International Strategic Plan Report

Order Details;

 

The theme of the project is expanding a wedding jewellery accessories business and move it from UAE to USA .. Business name is (Ghenej Jewellery) ..

 

the business online websites and online links: http://www.ghenej.com

http://www.wafi.com/shopping-in-dubai/shop/ghenej-jewellery/274 http://instagram.com/ghenejjewellery

 

This is the Introduction and what I wrote so far:

 

Introduction

Internationalization is a when we see a remarkably increases of the involvement of enterprises in the international market. UAE is one of the countries that are processing an enormous involvement of the enterprises in the international market. There is lots of significance and impact of internationalization on the UAE such as, improving the economy, increase the production and the quality standers and also exchanging knowledge and ideas to develop the country.

Ghenej means coquetry and that demonstrates on the unique traits of femininity, Ghenej jewelry  was established by the designer Muna Al Hadad, the collection are inspired by Muna’s birthplace and homeland the UAE her number one inspiration of most of the collections. Ghenej jewellery collection consists of necklaces, rings, bracelets and earrings with a limited and unique collection displayed in Harvey Nicholas and Duty free at Dubai international airport terminal 3 as she has expand to open their own shop on 9th of September 2009.

Today we are taking this unique collection of to US, California, Beverly Hills, Rodeo Drive, We are starting our first international store by exporting few of our collection such as the calligraphy oriental art collection, wedding collection, mojo jewellery collection and bracelets collection.

 

Business concept

Ghenej mission is to be a unique brand that takes the inspiration of the Arab environment and the passion of poetry and art and spread it to the world.

Ghenej goal is to achieve more loyal customers by expanding their branches through the world.

Environmental assessment

 

Socio-cultural Forces

The objective of a business is to make an ideal use of its existing assets to make income, and to increase its returns. Whether or not a business is able to make an ideal use of its existing assets varies upon many internal and external aspects. One of such famous aspects that play a critical role in the performance of an organization is the socio-cultural environment of the region in which the organization is running.

 

Socio-cultural aspects such as social attitudes, believes, education, law, politics, and many different aspects, have a way on the setups of a business. If a business manages to understand or fails to recognize the consequences of socio-cultural aspects, it will ruin the risk of disaffecting itself with its direct environment. America is a multinational country that attracts different religions and believes and includes people from all around the world, with a different behavior based on their religious and their language. Most of them are Christian which they are 77% of the population, 23.3% Catholic, 1.7% Jewish, 0.6% Muslim and other religious, the highest number of worship goes for the Christianity followers compared by other religion. In addition to that the official language of the country is English. There are around 20% of other languages like Spanish, Asian and other. There are some issues that may face Ghenej UAE in opening a business in America.

 

Therefore, the major issues for a jewellery business might be is the change of current advertisements and the product’s labeling language, as their advertisements and labeling should be in English as the majority of the people understand this language, or it could be a not written advertisement so they won’t find difficulty to read it and understand. Or the website could be in any language that the users choose. Also as there are many believe and behavior so Ghenej should deal with many different cultures in the same country.

 

Moreover, the company should be acknowledged that they might face a lot of changing in customers’ tastes and different attitude of American. And to solve this problem the company has to correspond with the changes by learning more about the culture there. So the business will be more efficient.

 

Economic and socio-economic Forces

The United States financial system is the world’s largest national economy with a GDP of approximately 16.8 Trillion US Dollars, the GDP value of the United States represents 27.10 percent of the world economy. GDP in the United States averaged 6145.56 US Dollars Billion from 1960 until 2013. The GDP per capita in the United States is 39,337 US Dollars. GDP Growth Rate in the United States averaged 3.27 Percent. Moreover, the price of the United States currency is higher than the price of the UAE’s currency, so when the company will ship their products to the US, so they have to increase the prices upon the currency change and that will may benefits Ghenej profits.

Legal Forces

 

Like any other country, to start up a business and obtain a business license, it is important to contend with extensive federal and state regulations .As that might be difficult in the United States. As there are many steps to go through to start up this business.

The business person must overcome many bureaucratic and legal obstacles to register a new firm or business in United State, the first step is that you must provide the legal configuration to organize the business, also with the chosen business structure you fill the forms and register your firm. Any business or corporation needs a tax ID identification, which will be given from the Internal Revenue Service in US, after that the company must acquire licenses and permits from state and local government agencies.

