...Content Background of the organisation-Strengths | P.3 | Background of the organisation-Weaknesses | P.4 | International marketing experience and need to explore new markets | P.5 | ‘Rough’ Market Screening-Accessibility | P.6 | ‘Rough’ Market Screening- Profitability | P.7 | ‘Rough’ Market Screening- Market Size | P.8 | ‘Fine’ Market Screening-Analysis of markets and consumers | P.9 | ‘Fine’ Market Screening-Analysis of Competition | P.10 | Opportunity analysis of the country-market | P.11 | Reference | P.12 | Background of the organisation Strengths Taipan Bread & Cakes is a Hong Kong sale of Bread and Bakery chain, founded in 1984, currently has 30 outlets in Hong Kong, which is the well-known producer of snowy moon cake. It is the strength to be the first founder of snowy moon cake, in general, snowy moon cake is equal to Taipan while people having their snowy moon cake, they must think of Taipan. Hence, the other companies also imitate the manufacturing as they see the success of snowy moon cake. Taipan is strict with the production process, it invested over $ 20 million in snowy moon cake production line, starting with the raw material suppliers to the plant, the production process requires absolute hygiene at all times to maintain a sterile state. The snowy moon cake is only sold in Taipan store without any middlemen, it helped Taipan to control their level of service strictly and which is the effective management of product sales. In addition...
Words: 1841 - Pages: 8
...has invested heavily in its cross-docking inventory system. Cross docking has enabled Walmart to achieve economies of scale which reduce its costs of sales. With this system, goods are continuously delivered to stores within 48 hours and often without having to stock them. This allows Walmart to refill the shelves 4 times faster than its competitors. Walmart controls its buying power through purchasing in bulks and distributing the goods on time. Walmart guarantees everyday low prices and considers them the one stop shop. Walmart operates in Mexico as Walmex, in the UK as ASDA abbreviation of Asquith and Dairies, and in Japan as Seiyu. It has wholly owned operations in Argentina, Brazil, Canada, and Puertorico. Walmart's investments outside North America have had mixed results: its operations in South America and China are highly successful, while it was forced to pull out of Germany and South Korea when ventures there were unsuccessful. Consumers can also shop Walmart through their...
Words: 5332 - Pages: 22
...was only 14 years old. In only a short period of 26 years he made his brand spread in 100 countries with 1.700 storesAnd approximately 2 million euros of profits. Nearly all his dreams came true about his career. 1 (http://kariyer.ieu.edu.tr/?page_id=617) They opened their first shop in the PasseiG de Gracia in Barcelona, and a year later than that the company had five outlets in Barcelona and from this point on with opening of a shop in Valencia it began its expansion in the domestic market. By the year of 1998 the company had 13 sales outlets in Spain. In the year 1992 they took the companies first steps outside the domestic market with the inauguration of two stores in Portugal.The following year they opened their 100th store in Spain and two years later the business management system based on specialized and coordination team were successfully introduced and is still in place today they can differenciate between two stages in their organizations : First rom 1984 to 1995 They have gaind a greater knowledge of the business and consolidated the product and store concepts, they have implemented the “Just In Time Philosophy in the distribution area” obtaining a certain critical mass on the Spanish Market. In the second stage from 1996 to the present they have inforced the values of the team and increased their investment in a new concept of complete logistics based on speed,information & technology and during this stage they have opened bigger stored and increased the rate of...
Words: 1965 - Pages: 8
...Natura: Global Beauty Made in Brazil I. Situation Analysis The beauty market has experienced exponential growth rates and is an important sector in many countries—particularly Brazil – a country known for its cultural importance of self-image. Amidst a highly competitive beauty industry with a number of major global players, one local gem stands out from the crowd – Natura. Founded in 1969, the company is the industry leader in cosmetics, fragrances and personal care market in Brazil. Natura developed it products using environmentally sustainable practices and employed a direct sales business model, which has overtaken Avon, the giant U.S. company. Natura provides a wide range of products with solutions for consumers’ various needs including face care, body care, hair care, make-up, fragrances, oral hygiene and product lines for children. The company was tremendously successful in Brazil despite the tough economy. Natura began its international expansion in 1982 around the neighborhood countries, starting with Chile followed by Argentina, Peru and recently Mexico in 2003. However it was in 2005 that Natura took a major step in its internationalization by opening a shop in Paris, the world capital of beauty and cosmetics. The analysis below examines and evaluates a strategic decision for future international expansion for Natura – whether it is to stay within Latin America and Europe, enter the attractive US market or expand to fast-growing Russia? And as part of the growth strategy...
