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Universidad Del Azuay Faculty of Law School of International Studies

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Universidad Del Azuay Faculty of Law School of International Studies Universidad del Azuay Faculty of Law School of International Studies Generation of a digital marketing plan for the international positioning of the "Euphoria" clothing factory, through the application of e-commerce and digital marketing tools. Thesis prior to obtaining a Bilingual Bachelor’s Degree in International Studies with a minor in Foreign Trade. Authors: María Sebastienn Cevallos Briones y María Paula Delgado López Director: Marco Antonio Ríos Cuenca, Ecuador 2017 ABSTRACT As a part of a globalized world where virtually all information is available to everyone, e-commerce has become a new way of doing business, providing benefits, opportunities, and a very bright future. This graduation project studies The Euphoria Collection Company, which proposes a digital marketing positioning plan for its virtual store, focusing on a target that permits the internationalization of the brand. The first chapter will analyze e-commerce and digital marketing, the second chapter will refer to the company and its products, the third chapter will define the main target and finally, the fourth chapter will recommend the positioning proposal. This project’s objective is to adapt foreign trade to new trends in e-commerce, using innovative tools and strategies offered by new information and communication technologies. ii Table of Contents ABSTRACT ....................................................................................................................................... ii INTRODUCTION ............................................................................................................................ 9 CHAPTER 1 ................................................................................................................................... 11 1. Electronic Commerce and Digital Marketing .......................................................................... 11 1.1. Introduction ..................................................................................................................... 11 1.2. E-Commerce ..................................................................................................................... 11 1.2.1. Concept ........................................................................................................................ 11 1.2.2. Characteristics ............................................................................................................. 12 1.2.3. Subjects that intervene ............................................................................................... 13 1.2.4. Classification ................................................................................................................ 13 1.2.5. Advantages of E-Commerce ........................................................................................ 15 1.2.6. Disadvantages of E-Commerce .................................................................................... 16 1.3. Digital Marketing ............................................................................................................. 17 1.3.1. Concept ........................................................................................................................ 17 1.4. PEST Analysis ................................................................................................................... 41 1.4.1. Political ......................................................................................................................... 41 1.4.2. Economic ...................................................................................................................... 47 1.4.3. Social ............................................................................................................................ 54 1.4.4. Technological ............................................................................................................... 57 1.5. Porter’s Five Forces ......................................................................................................... 59 1.5.1. Threat of substitutes ................................................................................................... 59 1.5.2. Bargaining power of suppliers .................................................................................... 59 1.5.3. Bargaining power of buyers ........................................................................................ 59 1.5.4. Threat of new entrants ................................................................................................ 60 1.5.5. Industry rivalry ............................................................................................................. 60 1.6. SWOT Analysis ................................................................................................................. 61 1.7. Corporate social responsibility ........................................................................................ 61 CHAPTER 3 ................................................................................................................................... 65 2. Market Research ...................................................................................................................... 65 2.1. Introduction ..................................................................................................................... 65 2.2. Qualitative research ........................................................................................................ 65 2.2.1. Interviews with professionals ..................................................................................... 65 2.3. Quantitative investigation .............................................................................................. 71 2.3.1. Brief Analysis of Ecuador's exports 2012 - 2015 ......................................................... 71 iii 2.3.2. Selecting possible target markets ............................................................................... 74 CHAPTER 4 ..................................................................................................................................... 136 3. Digital marketing plan for the positioning of the company in the target market .............. 136 3.1. Introduction ................................................................................................................... 136 3.2 The 4 F’s of digital marketing ........................................................................................ 136 3.2.1 Flow ........................................................................................................................ 136 3.2.2 Functionality .......................................................................................................... 136 3.2.3 Feedback ................................................................................................................ 137 3.2.4 Brand Loyalty ......................................................................................................... 137 3.3 Structure of the digital marketing plan ........................................................................ 138 3.3.1 Defining a virtual store .......................................................................................... 138 3.3.2 The creation of the virtual store: For what purpose was this store created? ..... 138 3.3.3 Store ....................................................................................................................... 139 3.3.4 Ordering, shipping and payment systems ............................................................ 146 3.3.5 Positioning of the website ..................................................................................... 153 3.4 Conclusion ...................................................................................................................... 166 CONCLUSIONS AND RECOMMENDATIONS ..................................................................... 168 iv Index of Images Image No. 1: Linio’s Ecuador website ............................................................................................. 32 Image No. 2: Linio’s Ecuador web promotion ................................................................................. 33 Image No. 3: Fashion Catalogue, Linio’s Ecuador website ............................................................. 33 Image No. 4: Political Instability ..................................................................................................... 46 Image No. 5: Homero Ortega Products ............................................................................................ 66 Image No. 6: Indurama Products ...................................................................................................... 68 Image No. 7: Pasamanería Materials ................................................................................................ 70 Image No. 8: Sleeveless Blouses .................................................................................................... 114 Image No. 9: Jeans ......................................................................................................................... 114 Image No. 10: Leggings ................................................................................................................. 115 Image No. 11: Pants ....................................................................................................................... 115 Image No. 12: Tank tops ...............................................................................................................
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