...interest in examining the mechanism and influence of online advertising. Along the line of research, an intensely debated topic has been consumers’ beliefs and attitudes toward online advertising. A host of studies (e.g. Ducoffe 1996; Russell, Staffaroni, and Fox 1994) have suggested that individuals’ attitudes toward online advertising (ATOA) are an important measure of advertising effectiveness. Past research of online advertising has provided insight into global marketing and commerce. However, the foci of most studies have been on the USA or other developed countries. Little is known about online advertising in developing countries such as China. Culture and advertising are intrinsically linked. Cultural influence on consumers’ beliefs and attitudes toward advertising has been well documented in the marketing literature (e.g. Durvasula and Lysonski 2001; La Ferle, Edwards, and Lee 2008). As Roberts and Ko (2001) stressed, cultural differences are as relevant to online advertising as to traditional advertising. The goal of the current study is to investigate online advertising across different cultures such as China and Romania, which extends the current research on ATOA to distinctly different cultural contexts and may provide useful implications for businesses and organizations to expand across cultures. Moreover, due to the short history of online advertising, consumers’ beliefs and attitudes toward online advertising are still evolving and changing (Karson, McCloy, and Bonner...
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...AT IPO Since its official launch in January 2000, Baidu.com, Inc. (Baidu) quickly grew to become the leading Internet search engine in China. After three rounds of private funding, Baidu registered to go public on the NASDAQ Stock Market (Ticker Symbol: BIDU) on August 5, 2005. (See Exhibits 1 and 2 for a listing of Baidu’s private funding sources and pre-IPO share allocations.) The initial public offering (IPO) turned out to be one of the highest-profile debuts since the Internet bubble burst in 2000. The stock price jumped 354 percent on the first day of trading and closed at $122.54, valuing the company at about $3.96 billion based on 32.3 million shares outstanding. While the market showed strong enthusiasm for the stock, Baidu’s public offering nevertheless generated much debate in the investment community about the underlying value of the firm. Furthermore, concerns were raised about whether or not Baidu was able to sustain its growth rate and exceed investor expectations after the IPO. Factors leading to this uncertainty included: the state of the Internet-paid search market in China, the expected growth in the marketplace, the competitive landscape, and the strength of Baidu’s business model and strategic position. BACKGROUND ON CHINA’S ADVERTISING AND ONLINE ADVERTISING MARKETS Advertising Market From 1995 to 2005 China’s advertising market grew at a compounded annual growth rate (CAGR) of 17 percent, which was substantially higher than China’s nominal annual GDP growth...
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...Marketing American Western Art in China Lewis Clark State College Business 482-7501 Introduction Specializing in American Western and wildlife art, the idea of penetrating the Chinese art market is very intriguing, and it has been on the mind of art dealers of all genres for years. The first section of this paper will analyze China and the business experience including GDP, etiquette, negotiating, business attire, and banquet dinners. The next section will discuss China's market structure and direct foreign investors. Third, discusses China's demographics followed by advertising regulations. Finally, the Chinese art market will be introduced and in section two, a marketing strategy will be proposed to enter China's art market, create demand for American Western and wildlife art, and discuss strategic partnerships and co-branding opportunities. China And The Business Experience For centuries, China stood as a leading civilization, outpacing the rest of the world in the arts and sciences, but in the 19th and early 20th centuries, the country was beset by civil unrest, major famines, military defeats, and foreign occupation. After World War II, the communists under MAO Zedong established an autocratic socialist system that, while ensuring China's sovereignty, imposed strict controls over everyday life and cost the lives of tens of millions of people. After 1978, MAO's successor DENG Xiaoping and other leaders focused on market-oriented economic development...
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...OROTON International Marketing Report Student: Erin Burgess Student: Kellie Burmeister Student: Mark Bell Lecturer: Suzanna Mahinder Due date: 25th August 2013 OROTON page 2 TABLE OF CONTENTS INTRODUCTION ................................................................................................. 3 THE OROTON BRAND ....................................................................................... 3 OROTON PRODUCTS........................................................................................ 3 THE CHINESE MARKET .................................................................................... 4 OBJECTIVES ...................................................................................................... 4 TARGET MARKET .............................................................................................. 5 MARKET RESEARCH ......................................................................................... 5 ENTRY STRATEGY ............................................................................................ 6 PRICE STRATEGY ............................................................................................. 7 PRODUCT STRATEGY....................................................................................... 8 PROMOTION STRATEGY .................................................................................. 8 DISTRIBUTION STRATEGY ................................................................................
