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Opportunity Analysis for Mentor 1+

7003MKT Marketing Foundations


Table of Contents
INTRODUCTION TO THE COMPANY.................................................................................................... 2
COMPANY DESCRIPTION AND PROBLEM STATEMENT.........................................................................................2
COMPANY ANALYSIS........................................................................................................................................2
MARKET SITUATION.............................................................................................................................. 3
MARKET OVERVIEW.........................................................................................................................................3
MACRO ENVIRONMENT ANALYSIS..................................................................................................... 1
TABLE 1: PESTLE ANALYSIS..........................................................................................................................1
MICRO ENVIRONMENT ANALYSIS...................................................................................................... 1
COMPETITOR ANALYSIS....................................................................................................................................1
TABLE 2: POS AND POD OF COMPETITORS......................................................................................................1
TABLE 3: COMPETITIVE MARKET SUMMARY...................................................................................................3
CONSUMER ANALYSIS...................................................................................................................................... 1
COLLABORATOR ANALYSIS..............................................................................................................................2
SWOT ANALYSIS.............................................................................................................................................2
MARKETING INITIATIVE AND GOALS................................................................................................ 3
REFERENCE LIST.................................................................................................................................... 5

1
Introduction to the Company
Company Description and Problem Statement

Mentor 1+ provides assistance for international business students commencing their first
trimester of undergraduate or postgraduate studies at the Griffith University. The opportunity
gap relates to international students lacking academic skills required to achieve success at
university. Mentor 1+ strives to create a broad, high-quality mentoring program for academic
performance, – academic writing, assignment structuring and exam preparation.

A survey was conducted to find key issues regarding international student commencing
studies in Australian universities. The survey was responded by 124 international students
and primary findings represent a lack of academic skills and that students need more help,
more often. It was also identified that students tend to prefer free services over paid ones.
Therefore, the issues were taken into account with the aim of eliminating the overwhelming
adaptation to the foreign academic environment. Furthermore, the report outlines
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comprehensive analysis on both macro and micro environment, followed by a SWOT
analysis and SMART goals in relation to the marketing initiative.

Company Analysis

Mentor 1+ was found in early 2019, by a former student who had several international friends
during her university degree. The founder realised that these students all struggled with
academic skills and often needed help. She then decided to create a tutoring business to solve
this problem of international students. After dedicated research and time investment, Mentor
1+ was created and as the name suggest, the service comprises a mentoring program based
around one on one sessions. The mentoring team comprises of 20 high skilled mentors with
deep knowledge of business and academic experience.

Market Situation

Market Overview

According to the Australian Trade and Investment Commission (2019), the Australian higher
education is comprised by 43 universities, where of 40 are national universities and the
remaining are either international- or specialised universities. The higher education industry
is economically important for Australia’s development and global competition. Figure 1
presents the OECD countries hosting 3.7 million international students in 2017, where
Australia with 7% tends to be the third most popular destination after the U.S. (18%) and the
U.K (8%), of the global total students of OECD countries (Department of Education 2019).

Therefore, it is crucial to further improve the higher education sector in Australia as this has
increased the dependence of international students (Williams 2019). In 2018, the amount of
international student enrolment in higher education was 398,563, which is an enormous
growth since 2008, when 202,58 enrolments were recorded as shown in figure 2 (Ferguson &
Sherrell 2019). Figure 3 shows the total amount of international student enrolments rose up to

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880,380 in 2019 – including Higher Education, VET, ELICOS, Schools and Non-awards
sectors (Department of Education 2019).

Figure 1: OECD countries hosting international students

Source: Department of Education 2019.

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Figure 2: International student enrolment of higher education from 2008-18.
Source: Ferguson & Sherrell 2019.

Figure 3: Total amount of international student enrolments


Source: Department of Education 2019.

5
6
Macro Environment Analysis

Table 1: PESTLE Analysis

PESTLE Analysis
Political Factor

Government funding (Commonwealth)  Supporting higher education institutions with the Commonwealth Grant Scheme (CGS) and the
Higher Education Loan Program (HELP). The purpose is to support students and infrastructure,
increase equity, and improve teaching quality (Department of Education 2019; Ey 2017). However,
it is important to highlight that the ‘Demand Driven Model’ of unlimited student enrolment in 2010
lead to funding cutbacks of Commonwealth Supported Places (CSP). Therefore, Australian
Universities have been increasingly dependent on international students to make up the lost revenue
(Department of Education 2019).

Political instabilities between countries  International relations play a large role when it comes to choosing Australia as the higher education
provider. Political instabilities might indirectly weaken the relationship and reputation of Australian
Universities and hence, political factors regulate the macro environment of the higher education
sector (Babones 2019).

 For example, the Chinese government may increase the concern of studying in Australia and aims to
prefer its national higher education. This could potentially threaten the growth of Australian
Universities and its international student flow (Babones 2019).

