...Development Plan for Blanc de Chine To: Lisa Liu, Vice CEO, Blanc de Chine Prepared by: Xiaoxi Zeng Submitted: 9 December 2014 Subject: Recommended strategy to for Blanc de Chine to enhance competitiveness Executive Summary: Luxury brand is regarded as the highest level of prestigious brand. Researchers underscore its intangible value and psychological value, for example: conspicuous value, society value, quality value and uniqueness value. Fashion always associates and integrates the past and the future. Blanc de Chine devoted itself into translating the past Chinese cultural value into modern fashion. Making a comparison among famous luxury brands, we can conclude that even though those companies use different adverting methods, they all try to broadcast their brand culture and concept. Their advertising objectives is in consistent with the researchers’ study. Therefore, the company can make a good use of its Chinese culture background to gain loyal customers. This paper provides with three detailed recommendations: a, culture exploring; b, establishing culture display platform; c, event advertising. Blanc de Chine should make full use of their products’ cultural value and advertise their concept by appropriate methods to gain loyal customer and enhance competitiveness. Table of Contents: I. Introduction and Background.........................................
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...Pioneer or Dreamer? -- Analysis of the “Shanghai Tang: The First Global Chinese Luxury Brand?” case 1. Introduction According to the case “Shanghai Tang: The First Global Chinese Luxury Brand?”, Shanghai Tang was struggling for more than 18 years to be the first global Chinese luxury brand, but unfortunately, until today, Mr. David Tang, the founder of this brand, still has to face a lot of problems: international brand awareness, costumer approval, operation & marketing strategies, relentless competitions, intercultural communication and multicultural integration, etc. It may be on the right track, maybe not. Is Mr. David Tang a pioneer? Or is he just a dreamer? In this analysis report, I will separate all these arguments into four parts: the company’s activities and current development; comparison of competitors’ strategies and tactics; intercultural issues and costumer behaviour in the luxury industry, especially Chinese market; recommendations and alternative solutions for Shanghai Tang’s future strategies. In this report, I will focus on the two most important factors: “inter Culture” and “luxury”, which will impact on the future strategies of Shanghai Tang, and I will defend my standpoints by analyzing the environment of luxury industry and cultural context in China. 2. Shanghai Tang’s current development and business situation Since 1995, the Swiss luxury company Financiere Richem SA (Richemont) became the main shareholder of Shanghai Tang, Tang’s company...
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...Coffee market in china Insert name Institution affiliation Abstract This research paper aims to explore coffee market in China. It will focus on finding the quantitative analysis, consumption patterns, and development of the market relations to that of average income. It will utilize data of both urban and rural areas because of the distinct consumption patterns, show the development analysis and potential markets through supply constrain approach and regression analysis. Coffee in china is more of a habit. People drink it to feel good and not out of necessity. Coffee culture in China appeals to the adventurous, young, affluent, urban consumers in cities like Guangzhou, Beijing, and Shanghai. The paper will look at the consumption patterns and its demand that looks more of a successful lifestyle and culture of the western people. Out from the traditional tea- drinking country, China seems to become one of the largest coffee consumption countries in future (Bantiwalu & Demisse, 2010). Keywords: Coffee market, Quantitative analysis, Coffee consumption patterns, Average income, Regression analysis, Chinese potential market for coffee Introduction Coffee has enormous economic, social, and environmental importance in China. Most especially the Ethiopian coffee grows demand to the Chinese potential markets. Ethiopia continues to produce quality coffee reaching to international markets, like China. People around the world, drink up to a total of 7.4 billion cups of...
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...OROTON International Marketing Report Student: Erin Burgess Student: Kellie Burmeister Student: Mark Bell Lecturer: Suzanna Mahinder Due date: 25th August 2013 OROTON page 2 TABLE OF CONTENTS INTRODUCTION ................................................................................................. 3 THE OROTON BRAND ....................................................................................... 3 OROTON PRODUCTS........................................................................................ 3 THE CHINESE MARKET .................................................................................... 4 OBJECTIVES ...................................................................................................... 4 TARGET MARKET .............................................................................................. 5 MARKET RESEARCH ......................................................................................... 5 ENTRY STRATEGY ............................................................................................ 6 PRICE STRATEGY ............................................................................................. 7 PRODUCT STRATEGY....................................................................................... 8 PROMOTION STRATEGY .................................................................................. 8 DISTRIBUTION STRATEGY ................................................................................
