Market Entry Of Hui Li Shoes Into Singapore Marketing Essay

Market Entry Of Hui Li Shoes Into capital of capital of Singapore Marketing EssayThe International commercialiseing which is defined as performance of business activities including price, promotions, product and distribution decision and then the task of foodstuffing research is to systematically collect data, process it into valuable information which is Coperni domiciliate for getting commercializeing decision.The information of the host country on political stability, ethnical attributes and geographical characteristic are required for sound for foreign markets. randomness on economic general data on level of growth, inflation levels, business cycles and the levels of competition in that particular industry. These directly affect the economic viability of the product, since some of the factors affect profitability.This report examines possible feasibility of plan for chinaware raiment company Hui Li entering the Singapore market. It indicated that despite previous success es for the company in china market significant strategic alterations to its target segmentations and marketing mixes as well as supply and distribution operations leave behind be undeniable for success in entering Singapore. It suggests that the future economic growth of the Singapore market and considering the position of external competitor already operating in the market that it is a critical objective for the company to enter the market in order to of importtain long term growth of market2. Background of Hui Li300000876508128399649319422During the 1970s, The Ping Pong model since 1976. By Hui Li mark off sneakers were the popular shoes in China its bright and clean forge a nappy contrast to the drab homogeneity of Communist China. Continuing into the 1980s, the shoe remained a status symbol for Chinese teenagers who were well-off enough to don a straddle of famous Warrior models Hui Li. But as China opened up economically, so did the marketplace for sneaker brands. when the 50 year-old Hui Li name was still popular in China, it was no longer well-known as one of the premier Chinese brands. Instead, Hui Li shoes became the shoe of the working class worn by ridiculous construction workers, elderly women and rural citizens looking for a gallus of cheap, durable shoes, in pricey brand name and mark-up.Fascinated by this story, a graphic design student from China recently released a photography book which features spate wearing Warriors in various areas of China. Each copy of Book of Warriors comes with a pair of Warriors models by Hui Li.The author, Shumeng Ye, wishes to use the Hui Li brand to tell the story behind the shoes and represent a varity side of China. Not either the industrial spot and economic power, but the daily life of a country with its own distinctive sneaker culture.A pair of Hui Li shoes was very expensive at the 1960s, and was popular trendy for teen people at that time. Nowdays this old Chinese brands to specify their comeb ack.3. Market Entry of Hui Li Shoes into Singapore01300000206900126032684190582The main reason for entering Singapore is to increase sales and profits. Building up a branch in other town, city or state, entering a foreign market is mainly part of the relentless quest for business expansion and growth. Hui Li has a very useful business model and has gained market share in China market, the only way break into more wealth country in Asia.Hui Li targets young people. In Singapore, many young people like to wear designer, including working adults, sportspeople, schooling children, business people and the elderly. People in Singapore like to spend money on tone of voice products, there have more dispose income, and they like to try out new(a) products, especially from China, Japan, Korean, the USA and India. Also, there are not many shoes companies from China to Singapore therefore, there is a possibility to market this new product brand in Singapore as the spending size of market is actually growing.There are a range of potential routes by which Hui Li could enter this market. Ideally they have to pursue a strategy of righteousness investment have all control of its operations within Singapore. Whilst such a strategy carries the greatest risk it also provides the greatest reward and, close crucially, protects the integrity of the business and the brand. Hui Li has the financial resources, expertise and experience to do so and has proficiency in entering competitive market. As the decisions, which they make will directly affect every part of their business for many years in the future to Singapore. but, this is important in the decision-making process as firms assessment of the hail and risk associated with exporting their product into Singapore market. Exporting will be the best entering mode for manufacturers like Hui Li that wants active penetration of Singapore markets will look to direct export channel. Direct export has contained higher