Peugeot Case

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Content
Introduction2
1)Why Peugeot should export the 5008 HDI hybrid?3
2)Economic and political barriers that impact the export.5
3)Peugeot, a strong international competitiveness.6
4)The influence of culture in the marketing strategy.10
5)Which market entry?12
6)What about an acquisition?13
7)The International Product Life Cycle:14
8)Effects of the exchange rates and inflation:15
9)Personal selling:16
10)International marketing controls:17
Conclusion:18
Bibliography:19

* Introduction

Through this final assignment I will explain how the French company Peugeot, can introduce it hybrid car the 5008 hybrid HDI. I choose an hybrid car for different reasons. The first one is that I think that hybrid cars are going to know a better future than electric cars. In effect, this is a huge change for people in general and they are not used to that way of driving and consuming. Offering an electric car is too radical and making hybrid cars, combining fuel and electricity is a good way to make a transition. This is why I choose to makes it on hybrid car. Secondly, I choose the 5008 hybrid HDI because is one of the biggest car that Peugeot is offering, and as we know American people are more likely to use biggest vehicles than in France. Finally I choose Peugeot for the reasons explained bellow. The company is also known as the Group PSA. Actually PSA is the biggest car company if France and have for main competitor Renault the second biggest group in France. The company has extended and sells their products to different region in the world like in Asia and Latin America. With all the ecological issues within the car industry the car industry, companies have the obligation to find alternatives to the CO2 problems, but also because innovation is always recommended no matter the industry. This is why Peugeot presented in 2009, its new car the Peugeot 5008 HDI Hybrid. Nowadays, Peugeot is not very present in United States, and this new product could be an opportunity for them to enter this market. Through this assignment, I will answer the question of the case by explaining the reasons to export, but also by studying the competition present in the US market and all the potential risks that the company has to avoid. Finally I will end the final by making the marketing plan that Peugeot could adopt in order to enter the market.

Why Peugeot should export the 5008 HDI hybrid?

Many reasons make that Peugeot want to invest in the US market. But even if they already have an international experience due their presence in Latin America and Asia, they have to be careful because the US market has its own specificity. Their new hybrid cars could be a huge opportunity to enter this market. In effect, hybrid cars are becoming more and more appreciated in the US market and people like this kind of car. The American market is such important that it gives more or less the trend of sales for the coming years. Since 2001, the market never stops growing and the forecast for the next year seems to be good as it is show on the graph below:

As we can see, the increase has been constant through the years and will don’t stop until 2015. Those forecasts seem to be excessive but in fact they are quite true. In August 2012, a study has been made by an American website “hybridcars” and it shows that the number of sales has increased looking at the previous year. In august 2012, 249,311 of cars have been sold which represent an increase of 63.2% looking at the number of sale at the same period. As we can see the increase is extremely important, and when we look at the total number of sales of all cars, it makes more important the increase. In effect, the increase of all the vehicles at the same period is “only” about 14.0%. I say only because there are 50% of gap between all the type of cars and hybrid cars. This enormous increase is also due to the fact that the US government...
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