As the legal forces have the participation in patents, trademark, and other conventions, it is important that the property write is granted by the Government of the United States of America, as the business will be protected through the registration of patent and copyright. It requires an image of the brand logo, or to protect the business by the trademark.

Ghenej Company is planning to set up a new branch in the United Status and expand their products to be sold there. The company has its own patent, loge and copyright, which will protect the business from being copied. At the beginning when establishing the brand, the company will face some legal issues like registration issues, patent, copyrights and tax issues.

All of those conventions will cost lots of money and this is one of the major issues that will affect the expansion, it will cost the company lots of money and also lots of time to get the license or the trademark. Therefor the company must be ready to deal with the legal issues and solve the issues even before they start by the good management and good communication.

 

Political forces

The government of California structure is consists of three branches: the executive, and its consisting of the Governor of California, the legislative, consisting of the California State Legislature and the judicial, consisting of the Supreme Court of California. Also the state allows direct participation of the electorate by initiative, referendum, recall and ratification.

Political stability is the integrity of the USA, it’s the stable society is one that is satisfied with the governing party and system of operations. The US has a stable political government because it’s favored by the population because it’s a democratic nation.

 

US are following the free trade and that refers to the international trade and the most common barriers to trade are tariffs, quotas, and nontariff barriers. A tariff is a tax on imports and it’s usually purpose is first to limit imports and second to raise revenue. A quota it’s same as tariffs it’s to limit a type of good that are imported to the country. A quota can be either voluntary or legally enforced. A Nontariff barrier includes regulations regarding a certain product content, quality, product standards and packing and shipping regulations.

Therefore, they will be lots of major’s impact that Ghenej may face on the expansions, because Ghenej jewellery collection most of it will be imported from the United Arab Emirates and it will face lots of barriers such as the tax and nontariff barriers regarding of the shipping and the packing regulation to the US.

 

Labor forces

For this shop we will need one manager that will be managing the shop in the US, 2 skilled labors on permanent payroll, one employee on hourly wage the Casher and one will be the seller/ assistant employee, and finally the security guard contracted from security agency. In all we need 4 employees to operate this shop.

An employee will work for six days a week and Monday would be their day off their working hours will be from 2 pm until 8 pm from Tuesday to Friday, Saturday and Sunday the shop will be open from 2 pm until 10 pm so Monday will be their day off and that will be forty hours in a week as a law of California.

The salary of the manager will be $45,615 per year inclusive of all benefits, the casher and the seller/assistant will get a $12 per hours inclusive with all benefits, and the security will be hire from security agency so their salary will be $10 per hours with all inclusive.

In addition of the above we will be also hiring a quality man power to run our operations, our sales executive is also paid at the rate of 12.5 dollars per hour against the minimum wage of 9 dollars per hour in New York State.

The only major issue that Ghenej is my predict due to expansion is the capital, so they have to insure  that the capital is covering all of the expansion costs and it will be covering all of the wages that we are paying to the employees and to be even better than others stores of similar size.

 

Below is the points I want to add on the previous writing:

Marketing Strategy {USA}

  • Market Analysis (including competitive analysis, market segmentation, target market)

  • Product Strategies
(I will follow differentiation strategy )

  • Place (including distribution Strategy) .. I chose this place: Rodeo Drive

  • Pricing Strategy

Promotional Strategies

Competitive Strategy

 

  • What is your competitive strategy?
Answer: the competitors  are chopard and Harry Winston

  • Why was this strategy chosen?

Market Entry Strategy

  • What is your mode of entry?
 Answer: Joint Ventures
  • Why was this entry mode chosen?

Conclusion

 

 

The theme of the project is expanding a wedding jewellery accessories business and move it from UAE to USA .. Business name is (Ghenej Jewellery) ..

 

the business online websites and online links: http://www.ghenej.com https://twitter.com/ghenej http://www.wafi.com/shopping-in-dubai/shop/ghenej-jewellery/274 http://instagram.com/ghenejjewellery

 

This is the Introduction and what I wrote so far:

 

Introduction

Internationalization is a when we see a remarkably increases of the involvement of enterprises in the international market. UAE is one of the countries that are processing an enormous involvement of the enterprises in the international market. There is lots of significance and impact of internationalization on the UAE such as, improving the economy, increase the production and the quality standers and also exchanging knowledge and ideas to develop the country.

