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Haribo’s Gummy Bear -  Introduction to the    Chinese Market                        1
1.   Executive Summary        2. Business Description        3. Business Environment Analysis             3.1. Industry An...
Export of the original Haribo “Goldbears” to Greater  China in a market-adapted form    •   Global branding, local marketi...
Haribo will export the original “Goldbears” toChinaGummy bears are pertaining to the confectioneryindustry and are already...
Substitutes:                      >chocolate                      >gum                      >savorysnacks                 ...
Confectionery Industry Volume (in bn $)                  10                   8Billions / %                   6           ...
• German qualitystandard                • Limited• Establishedworldwidebrand-              marketresearchinformationon  aw...
- Lovers            - Lovers                  PriceQuality                              Quality                  Price    ...
Tobecome        a     strong                    competitor in the Chinese                    confectioneryindustry  To bec...
Original GummyBearPackage    • Large packages    • Miniaturepackages (family       pack)                      Goji Berry  ...
Germany   China18/10/2012                11
Advertising             o Billboards, posters             o Airplanes             o Subway (Shanghai Metro)             o ...
Contracts with already established   chains    o        McDonalds    o        Cold stone    o        Sushi Chains (dessert...
Competitor and market oriented   Low price compared to Germany   4 Chinese RMB per largepackage (0.4745€)   6 Chinese RMB ...
Establish contracts with :1) International supermarket chains :2) Convenience     stores:    Quick     of   LianHua, Allda...
Opening of a flagship store in Shanghai in    2014    Place : The Nanjing Road,The busiestluxuriant commercialstrip in Sha...
18/10/2012   17
2013  2015  201718/10/2012   18
18/10/2012   19
Aug 12             Sep 12            Oct12             Nov 12             Dec12          Jan 13                        Wee...
18/10/2012   21
18/10/2012   22
18/10/2012   23
18/10/2012   24
Thankyouforyourattention !                             25
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International Product Launch - China

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International Product Launch - China

  1. 1. Haribo’s Gummy Bear - Introduction to the Chinese Market 1
  2. 2. 1. Executive Summary 2. Business Description 3. Business Environment Analysis 3.1. Industry Analysis 3.2. Competitive Analysis 3.3. Market Analysis 4. Marketing Plan 5. Operations Plan 6. Financial Plan 7. Conclusion 218/10/2012
  3. 3. Export of the original Haribo “Goldbears” to Greater China in a market-adapted form • Global branding, local marketing Premium product, targeting the growing Chinese upper and middle class and its demand for foreign high quality products USP: German quality, western brand, premium product, high quality ingredients, affordability, minor product adaptations to Chinese preferences Aggressive in-store and contemporary media advertising Partnerships & cross-selling with established strong western and local food chains Highly profitable business in a growing industry, break- even is expected to be in December of 201618/10/2012 3
  4. 4. Haribo will export the original “Goldbears” toChinaGummy bears are pertaining to the confectioneryindustry and are already highly profitable in 22countries around the worldThe businesses headquarter is in GermanyA production plant will be rented in Suzhouserving the Chinese marketRetail and expansion will start in metropolisesand then permeate throughout the interior of thecountryThe German origin will serve as a seal of quality 4
  5. 5. Substitutes: >chocolate >gum >savorysnacks >freshfruit Buyers: >lowswitchingcosts > young girls & women, kids > wholesalers & retailers > supermarkets & kiosks >franchisees Chinese Confectionery Industry >Tendencetowardshigherc ustomerloyalty Moderate Rivalry >pricesensitivitySuppliers:>exclusivedealswithselectedraw material suppliers>commoditymarket Barriers to enter/exit: > capital assets (building, machinery etc.) > venture capital > economies of scale >technologicaladvancement to avoidimitation >high barriers to enter/exit 18/10/2012 5
  6. 6. Confectionery Industry Volume (in bn $) 10 8Billions / % 6 4 2 - 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 HARIBO„sprojected Market Share (%) 18/10/2012 6
  7. 7. • German qualitystandard • Limited• Establishedworldwidebrand- marketresearchinformationon awareness the Chinese market• Tradition, int. experience • No expertisein the Chinese market SWOT• Steady market growth • Quick imitation• Rising standards of living and • Many market entrances with disposable incomes domestic manufacturing• Orientation towards quality and • Local producers are acquiring foreign confectionery Japanese and Korean• Chinese producers slow to introduce technology new candy products • Market distinctively price-driven• Candy is capturing the younger • Sales are seasonal, strongest in Chinese consumers as a trend and as winter a new taste • Traditional reluctance to product• Innovative packaging and novelty candy are scarce and underdeveloped• Rural areas are under-supplied18/10/2012 7
  8. 8. - Lovers - Lovers PriceQuality Quality Price - Lovers - Lovers 18/10/2012 8
  9. 9. Tobecome a strong competitor in the Chinese confectioneryindustry To become the most popular gift item of choice in China To become a childhood favorite for girls & boys To develop a long-term strategy which could differentiate our product18/10/2012 9
  10. 10. Original GummyBearPackage • Large packages • Miniaturepackages (family pack) Goji Berry Haribo„sbrandidentity will bemaintained Adaptionsto Chinese tastes Ginger • Flavor • Package • Slogan Green Tea Real fruitjuice, all naturalingredients Lucky Panda German qualitystandards18/10/2012 10
  11. 11. Germany China18/10/2012 11
  12. 12. Advertising o Billboards, posters o Airplanes o Subway (Shanghai Metro) o TV : CCTV o In store promotions Install local internet platform (389 million users)18/10/2012 12
  13. 13. Contracts with already established chains o McDonalds o Cold stone o Sushi Chains (dessert sushi)18/10/2012 13
  14. 14. Competitor and market oriented Low price compared to Germany 4 Chinese RMB per largepackage (0.4745€) 6 Chinese RMB perfamily package18/10/2012 14
  15. 15. Establish contracts with :1) International supermarket chains :2) Convenience stores: Quick of LianHua, Alldays&Kedi of NGS3) Specialty stores : GOME, Suning18/10/2012 15
  16. 16. Opening of a flagship store in Shanghai in 2014 Place : The Nanjing Road,The busiestluxuriant commercialstrip in Shanghai18/10/2012 16
  17. 17. 18/10/2012 17
  18. 18. 2013 2015 201718/10/2012 18
  19. 19. 18/10/2012 19
  20. 20. Aug 12 Sep 12 Oct12 Nov 12 Dec12 Jan 13 Week 1st 2nd 3rd 4th 5th 6th 7th 8th 9th 10th 11th 12th 13th 14th 15th 16th 17th 18st 19th 20th 21st 22ndRentproduction plantHire a representativePrepare legal documentsPresent 5 year planRegister businessRenovate PlantBuid business relationshipsRegister trademarkHire staffStaff trainingWebsite desginDevelop marketing campaignGet approval for addsMeet with representativesLaunch marketing campaignHire promotion staffStart promotion 18/10/2012 20Final launch of product
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  23. 23. 18/10/2012 23
  24. 24. 18/10/2012 24
  25. 25. Thankyouforyourattention ! 25

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