National Strategy for International


 The government, the Coordinating Council and the Minister of Tourism and International Education

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Education 2025 has together conducted the first international education strategy of Australia. This strategy is focused
on enhancing the three pillars of strengthening the fundamentals, making transformative partnerships
and global competition. This was noted to have a positive effect on international students’ decision
to favour the Australian Higher Education (National Strategy for International Education 2025).
Economic Factor

Higher Education revenue  The Higher Education as an industry has grown significantly and constitutes an important export
industry as international student fee revenue was $7.6 billion in 2016 and $9.3 billion in 2017. This
shows a great demand for international students pursuing a higher education degree in Australia, as
well as the economic importance of the industry (Norton & Cherastidtham 2018).

Australia’s overall economy  The economic growth of Australia has been relatively weak during the past year, but the GDP is
expected to strengthen with a forecasted 2 ¾ % during 2019-2020. Which could attract international
students. It is also estimated that in 2020 the inflation will reach to 2% (Reserve Bank of Australia
2019).

Student loans and allowance  International students receiving student loan, allowance or scholarships may motivate them to study
overseas and attract foreign direct investment (FDI). Many European countries such as Sweden offer
students grants and loan for higher education purposes (CSN 2019).

Exchange rates  When the Australian dollar depreciates against a foreign currency, it requires less foreign currency to
buy the Australian dollars. Therefore, it is beneficial for international students if the dollar
depreciates against their currency as this has a huge impact on tuition fees and cost of living
(Reserve Bank of Australia 2019).

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 For example, 1€ =1.63$ / $1 = 0.61€ meaning that the Euro is currently stronger (appreciation) and
the Australian dollar is weaker (depreciation) (XE Currency Converter 2019). This naturally benefits
the European students aiming to study in Australia, however, exchange rates fluctuate and in some
cases disadvantages might occur.

Social Factor

 Australia is well known of its multicultural population with millions of immigrants. The migrated
Multicultural country
individuals come from various cultural backgrounds and comprises a cohesive cross-cultural
environment. The country has high living standards, relatively steady economic growth and a solid
democratic institution which together attracts migration to Australia (Biddle, Khoo & Taylor 2015).
This could influence international student’s choice of destination.

Technological Factor

Internet  The slow and unstable broadband is affecting the education sector. For example, University of
Victoria is being significantly affected by the weak broadband. Furthermore, a strong broadband is
essential for remote and online education, but currently there are limited capabilities for that
(Stilinovic 2017). This problem could possibly affect the higher education students and their study
progress and make them consider alternatives to Australia.

Online learning  Online learning has grown in Australia and enables students to participate in higher education
through online courses. It is therefore a crucial factor for students who cannot attend on campus
lectures and tutorials. It has also been shown that online learning has been successful and that
universities can improve the courses since online learning is important data (Darlo Higher education
2018).

Legal Factor
Student visa  Student visa subclass 500: allows international students up to 5 years of study in Australia with
restrictions. In 2018-19, 240,419 student visa applications were lodged for higher education and
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216,724 applications got granted. The most popular citizens applying for this subclass were Chinese,
Indian, Nepalese, Vietnamese and Sri Lankan (Department of Home Affairs 2019).

Post study work visa  Temporary graduate visa subclass 485 allows international students to apply for post study work
stream, which enables student to stay in the country to live, work and study in the country between 2
– 4 years (Department of Home Affairs 2019). This is a great opportunity for students to start their
career within the field of study.

Legislation  Several laws are applied for protections of international students with student visa and are described
in following Acts:

 Tertiary Education Quality and Standards Agency Act 2011. This Act outlines the requirement of
institutions meeting higher education standards described in the framework (Ferguson and Sherell
2019).

 Education Services for Overseas Students Act 200 (including the National Code of Practice for
Providers of Education and Training to Overseas Students 2018). This Act protects international
students studying in any education sector in Australia (Ferguson & Sherrell 2019).
Environment Factor
Supporting the SDG (sustainable  The rising concern of global sustainability has driven Australian Universities to practice some SDG
development goals) factors in order to support environmentally friendly programs and campuses, as well as balance
social equality. Universities have a significant influence on reaching SDG’s and are an educational
body representing the goals to students. Therefore, they are an important factor to create awareness
and introduce sustainability to international students (SDSN Australia, New Zealand & Pacific 2019;
Sustainable Development Goals 2019.

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5
Micro Environment Analysis
Competitor Analysis

Mentor 1+ operates through Griffith University marketplace and therefore competes with
other academic support services. The competitors were in relation to five major competitors
identified as P.A.S.S, Library Consultations, Library Study Smart, Griffith Writing Mentors
and English Help (Griffith University 2019). Whereof three were identified as direct
competitors and the remaining as indirect competitors (Griffith University 2019).