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...Comparative Case Study of Emerging Luxury Markets in China and Finland Visiting adress: Bryggaregatan 17 Postal adress: 501 90 Borås Website: www.textilhogskolan.se Title: Luxury Consumer Behaviour -A Comparative Case Study of Emerging Luxury Markets in China and Finland. Publication year: 2012 Authors: Lukkarinen, Suvi and Wei, Xing Supervisor: Anita Radon Abstract The study on luxury consumers is always connected to their drives behind consumption. Why people buy luxury products is an interesting question. This thesis investigates influencing forces behind luxury consumer behavior, in a comparative case study on Chinese and Finnish consumers. Luxury consumption is not a new phenomenon, but in some countries, like China and Finland, the luxury market is still growing since many brands are newly entering these markets. At the same time, new generations have become luxury consumers so these markets are quickly changing. Researches have been made on luxury consumer behaviour in China and Finland. However, there is a lack of updated information available about this subject, especially about Finnish luxury consumers. Furthermore, the driving forces behind the luxury consumption are not the same in different countries. In a competitive industry like luxury fashion, the marketing tactics have to be adapted to specific market conditions in order to succeed. The purpose of this thesis is to gain updated information about Chinese and Finnish luxury consumers and investigate forces behind...
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...external analysis of China 2.1 A brief introduction of Chinese market 2.1.1 The total market .China is one of the largest consumer markets in the world. At the end of 2013, China has a GDP of $9.24 trillion , increase7.7% over the end of 2012. During the first decade of the new millennium, China’s textile and clothing industry has been undergoing dramatic changes, and so has the market. With a population of 1.3 billion and rapid economic growth, China is now the biggest producer and exporter of textiles and clothing, also, it is a potential buyer and importer, backed by a fast-growing market. With the reform and opening-up, and the relaxing police of entry regulations into China’s domestic market, Chinese consumers today are provided with diversity choices and are exposed to fashionable value-added imports. 2.1.2 Key players in China’s clothing market . Overall1, the high-end domestic clothing market in China is dominated by brands from European and American, such as Giorgio Armani, CK, Chanel, and Dior. The middle and low end of the market are be controlled by a mixture of foreign and domestic brands, most of which are manufactured in China. Such as Nike, Adidas, Tommy Hilfiger, Zara and H&M. China’s clothing industry has a great competitive advantage in terms of labor cost, lead-time, the variety of products, and political stability from a Chinese perspective. Many multinational retailers, international fashion brands, and overseas trading...
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...To: Reader From: Nicole Ki Date: June 26, 2014 Re: International Business- Assignment 4 Questions 1. Discuss the implications of globalization on the food industry in China. 2. What makes China so attractive to U.S. food companies? Discuss why it is important to gain 3. Reflect on the standardization versus adaptation debate as it relates to marketing fast food and processed food in China. Using the ‘4Ps’ of marketing, discuss how companies should approach the market. Which elements in the marketing mix can be standardized? Which elements must be adapted to suit local preferences? See http://www.mindtools.com/pages/article/newSTR_94.htm 4. How is Western culture influencing China’s culture? Discuss how companies like Frito Lay and McDonald’s are contributing to this change. What are the implications of this trend? Answers 1. There are four different implications of globalization in the food industry in China. The first implication would be the slow demise of a common understanding of an American way of eating. To be certain, families and other institutions will always have their own food traditions and preferences, and certain food items (e.g., hot dogs or hamburgers) may continue to enjoy long-standing popularity within our culture. But the idea that there will be a "commonly understood" cuisine served at critical ritual occasions such as weddings, parties or summer picnics is quickly becoming a thing of the past. One need merely consider the diversity...
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...Krishna Burberry: Burberry moved manufacturing work overseas to China (offshoring). This involved the closure of their factory in Rhondda, causing 300 jobs to be lost in Rhondda. Consequently staff were crying when given the news and protests were held, causing the reputation and brand image to worsen in the short-term of Burberry as a result of making such an unethical move. This was a large concern as Burberry provided well-paid, quality employment, so the 300 job cuts in Rhondda meant a sad loss to the development of the economic infrastructure of Rhondda. Also in the short-term Burberry had to suffer larger cash outflows due to the redundancy payments. However the lower labour costs in China, although rising, allowed profits to rise. Also Burberry saw a 19% sales revenue rise, due to the rising customer disposable incomes in China, and as a result profits rose. Therefore in the short-term the move to China was not good as it meant large cash outflows due to the redundancy payments, and the job cuts in the UK made Burberry receive an unethical, negative brand image and reputation, reducing sales and profits. Although in the long-term Burberry is likely to benefit from greater sales and so more profits, particularly due to lower labour costs, but this depends on the rate at which labour costs are rising in China relative to that of the UK, and how high the shipping costs are of the goods from China to the UK. Dyson: Dyson's very innovative bladeless fan was the result...
