GOUDA CHEESE IN JAPAN

Gaston

08/06/2007

AGENDA

Core benefit PEST analysis Micro segment Product position Local situation analysis Conclusion

CORE BENEFIT

PEST ANALYSIS

PEST Japan Netherlands

Political •High context•Party government•Stable politics

•Low context•Coalition government•Stable politics

Economy •Just recovery•High GDP performance•Low inflation rate

•Remain in a good status•High GDP performance•Low inflation rate

Social •Bulge shape of population•Consciousness of health•Environmental care

•Bulge shape of population•Consciousness of health•Environmental care

Technology

•High medical level•High automation level

•High medical level•High automation level

MICRO SEGMENT

Criteria Japan

Economic 2nd highest GDP (2006, IMF)

Demographic •Small family structure•Bulge shape of population•Population: 128 million

Culture •Strict custom•Emulative•Accept foreign stuff

Benefit •Health food for children and old people. Eg. Hight, and osteoporosis.•Different diet•Mild Taste

Lifestyle •New product acceptable•Western life worship

PRODUCT POSITIONProduct space

Salient attributes •Health benefit•Tasty•Curious

Evoked set •Biggest cheese export country•Historical industry•Specific shape and colour •Tasty•Health benefit

Attribute rating 1st Specific shape and colour2nd Tasty3rd Health benefit

Preference 1st Specific shape and colour2nd Tasty3rd Biggest cheese export country4th Historical industry

TARGETING STRATEGIES

Universal

Adapted

Uniform

Unique

Local Market SegmentP

ositi

on

LOCAL SITUATION ANALYSIS-AMacro

environment Japan Netherlands Difference

Development level

5 5 0

Political risk 5 5 0

Financial institutions

5 5 0

Tariff barriers 1 1 0

Non-tariff barriers

3 3 0

Consumer mkt development

4 4 0

Industrial mkt development

5 4 1

LOCAL SITUATION ANALYSIS-AMacro

environment Japan Netherlands Difference

Product life cycle stage

4 4 0

Domestic competition

5 5 0

Foreign competition 5 5 0

Distribution infrastructure

5 5 0

Advertising media 5 5 0

LOCAL SITUATION ANALYSIS-BEntry mode Japan Netherlands DifferenceExporting, licensing, alliance, FDI

5 5 0

Marketing control 3 3 0Level of independence

3 5 2

Key success factorsKSF1 Culture TraditionKSF2 Economy Diet habitKSF3 Politics Culture

LOCAL SITUATION ANALYSIS-BCountry-Specific Advantages

Japan Netherlands Difference

CSA1 Development level

Development level

CSA2 Political risk Political risk

CSA3 Financial institutions

Financial institutions

Firm-Specific AdvantagesFSA1 Product life cycle

stageProduct life cycle stage

FSA2 Distribution infrastructure

Distribution infrastructure

FSA3 Advertising media

Advertising media

LOCAL SITUATION ANALYSIS-BStrategic importance

Japan Netherlands Difference

Locally 5 3 2Globally 3 5 2Leading market

5 1 4

LOCAL SITUATION ANALYSIS-CLocal market strategy

Japan Netherlands Difference

Objectives Young generation and old people

Everyone

Target segment(s)

Unique Universal

Intended positioning

Uniform Uniform

LOCAL SITUATION ANALYSIS-CLocal Marketing Mix

Japan Netherlands Difference

Product line(s) medium highNew product(s) medium highBrand name high mediumPackaging design high mediumPackage size small largeLocal positioning price

high medium

Price competition medium high

LOCAL SITUATION ANALYSIS-CLocal Marketing Mix

Japan Netherlands Difference

Main currency price

low high

Advertising creative

high high

Advertising media high highIn-store promotion high mediumEvents, publicity high lowDistribution channel

high high

Selling process medium highCustomer service low high

LOCAL SITUATION ANALYSIS-CProfitability Japan Netherlands DifferenceSelling price high mediumUnit variable costs high mediumProfit margin medium mediumPercent of local profits

medium medium

CONCLUSION

To analyse local market, we have to conduct by different tools and theory to close the reality.