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...contribute to the change in the income levels. Also what factors (from an income standpoint) should western firms keep in mind when deciding to serve the Chinese market. As per the Mckinsey Global Institute (MGI), in 1985, 99 percent of the household lived on income less than 25,00 reminbi, or $3019 per year. An estimated 116 million people in china were living less than $1 a day, by 2004 this number has been by 53 percent to just under 54 million. This has been a historical achievement in one generation. Chinas pro-market reforms and integration into the global economy has enabled China to achieve such success. As real average disposable income for households has grown 3.2 times over the past 20 years to 25,348 renminbi today, china has developed a structure of distinct income levels and the rise of the middle class. Even though there remains a huge income gap between the rural and urban population. The disposable income for people living in the rural and urban population is increasing. The diagrams on the right depict the rise in their disposal income level in urban and rural households. Due to the rapid pace of urbanization in China, the annual disposable income per capita for urban households is climbing from 1, 701 RMB in 1991 to 17,175 RMB in 2009. This is equivalent to an 10 times increase. As for rural households, similar trend can also be spotted - a 5.1 raise in annual disposable income per capita to 5,153 RMB in 2009. Subsequently, it can also be observed the growing...
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...Since its official launch in January 2000, Baidu.com, Inc. (Baidu) quickly grew to become the leading Internet search engine in China. After three rounds of private funding, Baidu registered to go public on the NASDAQ Stock Market (Ticker Symbol: BIDU) on August 5, 2005. (See Exhibits 1 and 2 for a listing of Baidu’s private funding sources and pre-IPO share allocations.) The initial public offering (IPO) turned out to be one of the highest-profile debuts since the Internet bubble burst in 2000. The stock price jumped 354 percent on the first day of trading and closed at $122.54, valuing the company at about $3.96 billion based on 32.3 million shares outstanding. While the market showed strong enthusiasm for the stock, Baidu’s public offering nevertheless generated much debate in the investment community about the underlying value of the firm. Furthermore, concerns were raised about whether or not Baidu was able to sustain its growth rate and exceed investor expectations after the IPO. Factors leading to this uncertainty included: the state of the Internet-paid search market in China, the expected growth in the marketplace, the competitive landscape, and the strength of Baidu’s business model and strategic position. BACKGROUND ON CHINA’S ADVERTISING AND ONLINE ADVERTISING MARKETS Advertising Market From 1995 to 2005 China’s advertising market grew at a compounded annual growth rate (CAGR) of 17 percent, which was substantially higher than China’s nominal annual...
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...cosmetics, concentrating on hair color, skin care and so on. In 1973, L’Oréal purchased Synthelabo to pursue its ambitions in the pharmaceutical field. Later on, Synthelabo merged with Sanofi in 1999 to become Sanofi-Synthelabo, which merged with Aventis in 2004 to become Sanofi-Aventis. In the same year, L’Oréal acquired Yue Sai. L’Oréal also purchased The Body Shop in 2006 and acquired major Chinese beauty brand Magic Holidings in 2014. Timeline of L’Oreal Group II. Current Situation and Major Issues 1. Current Situation 1) Global market: L’Oréal is the world’s largest cosmetics company, with worldwide sales of €19.5 billion in 2010. 2) Chinese market: * L’Oréal is the second largest beauty and skincare player in China and No.1 in the luxury segment. Five of its brands, including Lancôme and Maybelline New York, are No.1 in their respective categories. * However, the acquired Chinese brand- Yue Sai does not perform well. a. No substantial profit b. Barely improved sales 2. Major Issues * L’Oreal wants to expand its market share in China’s cosmetics market but it meets some specific problems on...
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...A STRATEGIC BUSINESS PLAN FOR CHINA TELECOM Prepared June 11, 2008 for Dr. Kevin Qing Hua Dong Lu 17, Hai Dian District, Bei Jing, China, 100237 Dr. Kevin Basic idea: Making a great profit after the new company set up and also have a forecast for our company; this plan is a program for doing this in CAU, China. Prepared by Wu Lei Alexander 0614810342 Wang Yang Ocean 0614810221 Liu xiao tian 0614810193 Deng Yu ning Jill 0614810292 Phone number: 010-8345287 010-8345288 EXECUTIVE SUMMARY The method we used to analyze the new china telecom is much traditional method. We will use SWOT and PEST to show the most important information about the company. This has made planning easier and more profitable. 1. Our situation Our company is combined with old CHINA TELECOM and CHINA NETCOM’s CDMA net system. It has another two companies in china will have the right to get the license for 3G service. Market opportunities - We have the most telephone customer (not mobile phone customer) and CDMA net system have the advantage for upgrade 3G system. 2.Weapon resources Our advantageous positions are tow main parts; One is we have we new kind of high-technology that is differ from the old kind of the 3G net service And the technology is our patented product .The orther is our high quality service,we deeply believe that the customer is the god and their require...