Ghenej means coquetry and that demonstrates on the unique traits of femininity, Ghenej jewelry  was established by the designer Muna Al Hadad, the collection are inspired by Muna’s birthplace and homeland the UAE her number one inspiration of most of the collections. Ghenej jewellery collection consists of necklaces, rings, bracelets and earrings with a limited and unique collection displayed in Harvey Nicholas and Duty free at Dubai international airport terminal 3 as she has expand to open their own shop on 9th of September 2009.

Today we are taking this unique collection of to US, California, Beverly Hills, Rodeo Drive, We are starting our first international store by exporting few of our collection such as the calligraphy oriental art collection, wedding collection, mojo jewellery collection and bracelets collection.

 

Business concept

Ghenej mission is to be a unique brand that takes the inspiration of the Arab environment and the passion of poetry and art and spread it to the world.

Ghenej goal is to achieve more loyal customers by expanding their branches through the world.

Environmental assessment

 

Socio-cultural Forces

The objective of a business is to make an ideal use of its existing assets to make income, and to increase its returns. Whether or not a business is able to make an ideal use of its existing assets varies upon many internal and external aspects. One of such famous aspects that play a critical role in the performance of an organization is the socio-cultural environment of the region in which the organization is running.

 

Socio-cultural aspects such as social attitudes, believes, education, law, politics, and many different aspects, have a way on the setups of a business. If a business manages to understand or fails to recognize the consequences of socio-cultural aspects, it will ruin the risk of disaffecting itself with its direct environment. America is a multinational country that attracts different religions and believes and includes people from all around the world, with a different behavior based on their religious and their language. Most of them are Christian which they are 77% of the population, 23.3% Catholic, 1.7% Jewish, 0.6% Muslim and other religious, the highest number of worship goes for the Christianity followers compared by other religion. In addition to that the official language of the country is English. There are around 20% of other languages like Spanish, Asian and other. There are some issues that may face Ghenej UAE in opening a business in America.

 

Therefore, the major issues for a jewellery business might be is the change of current advertisements and the product’s labeling language, as their advertisements and labeling should be in English as the majority of the people understand this language, or it could be a not written advertisement so they won’t find difficulty to read it and understand. Or the website could be in any language that the users choose. Also as there are many believe and behavior so Ghenej should deal with many different cultures in the same country.

 

Moreover, the company should be acknowledged that they might face a lot of changing in customers’ tastes and different attitude of American. And to solve this problem the company has to correspond with the changes by learning more about the culture there. So the business will be more efficient.

 

Economic and socio-economic Forces

The United States financial system is the world’s largest national economy with a GDP of approximately 16.8 Trillion US Dollars, the GDP value of the United States represents 27.10 percent of the world economy. GDP in the United States averaged 6145.56 US Dollars Billion from 1960 until 2013. The GDP per capita in the United States is 39,337 US Dollars. GDP Growth Rate in the United States averaged 3.27 Percent. Moreover, the price of the United States currency is higher than the price of the UAE’s currency, so when the company will ship their products to the US, so they have to increase the prices upon the currency change and that will may benefits Ghenej profits.

Legal Forces

 

Like any other country, to start up a business and obtain a business license, it is important to contend with extensive federal and state regulations .As that might be difficult in the United States. As there are many steps to go through to start up this business.

The business person must overcome many bureaucratic and legal obstacles to register a new firm or business in United State, the first step is that you must provide the legal configuration to organize the business, also with the chosen business structure you fill the forms and register your firm. Any business or corporation needs a tax ID identification, which will be given from the Internal Revenue Service in US, after that the company must acquire licenses and permits from state and local government agencies.

As the legal forces have the participation in patents, trademark, and other conventions, it is important that the property write is granted by the Government of the United States of America, as the business will be protected through the registration of patent and copyright. It requires an image of the brand logo, or to protect the business by the trademark.

Ghenej Company is planning to set up a new branch in the United Status and expand their products to be sold there. The company has its own patent, loge and copyright, which will protect the business from being copied. At the beginning when establishing the brand, the company will face some legal issues like registration issues, patent, copyrights and tax issues.

All of those conventions will cost lots of money and this is one of the major issues that will affect the expansion, it will cost the company lots of money and also lots of time to get the license or the trademark. Therefor the company must be ready to deal with the legal issues and solve the issues even before they start by the good management and good communication.

