Argentina has a large, fertile land area and well-developed manufacturing industry. It has a population of over 40 million that is highly urbanized and of mostly European descent. Spanish is the dominant language though English is becoming more common. The economy relies on agriculture, industry, and services and has high GDP per capita by Latin American standards. OKF Health Drink is launching an aloe vera juice product in Argentina in various fruit flavors packaged in PET bottles and cans. It will use a penetration pricing strategy and promote the product online, in magazines, and on its website to target Argentina's health conscious population.
Spanish Speakers: Emergent Majority -BAUTISTA- Spring 2016Luis Carlos Chacón
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Spanish Speakers: Emergent Majority -BAUTISTA- Spring 2016Luis Carlos Chacón
In order to encourage forward thinking and analysis of the different options and opportunities that the future brings, -BAUTISTA- pre- sents every season a free piece of content in which we apply global knowledge about futures, scenarios, trends and forecasting to a spe- cific topic of significant relevance for different stakeholders of mar- keting, innovation, strategic planning and creativity, among others.
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This is a sample of my work with global import/export and cultural business for my International Business class. I chose Uruguay. However, I have interest in these topics in every region.
Country brand Peru, was an assignment made in the course of brand marketing and the objective was to understand how to establish and promote a country brand, the perfect example was the amazing and wonderful Peru, my country. (here a sample of the work done)
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2. Introduction Argentina is the second largest country in South America by land area, after Brazil. It is constituted as a federation of 23 provinces and an autonomous city, Buenos Aires. It is the eighth-largest country in the world by land area and the largest among Spanish-speaking nations. Argentina possesses great potential for economic development. Its large and fertile plains are among the world's richest agricultural areas. The manufacturing and processing industries are well-developed and often employ modern technology to produce a wide variety of products of high quality. The country is nearly self-sufficient in energy. The labor force is relatively sophisticated and Argentina's inhabitants enjoy a health level comparing favorably with man y industrialized countries.
3. Key Facts About Argentina OFFICIAL NAME : República Argentina (Argentine Republic) CAPITAL : Buenos Aires OFFICIAL LANGUAGE : Spanish INDEPENDENCE DAY : JULY 9, 1816 (SPAIN) CURRENCY : Peso (P) = 100 centavos EXCHANGE RATE : P4.20 per US$ (Floated From Feb 2002) AREA : 2,766,890 km2 , 1,068,302 sq. mi
4. Continued…. POPULATION : 40, 117,096 (2010) ANNUAL POPULATION GROWTH RATE : 1.017%. (2010 est.) GDP : $642.4 billion(2010) GDP PER CAPITAL : $15,854 (2010) GDP REAL GROWTH : 7.5 (2010) UNEMPLOYMENT : 7.9% (2010) INFLATION : 22% (2010)
11. Most Argentines are descended from colonial-era settlers, and 19th and 20th century immigrants from Europe.
12. Argentina was second only to the US in the numbers of European immigrants received and, at those times, the national population doubled every two decades.
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18. The metropolitan areas of Córdoba and Rosario have around 1.3 million inhabitants each and Mendoza, Tucumán, La Plata, Mar del Plata, Salta and Santa Fe have at least half a million each.
23. High inflation has been a weakness of the Argentine economy for decades. Officially hovering around 9% since 2006, inflation has been privately estimated at over 20%, becoming a contentious issue again.
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25. Continued… The pace of business in Argentina is slower than in the United States. A meeting that is going well could last much longer than intended, even if it means postponing the next engagement Argentines often need several meetings and extensive discussion to make deals. Decisions are made at the top. Try to arrange meeting with high-level personnel. Guests at a meeting are greeted and escorted to their chairs. The visiting senior executive is seated opposite the Argentine senior executive. During business meetings, sustain a relaxed manner, maintain eye contact and restrict the use of gestures. Don’t take a hard sell approach. Be prepared for a certain amount of small talk before getting down to business. Avoid confrontation Argentines do not like publicly admitting they are incorrect.
28. Flavors of Aloe Vera Juice ALOE VERA JUICE - NATURAL ALOE VERA JUICE - MANGO ALOE VERA JUICE - ORANGE ALOE VERA JUICE - STRAWBERRY ALOE VERA JUICE - PINEAPPLE
29. Factors Favoring the Product Market. The Humid weather of Argentina likely requires the more cool products. Health consciousness of citizens. Prefer more protein and energy juices Its so liked plant popularly known as Wonder Tree They Use ALOEVERA for many other purposes. Good Agriculture production at Low Price Their Liking to have Aloe Vera with Wines Etc.
30. STP Analysis SEGMENTATION:- Being a Health drink for all it elegantly focuses the entire set of population in- AGE AREA HEALTH CONSCIOUSNESS TARGETING:- As discussed above it mainly targets the health conscious cult of the population and being a nation more inclined to sports using a soccer player as a Brand Ambassador it clearly takes form of a Energy Drink POSITIONING:- Creating an image of a perfect natural energy drink…….
35. Price PRICING STRATEGY :- PENETRATION PRICING. PRICES ARE:- PET bottle: 8 Oz. are available in 7 peso. PET bottle: 16 Oz. are available in 13.5 peso. Can : 50 Oz. are available in 40 peso.
36. Place Product launched keeping in mind the humid and arid areas in order to capture the beverage segment focusing on the health consciousness of the customer Areas selected for primary marketing: Capital : Buenos Aires Along with other areas like: Northern Chaco Central Pampas Santa Fe Corrientes Formosa
37. Promotions Online food store for the product Food magazines Website promotions specially WWW.Go Fabby.Com WWW. Facebook.com Radio medium Stations like Blur FM Radio Carnaval Radio America Brand Ambassador --Lionel Messi --Norma Aleandro
38. People Chalking out an Appropriate importer at an initial stage in order to circulate the product in the market. Using special personal selling force to capture the retail outlets in order to get an even spread across the country. Specialized human resource to keep the import log in order to maintain requisite inventory to rule out lagging situations.
39. Importing juice from production country i.e. South Korea (Initial Stage) Setting up a manufacturing unit (Later Stage) Process Product Reaching its Destination (ARGENTINA) Distributor Distributor Distributor Distributor RETAILERS….. CONSUMERS (FINALLY GRABBED IT…)
40. Physical evidence Central Head office : Buenos Aires. Customer Reparation and Feedback agency : Outsourced Import Office : Santa Fe. Tie ups with Local Distributors.
42. Geert Hofstede Analysis Power Distance Index (PDI) that is the extent to which the less powerful members of organizations and institutions (like the family) accept and expect that power is distributed unequally. Individualism (IDV) On the one side versus its opposite, collectivism, that is the degree to which individuals are inter-grated into groups. On the individualist side we find societies in which the ties between individuals are loose: everyone is expected to look after him/herself and his/her immediate family.
43. Geert Hofstede Analysis Masculinity (MAS) versus its opposite, femininity, refers to the distribution of roles between the genders which is another fundamental issue for any society to which a range of solutions are found. Uncertainty Avoidance Index (UAI) deals with a society's tolerance for uncertainty and ambiguity; it ultimately refers to man's search for Truth. It indicates to what extent a culture programs its members to feel either uncomfortable or comfortable in unstructured situations. Unstructured situations are novel, unknown, surprising, different from usual.
About 3 million people live in Buenos Aires City and the Greater Buenos Aires metropolitan area totals around 13 million, making it one of the largest urban areas in the world.3) Argentine cities were originally built in a colonial Spanish grid style and many still retain this general layout, which is known as a damero (checkerboard).