International Marketing Plan the Argos Entering the China Market - Coursework Example

International Marketing Plan (The Argos entering the China market Introduction 2. Section A: Cultural Analysis, Economic Analysis Country’s Relevant History Chinese culture is one of the oldest cultures in the world. The nation also has a notable economical structure and environment. However, there has been a significant change in the culture as well as the economy of the nation from the course of time. The change in the economical and cultural aspects of the nation has a strong impact in the trading and business environment. The change in the cultural and economical factors of the nation is largely because of the change in the rulers and ruling style of the nation. These rulers or the government of the region has introduced several policies that have lead to a significant impact in the culture and economy of the region. One of such notable is the introduction of one child policy by the government in 1979. Another, significant change noted in 1997, when Hong Kong returned to the control of China. This has lead to a significant impact in the economy as well as in the culture of the region. However, through all the changes from the history of the nation, presently the nation has commanded as the second largest economy in the world. Geographical Setting The geographical scenario of China also plays a significant role in establishing a favourable trading and business environment. A. Location With regard to geographical scenario, the location of China is highly favourable to most of the foreign as it is located near to most of the nations. The nation is located in the South East Asia and along the costal lines of the Pacific Ocean. Thus, shipping from China is highly convenient to the international traders. B. Climate As China is the largest nation in the world and having a vast land area the climate greatly differs throughout the nation. This enables China to have a varied temperature and rainfall throughout the nation. However, majority of the land area of the nation possess continental monsoon. Additionally, the winter season of the nation is mostly observed to be cold and dry while the summer is hot and rainy. Moreover, it is also important to note that China do not possess extreme climatic condition that discourages the investors. C. Topography Topographically, China has higher altitudes in the western part while it has lower altitudes in the eastern region. It is observed that two third of the nation possess plateaus and mountains. However, it is also important to note that topographically the nation is not unfavourable that would discourage the investors. The topographical image of China is shown underneath. Source: (University of Washington, 2014) Social Institutions A. Family 1. Nuclear Family With the change in the economical structure of China, the nation has also undergone a significant change in the family structure. It is observed that majority of the people of the nation possess a nuclear family structure. This comprises of more than two third of the people of China. It is also observed that China possesses a significant number of people that are lineal. 2. Extended Family The number of people staying in an extended family is decreasing from the course of time. It is observed that majority of the people of China prefer to stay alone or in a nuclear family. The prime reason for such is the increase in the multinational organisations in the region. This has leaded the employees to stay separate in the cities and other parts of the nation. The decrease in the extended family is also major factor to be considered for marketing. The reason behind this is the decrease in the extended family would lead to the decrease in the sales of the bundled retail products. 3. Dynamics of the Family a. Parental Role China is one of such nations in the world that have a significant parental role. After the policy of one child plan in 1979, it has been observed that majority of the couples of China prefers to have a male child. The Chinese people alike several other cultures of the world believe that the male child would preserve the surname as well as the family’s bloodline. However, it cannot be regarding the effective parental role of China. The couples of China spend a significant amount of money for the development of their child in a hope that the child would excel in academics and others. The parents are also cautious regarding the physical health of their child and hence, are also cautious of the proper diet to the child. Thus, it also provides a significant opportunity or the agro based companies to invest in the child products in the region. b. Marriage and Courtship According to the Marriage Law of 1950 in China, it permits each and every citizens of the nation to choose their partners. However, the rural areas of China are highly conservative that do not offer enough privacy for courtship. Unlike several nations of the world, Chinese people prefer to have social marriages to their partners. Additionally, with the large population of the nation, the country has a significant number of marriages each year. This also provides an opportunity to the investor to invest in the needs and demands of the marriage ceremonies. 4. Female/Male Roles From the history of China it is evident that Chinese woman are more engaged in the domestic tasks, while the man are more engaged in the family earnings. However, this has significantly changed in the course of time. Presently, female members of a family are equally responsible for the family earnings. The change is more prominent after the globalisation of the world including China. After the globalisation and liberation of China, several nations of the world including Japan, Korea, and others have invested in the region. This has lead to the increase in the earning opportunity for the females. B. Education 1. The Role of Education in the Society a. Primary Education China has a significant development in the education sector. This is largely because of the contribution by the government to establish a sophisticated educational infrastructure. According to the government of the nation, primary education is the basic need for the people of China. This would enable the people of China to be aware of the basic knowledge and understandings. It leads to logical decision making to the people of China. Moreover, it is the first stage towards education and greatly develops the child mental development. Besides these it increases the imaginative power of the people. Further, it is also necessary for developing humanity among the people and so also the social responsibility. However, it is also important to note that despite the tremendous effort by the government of China, there are evidences of children that are deprived of primary education. The prime reason for such is the extreme poverty of people in the rural areas, where the parents encourage their child to undergo child labour. b. Secondary Education Besides primary education, secondary education is also a decisive factor that significantly leads to the development of the nation. Secondary education is extremely important in developing social responsibility and humanity among the people. This further leads to the elimination of social crime. Considering such importance of secondary education in developing the societies of China, the government has allocated significant amount of budget for the development of secondary education. c. Higher Education Higher education is extremely important in developing professional skills of the people. It leads to the reduction of unemployment and hence, economic growth of the nation. The increase in economic development and higher rate of employment leads to the development of individuals and hence, the society. This leads to the reduction of social crimes. Thus, considering such positive impact of higher education to the society, the government of China has undertaken several strategies for the development of higher education. China is one of such countries in the world that has some of the world’s best universities and colleges. C. Political System 1. Political Structure The People Congress System in the fundamental political system of China. This comprises of the People’s congress at the local level and the National People’s Congress (NPC) at the national level. NPC possesses the top most power in China. NPC can interpret Constitutional and Statutory provisions. It can enact laws against crime and other offences within the nation. The underneath diagram depicts the detailed national political structure of China. Source: (Shuzhen, 2010) 2. Political Parties There are several political parties of China that are highly competitive in order to for government of the nation. These include China Revolutionary Committee of the Kuomintang, China Democratic League, China Democratic National Construction Association, China Association for the Promotion of Democracy, Chinese Peasants and Workers Democratic Party, China Zhi Gong Dang, Jiusan Society, Taiwan Democratic Self-government League, and many more. 3. Stability of Government Although there have been evidences of the communal riots, political conflicts, threats from terrorism, and many more, still the Government of China is considered as highly stable. This is because the intensity of such disturbances is not as major that would lead to the political instability of the nation. Thus, from the perspective of an investor, China is good market to invest. 4. Special Taxes References University of Washington, 2014. Land. Home [Online] Available at: http://depts.washington.edu/chinaciv/geo/land.htm [Accessed December 4, 2014]. Shuzhen, Z., 2010. The introduction of Chinas political system and structure. China Daily [Online] Available at: http://www.chinadaily.com.cn/thinktank/2010-03/10/content_9566611.htm [Accessed December 4, 2014]. Read More