Words: 1157 - Pages: 5
...the 73rd in the list of the world’s 100 top brand by Interbrand. As mentioned previously, key success factors for Zara are: short turnaround time for concepts to reach the market, smaller quantities per style and many more styles during the year. Further, the elements supporting the successful factors are: extensive research providing constant inputs into the product development process, locating business functions close to headquarters for tight control and finally Zara’s advanced communication and technology. This model was carried out to 59 countries with 852 stores, where the international sales accounted for 69% of total turnover. In the initial stages, Zara followed the ethnocentric strategy where Zara measured other cultures against their own and sought what was most ideal. By encountering difficulties in some countries due to cultural differences, Zara quickly adapted and changed its strategy to geocentric strategy. Further, similar to the domestic market, all Zara’s shops were set up in prime locations, and standardized key strategic elements such as window display, interior design, layout, customer service and logistics. The internalization process of Zara focuses on the three factors: motives, market selection and entry options. The pull factors Spain’s entry into the European Union in 1986 gave the opportunity for Zara to expand internationally via potential economies of scale. On the other hand, the maturity of the market and with increased time spent on traveling...
Words: 492 - Pages: 2
...A Comparative Study of Walmart Operations in Canada & Mexico Table of Contents 1. Executive Summary…………………………...………………………………...…...2 2. Introduction………………………………………………………………………….3 3. Walmart and the Canadian Marketplace……………………………..…………3 A. Country Competitiveness B. Cultural Environment C. Political and Legal Environment D. Entry Strategies 4. Walmart and the Mexican Marketplace……………………………..………….10 A. Country Competitiveness B. Cultural Environment C. Political and Legal Environment D. Entry Strategies 5. Summary Comparison of Canadian and Mexican Markets…………………….18 6. Recommendation…………………………………………………………………….19 7. References…………………………………………………………………………...21 1. Executive Summary This report closely examines the operations of the world's largest retailer, Walmart, in Canada and Mexico. Assessments of market conditions in both countries have been conducted in terms of country competitiveness, cultural, political and legal environments and the strategies used by Walmart upon entry. Tying into these international business factors, specific aspects of international economic integration, monetary systems, social responsibility and corruption have also been reviewed. While being part of one continent and a common trade bloc (NAFTA, the North American Free Trade Agreement), considerable differences between Canada and Mexico are apparent. These differences are individually analyzed on the following pages. Inevitably, they...
Words: 6771 - Pages: 28
...order to proposer in today’s markets. One of these being the Cost Leadership Strategy, an integrated set of actions taken to produce goods or services with features that are acceptable to customers at the lowest cost, in comparison to their competitors. Firms that chose to use this strategy must sell standardized goods and services which have to also include competitive levels of differentiation to the market’s regular customers. Cost leaders have to examine all support activities to find extra resources in order to cut production costs allowing them to maintain low costs for their customers. In any industry fixed and variable costs can cause companies to go out of business. Cost Leadership Strategy can put a strain on companies because they have to keep developing new technology that can support low cost goods and services (with differentiation) as well as low production costs to satisfy the needs of customers in the market place. Using this strategy effectively can earn firms above-average returns in spite of rivals in the industry. Having the low-cost position in an industry is valuable way to deal with competitors. The cost leader’s strategic position causes competitors to think twice before they compete on the basics of price and technology against the potential outcomes of such competition (Hitt). Walmart is known for its ability to continuously reduce its costs, creating value for their customers. Walmart’s ability to stay on top makes competitors like Target...
