| SKAGEN DESIGN | ASSIGMENT 4 | | Marian Nieto y Patricia Preysler | 20/03/2015 |

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1. What screening criteria should skagen designs use in a connection with its choice of new markets for its watch collection?
Market screening is the process of discovering relevant information abiut a tradable asset in order to determine a fair price for the asset. Primarily is used to avoid creating an adverse transaction. Its a way of creating shortlists of opportunity list. Market screening its also a way of minimizing the size of the large data collection. Screening is divided in 6 steps.
The first step is market size. In this step screening looks at the demography which concerns the market. Also tries to find out if the country is an emergent market or a developed market and finally selects potential suitable countries.
The next step is the economic and financial forces. First of all discovers the purchasing power of the country. Afterwards, research the domestic consumption of watches in the country and finally in how much the currencies differ between each other.
The third step is political risks and legal forces. Regulations such as quotas or agreements are identified. Political environment and the difficulty to establish subsidiaries are the other aspects searched in this step.
Sociocultural forces such as cultural differences, languages or religion, and social differences like lifestyle and norms are discovered in the forth step.
Competitive forces are find out in the fifth step. Amount of companies selling watches in the country, what type the consumer will pay, what type of promotion and how to communicate are the forces that are related with competitive forces.
Finally rhe last step is the research in the local market. This step discovers the trends the local market has; The home visits, surveys and deep local and reliable research.
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