...1. Was Beijing Jeep a success? After the Chinese reform and openingup policy led by Deng Xiaoping, China attracted many foreign direct investment because China aims to increase their economic growth, infrastructure, technology and other industries. During that time, the only way a foreigner company could enter the Chinese market was through a joint venture and this is how Beijing Jeep emerged in 1984. It was a huge step that an American firm could extend their business to one of the biggest markets in the world, however we consider that Beijing Jeep was not successful in China, because during this period, the economy of China was not stable and the Chinese market was not able to purchase this type of goods. Also, when the joint venture started, the production of vehicles was difficult compared to their expectation, due to different perspectives related to the production line. One of the main challenges was the foreign exchange to pay for the import of the kits coming from United States, because the Chinese government did not allow the export of hard currency. Beijing Jeep could continue their production line because they reached an agreement with the Chinese government to eventually release hard currency. Besides, they get a high support from them as investment in infrastructure and require ordering Jeeps when ...
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...INTRODUCTION China’s emerging wine market presents an important industry segment for Australia’s wine industry to target. The growth in Chinese consumption of wine in sales volume is influenced by improved standards of living. The growth of consumption has increased the number of imported wines in the Chinese market, making China a lucrative market for Australian to enter. Both countries’ consumer behavior is important to understand as by exploring the way consumers think and the physical actions that result from these feelings, the crucial reasons behind how they spend their money can be established. This report examines the differences in consumer behavior of Chinese and Australia wine consumers. The purpose of the report is to strategically analyze the effects of consumer behavior theories, market segmenting, targeting, positioning and Maslow’s Hierarchy of Needs in order to provide recommendations for further opportunities for Australian exporters. PART 1: THEORIES 1. SEGMENTATION, TARGETING AND POSITIONING Market segmentation, targeting and positioning are part of key elements of marketing most consumer goods. Through consumer research, marketers of brands uncover specific market segments with distinct needs (Schiffman et al, 2011). Then the marketers develop products and devise strategies to price, promote and distribute them. Key issues relating to segmentation in order for a successful target. Need to be identifiable, sizeable, stable, Accessible...
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...International Marketing Marketing Wine in the Chinese Market Executive Summary China’s demand for Western wine has rapidly increased. This has created a market opportunity for high end, quality wine companies from Australia to export their products to China. The product that will be focused on is Glandore Wine from the Hunter Valley. The report will focus on exporting this product into the Chinese market. There should be a strong focus on building brand reputation and maintaining long-term business relationships. There are multiple entry types into foreign markets yet Chinese regulations limit the mode of entry. The recommended mode of entry for Glandore wines is a Joint Venture. The decision between product standardisation and customisation is an important aspect of strategic decision-making. It is recommended that Glandore does not customise their core product of wine, however it is recommended that other product attributes are customised to appeal to the Chinese market. When promoting Glandore wine in the Chinese market there should be use of advertising, public relations, sales promotion and personal selling. Table of Contents Executive Summary ……………………………..…. 2 1. Introduction ………………………………………………... 4 2. 2.1 Market Entry………………………………………………4 2.2 Recommendations ………………………………………5 3. 3.1 Product Standardisation and Customisation ……..…..7 3.2 Recommendations…………………………………….….7 4. Promotion in China 4.1 Push Strategies………………………………………...
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...Project One Activity 1 The four countries I have selected from the given groups include China, United Kingdom, United States and Nigeria. Group 1~ China Demographics China has the largest population in the world. “One Child Policy” has been implemented in China since 1979 which have helped to prevent an extra 400 million births to the country. According to the fifth Census, China’s population was 1.3 billion. China has 1 majority which is called “Han” and 55 minorities. Economic system In the first 30 years after the founding of the PRC in 1949, China’s economic system was planned economy. In 1978, the household contract responsibility system was introduced in the rural area. In 1984, the economic restructuring shifted from the rural areas to the cities. In 1992, China established the socialist market economic system. Culture and Social Structure China’s history is more than 5000 years with diverse customs and traditions. Every ethnic group has its own culture, even some have their own languages and words. There are many dialects in China, and the main language is Mandarin. People’s tastes are varied as well. People from the South prefer sweet, people from the North prefer salty, while Eastern people like spicy and Western people like sour. Legislative System China's legislation includes the legislation of the National People's Congress and its Standing Committee, regulation making by the State Council and its relevant departments, as well as the legislation...