Words: 5753 - Pages: 24
...learning and innovation in international markets…………………………………………………………………….3 2.1 Literature review of a well managed organization with culture of learning and innovation in international markets………………………………..……………………………3 2.2 Examining Wal-Mart’s characteristics to the extent of learning culture and innovation …………………………………………………………………………………………………….4 3. Critical review internationalization theories and the case of Wal-Mart from 1994 onwards……………………………………………………………………………………………………….7 3.1 Theories of internationalization…………………..……………………….……………………...7 3.2 Wal-Mart’s internationalization strategies from 1994 onwards……………..……9 4. Wal-Mart entry Brazilian and Japanese market……………………………………………….10 4.1 Considerable issues of the company………………………………………………………… 11 4.2 Opportunity in those markets……………………………………………………………………13 5. Wal-Mart’s entry modes in international markets - Examining with Brazilian and Japanese markets…………………………………….…………………………………………… ….13 5.1 Mode of entry to Brazil ………………….…..……………………………………………………..13 5.2 Mode of entry to Japan……………………………………………………………………………….14 6. Summary……………………………………………………………………………………………………………15 7. References………………………………………………………………………………………………………….15 8. Appendices…………………………………………………………………………………………………………16 1. 12C framework with Brazilian and Japanese markets………………………………………16 2. Factor effecting the foreign market entry mode decision…………………………………19 ...
Words: 5462 - Pages: 22
...manufacturing firms in the world, and caters to professional cyclists, primarily in the mountain bike/extreme sport sub-category. Despite its reputation as a leader in competitive cycling, FreeRiders receives the majority of its revenue through high-end mountain bike sales. Each FreeRiders bicycle is hand-made in the US in FreeRiders’ machine shop in Everett, Massachusetts, consistent with the FreeRiders mission to “produce high-quality custom, one of a kind bicycles in the USA… designed and manufactured by and for the professional road and extreme sport rider.” As a small company with fewer than twenty full-time employees and a host of freelance and part-time help, FreeRiders, Inc. is faced with strong competition in the category from larger bike manufacturers who, in recent years, have increased their advertising and PR budgets by an estimated seventy-five percent, and offset their costs by pushing production overseas. Economic pressures due to inflated production costs and competitors’ increased market share have lead FreeRiders to re-assess its goals for the future. This new strategic plan will unfold in several phases and include a 9-month-to-market new product line extension, a five year plan to increase revenue to between two and five million, and a long term plan to ensure the company’s viability ten years and beyond. II. ENVIRONMENTAL ANALYSIS FreeRiders, Inc is a small, independently owned company founded in 1999. Of the fifteen full-time employees at the company’s...
Words: 4390 - Pages: 18
...YUM! BRANDS, PIZZA HUT, AND KFC Teaching Note Overview This case describes the evolution of the global fast-food industry and Yum! Brands, Inc.’s development of the Pizza Hut and KFC franchises worldwide. It focuses on international business risk assessment and develops a model of country evaluation that students can use to analyze international business and market entry decisions in a variety of industries, regions, and countries. Teaching Objectives 1. Develop skills in industry analysis 2. Develop skills in global industry analysis. 3. Develop knowledge of franchising and the costs and benefits of expanding globally using franchises versus company-owned stores. 4. Develop skills in international business risk analysis. 5. Develop skills in country portfolio evaluation and assessment. Suggestions for Using the Case This case has been used successfully in undergraduate, MBA, and Executive MBA classes in strategic management, marketing management, and international business. It can be used in undergraduate courses to develop student skills in industry structure analysis, strategy analysis, and international business risk assessment. The teaching note is designed to give students practice in each of these three areas. Instructors may choose to use the case to discuss only one of these three areas during a single class period or to cover all three areas over two class periods. The case can be also...
Words: 6023 - Pages: 25
...Abstract Lytle Corporation Inc. is developing new strategies to expand market penetration and grow annual revenues. This document details some of the strategies which, when implemented, can be structured upon the current business model. The new e-business model will help the company expand its product differentiation strategy and also enable the company to create value added-dependency for both current and new customers. The e-business model also can be used to improve the company’s product branding across the globe and can be used as a steppingstone moving aggressively into new emerging markets as well as maintain and increase the current market share in North America. Introduction Lytle Corporation is a US based publically traded Discrete Manufacturer. Lytle manufactures wheels and wheel-end components for the Commercial Vehicle Industry. Their product line includes; but, is not limited to: Aluminum and Steel Wheels, Brake Drums, Hubs, Rotors, and Slack Adjusters. Most of the products are used in heavy-duty Class 5 to Class 8 Trucks, specifically agricultural, specialty, and military trucks. The company operates in the North American (USA, Canada, and Mexico) market with limited sales outside of the Continent. Fifty-five percent of existing Lytle sales comes from the top four (4) trucks Original Equipment Manufacturers (OEM). The remaining sales come from OES (Original Equipment Services), Parts Distribution Centers (PDC), Warehouse Dealers (WD), buying groups,...