 

Political forces

The government of California structure is consists of three branches: the executive, and its consisting of the Governor of California, the legislative, consisting of the California State Legislature and the judicial, consisting of the Supreme Court of California. Also the state allows direct participation of the electorate by initiative, referendum, recall and ratification.

Political stability is the integrity of the USA, it’s the stable society is one that is satisfied with the governing party and system of operations. The US has a stable political government because it’s favored by the population because it’s a democratic nation.

 

US are following the free trade and that refers to the international trade and the most common barriers to trade are tariffs, quotas, and nontariff barriers. A tariff is a tax on imports and it’s usually purpose is first to limit imports and second to raise revenue. A quota it’s same as tariffs it’s to limit a type of good that are imported to the country. A quota can be either voluntary or legally enforced. A Nontariff barrier includes regulations regarding a certain product content, quality, product standards and packing and shipping regulations.

Therefore, they will be lots of major’s impact that Ghenej may face on the expansions, because Ghenej jewellery collection most of it will be imported from the United Arab Emirates and it will face lots of barriers such as the tax and nontariff barriers regarding of the shipping and the packing regulation to the US.

 

Labor forces

For this shop we will need one manager that will be managing the shop in the US, 2 skilled labors on permanent payroll, one employee on hourly wage the Casher and one will be the seller/ assistant employee, and finally the security guard contracted from security agency. In all we need 4 employees to operate this shop.

An employee will work for six days a week and Monday would be their day off their working hours will be from 2 pm until 8 pm from Tuesday to Friday, Saturday and Sunday the shop will be open from 2 pm until 10 pm so Monday will be their day off and that will be forty hours in a week as a law of California.

The salary of the manager will be $45,615 per year inclusive of all benefits, the casher and the seller/assistant will get a $12 per hours inclusive with all benefits, and the security will be hire from security agency so their salary will be $10 per hours with all inclusive.

In addition of the above we will be also hiring a quality man power to run our operations, our sales executive is also paid at the rate of 12.5 dollars per hour against the minimum wage of 9 dollars per hour in New York State.

The only major issue that Ghenej is my predict due to expansion is the capital, so they have to insure  that the capital is covering all of the expansion costs and it will be covering all of the wages that we are paying to the employees and to be even better than others stores of similar size.

 

Below is the points I want to add on the previous writing:

Marketing Strategy {USA}

  • Market Analysis (including competitive analysis, market segmentation, target market)

  • Product Strategies

  • Place (including distribution Strategy) .. I chose this place: Rodeo Drive

  • Pricing Strategy

Promotional Strategies
Competitive Strategy

  • What is your competitive strategy?

  • Why was this strategy chosen?

Market Entry Strategy

  • What is your mode of entry?

Answer: Joint Ventures

  • Why was this entry mode chosen?

Conclusion

 

 

Kindly follow the below points in writing the completion of the report.

 

Marketing Strategy {USA}

  • Market Analysis (including competitive analysis, market segmentation, target market)

  • Product Strategies

  • Place (including distribution Strategy) .. I chose this place: Rodeo Drive

  • Pricing Strategy

Promotional Strategies
Competitive Strategy

  • What is your competitive strategy?

  • Why was this strategy chosen?

Market Entry Strategy

  • What is your mode of entry?

Answer: Joint Ventures

  • Why was this entry mode chosen?

Conclusion

 

In addition to that, please check the below sample of How I want my report to look like. I’d appreciate it if you can finalize my report similar to this sample.

 

Sample:

Marketing Strategy {India}

Market Analysis

 

  • Competitive Analysis

Al Rawabi Dairy Company wants to take their yoghurt to India, so in India the company will face two major strong competitors which are Mother Dairy and Amul (Top 10 Yogurt Brands in India, 2010).

 

o Mother Dairy

Mother Dairy is a company that operates mostly in Delhi, Mumbai, Saurashtra and Hyderabad. The company produces a wide range of dairy products that include butter, dahi, ghee, cheese, UHT milk, lassi, yoghurt, and flavored milk. This company has a 66% in the branded sector in Delhi, and undertakes its marketing operations through around 14,000 retail outlets and 845 exclusive outlets. On top of that, Mother Dairy had over the past 3 decades to harness the power of farmer cooperatives to deliver a range of delicious products (Bansode, 2012). 
In addition, Mother Dairy has a competitive advantage of having a unique distribution network of bulk vending booths, retail outlets and mobile units. Moreover, they have a variety of flavours as people can buy a mother dairy yoghurt at 20 Rs in flavours like blueberry, raspberry, mango, plum, orange and green apple (Bansode, 2012).