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...Part A A. OVERVIEW OF COUNTRY/BUSINESS ASSIGNMENT – 5% OF PROJECT GRADE 1. Describe relevant factors of the business (this is a modified version of the Notebook: I. CULTURAL ANALYSIS, subsections I. & II.) Company name: Golan Heights Winery Chief Executive Officer: Anat Levi Rushansky Location: Katzrin on the Golan Heights. History Founded in 1983 in Katzrin on the Golan Heights. Golan Wines held 18 percent of the domestic market and 38 percent Israeli exported wines. Exported 20 percent of production to 25 different countries! In 2012, Golan Wines was a company owned by four kibbutzes and four mochas who managed the vineyards. As consumers were moving into the middle and upper classes, consumer consumption increased exponentially. Consumers directed towards international brands and demanded the world’s best products; including wine. New distribution outlets and exposure of China’s affluent middle classes to overseas travel has created a market for good wines. Product(s) Three distinct labels: • Yardmen • Gala • Golan Marketed Wines: • Yarden Cabernet Sauvignon • Yarden Pinot Noir • Yarden Syrah • Yarden Mount Hermon Red • Yarden Katzrin Chardonnay • Yarden Sauvignon Blanc • Yarden Viognier • Yarden Geweurztraminer • Yarden Mount Hermon White • Yarden Heights Wine • Yarden Rom • Yarden C.S. El Rom • Yarden C.S. Yonatan • Yarden Syrah Tel Phares Current international activities, if applicable: China and Israel now promote cross cultural...
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...14 Issues in internationalization management 15 WINE MARKET 17 Profiles of Country Producers 17 CHINESE WINE MARKET 25 Overview 25 Wine market overview 28 Imported wine 32 Italian case 36 Future prospective 45 REFERENCES 48 Bibliography 48 Consulted website 52 INTRODUCTION The purpose of this work is to analyze the growth and evolution of the wine market in China. In particular we will focus on the internationalization of the global wine producer countries in this new emerging market and which are the futures prospective and possibilities of this young market. This paper is composed by four main sections: 1. Theoretical framework; 2. Wine market; 3. Chinese wine market; 4. Italian case. First of all we need to understand what we mean when we speak about internationalization. Through a theoretical chapter, using the existing literature about internationalization, we will explore its theories, evolution and which benefits it may bring to the firm that implement it, showing how important it became in the globalized world in which companies work nowadays. Afterward we are going to analyze, thanks to the data taken by reliable sources, the global market of wine, showing its fragmentation, which are the main player and their characteristics. Now that we have a general panorama, we can concentrate on the Chinese market, its cultural and economic features, and the evolution of its wine market. Finally we will focus on the Italian case ...
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...HTM421 Essay#2 2011/10/31 Wine culture at table in China Wine culture play an important role in daily life, and its special function is so unique that nothing can take the place of it. Chinese wine culture enjoys a high reputation in the world. In this paper I want to do some research on the types of wine, the utensils of drinking, the ways people drink, the reasons why people drink wine and the function of wine culture at table in China. As a matter of fact, the term of wine culture was first put forward by Guangyuan Yu, a renowned economist professor in China (Li D, Hui Y, 2005). Wine culture was gradually formed after wine appeared, but nobody defined it clearly and completely for a long time. Until 1944, Jiacheng Xiao said that wine culture was the integration of material, technical, spiritual, custom, psychological and behavior phenomena which generated around the center – wine (Li D, Hui Y, 2005). The wine culture at table has two sides of contents. On the one hand, it involves the content that is about the production of wine; on the other hand, it consists of the content that is about drinking wine. The types of wine in China China is located the east of Asia, which has extensive plain, fertile soil and warm climate, so it is fit for developing agriculture. Long time ago, people began developing agriculture. They planted some crops in their fertile soil of the land every year, and the crops such as grain, rice, wheat, sorghum, millet, barley etc...
