This presentation has been prepared for the Ugg Australia, to provide detailed analysis of the expansion of the company in the Canadian market. This presentation includes: —
- Marketing selection and entry strategy: — Having reasons of choosing Canadian market, its characteristics, strategy for the competitors, and market entry strategy.
- Competitive strategy: — Having product, pricing, promotion, and distribution strategy.
The country chosen for the expansion for Ugg Australia is Canada. Canada has been chosen precisely while considering many economic, social, cultural, and technological aspects. Meanwhile, Canada and Australia have a trade agreement called “CANATA” (Canada-Australia Trade Agreement) that implies that the goods manufactured in Canada will provide concession on trade and duty rates, while entering Australia; on the basis of the satisfaction of the rules declared by the trade agreement. Ugg Australia is looking forward to expand in Canada by selling its boots through exports (Thompson, 2002).
Marketing Selection and Entry Strategy
Reason of Canada, chosen as a strategic choice that would meet the firm’s strategic objectives are: —
- Canadian people love buying branded leather shoes, instead of buying Chinese duplicate items.
- Ugg Australia has already made a great presence among the Canadian population through the internet.
- Canadian climate is generally cold throughout the year and warm leather shoes made by Ugg will become favourite among Canadian people.
- The average GDP of Canada will rise in the coming years and Canadian people will be able to afford the Ugg’s luxury leather shoes and other products(Baldwin & Peters, 2001).
Characteristics of the Canadian market: —
- There has been a significant growth of around 6% in value and 36% in terms of overall sales in the footwear market in Canada.
- The E-commerce market in Canada has a large presence and some websites like Amazon, Etsy, and eBay, can provide a retailing and selling platform to the Ugg shoes and other products.
- Canadians love to buy branded shoes, especially made up of leather.
- Canada has a free trade agreement CANATA with Australia(Shapiro & Tamilia, 2011).
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