 

o Amul

Amul which refers to “Anand Milk Union Limited”, it is one of world’s largest producer of milk and milk products. It is also one of the largest food brands in India. In addition, Amul is an umbrella brand which means that they cover diverse kinds of products and each product is given a unique identity and name. Moreover, Amul have about 3000 Distributors to ensure the availability of their products across India (Vayas, 2014). 
Amul competitive advantage is that they are offering high quality products which are sold at reasonable prices. Also, their yoghurts are available in different flavours like mango, pineapple, strawberry, vanilla, misti doi, and Flaavyo which is one of the most economical yoghurts priced at 35 Rs per cup. This kind of yoghurt contains a live probiotic bacterium which helps in digestion and improving immunization, and it is made with a special culture to give a smooth acidic taste (Rupera, 2012).

 

o Al Rawabi Dairy

In spite of having a very strong competitors in India, Al Rawabi Dairy can success and gain a profit if the right strategy were used; because Al Rawabi Dairy has a very good competitive advantage. The competitive advantages are that they are offering the yoghurt with very good quality with reasonable prices, healthy, tasty, and with variety of flavors that none of the other competitors have. Also, Al Rawabi Dairy has a good labeling and bottling strategy that attracts customers and fit all ages. In addition, Al Rawabi Dairy is one of the strongest 40 brands in the Middle East so the company has a big chance to compete against those competitors and succeed.

 

  • Market Segmentation

Indians are generally known for having a strong urge to eat sweet and sugary foods. In recent years, this urge has been a mixture of something sweet, cool, flavored, and healthy. That’s why Al Rawabi Dairy decided to sell their yoghurt in India.

Al Rawabi Dairy plans to sell their sweet, fruity, chilled, less fat, healthy yoghurt to people from all ages. As the company offers varies kinds of yoghurts, the yoghurts are low fat and full fat yoghurt which is available with different flavors such as berries, black cherries, pineapple, Aloe Vera, Robivia, fruits, and green tea flavor. 
Al Rawabi Dairy will offer the low fat yoghurt with different flavors for the calorie conscious people that are looking for healthier choice; because the law fat yoghurt considered good for the digestive system because of its coolant properties and it is extremely low calorie content. They will offer this because there is a growing health consciousness in society of India as a result of globalization as people are trying to choose healthy foods, which the company offers. Also Al Rawabi offers full fat yogurt with all of the flavors mentioned above to target regular people, youth and kids; because this kind of yoghurt is sweet, healthy, with good quality which attract this category of people that is more concerned about the taste than the calories.

 

  • Target Market

Al Rawabi Dairy’s main target market is the calories conscious people from all ages including mothers, kids, youth, and elderly. Al Rawabi Dairy will offer for this market low fat yoghurt which is available with different flavors such as berries, black cherries, pineapple, Aloe Vera, Robivia, fruits, and green tea flavor. This yoghurt considered good for the digestive system because of its coolant properties and it is extremely low calorie content. Also the yoghurt with green tea flavor offers to boost the antioxidant defenses and help fight free radical damage, which can age the skin in the same time it offers a good taste. This product is targeting calories and health conscious women.

 

Product Strategies

For the product strategy Al Rawabi Dairy will follow the differentiation strategy and the goal of that is to put a distance between Al Rawabi Dairy products and their competitors’ products to create competitive advantage. 
So Al Rawabi Dairy Yoghurt is sweet, fruity, chilled and has less fat at the same time. It is considered good for the digestive system because of its coolant properties. Also, it has extremely low calorie content which won’t make customers feel guilty for having something sweet. It is offered with very good freshness and quality with reasonable prices. You can have it in different sizes very small, small, medium, and large {varies form 4 Oz, 6 Oz, 8 Oz, 16 Oz, 64 Oz, 2 gal and 5 gal sizes}; as some people are poor and they can’t afford the normal product size so what differentiate Al Rawabi Dairy is offering a very small version of yoghurt with cheap prices. Also, the low fat yoghurt is available with different flavors which are berries, black cherries, pineapple, Aloe Vera, Robivia, and fruits. Also they will be offering a flavor that is unique in the Indian market which is yoghurt with green tea flavor. This flavor of yoghurt offers to boost the antioxidant defenses and help fight free radical damage, which can age the skin in the same time it offers a good taste.

