Report on Case Study of Tents-R-Us - Case Study

BA/BA (Hons) Marketing Management (133-19310)

Assignment 1: Written Report

Module Code/ Name: MKT09901 International Marketing

Title (if applicable):

Lecturer / Tutor：Olivia Koon

Student Name： Ho Tsz Kan

Napier Student No.：40226605

CityU Student No.:   54116524

Submission Date： 6 November 2015

Tables of Contents

Page

1. Executive Summary                                        P.3

2. Introduction                                              P.3

3. Internal Analysis                                           P.4        

4. External Analysis                                           P.5

4.1 PESTLE analysis                                           P.5

4.1.1 Political Factor                                        P.5

  4.1.2 Economic Factor                                       P.6

  4.1.3 Social Factor                                          P.7

  4.1.4Technological Factor                                    P.7

  4.1.5 Legal Factor                                           P.8

  4.1.6 Environmental Factor                                   P.8

5. SWOT analysis                                             P.9

5.1 Strengths                                              P.9

5.2Weakness                                              P.9

5.3 Opportunities                                          P.10

5.4 Threats

6. Market Research of the Singapore                             P.11

6.1 Accessibility                                             P.11

 6.2 Market Size                                              P.11

 6.3 Profitability                                              P.11

 6.4 Competition                                              P.12

7. Conclusion                                                 P.12

8. Recommendation                                           P.12

9. Reference list                                              P.13-P.14

10. Appendix                                                P.15-P.22

1. Executive Summary

In this assignment, it will analysis how Nature Republic enter in Singapore’s market based on the findings, results on Singapore. In the final part, it will recommend Nature Republic whether use the strategy expand the business in Singapore.  

2. Introduction

The Nature Republic is a well- known South-Korean cosmetic brand since 2009.They are targeted young Asian Females from 18 to 24 years old. There are a different type of cosmetic products focusing on body, hair, skin including essence, lotion, sun cream and shampoo. The slogan of Natural Republic is 'A Sense of the Beginning. They think that natural is a gift from God, so they use organic ingredients, such as Aloe Vera, Argan, Hibiscus, Shea Butter, Bee Venom and Snail for producing cosmetic products to customers. Nature Republic presently markets have Mongolia, Hong Kong, Vietnam, Myanmar, Thailand, Taiwan, Macau, Malaysia, Cambodia, Philippines, Indonesia, Hawaii, Japan, United States of America.

Porter (1980, 1985) suggested that if a firms want to build strong brand loyalty between their customers, they can use low-cost strategy for cutting down their cost to produce products. In doing so, it can increase the market share and profit, and upgrade the competitive advantage of the brand in the market. Therefore, Nature republic use low cost strategy for drawing target customers’ attention. For example, most of the consumers like using the best seller cosmetic product of Nature Republic which is called ‘Soothing & Moisture Aloe Vera 92% soothing gel’. The price of the gel is HKD$33 cheaper than another brand. (Appendix 1)  

3. Internal Analysis

Nature Republic comes from The South- Korea in 2009. The purposes of them are ‘Journal to Natural’ and natural is a gift from God, so their image is fresh, green and environmentally- friendly which means a combination of the natural world. For example, their store is using much grass for decorating their outside board. When customers first see their store, they can feel relaxing and stand close to nature.

Furthermore, Nature Republic tends to hire famous South-Korea star for representing their brand so as to enhance their brand’s reputation and customer’s attention. In 2009, they hired famous South-Korean artist Rain as Nature Republic’s spokesperson, Rain became their first one spokesperson. Later on, they chose JYJ as the new endorsers of their brand for building strong influence ranging from Asian to Western. In 2015, the renowned Girls' Generation's Taeyeon and EXO as the newly Nature Republic endorsers. Also, the distribution networks of Nature Republic is only served in stores. However, the marketers of Nature Republic will post different promotional leaflets on Facebook for attracting customers’ attention.  

4. External Analysis

Most of multinational companies have selected to build their first company in Singapore and businessman around the world view Singapore as a desirable place to develop their businesses because Singapore as a global business hub, it offers developed infrastructure, a skilled workforce, open business policies, political stability, respect for intellectual property rights and the use of English as the main working language. (Root F.R, 1998)Therefore, Singapore is an ideal place for Nature Republic developing their business on it.