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...Caroll II) The company’s mix marketing: a) The product b) The place c) The price d) The promotion III) Chinese market audit - PESTEL analysis: 1) The political environment 2) The conomical environment 3) The social environment a) Chinese cultural specificities b) The chinese purchasing attitude 4) The legal environment IV) The SWOT matrix a) Strengths b) Opportunities c) Threats d) Weaknesses V) PORTER’s five Forces matrix: a) Threat of new entrants b) Power of supplier c) Power of buyer d) Treat of substitute e) Industry rivalry VI) The Boston Box VII) The Ansoff matrix: Conclusion: References Introduction: In order to build a marketing plan properly we need to introduce the subject which is the expansion of Caroll in the Chinese middle class market. First it’s important to get to know the market we want to enter; PESTEL analysis will give us an overview of the particularities and difficulties of the Chinese environment we will have to overcome. We will then highlight the strengths and weaknesses of the company and point out the opportunities and threats we’re to meet. To do so we will use different tools matrixes -The Boston box, Ansoff matrix - and analysis schemes such as the marketing mix 4 P’s, SWOT and Porter 5 forces. These elements will help us to define properly the marketing strategy that matches with the Chinese expectations and our abilities. We are beginning our essay with the presentation of the company and the most...
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...China wine market 1.1.2 Asia wine market SWOT Analysis Strengths—Huge background, High-quality products, K/A (Key Account)Customer communication system, Mystery of France. Weaknesses--The confusion wine market, how to make our brand become a well-known brands, how to open the sale channel Opportunities--Huge market demand, purchasing power &private consumption growth, Traditional viniculture present, the right distribution partners, the good advertising partners Threats--Aggressive producers, Domestic product, Consumer acceptance 1.2 China wine market general introduction As we all know, Asia market now is a new develop market, it is still confusion (the wine law, the regulation).So, we choice the focus market in Asia--China to enter, this will reduce the trouble of our market development. We should be aware that the Asian market, 95% wine consumption is face to the civilian population, only 5% high-end products sells to truly rich wine collector. Of course, with the further development of Asian economies, which 5% people will continue to expand. For the past few years, the maximum annual production of Chinese wine was about 30 million tons; it was less than 2% of beer output and 6% of Chinese liquor production, also it was only 1% of the world wine production, and the consumption per head was equivalent to France, Italy, Spain and other developed countries by 0.5%. China’s demand for wine will be reaching 600,000 tons by 2010, thus, the wine industry in China...
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...opportunities. In order to achieve a successful outcome in the foreign countries, it is undeniable that localization is a significant contributing factor. Localization is defined as “a process of adapting products and associated materials for specific markets… ” (Dunne, 2006, p.223). It requires the corporations greatly tailor to a new or growing local contexts to run and compete feasibly and effectively (Layden, 1997). The economy of East Asia especially in China, has grown vigorously and attract a massive amount of global corporations, such as Starbucks to invest by adapt their localization strategy. The diversity of regional culture such as lifestyle, value, religions are complicated, the essay will refer to Starbucks stores and their successful localized marketing campaigns illustrating examples within China. Localization plays an essential role to help business gain access to the local market, catering customer’s tastes, adapting local culture in order to boost profitability, improve brand identity, retention, prestige and brand loyalty, as well as better customer service. These localization strategies result in successful prospects for the global corporations. Firstly, localization mainly helps the business to increase in profitability through customizing the corporation’s products and services so that appeal to the local tastes. The higher the local demands matches, the higher value of customized products. It is commonplace that the preference is distinct from country to...