 

Place/Distribution Strategy

Al Rawabi Dairy wants to implement a place and distribution strategy that gets the right product, in the right quantity, to the right place, at the right time. To do that Al Rawabi Dairy will first build a Farm there to reduce the transportation cost as we mentioned above India has high rate of tariffs and taxes so it will be costly if the company exported the product from UAE. The farm place will be near Delhi because there are roads that make delivering the product to the customers easily; also most of the company target customers are in Delhi. So by building the farm there Al Rawabi dairy will have a competitive advantage as there will be near their target market and they will pay less transportation costs.

In addition, Al Rawabi Dairy will use a multiple channels to take the product from the farm and distributed to the customers with the help of famous retailer in India such as Reliance Retail Limited and Pantaloons Retail Limited (Top Retail Companies in India, 2013). Also by having distributors that represent Al Rawabi Dairy Company to sell around India such as Al Lulu hypermarket and Carrefour hypermarket as they will help in distributing the product in Delhi, Mumbai, and other main cities.

 

Pricing Strategy

Al Rawabi Dairy will use the penetration pricing strategy for the yoghurts. The penetration pricing strategy is Offering a low price for a new product or service during its initial offering in order to attract customers’ (Penetration pricing, 2013). As the yoghurt will be priced as 15 Rs which is lower that other competitors as Mother Dairy yoghurts are sold at 20 Rs and Amul yoghurts are sold at 35 Rs (Bansode, 2012).The company will implement this strategy because they will inter a new market and they want to gain customers and build loyalty customers very quickly, the company also wants to increase the lifetime value of their customers.

 

Promotional Strategies

Al Rawabi Dairy will follow a promotional mix strategy which is A specific combination of promotional methods used for one product or a service (promotion mix, 2013). Al Rawabi Dairy will use advertisements such as Print ads, television, signs, in-store displays, posters and Web pages. In addition, the company will use public relations such as Newspaper and magazine, and some sales promotions such as coupons. All of these advertisements will be in both languages Indian and English and the different religious in India will be taking into consideration before implementing any kind of advertisements. The company will also use personal and direct selling and when they are offering new products they will use free sample free-trial as a promotion for the product. All of these advertisements will be used to promote for the product and to keep the customers updated about the company latest products.

These advertisements will be made all over India, but it will be more focused in the big cities such as Delhi and Mumbai because these cities are more civilized and it will be easier and cheaper to advertise their.

 

Competitive Strategy

Al Rawabi Dairy will use a competitive strategy which is mixed between focused strategy and differentiation strategy. Focused strategy because Al Rawabi is focusing on a specific target market which is in this case calories conscious people and the company is targeting this specific market by offering sweet, fruity, chilled and has less fat at the same time as it is considered good for the digestive system because of its coolant properties and it has extremely low calorie content.

 

In addition, the company has a competitive differentiation strategy because Al Rawabi Dairy offers a very good freshness and quality with reasonable prices.As yoghurts are available in different sizes very small, small, medium, and large {varies form 4 Oz, 6 Oz, 8 Oz, 16 Oz, 64 Oz, 2 gal and 5 gal sizes} and the very small sizes which is meant for the poorer people differentiate Al Rawabi Dairy from other dairy companies because other companies does not have this feature. Also Al Rawabi Dairy will be offering a flavor that is unique in the Indian market which is yoghurt with green tea flavor and that’s flavor differentiate Al Rawabi Dairy and give it a competitive advantage as this product offers to boost the antioxidant defenses and help fight free radical damage, which can age the skin in the same time it offers a good taste.

 

Market Entry Strategy

Al Rawabi Dairy will use joint venture with a host country firm as their market entry strategy. So there will be 50:50 partnerships between Al Rawabi Dairy and the local {Indian} company. As Al Rawabi Dairy is planning to have joint venture with Modern Dairies Limited which is one of the leading Dairy product companies in India. 
Al Rawabi Dairy chooses this market entry strategy because they are new in the Indian market and they do not know a lot about the labors, market, consumers. So by implementing this strategy Al Rawabi Dairy will benefit from the local partner’s knowledge of the local market, culture, language, political system, and business system, also by using joint venture strategy with the local company Al Rawabi will gain the trust of local customers. All of that will let Al Rawabi Dairy enter the market with very strong position.

