An organization that is successful in marketing has invariably started with a marketing plan. One of the first steps for that marketing plan is defining a mission statement, and knowing what the objectives of the marketing plan entail. Team A has opted to market General Electric (GE) air conditioners in India, and will initially define the mission statement and objectives needed for success. Thomas Alva Edison is credited with the founding of GE in 1876. GE sites a quote by Edison that states, “I never perfected an invention that I did not think about in terms of the service it might give to others” (GE, 2008).
The GE known today began in 1892, when the Edison General Electric Company and the Thomson-Houston Company combined to become the General Electric Company. Through the years, the leaders of GE have worked to build a diverse collection of leading businesses that currently operate on a global scale, including diverse presence in India. IndiaIndia is a country in South Asia whose population is 1. 3 billion, the second largest in the world. According to Keegan and Green, 2005 “India has the youngest demographic profile among the world’s largest nations: More than half its population is under the age of 25” (Chapter 7, p.2).
India’s population includes 200 million middle class people. Based on per capita income, India is considered a lower level of economic developed country; however, the market potential for many businesses is larger than the size of entire developed countries (Keegan & Green, 2005). India’s vast population speaks 14 official languages and many more unofficial languages (Cateora & Graham, 2007). 25 percent of India’s population lives in urban areas. India’s weather varies but is typically hotter in the south than in the north with summer weather reaching triple digits (Keegan & Green, 2005).
Only two percent of Indian’s households own air conditioners and only one percent show interest of buying an air conditioner in the future (Keegan & Green, 2005). Political and economic conditions in India are very challenging. However, new government direction “promises to adjust the philosophy of self-sufficiency that has been taken to extremes and to open India to world trade markets” (Cateora, Graham, 2007, Chapter 9, p. 27). GE has positively identified India’s huge market and wants to take advantage of the growth potential possibilities this country has to offer despite its difficult business environment.
Mission StatementGeneral Electric (GE) is interested in marketing air conditioners in India. GE is present in India; however, products are not readily sold in India with “The company participating in a wide range of manufacturing, services, and technology businesses in the country” (General Electric, 2008). International product sales opportunities in India have growth potential because “GE is one of the largest manufacturers of major appliances in the world, introducing advanced appliances to improve peoples’ lives and conserve electricity” (General Electric, 2008).
With the opportunity present, GE needs to establish a mission statement. Mission statements are beneficial in any business. “Mission statements help clarify what business you are in, your goals, and your objectives” (Entepreneur. com, 2003). International business incorporates the cultural, political, and financial needs of the country, as well. GE provides energy services and products to improve life throughout the world and is now selling air conditioners in India (General Electric, 2008).
GE is in business to provide quality products to meet the daily needs of individuals and businesses. Objectives of GE are plentiful and strategic. With the basic criteria of a mission statement outlined, GE created a mission statement for the new global venture. GE’s mission statement concludes: General Electric develops innovative, quality products to enhance the living of individuals and businesses globally. General Electric provides a solution for global constraints through innovative technology.
General Electric produces products with unique designs to promote environmental conservation to meet the existing and future needs of the world. ObjectiveThe main objective in our plan is to make air conditioners appealing to the residents in India. As mentioned above, the appeal for air conditioners are very low. However, GE’s goal is to produce an air conditioner that will be environmentally friendly, small enough to fit in an apartment and appealing to the eye. The role of the air conditioner is to reduce the air temperature within an indoor building or structure.
Since the temperatures are higher in India, the benefits of an air conditioner would to improve air quality as well as make interiors more comfortable to live or work in. While convincing the residents of India that an air conditioner would benefit them will be difficult, Team A will focus on the benefits of air quality just as much as the reduced air temperature air conditioners provide. Since India’s climate is mostly warm and muggy, humidity can increase, making certain triggers for allergy sufferers and people with asthma miserable. In fact, according to Dr.
Ruby Pawankar, asthma is very common within India. She states, “Watering eyes, non-stop sneezing, wheezing, coughing – these symptoms afflict so many people in India, and particularly in our cities, that we have come to accept them as an “occupational hazard” of urban living. In fact, according to a leading allergy specialist, this condition – allergic rhinitis that is recognized as the precursor to the more serious problem of asthma – is nothing short of a 21st Century epidemic” (Sharma, 2004). Mold is a trigger that happens to upset those with asthma.
To control the level of mold, the humidity must be lowered, therefore, lowering the risk of an asthma attack. GE believes that air conditioners made specifically for the citizens of India’s needs will not only make them feel more comfortable, but will benefit their health. “One in every 10 Indian children suffers from allergies and asthma” (Sharma, 2004). With an inclusion of an air conditioner in the homes of an Indian family, we would like that statistic to be drastically changed. When entering any type of market in international marketing a company has to make sure that they do their homework on the entire situation.
General Electric and their business with India with air conditioners will be a huge market success considering their climate and the situation as a whole. Team A will make sure that a market campaign is put together in the sense that we are able to take all kinds of information and know what we need to accomplish in order to be successful in this business. India is a big country and they would be a vital asset in this business, and General Electric will take care of them and be successful when entering this business adventure with another country that is business worthy of our company.
References:Cateora, P. , & Graham, J. (2007). International marketing. [University of Phoenix Custom Edition e-Text]. New York: McGraw Hill. Retrieved May 24, 2008, from University of Phoenix, rEsource, MKT450 – International Marketing Web site. Entepreneur. com. (2003). How to write your mission statement. Retrieved on May 24, 2008 at http://www. entrepreneur. com/management/leadership/businessstrategies/article65230. html. GE. (2008). Thomas Edison & GE. Retrieved May 23, 2008 from http://www. ge. com/company/history/edison. htmlGeneral Electric. (2008). Appliances.
Retrieved on May 24, 2008 at http://www. ge. com/products_services/appliances. htmlGeneral Electric. (2008). Welcome to GE in India. Retrieved on May 24, 2008 at www. ge. com/in/Keegan, W. , & Green, M. (2005). Global marketing. [University of Phoenix Custom Edition e-Text]. Upper Saddler River, NJ: Pearson/Prentice Hall. Retrieved May 24, 2008, from University of Phoenix, rEsource, MKT450 – International Marketing Web site. Sharma, Kalpana. (2004) After the sneeze, the wheeze. The Hindu. Retrieved on May 25, 2008 from http://www. hinduonnet. com/thehindu/mag/2004/12/05/stories/2004120500620600. htm