blog/doctoral-journey/what-qualitative-vs-quantitative-study
HyoJin An & Se-Young Oh (2019). Five Views on Ramyeon. Korea Science. Doi: https://doi.org/10.5392/JKCA.2018.18.09.633
Jones, W. (2007), Personal Information Management. Doi: https://doi.org/10.1002/aris.2007.1440410117
Juttner U. and Wehrli P.H. (1994), «competitive advantage managing marketing and the competence-based perspective», Journal of business & industrial marketing, Vol. 54, pp 1-18
Keramati, A., Ardalan, A., & Ashtiani, P. G. (2012). Relationship between marketing mix and sales performance in the context of the iranian steel private firms. International Journal of Arts and Commerce, 1(6), 195–199.
Kerr, Anne; Wright, Edmund (1 January 2015). A Dictionary of World History. Oxford University Press. ISBN 9780199685691 – via Google Books.
Kotler, P. (2000). Marketing Management. (10th ed.). India: Prentice Hall
Kotler, P., & Armstrong, G. (2015). Principles of marketing (16th ed.). Pearson.
Kotler, P., Keller, K. L. (2012). Marketing Management (14th ed.). Essex: Pearson Education Limited
Kwak Eun Young (2021). [소비자는 불편할 준비가 되어 있다] 라면묶음포장...제조사·유통사·정부 서로 '나몰라라', Retrieved from: http://www.greenpostkorea.co.kr/news/articleView.html?idxno=127364
Lee, S., Kim, H., & Choi, S. (2021). Corporate Glocalization Strategy of Nongshim in America: The “Pendulum Theory” of Globalized Localization. Journal of Open Innovation: Technology, Market, and Complexity, 7(4), 205. Elsevier BV. Retrieved from http://dx.doi.org/10.3390/joitmc7040205
Lin, M.J.J and C.J. Chen (2008). Integration and knowledge sharing: Transforming to long-term competitive advantage. International Journal of Organizational Analysis, 16:83-108
Liu, Q., Qu, X., Wang, D., Abbas, J., & Mubeen, R. 2022. Product Market Competition and Firm Performance: Business Survival Through Innovation and Entrepreneurial Orientation Amid COVID-19 Financial Crisis. Front Psychology, 25(12), 790923. doi: 10.3389/fpsyg.2021.790923.
Malcolm McDonald and Hugh Wilson (2016). Marketing Plans: How to prepare them, how to profit from them, 8th edition
McCarthy, E. J. (1964). Basic Marketing. IL: Richard D. Irwin.
Mohan Raj, A. B., Chandrasekaran, R., Annadurai, M., & Venkatesan, P. (2015). A study on employee welfare measures practiced in small scale industries. Indian Journal of Science and Technology, 8(14), 1-5.
Mohd Faizul Bin Ahmad, et al., (2023). The Effect of Service Marketing Mix on Sales Performance: the case of an insurance company in Perak, Malaysia. UNITAR: Malaysia
Mukiira, E. M., Musau, M. C., & Munyao, M. J. (2017). Effect of experiential marketing in building brand equity: A case of selected Unilever Tanzania brands. International Journal of Supply Chain Management, 2(1), 1–31. https://www.iprjb.org/journals/index.php/IJSCM/article/view/376
Mustapha, B. (2017). Effects of Marketing Mix Strategy on Performance of Small Scale Businesses in Maiduguri Metropolitan, Borno State Nigeria. Corpus ID: 55396404
Mugiantoro, Andi (2016) analisis pengaruh bauran pemasaran (7p) terhadap keputusan konsumen untuk menginap di kamar superior di hotel orchardz gajah mada pontianak. Fakultas Ekonomi.
Oeyono, J. T. (2013). Analisa pengaruh experiential marketing terhadap loyalitas konsumen melalui kepuasan sebagai intervening variabel di tator cafe surabaya town square. Jurnal Strategi Pemasaran, 1(2), 1–9. http://publication.petra.ac.id/index.php/manajemenpemasaran/article/view/959.
Parpart. Enrich. (2019), “Next-Level Noodles”. Retrieved from: https://www.bangkokpost.com/business/1688408/next-level-noodles
Rotich, E.C. (2016). EFFECTS OF MARKETING INTELLIGENCE ON SALES PERFORMANCE OF BANCASSURANCE AMONG FINANCIAL. University of Nairobi: Kenya
Shelke, K. 2016. Pasta and Noodles: A Global History. London: Reaktion Books.
Sheth, J. (2021), “New areas of research in marketing strategy, consumer behavior, and marketing analytics: the future is bright”, Journal of Marketing Theory and Practice, Vol. 29 No. 1, pp. 3-12.
Srinivasan, K. & Adaro, L.E. (2018). Effect of Marketing Mix Strategy on MSE‟s Sales performance - Gomo region, Ethiopia. ISSN: 2319-7064
Sirvastava. K.R., Fahey L. and Chrstensen K.H. (2001). The Resource – based view and marketing: the role of market-based assets in gaining competitive advantage. Journal of Management, No. 27.
Statistica (2021). “Demand for instant noodles in South Korea from 2013 to 2021”. Retrieved from: https://www.statista.com/statistics/978679/south-korea-instant-noodles-demand-in-servings/
Tabachnick, B. G., & Fidell, L. S. (2013). Using multivariate statistics (6th ed.). Pearson Education
The Economics Times (2023). What is ‘Product’. Retrieved from: https://economictimes.indiatimes.com/definition/product
The Korea Times (2017). “Demanding Korean Consumers”. Retrieved from: http://www.koreatimes.co.kr/www/biz/2017/08/488_129529.html
Wallace, Bruce (8 January 2007). "Entrepreneur Momofuku Ando, 96". The Washington Post.
Wang, Y., & Wang, Y. (2021). The influence of marketing strategy on brand image and future outlook: An example of La New International Corporation. Journal of Business and Retail Management Research, 15(2), 60-70. Retrieved from https://www.jbrmr.com/uploads/7/7/3/8/77387032/4_jbrmr_the_influence_of_marketing_strategy_on_brand_image_and_future_outlook_-_an_example_of_la_new_international_corporation.pdf
World Instant Noodles Association. (2022). “Demand Rankings”. Retrieved from: https://instantnoodles.org/en/noodles/demand/table/
Published
2023-06-30
How to Cite
JOVITA, Karina; WISESA, Anggara; HAMSAL, Mohammad.
Why It Fails? Marketing Strategy Analysis On The Brand “X” Instant Noodle Sales Performance In South Korea Market.
International Journal of Business and Technology Management, [S.l.], v. 5, n. 2, p. 263-277, june 2023.
ISSN 2682-7646.
Available at: <https://myjms.mohe.gov.my/index.php/ijbtm/article/view/22359>. Date accessed: 03 dec. 2023.
Section
Articles
