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UNIQLO in China - Essay Example

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The rapid augmentation of fiercely developing annual household income along with rising population of working women in China ensure to offer major scope for the overseas marketers to build their long-term sustainability in the Chinese markets. …
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UNIQLO in China

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In a Company Perspective.
The concept of marketing problem can be termed as a constraint or issue due to which organizations face significant hurdles in launching or promoting any product or service. The marketing problems of an organization can be identified through analyzing its internal influencing factors. With respect to the company perspective, the internal factors involve few major dimensions that influence the marketing activities of an organization. In this context, these dimensions can be associated with 4Ps of marketing mix including product, price, place/distribution and promotional attributes of the organizations (The Chartered Institute of Management, 2009). These dimensions have been discussed hereunder.
Product Development
Factors With respect to the business strategy of UNIQLO, the organization tends to possess two major strengths including the usage of quality based materials along with unique functional materials in manufacturing its range of fashionable garments and apparels. Specially mentioning, the use of high quality materials such as Merino wool, cashmere and Supima cotton in producing Women's Winter Style products enabled the organization to comply with the requirements of the customers. Moreover, the unique functional material in designing Women's Winter Style products tends to create increasing demand in the markets during the cold/winter season across different geographical locations (Fast Retailing Co., Ltd, 2013). Promotional Variables Across every season, the promotional campaigns of UNIQLO incorporate endorsing its core products including HEATTECH, ultra-light down jackets, fleece and polo shirts among others throughout its different overseas retail locations. The promotional campaigns of the company focus on developing advertising activities encompassing different tele-media (Fast Retailing Co., Ltd, 2013). Pricing Variables The pricing strategy of Women's Winter Style products is also a major attribute of UNIQLO to successfully achieve its business objectives across the markets where it operates. The company provides quality based Women's Winter Style products in a more reasonable price as compared to other fashion retailers. In this regard, the adequate control of inventory along with the marketing department and merchandisers of the company facilitate to reduce the cost up to 30% in comparison with the regular price of the products (Fast Retailing Co., Ltd, 2013). Place/Distribution Variables In relation to the place/distribution variable, the continuous expansion in the global destinations significantly provides adequate support to UNIQLO in order to avoid different sorts of marketing problems. Currently, the organization operates more than 11,000 retail stores across different nations including the UK, the US, France, Russia along with Japan and other major Asian countries (Fast Retailing Co., Ltd, 2013). 1.2 In an Industry Perspective. According to marketing concepts, the industry influencing factors have also major bearing upon the organizations to face different marketing problems. In order to critically assess the major influencing factors of the fashion garments business industry, the analysis of Porter’s five forces would enable to critically identify the current marketing strategy of UNIQLO. These have been discussed hereunder. Power of Buyer According to the recent phenomenon, the power of buyer is relatively high for UNIQLO due to increasing number of fashion retailers. ...Download file to see next pagesRead More
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They also have one domestic global flagship location, the Uniqlo Shinsaibashi Store, and they plan on opening other large scale and flagship stores in major urban Japanese areas, including Tokyo, Osaka, Nagoya and Fukuoka. The forecast for their sales for the fiscal year ending in August, 2011, is 93.7 billion yen, which represents an increase of 28.7% from the previous year, and their operating profits were 8.9 billion yen, which was an increase of 40.6% from the previous year.
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