Question
Discussion Mo'men administrators penetrated each market in a different way; however, they managed to keep the same high quality products everywhere. They studied the potential
Discussion
Mo'men administrators penetrated each market in a different way; however, they managed to keep the same high quality products everywhere. They studied the potential market, identified its need, and launched their products using integrated marketing plan. One of the main competitive advantages of Mo'men lies in its wide variety of sandwiches achieved through different combinations of components. It offers six different food categories, each with a distinguished packaging and a big selection of items under each category. This diversity helps to satisfy customers' various tastes and needs in different local and international markets. Those who are health conscious customers will find what they want and those who look for full heavy meals will get them. The three hard working founders had carefully chosen the brand name suitable to the Egyptian Market where they first started. The name Mo'men translates into "faithful" worked very well in Arab and Muslim countries; however, it may be a challenge in some MKT1206 - MODULE 2 CASE STUDY markets. Non Arabic speaking countries may find it difficult to pronounce and some may find it meaningless which may affect the power of the brand itself. Before entering a new market, Mo'men studied it thoroughly by conducting market research, situation analysis and developing a rigorous marketing plan accordingly. It is therefore important to understand that domestic marketing differs from international marketing in many aspects. When the three brothers market their restaurants here in Egypt they may use different marketing strategy than when they market them internationally. Also, the expansion method differs from one country to the other. In some cases, Mo'men chose to enter the international market through existing players. For instance, in 2007 in UAE, it had a joint venture with Al Islami food and in Malaysia, it expanded through acquisition of an already existing chain of 20 restaurants. Since then Mo'men has opened up branches across the Middle East with eight branches in Bahrain, three in Libya, two in Sudan, two in Malaysia and one in the United Arab Emirates (UAE). In Malaysia, Mo'men's model of joint ventures and acquisitions enables it to gain access to foreign market via already-existent players. The challenge for further global expansion is two-fold. The first challenge lies in securing the necessary financial resources for such acquisitions or joint ventures. The second challenge facing Mo'men's global expansion is its brand identity. Mo'men has a strong Middle-Eastern and Islamic ring to it, which is an advantage when it comes to expansion in the Middle East and Islamic Southeast Asia. However, if Mo'men wants to expand in the west, it might face some opposition to its strong Middle Eastern and Islamic brand identity.
Questions
1. Why did an organization like Mo'men decide to expand overseas?
2. What are the main reasons behind the success of Mo'men locally and internationally?
3. What challenges would Mo'men face if they decided to expand in western countries?
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