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...Introduction China as the country with largest population in the world alongside by the fact that that is also second biggest economy in the world is considered in last years as one of the most interesting market in the world to enter. Aim of this paper is describe Chinese wine market and answer the research question “Is it China still attractive from the wine market perspective and what has been changed since wine became present in Chinese supermarkets?” In 2001 China’s wine production sales revenues, profits and taxes exceed those of spirits for the 1st time. Comparing the periods 2002- 2006 with 2007-2011 wine import grew ten times in value and four times in the volume. Despite of long history of grape wine in China, this country is usually...
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...In 2014, China's creation, importation and utilization of wine totalled 1.16 billion liters, 383 million liters and 1.58 billion liters, respectively. It is assessed that the interest for wine in China will increment by 10% every year in the coming years. Market penetration will spread from costal front ranges to inland territories. The business channel of wine varies from eateries, bars, general stores, speciality stores, group purchasing and e-trade platforms. Market Growth Drivers A key development driver in the Chinese economy has been the fast rise in normal family unit livelihoods. Over the previous ten years, China has encountered an average GDP development of around 10%, which has made another center salary bunch with much higher disposable earnings. Moreover, Chinese urban populaces have expanded by an expected 153 million in the course of recent years (2005-2015); by 2025, it is expected that urban regions will develop from 607 million to 822 million people.4 China's significant urban communities – Beijing and Shanghai – will keep on being driving customer center points. Past Beijing and Shanghai, McKinsey predicts that by 2015, nine huge Chinese markets will represent 30% of extravagance utilization in China: Chongqing, Dongguan, Foshan, Guangzhou, Hangzhou, Nanjing, Shenzhen, Tianjin and Wenzhou.5 Luxury utilization will unmistakably incorporate luxury F&B items, as well as consumer goods. In the meantime, fast advancements in transportation (counting significant...
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...Executive Summary Traditionally, Australia-China trade & economy was simple. Australia met the demand for raw material for China’s manufacturing & China exporting back to Australia its finished manufactured goods. Thus China-Australia became each other’s largest trading partners. Now that China’s economy is affected, less spending on infrastructure the demand has shifted from raw materials & commodities to other specialized manufactured equipment, services like health, education, financial, engineering, agriculture etc. for which Australia has to change gears to gain distinctive advantage to its other competitors. However in Chinese economy there still exists substantial market for Australian commodities, such as wool, wines, wheat, minerals & iron ore, as Australia has advantage of nearness by sea for the shipping lines. The Free Trade Agreement is a win-win situation as Australia can easily meet the changed needs of Chinese for sophisticated medical goods & services in Health, Social Security, Human Resources, Banking, Education, Legal, Agriculture, Winery & Dairy. China’s economic woes & slowdown in addition to general economic slump has impacted Australia hard, specially the mining cum trading houses at present. This impact is not limited to just Australia but whole of Asia-Pacific, lain America & Canada. Thus to conclude, there are some positives about the Australian economy as GDP growth is up from the last year & China needs Australia, as it shall always need...
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...MarketLine Industry Profile Wine in China August 2013 Reference Code: 0099-0800 Publication Date: August 2013 WWW.MARKETLINE.COM MARKETLINE. THIS PROFILE IS A LICENSED PRODUCT AND IS NOT TO BE PHOTOCOPIED China - Wine © MARKETLINE THIS PROFILE IS A LICENSED PRODUCT AND IS NOT TO BE PHOTOCOPIED 0099 - 0800 - 2012 Page | 1 EXECUTIVE SUMMARY Market value The Chinese wine market grew by 20.7% in 2012 to reach a value of $22.7 billion. Market value forecast In 2017, the Chinese wine market is forecast to have a value of $44.9 billion, an increase of 97.8% since 2012. Market volume The Chinese wine market grew by 18.6% in 2012 to reach a volume of 1,564.1 million liters. Market volume forecast In 2017, the Chinese wine market is forecast to have a volume of 2,909 million liters, an increase of 86% since 2012. Category segmentation Still wine is the largest segment of the wine market in China, accounting for 96% of the market's total value. Geography segmentation China accounts for 54.2% of the Asia-Pacific wine market value. Market share Yantai Changyu Group Company Limited is the leading player in the Chinese wine market, generating a 21.9% share of the market's volume. Market rivalry The Chinese market for wine is fairly fragmented with numerous players present. China - Wine © MARKETLINE THIS PROFILE IS A LICENSED PRODUCT AND IS NOT TO BE PHOTOCOPIED 0099 - 0800 - 2012 Page | 2 TABLE OF CONTENTS Executive Summary .......