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...Volvo by Chinese Geely Author: Lieke Wang Supervisor: Thomas Danborg Master's Thesis in Business Administration, MBA programme February 2011 Abstract The acquisition of the famous Swedish Volvo by the unknown Chinese Geely has attracted a lot of attention in the world-wide medias, particularly in Sweden and China. It is the largest overseas acquisition ever by a Chinese company, which marks a beginning of a new era that the fastest growing China has become a superpower in the world economy. Because this acquisition is such a complex business where two involved companies are so much different, it is of high interest to make a case study of this in the business research area. The thesis begins the study by looking at the basic facts of these two companies: the products, market, finance situation, brand and technology, etc. It was found that these two companies have very little in similarity, but a huge difference in product segment, technology and brand, inter-culture, language, etc. Therefore, there is no immediate cost saving through the integration of two companies and the sharing of the common components, which indicates that the risk of failure of this acquisition is relatively big. However, there do exist some opportunities lying ahead. The most obvious opportunity is the possible rapid expansion in the growing Chinese market as Volvo’s second home market. To be successful in China, Volvo must address several issues: quickly establish its local production in China, develop...
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...Approach to China The Factors Behind Their Success Westernized fast food chains are steadily growing in foreign countries. Kentucky Fried Chicken is one of the leading U.S. fast food chains currently in China. There are several factors that have contributed to KFC’s rapid expansion and success in China. The story of KFC in China is one of great success on an economic level, as well as a great example of international business. There are many factors behind KFC’s success in China which include, five competitive advantages: infusing a Western brand with Chinese characteristics, expanding rapidly, developing a logistics network, training employees in service, and focusing on ownership rather than franchising. KFC is part of the Yum! Brand, which also owns Pizza Hut and Taco Bell. KFC China’s success in the international market has all been due to its five competitive advantages. The first of these advantages is infusing a Western brand with Chinese characteristics. KFC China makes sure that even though it is a US chain and restaurant it has worked hard to assimilate into the Chinese culture. They have done this by offering a variety of menu choices that cater to the local cuisine. They have also expanded their kitchens and their workforce to be able to produce and accommodate for the additional menu options. Extended families are a big part of Chinese culture; KFC China has acknowledged this by increasing the square footage of their establishments in China. Another advantage...
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...INDIVIDUAL ASSIGNMENT Topic: Analyze a culture-specific case study in which a coffee brand (of your choice) in the US, Europe, or Asia has been successfully built. Coffee is big business. The world’s love for coffee has formed some of the most popular globe’s food and drink businesses . Starbucks is one of the most famous chain of coffee shops in the world, mainly making bussiness in selling special coffee beans and other various kinds of coffee or tea beverage. Through out several decades of development, Starbucks is now a global Starbucks logo brand and presents in 64 countries and territories, as of March 2015. Among those regions, Asia is one of the biggest markets that Starbucks has built up its coffee brand sucessfully. (Source: http://Wikipedia.com/Starbucks) One of the big questions is what are the factors that makes Starbucks become an successful global coffee leader. Well, there are a lot of factors. However, in my point of view, the most important thing that makes them to be successful is they are able to adapt and localize if it’s required. According to Hofstede’s national culture theory, Starbucks perfectly suits the cultural characteristics of the host country’s customer. The following paragraphs shall analyze how Starbucks succeeds in Asia, especially aiming to specific countries in that region. Firstly, China is one of two biggest countries having a massive polulation about 1.4 billion in Asia that has Hofstede’s cultural dimension...
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...China and Localization: Top 3 Considerations for Global Brands Gavin Grimes is Senior Director, China, at Welocalize. He is based at Welocalize’s offices in Beijing. Having lived and worked in China for five years, he shares some insights on what global brands must consider when conducting business with China. The population of China is over 1.35 billion. Since September 2013, it is officially and comfortably the largest country in the world (worldpopulationreview.com) and it has the largest share of the total online population. Around one-fifth of the world’s population, over 1 billion speakers, report some form of Chinese as their first language. In a report by independent research firm, Common Sense Advisory, “Business Globalization in 2020”, December 2007, it states that, in terms of biggest countries by GDP, “economists predict that by 2020, China will have moved up to second place behind the US.” Global brands and companies looking to tap into this giant economy have to take their translation and localization strategy seriously. We have all seen and heard funny stories about how brands have got the messaging wrong when advertising and marketing to China. YouTube is full of bad translation examples. Brand preservation is key for global companies, so localizing your brand is no laughing matter if you’re serious about expanding your reach into China. Global brands must consider the following when developing their localization strategy to tap into the Chinese market: China’s...
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