Over the past decade, many Asian companies have established branded products in several emerging markets (consumer electronics industry or domestic appliances for example). But nowadays, the next challenge is, for emerging market companies, to establish branded products in developed countries. Indeed, we can evoke the success of "Haier", China's biggest appliance manufacturers, which is notably selling refrigerators under is own name in the USA. "Haier" also opened a manufacturing plant in California which is a symbol of its success. Furthermore, brands such as the Chinese "Lenovo" (computing industry), "Keijan" (mobile phones), and "SVA" (consumer electronics industry) also went global successfully. In India, "Tata" also achieved its mark in developed countries (P. Gao, J. R. Woetzel, Y. Wu, Can Chinese brands make it abroad?, 2003 article). These success shows that selling branded products in occidental countries can be highly profitable. However, we will see that to achieve success in emerging markets' companies usually have a long way to go.
[...] As it is the first time “YamPiro is going into developed markets, the LCD and Plasma televisions will be the only products launched for now, in order to enter the markets in a way and to better perceive its strengths and weaknesses. However, it is possible to define a target for its products. Indeed, the target for the LCD and Plasma televisions will be middle-class worker and / or price sensitive customers. The product is relatively cheap and has good quality components. [...]
[...] Recommendation about how the different challenges can be overcome We have previously identified the different challenges the company might have to take up when selling its branded televisions in the UK and USA. Below are some recommendations about how they can be overcome This marketing plan & strategy will actually help the company, step by step, to have a safe successful approach to the UK and USA markets. IV. A. Selecting markets (Step First of all, the company needs to conduct a rigorous market selection according to relevant criteria: political, economic, social and cultural characteristics, tastes, lifestyle, attitudes Indeed, it is necessary to evaluate the attractiveness of developed countries, by getting to know: - What is the market potential and attractiveness? [...]
[...] Launching the product & monitoring (Step After launching the televisions in the UK and USA markets, the company needs to conduct monitoring and research to find out what the perception of the brand is, what the customer satisfaction is, how competitors have reacted and how any other problems can be solved. To conclude, selling branded products in developed countries can be highly profitable for emerging markets companies, as it is a way to get new business opportunities: huge amount of potential customers, possibility to get high profits and new market share It is also an alternative to highly competitive domestic markets with constant pressure on prices. [...]
[...] The products Confident regarding the high success of its televisions in many Asian countries and also after elaborating a rigorous market selection, “YamPiro” has recently decided to launch new LCD and Plasma televisions in developed countries, firstly in the UK and USA, due to their high market potential (strong size, high market growth predicted), their low level of risks and their positive market entry conditions. To evaluate the market potential and the consumers' particular needs and wants, market research (qualitative and quantitative analysis) has been conducted in the UK and USA by a global research agency. [...]
[...] targeting the markets offering the best opportunities First of all, the company needs to do an accurate market selection among the developed countries in order to target the most attractive markets. This done, it will be necessary to conduct high quality market research (qualitative and quantitative) for the UK and USA. We will develop these points in the next part. These steps are quite important for “YamPiro” as it is the first time the company is going into developed market. [...]
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