startup costs, greater information requirements and higher risks. They will choose Singapore actor channel and branch channel. Franchising is a form of licensing in which a company licenses a business system as well as property rights to an autarkic company or person.4. Problems that could exist in Singapore for Hui LiRivalry is placed in a central role for entering Singapore market. This room that company basically hastocompeting in industry effectively. It is obvious that global and local companies make intense competition for Hui Li. competitor most compete at like level of price and quality for leather shoes industry in Singapore including VANS from USA, TOPMAN from UK. The successful competitors has already got amount of market share and brand obedience with consumer tastes over period of time. Hui Li has to be well prepared and well known Singapore market. Otherwise they May lose by those competitors.The market of china is slightly different from Singapore market, so that Hui Lis shoes may not be preferable for local consumer preferences. Consumer may only recognize the product which already established this market over decades. It may take time that makes them to accept new brand like Hui Li. Also brand loyalty has already established by their global and local competitor. It will be more difficult for them to switch their favorable brand easily. Moreover the brand reputation in Singapore is not as good as other international brand. The consumer may not choose their Hui Li product in first place even with high quality shoes. As the initial capital required for Hui Li to establish branch in Singapore, it will be huge amount of improve and operation costs.Culture may influence on consumer behavior. Segmenting in terms of culture factors, Singapore also segment overall society in smaller subcultures. These subcultures division are based on variety sociocultural and demographic variables. Such as nationality, religion, geographic location, race, age and sex. Subcu ltures may have problem for Hui Li that loss of focus on to market targets. Because Singapore has multi combinations of nationalities like China, India and Malaysia. The Hui Li must determine whether the beliefs and customs shared by members of a specific subculture make them desirable choose for special marketing attention. Identification of subculture is complex in segmenting market particularly in countries like Singapore. They only enable to focus on sizable and natural segments as different members of a specific subculture have different preference of Hui Li shoes.5. Environmental analysis of Singapore market5.1 cultural analysesGeographical SettingA. Location Southeastern Asia, islands between Malaysia and IndonesiaB. Climate Singapore is broadly hot and humid. Its warm and humid year round, with the temperature almost never drop below 20C (68F), even at night, and usually climbing to 30C (86F) during the day.C. Living condition Singapore has a very high standard of living for expatriates and the city has one of the best living conditions in Southeast Asia. Singapore people have more money to buy consumption goods.5.2 Competitive analysis for Red Dragonfly SWOT factorsStrengths good quality price affordable designed long lastingWeaknesses not international brand not popularOpportunities new affordable spending power of people in Singapore is high people like to try new things, new designs something exclusiveThreat competition from leading brands price possible copying from others too many other shoe companies in Singapore5.3 PEST FACTORS semipolitical Environment Spore govt is very stable No problems with conflicting rulers /parties/groups/government Gets along well with other countries International countries like to promote their products in Singapore economic Environment Spores economy is very stable Everyone has a job People in Singapore like to spend money dear jobs and good income Good education / almost everyone is educated Business-oriented Social Environment (social activities , social clubs , lifestyle of Singapore people, foreigners, ) People in Spore love clubbing, parties, gatherings Lifestyle is very rich-Many activities in many clubs, community center Multi-racial , harmony Many foreign mixture of people Mixed society Social media/interaction/very socially machine-accessibleTechnological Environment (internet, globalization, modernity, techno, phones, communication) People in Singapore are techno-savvy Internet is available everywhere Every home has Internet connection Most people use WIFI Latest hand-phone / smart phone technology Lots of people use social media eg. Facebook, twitter, etc Use hand-phone for everything internet, communication, discussion, conference, meetings, schools, etcThe surroundings that needs further teaching will be the economic and social environment in Singapore for shoes.6. Evaluation of the Marketing Mix (the 4 Ps) for possible adaptationProduct look designed with high technolog ies Popular in China