Words: 3311 - Pages: 14
...retailers centers on pricing, store location, variations in store format and merchandise mix, store size, shopping atmosphere, and image with shoppers. Further analysis provided by the following figure diagnoses the competitive environment of the retail industry. As a fact, Wal-Mart is considered as the world’s largest retailer nationwide that has been guided by its founder Sam Walton’s passion toward customer satisfaction, and his beliefs in excellence, as well as his philosophy in lowering his prices that has been proven with his famous slogan “everyday low prices.”1Visible outstanding success has required a lot of effort, strategies, dedication, and wide consideration. Such as Wal-Mart, victory is an echo that needs a lot of challenge to market real as Sam Walton did. Since 1962 which was the year of the first Wal-Mart retail store birth till nowadays, Wal-Mart has built up their achievement tremendously to reach the highest fiscal year ending over its rivals. In 2005 only, Wal-Mart fiscal year ending has evaluated with $285.2...
Words: 3334 - Pages: 14
...Fathom T Global Market Analysis Fathom World Communicator: Phone and Language Translating System MNS Technologies International Business Instructor: Dr. David Strong Spring 2012 – FTB Abstract The purpose of this paper is to summarize the steps of the marketing process involved in the launching of a brand new product in a particular part of the globe. We are focusing in brining a brand new product: the Fathom World Communicator into the market in Mexico City. We will be able to satisfy the customer’s needs and wants by applying our marketing plan and background research that we gathered about the area. After meticulously researching the market we were able to identify a target area that we believe will be successful. The introduction of the Fathom World Communicator breaks price and language barriers between local and foreign competitors. Our company wisely took advantage of joint efforts with local and established endeavors to be able to utilize local workforce and resources, making the launching of the Fathom World Communicator a success. Introduction the Fathom World Communicator: All-in-One Phone and Translator 2012 Mexico City, Mexico With projected 3.5% economic growth for 2012 and three times the size of Texas, Mexico has a current population of 113 million, with 50% under the age of 27. Mexico City’s population of 19.5 million, Mexico has outstanding potential and attracts impressive levels...
Words: 3599 - Pages: 15
...expanding and trying to create new ways to make their company and the lives of their customers better. Amazon’s biggest competition as an e-marketplace is eBay. Amazon currently leads this market by having a more organized, effective, professional, and easy to use website. Furthermore, Amazon’s brand personality is that they are a fast, friendly, innovative company that can be trusted. All of these traits make Amazon the website where most customers choose to do their shopping. Also, Amazon makes their customers their top priority and successfully appeals to their values, knowledge, and interests. Amazon’s two loyalty programs of Amazon Prime and Amazon Visa Rewards Card provide many benefits to their members and make shopping on their website quick and easy. Overall, Amazon has developed into one of the most important and successful companies in the world today. Background image of page 4 Porter’s Five Forces analysis In order to get a broader picture of the competitive structure of Amazon.com e-business the author use Porter’s five forces model. According to Porter awareness of these five factors allow a company to gain a position which is more profitable and less vulnerable to attack. Threat of New Entrants. Most of the industries in which Amazon operates possess low barriers to entry. Except for modest capital requirements, there are no specific skills or permits required...
Words: 3964 - Pages: 16
...Although Walmart must contend with several formidable competitors, the retailer has successfully opened thousands of stores across the globe; most frequently, it has added international units through the acquisition of foreign retailers, which simultaneously reduces its competition and furthers its dominance. Walmart has differentiated itself by coupling its understanding of political, economic, legal, and cultural systems within target markets with its low-cost, high-quality approach to mass retail. Utilizing simultaneous strategic multiple thrusts, Walmart has developed layers of competitive advantage to establish itself as the world’s leading retailer. Focusing on strategic expansion, Walmart currently operates 9,826 stores across twenty-eight countries, allowing it to capture global scale efficiencies by creating a coordinated and integrated network of interdependent stores. Each unit within its network is regarded as a source of ideas and capabilities, and innovation is diffused across the company through initiatives such as a market-by-market training program that helps increase the company’s responsiveness to local demands and preferences. Thus, Walmart has established itself as a transnational corporation by developing multiple diverse internal perspectives, distributing capabilities across interdependent units, and creating a responsive, integrative process. Leveraging its revolutionary “everyday low prices” strategy, as well as its sophisticated distribution system, Walmart...
Words: 5506 - Pages: 23
