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The Four P's of Marketing for EduTot in Germany and Japan


During the mid-1990s, there was a growing emphasis on early education and finding ways of stimulating the learning process of children enrolled in kindergarten through sixth grade (K-6). To closely integrate play into the learning process, a group of teachers in the Philadelphia school system formed a company to address this market. This company was named EduTot.

EduTot worked with developmental psychologists and specialists in educational toys and games to develop a layered set of educational games and toys that included a series of computer software modules. EduTot toys, games, and software were focused on several areas:

- Basic math and reading skills
- Specialty games in Spanish, French, and Chinese
- Accelerated problem-solving skills

EduTot has carved a unique place in the market because its products deliver an integrated learning program with supporting instructional manuals and assessment programs.

EduTot has two areas of market focus in the United States: marketing to school districts and marketing to parents. EduTot deploys two marketing teams to service each of the two target groups.

The marketing team that focuses on serving the needs of school districts is a group of former teachers and other individuals with experience in the K'6 marketplace. The team focuses on both private and public schools, conducts educational seminars, participates in trade shows and conferences, and sells directly to educational institutions.

The marketing team that focuses on serving the needs of parents utilizes direct mail, catalogs, and advertisements on television and radio to promote and market the EduTot products. Additionally, the team has developed partnerships with private tutoring companies. EduTot has experienced tremendous success in the major urban markets of the United States.

By its 10th year in business, EduTot had annual revenues of $120 million. To finance expansions, EduTot went public in 2003, used that capital to open a series of stores around the country in key urban areas, and developed a successful online presence.

EduTot decided to expand its operation internationally, recognizing that markets outside the United States may have a similar need for products that integrate play into the learning process to stimulate children in the K'6 range.

You have been hired as the vice president of international marketing. Your first assignment is to develop an international-level marketing plan for EduTot's initial international expansion. Your plan will include the following:

- identification of two potential expansion markets
- research findings on markets including demographics, the local educational system, attitudes regarding education, and any relevant laws
- selection of one market with justification
- proposal for marketing strategy based on the four Ps (+2) of marketing

The Assignment:

On the global stage, economies develop at different rates. For example, countries tend to be labeled as more or less developed from an economic perspective. The development of countries has a great deal to do with their ability to promote, distribute, and properly identify the value of a product.

Discuss the different levels of economic development and how this may influence your proposed marketing strategy. Your response should include the following:

- Evaluation of special considerations for distribution, promotion, and pricing strategies in international, multinational, and global environments

Discussion and identification of the differing levels of economic development; explanation of what the differences mean to EduTot; and how the differences would affect distribution, promotion, and pricing strategies in the 2 potential expansion markets

How these economic levels may affect demand for EduTot's products and services and for potential adaptations of the marketing strategy in the 2 potential expansion markets

The two countries I chose are Germany and Japan.

Solution Preview

In considering the expansion of educational toy sales to global markets, the economic
conditions and cultural attitudes toward education must be considered. The two markets initially
selected, Germany and Japan, are chosen based on attitudes surrounding education. Both
cultures consider education an extremely important factor in leading a successful, productive
adult life. Though education systems are very different in both markets, they embrace tools
and technologies that can help the education process.

German schools often use a tracking system to assess and determine the types of careers
each child is suited for. School is a very serious setting and can cause a great deal of stress to
students in Germany. According to one German principle "I've found that the year in America
has an impact on how the students talk and think. They have a more easygoing attitude, they are
more ready to converse about different subjects, and they have learned how to work with books
in a different way, just to mention a few things" (, ...

Solution Summary

This solution discusses the four P's of marketing for EduTot in both Germany and Japan.