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Table 2: POS and POD of competitors

Competitor Points of similarities to Mentor 1+ Points of differences to Mentor 1+


P.A.S.S (Peer assisted study  Assistance with challenging courses.  Available for all Griffith University students.
sessions) - Direct  The overall aim is to improve critical thinking,  Offering help in four faculties; Arts, Law, Education,
teamwork and grades, as well as understand Business School, Science and Health.
complex topics and course content in depth.  Offering a limited selection of course assistance.
 The tutors are previous students of the courses with  Weekly sessions – limited to one hour.
additional training.
 The service is free.

Library Consultations - Direct  Assistance with academic writing, structuring and  Available for all Griffith University students.
exam preparation.  Assistance by a library specialist.
 One to one consultation through phone, email,
online or face to face.

Library Study Smart - Indirect  Assistance with preparation for assignments,  Operated by the Griffith University library website as a
referencing and exam skills. resource base for students, including information through
online videos and information models.
 Includes time management skills preparation.
 Available for all Griffith University students.
 Online only.
 Students can access the Microsoft Virtual Academy for
online training purposes with aim of improving digital
skills.

1
Griffith Writing Mentors -  Assistance with academic writing, referencing and  Facilitated by high achieving students.
Direct structuring assignments.  Drop in sessions between 11am-2pm Mondays-
 Service provided at Nathan and Gold Coast campus. Thursdays. No booking required.

English Help - Indirect  Available only for students with English as second  Focus on English language learning and developing
language at Griffith University. academic English.
 Offering One to one session.  English Help also offers workshops in scientific writing,
academic grammar, vocabulary, language and
pronunciation skills for HDS students.
 Undergraduate and postgraduate students limited to 45
min consultations. Those studying a higher degree
research are limited to 90 min.
 All students can access Help Yourself resources to help
with essential grammar and academic skills.

Source: Griffith University 2019.

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Table 3: Competitive Market Summary

Competitor Target Market Positioning Product Pric Promotional Distribution Strength/Weakness


e

P.A.S.S For all students A highly Peer assisted Free. Through Direct S: Students can get help
seeking help recommended study Griffith website. marketing with a specific course
studying arts, student support sessions. Flyers and through the and topic that the peer
education, law, service offered to brochures. On- Griffith has achieved well in.
business, science improve and campus University
and health. develop academic advertising. website. It is available for all
skills and grades During lectures/ students at Griffith
of Griffith tutorials. University.
University Orientation
students. week. Word of W: Only specific courses
mouth. per faculty are available
and some students can be
disadvantaged from this.

The sessions are limited


to one hour, running
once a week.
Library For all students in A widely known Consultation Free. Through Direct S: Online booking and
Consultations need of library support session with a Griffith marketing one to one consulting.
consultation service used by library University through the
regarding Griffith University specialist. website. During Griffith Facilitated by a library
assignment students. lectures/ University specialist.
structure, writing tutorials. Word library and
and exam of mouth. website. Available for all students
preparation. at Griffith University.

3
W: Limited to writing
and research skills.
Competitor Target Market Positioning Product Pric Promotional Distribution Strength/Weakness
e
Library For all students A sophisticated Online Free. Through Direct S: Students can access
Study Smart who prefer online digital information information Griffith marketing this whenever they want,
information. resource bank for modules and University through the and from wherever they
all Griffith videos. website. Word Griffith want.
University of mouth. University
students. webpage. Continuous availability.

W: Lack of face to face


interaction.

Limited information, not


easy to ask further
questions.
English Help For student with A highly One to one Free. Through Direct S: Facilitated by an
English as second recommended and consultation Griffith marketing academic language
language (most reputable student and group University through the specialist.
often international service used by workshop website. Flyers Griffith
students). Griffith University possibilities and brochures. University One to one consultation
students with with a During lecture/ webpage. and group workshop
English as second language tutorial. possibility.
language. specialist. International
students. Word Help Yourself Resources
of mouth. available for all students.
Orientation
week. W: Restricted time for
consultations.
Griffith For all students in A recommended Drop in Free. Through Direct S: This service creates a

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Writing need of assistance student support sessions with Griffith marketing deeper student to student
Mentors with academic service used by high- University through the communication, in
writing, Griffith University achieving website. During Griffith versus to traditional
referencing and Students. students. lecture/ tutorial. University student and professional
structuring Word of mouth. webpage. communication.
assignments.
W: Lack of
professionalism.

Might get crowded


during deadline weeks
and students might get
disadvantaged of this as
there is no booking
requirement.

Source: Griffith 2019; EDUCBA 2019.

5
Consumer Analysis

The consumer analysis was conducted through the survey created by Mentor 1+ and the
following section analyses the consumer behaviour by psychographics in relation to the
survey:

Who are the consumers?