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...SIGN « NICOLAS » IS EXPORTED IN CHINA !!! ANNEE 2012-2013 ATTESTATION DE NON PLAGIAT Je, soussigné(e), ……………………………………………………………………. Etudiant (e) dans le programme ……………………………………….de l’IDRAC atteste sur l’honneur que le présent dossier a été écrit de ma main, que ce travail est personnel et que toutes les sources d’informations externes et les citations d’auteurs ont été mentionnées conformément aux usages en vigueur (Nom de l’auteur, nom de l’article, éditeur, lieu d’édition, année, page). Je certifie par ailleurs que je n’ai ni contrefait, ni falsifié, ni copié l’œuvre d’autrui afin de la faire passer pour mienne. J’ai été informé des sanctions prévues au Guide de l’Etudiant de l’Idrac en cas de plagiat. Fait à ……………………….., le ………………………. Signature de l’étudiant (e). I) Introduction As part of our international marketing project, we were asked to choose a company in order to implement it in a country where it was not present so that we can carry out the various studies that should realize that his ambition was to develop a commercial activity and thus expand its network. This is why I decided to choose the brand of French wine "NICOLAS" I choose to locate in a country where French wine is appreciated but not yet traded. Nicolas (Nicolas wines) is the largest chain of wine shops wine specialist. At the time...
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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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...The different cultures between Hong Kong and Mainland China Hong Kong: Hong Kong was a part of China thousands years ago, so that Hong Kong has a deep foundation of traditional Chinese culture, like food habit, traditional festival, and so on. Also, Hong Kong was influenced deeply by the western culture, because after 1840, Hong Kong was under the British rules, it was kind of like England, like students in school, from primary school to university use English very often, even as often as their first language, Cantonese. And many kinds of Western food came in Hong Kong; some important traditional Western festival became people’s important festival too, like Christmas, Thanksgiving Day, Halloween, and so on. All of above, the modern Hong Kong is the result of the combination of Eastern and Western cultures. The next part, I want to talk about the business culture in Hong Kong. Business is the most important part of Hong Kong, because Hong Kong is one of the centers of world business, world economic and world finance. But why Hong Kong could become some successful in business, which because its good business culture: Compliance with covenants, compliance with rules. Business people respect the spirit of the law; comply with legal requirements. Mainland China: Traditional Chinese culture has controlled the country for thousands years, people have a very strong cultural background, that means Chinese people do not accept the foreign culture easily. Confucianism influences traditional...
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...ROUND TABLE: PREMIUM WINE INDUSTRY (LUXURY & LIFESTYLE) IN ASIA * Vintage Club * Online business (subscription) * Private consumers * Corporate (gifts, meetings) * Import directly from France, no intermediaries * Old wine company * Advice to collectors * Private customers 1. Specificity of the Asian market vs Europe * Cognac: people in Asia drink cognac with water, sprite. Do you like to have style or do you like to have sales? * Singapore wine market: 90s started climbing, mainly because students from 70s came back from abroad with new trends; French lifestyle (wine and food). * Singapore sales are driven by promotions and brands. Brands for import wines are still important, more than old world. * Time of transport from vineyard to Singapore is 2 months. * Taxes/duties: 48% china, 0% HK, $88/lt Singapore +GST * France: 25y start buying wines more regularly. Singapore: wines purchase for social representation, gifts. * Everybody knows in France about wine but they don’t care about technicalities. Only know basic characteristics of a good wine, know how to differenciate. In Asia people are more interested. * China for C&T: Hard market. Office in Shanghai, network of distributors is huge, each has a network of 1mm clients. Set up selected distributors that work closely with the brand (control network). Chilean wine is perceived as good value for money, good quality. * Segmentation...
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