International marketing - Assignment Example

Introduction Haigh’s chocolate company produces high quality chocolates for its s mainly in Australia. Due to injection of funds by the management, the company is looking to go into outside markets and has identified the Korean market for this endeavor based on its growth rate and potential for expansion.Korean market analysisThe Korean confectionary market has grown at an average rate of 3.3% annually and the largest category is the chocolate industry that holds two thirds of the market in value.

The growth rate of the of the domestic market is 5-10 and this provides a $75 billion industry as at 2008 that is recession proof.The Korean consumer class is able to purchase the product as it is affordable and consumable with 90% craving it and 50% consuming it each day. Its benefits have been found to be such as the reduction of blood pressure and dark chocolate has flavanoids that are good for ones health.The main companies in Korea are Orion, Nong Shim, Lotte confectionery and Crown Snack and they dominate the confectionery sector.

However, there is potential for growth in this industry as the market is still small as compared to that of other countries providing Haigh’s a large market that has a great potential for expansion. This is further boosted by the fact that among the countries that Korea imports chocolates from, Australia ranks third and Haigh’s already has an established reputation in Australia.Haigh’s chocolate would thus have The fact that Haigh’s chocolate has been in business since 1915 gives them a competitive advantage that has equipped the company with the data and knowledge of how the industry works.

More so, Haigh’s chocolate already has a reputation for manufacturing and selling high quality chocolates.Works citedAgri-Food Trade Service, 2010. Agriculture, Food and Beverages Profile –Republic of Korea. [Online] . Retrieved on April 17th: http://www.ats.agr.gc.ca/asi/4379-eng.htmRonnie, 2009. Future chocolate market: S. Korea? [Online] Retrieved on April 17th: http://chocolatebythebay.com/magazine/outsidechocolate/future-chocolate-market-s-korea/Chocolate Business In Korea — Presentation Transcript, 2009.

Chocolate Business In Korea, Immersion Week Program in 2009. [Online] Retrieved on 17th April: http://www.slideshare.net/mrbrian89/chocolate-business-in-korea