EXPORT BUSINESS PLAN - EXPORT BUSINESS EXPORT PLAN PLAN...

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Unformatted text preview: EXPORT BUSINESS EXPORT PLAN PLAN Exporting Footwear to Australia Is it Worth the Risk? Alicia May Alicia Axia College of University of Phoenix 1 Product Description Product Footwear Footwear Which Which will include men's, women's, and children's Shoes, boots, sandals and designer Shoes, wear. Products will be fashionable and Products affordable. affordable. Target Market Target Market Characteristics Characteristics There is a high demand for There women's shoes in the Australian footwear market. They are also major consumers They and developers of advanced technological and retail products. products. GPN/ Capita GPN/ Australia’s exports of goods and Australia’s services grew by 3.8 per cent reaching $218 billion in 2007. reaching Equaling about 20 per cent of Equaling Gross Domestic Product. Gross GNP for Australia is $444 and GNP per capita is $24. GNP/Capita Growth Rate GNP/Capita Average annual growth rate is Average 4.4 %. 4.4 Growth displays positive market Growth characteristics. characteristics. Imports in this industry have Imports increased by 110%. increased Overall consumption has Overall increased by nearly 40% increased Market Size Market Total population 21.2 million Growth forecast of GDP for 2008-09, 1.0% Imports total $253 billion Textiles, clothing and footwear industries contributed over $2.7 billion to the Australian economy. Market Screening Market Several components make up this Several process. process. Designed to assist managers with strategic decisions regarding economic conditions and cultural influences. influences. Entrance of a new product into a Entrance specific foreign market specific Basic Need Potential of Basic Footwear Industry Recent economic Recent down turn causes consumers to purchase cheaper products. products. Demand for low Demand priced products in retail market. retail Product demand Product with all consumers as a basic need. as Exchange Rates Exchange $1 Australian dollar “vs” $1 American dollar American AUD AUD As of May 1, 2010 = 0.92481 US Dollar USD = 1.08130 Australian Dollar USD Import Restrictions and Price Controls Price Products manufactured which Products contain hazardous or potentially lethal material are restricted. lethal Australian Governments lower Australian tariff rates. How? tariff Elimination of price controls upon entrance of free trade agreement. entrance Strengths of Competitors Strengths Competition from local Competition established Australian franchises. franchises. Competition from Asia and other Competition low cost producers is constant. low Existing supplier relationships Existing are well formed. are Sociocultural Forces Sociocultural Minimal cultural forces to impact Minimal sales sales No language barriers, Australia No speaks mainly english speaks Over 90% of the population is Over educated and over 50% have worked in the retail industry at some point in their lives. some Export Marketing Strategies Strategies Promotion Methods Researching Researching the current domestic marketing strategies for same type of products. of Using cheaper raw materials for Using production of footwear. production Appealing advertising to the Appealing countries culture, beliefs and traditions. traditions. Conclusion Conclusion Favorable market and economic Favorable conditions. conditions. Market screening analysis Market shows few import restrictions and price controls. Culture thrives on imports and Culture products in the retail industry. products References References Austrade. (2010). Australian Austrade. Government. Export Marketing. Information from various sub sections. Retrieved April 30, 2010. from: http://www.austrade.gov.au/Export-marketing/default.aspx http://www.austrade.gov.au/Export-marketing/default.aspx Author unknown. (2003). FOOTWEAR Author MANUFACTURERS’ ASSOCIATION OF MANUFACTURERS’ AUSTRALIA INC. TO THE PRODUCTIVITY COMMISSION INQUIRY INTO THE TEXTILES, CLOTHING, FOOTWEAR & LEATHER INDUSTRIES. Retrieved April 30, 2010. from: http://www.pc.gov.au/__data/assets/pdf_file/0015/27150/sub028.p http://www.pc.gov.au/__data/assets/pdf_file/0015/27150/sub028.p Cool Fire Technology. (2004). Gross National Product. Cool Retrieved March 1, 2010. from; http://www.cftech.com/BrainBank/CORPORATEADMINISTRATIO http://www.cftech.com/BrainBank/CORPORATEADMINISTRATIO Rates list. (2007-20010). Australian Dollar vs American Dollar Rates graph. Retrieved April 30, 2010. from: http://www.rateslist.com/exchange-rates/australian-dollar.html http://www.rateslist.com/exchange-rates/australian-dollar.html ...
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