 International students studying under the Griffith Business School and enrolled in
undergraduate or postgraduate program.
 Enrolled in Nathan or Gold Coast campus.
 Age 17+

What service do they undertake?


 One on one mentoring program to assist in achieving overall academic success.
 A once a week 2 hour one to one consultation service and/or additional online
consultation possibility through WhatsApp.

When do they undertake the service?


 In the beginning of the students first trimester.

Where do they participate in the service?


 At the University campus (Either Nathan or Gold Coast). Location to be confirmed
between the mentor and student (Could be a café, social area or tutorial room).
 Through Skype, WhatsApp or other channels that the parties choose to utilise.

How do they participate?


 Through Griffith University website.
 Face to face consultation.
 Online consultation through channels.

Why do they undertake the service?


 International students who desire to improve their academic skills and learn skills to
improve academic performance.

1
Collaborator Analysis

Mentor 1+ is currently in partnership with the Griffith University in Queensland, Australia.


The partnership was created in 2019 with purpose of strengthening each party’s reputation
and awareness. The rising numbers of internationals students in Australia has motivated
Griffith University to strengthen their global reputation and quality of teaching. Hence why,
Griffith University sought to partner with Mentor 1+.

The Griffith University is ranked in the top 2% globally (Griffith University 2019) and scores
a ranking of 329th top university globally according to Collier (2019), and University
Rankings (2019). Although, the University has a tremendous reputation, it remains dependent
on international students to make up a large number of the student population. Mentor 1+
provides a high-quality service and could support the international student flow to Griffith
University. In addition, Mentor 1+ needs the University to financially support the start-up
business and to expand its customer base. This being so, both parties benefit from other and
can achieve a mutually beneficial outcome.

SWOT Analysis

A SWOT analysis was conducted to outline the internal and external components influencing
Mentor 1+ operations in the higher education market.

Strengths:
 Creating a high trust student-mentor relationship to enhance a more personal
experience for the student undertaking the service.
 The service can be provided flexibly through face to face and/or online whenever
needed between business hours (8am-5pm).
 A wide staffing resource base with comprehensive mentoring skills and experience.

Weaknesses
 Mentor 1+ has not created a strong reputation at Griffith University due to being a
start-up business, launching in 2020.

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 Heavy dependence on Griffith University which could disadvantage Mentor 1+
operations (not investing in resources, and any cutbacks affecting student support
services).

Opportunities
 The growing number of international students in Australia as seen in figure 1 and 2,
combined with the National Education Strategy 2025. Enhancing the higher education
sector of Australia (National Strategy for International Education 2025; Ferguson &
Sherrell 2019; Department of Education 2019).

Threats
 The strong competitors competing in the market. International students might prefer
the already established student services with stronger reputation (Griffith University
2019).

 The political instabilities between Australia and China. As Chinese students are one
of the largest student bases in Australia (Babones 2019)

Marketing Initiative and Goals


Mentor 1+ offers one on one mentoring service for undergraduate and postgraduate
international students, who finds academic skills challenging during their first trimester at the
Griffith University. The service is provided for Griffith Business School students studying at
Nathan or Gold Coast campuses. In addition to academic assistance, the service aims to
create a closer relationship between the mentor and the student, enhancing communication
and overall success of academic progression. The conducted survey represented data of
international students and what they found challenging while transitioning to a foreign
academic environment. Therefore, Mentor 1+ desire to develop a service that would
encapsulate the international students need aligned with the academic requirements of
Griffith University. The mentoring service would include the following:

 Weekly 2-hour face to face consultation times with additional online consultation if
needed.

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 One on one sessions with a designated mentor for each student. The mentors are
former university students with exceptional experience in the business field combined
with strong academic background.
 Flexible location choice for the face to face sessions - focusing on creating a casual
environment for the student (E.g. cafés, restaurants, tutorial rooms or a shared study
area in the Libraries).
 Assistance for academic writing, assignment structuring, exam preparation and tips.
 Guidance on how to use the Griffith University student tools (e.g. reference guide).

The primary value of Mentor 1+ service aims to improve international students’ academic
excellence. Students would build strong interpersonal communication skills, improve
academic performance, enhance confidence on assignments and exams, and improve studying
strategies. Students who choose Mentor 1+ would benefit of having one designated mentor
who possess exceptional experience and passion for mentoring, which improves the greater
learning experience of the student.

As mentioned before, Mentor 1+ collaborates with Griffith University but is also funded by
the University. The cost of the service indicates as approximately $18,000 AUD per annum
for all three trimesters, meaning each trimester would cost $6000 AUD for Griffith
University. Which is a feasible cost considering how the service could lead to an increase in
international student application.

On the basis of the research and findings. Mentor 1+ has develop the following SMART goal
to be reached by trimester 1 of 2021:

 For 100 Griffith international students to achieve a GPA of 5 and above within the
next 12 months at Nathan and Gold Coast campus.

4
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