 

Conclusion

From this international strategic plan, it is obvious that Al Rawabi Dairy can achieve a great success if they expand their business in India. But that will only happen if they use the right strategies that fit the Indian market like as mentioned earlier in the report by using penetration strategy, promotion mix strategy, joint venture strategy and many other strategies. These strategies has to be chosen carefully after doing the environmental assessment to discover the barriers and issues that the company might face and which strategy they should implement to avoid these issues and barriers. In Al Rawabi Dairy case there is not any hard barriers or issues that Al Rawabi Dairy cannot overcome. So expanding to India is a very great idea.

 

Thanks for your support.

 

Regards,

 

 

Dear Writer,

 

The theme of the project is expanding a wedding jewellery accessories business and move it from UAE to USA .. Business name is (Ghenej Jewellery) ..

 

the business online websites and online links: http://www.ghenej.com https://twitter.com/ghenej http://www.wafi.com/shopping-in-dubai/shop/ghenej-jewellery/274 http://instagram.com/ghenejjewellery

 

This is the Introduction and what I wrote so far:

 

Introduction

Internationalization is a when we see a remarkably increases of the involvement of enterprises in the international market. UAE is one of the countries that are processing an enormous involvement of the enterprises in the international market. There is lots of significance and impact of internationalization on the UAE such as, improving the economy, increase the production and the quality standers and also exchanging knowledge and ideas to develop the country.

Ghenej means coquetry and that demonstrates on the unique traits of femininity, Ghenej jewelry  was established by the designer Muna Al Hadad, the collection are inspired by Muna’s birthplace and homeland the UAE her number one inspiration of most of the collections. Ghenej jewellery collection consists of necklaces, rings, bracelets and earrings with a limited and unique collection displayed in Harvey Nicholas and Duty free at Dubai international airport terminal 3 as she has expand to open their own shop on 9th of September 2009.

Today we are taking this unique collection of to US, California, Beverly Hills, Rodeo Drive, We are starting our first international store by exporting few of our collection such as the calligraphy oriental art collection, wedding collection, mojo jewellery collection and bracelets collection.

 

Business concept

Ghenej mission is to be a unique brand that takes the inspiration of the Arab environment and the passion of poetry and art and spread it to the world.

Ghenej goal is to achieve more loyal customers by expanding their branches through the world.

Environmental assessment

 

Socio-cultural Forces

The objective of a business is to make an ideal use of its existing assets to make income, and to increase its returns. Whether or not a business is able to make an ideal use of its existing assets varies upon many internal and external aspects. One of such famous aspects that play a critical role in the performance of an organization is the socio-cultural environment of the region in which the organization is running.

 

Socio-cultural aspects such as social attitudes, believes, education, law, politics, and many different aspects, have a way on the setups of a business. If a business manages to understand or fails to recognize the consequences of socio-cultural aspects, it will ruin the risk of disaffecting itself with its direct environment. America is a multinational country that attracts different religions and believes and includes people from all around the world, with a different behavior based on their religious and their language. Most of them are Christian which they are 77% of the population, 23.3% Catholic, 1.7% Jewish, 0.6% Muslim and other religious, the highest number of worship goes for the Christianity followers compared by other religion. In addition to that the official language of the country is English. There are around 20% of other languages like Spanish, Asian and other. There are some issues that may face Ghenej UAE in opening a business in America.

 

Therefore, the major issues for a jewellery business might be is the change of current advertisements and the product’s labeling language, as their advertisements and labeling should be in English as the majority of the people understand this language, or it could be a not written advertisement so they won’t find difficulty to read it and understand. Or the website could be in any language that the users choose. Also as there are many believe and behavior so Ghenej should deal with many different cultures in the same country.

 

Moreover, the company should be acknowledged that they might face a lot of changing in customers’ tastes and different attitude of American. And to solve this problem the company has to correspond with the changes by learning more about the culture there. So the business will be more efficient.