Good qualityPrice Affordable price Priced for quality Priced for Brand Affordable for the Singapore marketPromotion Visual merchandising such as workshop design and layouts Poster Newspaper advertisements / magazinesPlace-Located their retailer store at orchard lane-Main shopping mall- topical anaesthetic partners7. Conclusion of AnalysisI think that Hui Li has perspective future in SG market. According to cultural analysis, we have brief fellowship about Singapore. The living condition of Singapore has a high standard of living. People like to buy more product, Hui Li may possible to foundation this market to increase sales. And the climate has indicated that Hui Li need to decide what type of shoes can meet consumer needs in order to weather of generally hot and HUMIND in Singapore.Competitive analysisHui Li will go through external and internal factors. There is no question that the phenomenon makes both opportunities and threats to Hui Li who looking for compete successfully in the international market. There is growing power for developing nations where Singapore presents significant business opportunities for Hui Li in entering. Local people would like to try new brand product with high quality and affordable price, even the brand is not international. However, most of competitors are international brand that Hui Li have to compete with them for market share and consumer loyalty, they need to differentiate their shoes to meet people needs.Finally the deciding mainly depends on an analysis of both external environmental conditions. Pest has provided general ideals that macro environment of Singapore. The factors indicated that economic of Singapore is growing and people have higher liquid income, political environment has encouraged foreign investment with lower valuate rate. Society in Singapore is harmony with multi-racial foreign mixture of people. The macro environment for Singapore hat great impact for Hui Lis entering.The analysis of marketing mix in Singapore market has significant effects on Hui Li entering. And it is sane to recommend that a well know brand name has major impact on strategic planning process. All of 4p help Hui Li to micturate their brand successful in Singapore. Hui Li may local their retailer store at Orchard track and main shopping mall. Orchard Road is main center for peoples attention and shopping around. The brand recognition can increase by locating this market place. The ownership of the Hui Li brand can cooperate with local partners will be able to help them access the Singapore distribution systems more effectively. They may promote main emphasis on visual merchandising such as layouts of store can be necessarily impact on communication tools with consumer and advertising on TV and newspaper. As the price of leather shoes are affordable and the product is well designed with quality one. All of analysis indicted that it is great opportunity for Hui Li to entry this mar ket.8.Strategic Marketing PlanMarketing Plan for Hui Li Shoes12.1.Marketing objectivesA. Target marketB. Expected sales year 20C. Profit expectancy year 20D. Market penetration and coverageAdaptationCore componentB. Packaging componentC. Support service componentA. Adults, all agesB. 2 million dollarsC. Three hundred thousand dollarsD. Advertising, lower pricesMain shopping centerSuch as Orchard Road, Bugis.Well-designed shoes with high qualityDelicated parcel of landFeedback3.Promotion mixAdvertisingObjectiveMedia mixMessageCostsSales promotionA. ObjectivesB. CouponsC. CostsOther promotional methodsA. Promote productsB. Magazine and TVC. Fashion product and high qualityD. 40000Promote new brandNewspaper Discount for the new buyerC. 50000Poster4Distribution from line of credit to destinationPort selectionOrigin portDestination port2.Mode selection AD/DISAir carrierpackingA. Marking and labeling regulationsB. Costs accompaniment requiredA. Bill of ladingB. Dock receiptC. Air billD . Commercial invoiceE. Proforma invoiceF. Shippers export declarationG. Statement of origin5.Insurance claimChina portSingapore portA. AD Quick and convenienceDIS may not get permission to entry and quotasA. Shoe boxB. myriadAll needs5. 100005Channel of distributionRetailersType and number of retail storesRetail markups for products in each type of retail storeMethods of operation for each type5 center storesB. StoreCash and credit cardScale of operation for each typeImport and exports moverWarehousingA. TypeB. LocationD. LargeA. StoresB. Bugis Orchard Road6Price determination1.Cost of the shipment of goods2.Transportation costs3.Handling expensesA. Loading and unloading charges4.Insurance costs5.Customs duties6.Import taxes and value-added tax7.Wholesale and retail markups and discounts8.companys gross margins9.retail price1. 100002. 15000A.30004.300005.40006. 7%7. 20%8. 30%9.50-1007Methods of payment1.Cash in advance2.Open accounts3.Consignment sales4.Sight, time or run into dr afts5.Letters of creditCash in advanceOpen account