Marketing strategy for China and Europe:
In Japan, SK-II is positioned as a premium product for high-end consumers. In order to make this brand successful in China, the company needs to adopt the same marketing strategy adopted in Japan i.e. selling SK-II in special stores along with beauty analysts. In addition, the company needs to build strong brand image for SK-II to provide knowledge about the product up-to six to eight steps. In order to launch SK-II in Europe, the company needs to launch the product in a way that can be entirely different to the other global brands. P&G should launch its product from a unique distribution channel. In addition, the company may add the consultation by beauty experts as part of the product.
Re-organized Global Operations:
The company has re-organized its global operations which need to be adjusted according to the requirements of Chinese and European market. With the help of Organization 2005, the company would be able to achieve higher-growth rates by decreasing the marketing and overall expense as well. The business can fit the re-organized global operations by motivating employees through offering attractive compensation and ownership authorities.
Key Points for the Proposal:
Key points for the proposal should be based on the facts and figures which would indicate a significant potential and the risks of losses for entering into the European or Chinese market. Moreover, future predictions and assumptions about expanding into the regions should also be included in the proposal.
Endorsing SK-II plans:
Mr. De Cesare should mention the pros and cons of expanding SK-II in all the three markets. Evaluation of all the three countries should be based on strategic as well as financial perspective so that long-term profits and revenues can be projected.
Conclusion:
By analyzing and evidencing significant success of SK-II in Japan, P&G needs to build strong brand recognition for SK-II in China or Europe as well. In addition to that, the company needs to examine the leaders and other competitors so that better strategies become visible in the market. Moreover, the company needs to examine the target market of China and Europe and their characteristics as well, so that opportunities can be fully utilized. After analyzing the potential opportunities and threats for both the markets, the management of the company should then decide which market to enter.
Recommendations:
Based on the analysis done above, P&G should enter into the Chinese Market. Although, the Chinese market does have a lot of negative aspects like government regulation, import tariffs and the threats of imitation but still the market is found to highly demanding Premium Skin Care products. In addition to that, P&G should continue growing SK-II in the home market as well because the brand is already successful there and the brand recognition is already high in the Japanese market.........................................
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