 

Economic and socio-economic Forces

The United States financial system is the world’s largest national economy with a GDP of approximately 16.8 Trillion US Dollars, the GDP value of the United States represents 27.10 percent of the world economy. GDP in the United States averaged 6145.56 US Dollars Billion from 1960 until 2013. The GDP per capita in the United States is 39,337 US Dollars. GDP Growth Rate in the United States averaged 3.27 Percent. Moreover, the price of the United States currency is higher than the price of the UAE’s currency, so when the company will ship their products to the US, so they have to increase the prices upon the currency change and that will may benefits Ghenej profits.

Legal Forces

 

Like any other country, to start up a business and obtain a business license, it is important to contend with extensive federal and state regulations .As that might be difficult in the United States. As there are many steps to go through to start up this business.

The business person must overcome many bureaucratic and legal obstacles to register a new firm or business in United State, the first step is that you must provide the legal configuration to organize the business, also with the chosen business structure you fill the forms and register your firm. Any business or corporation needs a tax ID identification, which will be given from the Internal Revenue Service in US, after that the company must acquire licenses and permits from state and local government agencies.

As the legal forces have the participation in patents, trademark, and other conventions, it is important that the property write is granted by the Government of the United States of America, as the business will be protected through the registration of patent and copyright. It requires an image of the brand logo, or to protect the business by the trademark.

Ghenej Company is planning to set up a new branch in the United Status and expand their products to be sold there. The company has its own patent, loge and copyright, which will protect the business from being copied. At the beginning when establishing the brand, the company will face some legal issues like registration issues, patent, copyrights and tax issues.

All of those conventions will cost lots of money and this is one of the major issues that will affect the expansion, it will cost the company lots of money and also lots of time to get the license or the trademark. Therefor the company must be ready to deal with the legal issues and solve the issues even before they start by the good management and good communication.

 

Political forces

The government of California structure is consists of three branches: the executive, and its consisting of the Governor of California, the legislative, consisting of the California State Legislature and the judicial, consisting of the Supreme Court of California. Also the state allows direct participation of the electorate by initiative, referendum, recall and ratification.

Political stability is the integrity of the USA, it’s the stable society is one that is satisfied with the governing party and system of operations. The US has a stable political government because it’s favored by the population because it’s a democratic nation.

 

US are following the free trade and that refers to the international trade and the most common barriers to trade are tariffs, quotas, and nontariff barriers. A tariff is a tax on imports and it’s usually purpose is first to limit imports and second to raise revenue. A quota it’s same as tariffs it’s to limit a type of good that are imported to the country. A quota can be either voluntary or legally enforced. A Nontariff barrier includes regulations regarding a certain product content, quality, product standards and packing and shipping regulations.

Therefore, they will be lots of major’s impact that Ghenej may face on the expansions, because Ghenej jewellery collection most of it will be imported from the United Arab Emirates and it will face lots of barriers such as the tax and nontariff barriers regarding of the shipping and the packing regulation to the US.

 

Labor forces

For this shop we will need one manager that will be managing the shop in the US, 2 skilled labors on permanent payroll, one employee on hourly wage the Casher and one will be the seller/ assistant employee, and finally the security guard contracted from security agency. In all we need 4 employees to operate this shop.

An employee will work for six days a week and Monday would be their day off their working hours will be from 2 pm until 8 pm from Tuesday to Friday, Saturday and Sunday the shop will be open from 2 pm until 10 pm so Monday will be their day off and that will be forty hours in a week as a law of California.

The salary of the manager will be $45,615 per year inclusive of all benefits, the casher and the seller/assistant will get a $12 per hours inclusive with all benefits, and the security will be hire from security agency so their salary will be $10 per hours with all inclusive.

In addition of the above we will be also hiring a quality man power to run our operations, our sales executive is also paid at the rate of 12.5 dollars per hour against the minimum wage of 9 dollars per hour in New York State.

The only major issue that Ghenej is my predict due to expansion is the capital, so they have to insure  that the capital is covering all of the expansion costs and it will be covering all of the wages that we are paying to the employees and to be even better than others stores of similar size.

 

Below is the points I want to add on the previous writing:

Marketing Strategy {USA}

  • Market Analysis (including competitive analysis, market segmentation, target market)

  • Product Strategies

  • Place (including distribution Strategy) .. I chose this place: Rodeo Drive

  • Pricing Strategy

Promotional Strategies
Competitive Strategy

  • What is your competitive strategy?

  • Why was this strategy chosen?

Market Entry Strategy

  • What is your mode of entry?

Answer: Joint Ventures

  • Why was this entry mode chosen?

Conclusion