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...Consumer Behavior-MKT 510 October 16th, 2011 1. Determine and discuss the barriers facing Starbucks as they try to teach people to change their consumption habits from tea and instant coffee. China is well known for its love of tea, therefore, it is amazing how excited Starbucks is about entering the Chinese market. One executive of Starbucks stated “China is clearly a tea-drinking society-unlike Japan, which we think of as a tea-drinking society but they also drink a lot of coffee. In China, that really isn’t true (Hawkins,Del I & Mothersbaugh,David L, 2010).” There is reason for the excitement about adding Starbucks to the Chinese market. China is known for its consumer market with a population of approximately 1.3 billion, rising incomes, and increase in the outlook of global attitudes; many companies are looking to tap into the China gold mine. However, in actuality China’s coffee market is still far behind other countries in regards to coffee consumption. There was a 90 percent growth in coffee sales in China in recent years; however, the per capita consumption is still less than one kilogram per person. In the United States the per capita consumption rate of coffee is four kilograms. Tea is clearly still the number one beverage in China (Hawkins,Del I & Mothersbaugh,David L, 2010). Tea is part of China’s national heritage and is strongly rooted in their culture. It is very hard to change the routine of someone’s beverage of choice that is deeply...
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...Advertising in China Digital advertising: Lancôme entered the Chinese market by building its own Chinese community (www.rosebeauty.com.cn), which helped the consumers to understand the Lancôme products and also using this community consumers can interact with each other which made Lancôme a commanding and organization in China. This policy of Lancôme became more effective as an organization because of the fact that China did not have any effective communication media like Facebook, twitter or YouTube. Television advertising: the videos that Lancôme used in china to be broadcasted in Chinese television were broadcasted in their local language which gave Lancôme a reason to rise as an organization. Print & outdoor advertising: Lancôme always tried to target the emotional needs of their consumers and provide them with the products they need, being one of L’Oreal’s most successful brand it does a remarkable job in advertising their product throughout china. Advertising in UK, USA & France: Digital advertising: Facebook have been a primary part of the promotional strategies for the Lancôme. Facebook allows the company to mold their advertisement according to the consumers and also they can present their ideas to multiple consumers at a time. The solitary reason of using Facebook is that any user with an interest towards beauty products might view their advertisement and then share among its own circle which intern results in promoting Lancôme products Lancôme...
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...Marketing in China Before the reforms, under the command economy, Chinese companies took order from the state in production and push the products through state-controlled distribution systems. They never had to advertise, to do consumer research, and to think about marketing strategies. For years, even after the opening and reforms, many Chinese still consider marketing western concept of a dubious practice, something that may be not valid or applicable in China. Marketing proves to be one of the most challenging parts of China operations, perhaps more so than other areas such as accounting, finance, or research & development. For several reasons, First, infrastructure in marketing is underdeveloped, including transportation systems, media development, labyrinth of multi-tier distribution channels, and the severe shortage of qualified marketing personnel. Firms attracted to the longterm potential of this vast country must remember to pay sufficient attention to the basics of producing, distribution and marketing a successful product (Country Commercial Guide 1998), Marketing Strategies In the early 1980s when MNCs first came to China, many thought of China as a huge market with a homogeneous culture and felt standardized global marketing would be effective in capturing the opportunities and improving efficiency. These feelings were confirmed by the desire of Chinese to acquire western technologies and their fascination with products from the West. After living in an economy of...
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...Marketing in China Before the reforms, under the command economy, Chinese companies took order from the state in production and push the products through state-controlled distribution systems. They never had to advertise, to do consumer research, and to think about marketing strategies. For years, even after the opening and reforms, many Chinese still consider marketing western concept of a dubious practice, something that may be not valid or applicable in China. Marketing proves to be one of the most challenging parts of China operations, perhaps more so than other areas such as accounting, finance, or research & development. For several reasons, First, infrastructure in marketing is underdeveloped, including transportation systems, media development, labyrinth of multi-tier distribution channels, and the severe shortage of qualified marketing personnel. Firms attracted to the longterm potential of this vast country must remember to pay sufficient attention to the basics of producing, distribution and marketing a successful product (Country Commercial Guide 1998), Marketing Strategies In the early 1980s when MNCs first came to China, many thought of China as a huge market with a homogeneous culture and felt standardized global marketing would be effective in capturing the opportunities and improving efficiency. These feelings were confirmed by the desire of Chinese to acquire western technologies and their fascination with products from the West. After living in an economy...
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...includes the make-up, skincare and hair production and so on. Due to the beauty of nature, there is a huge demand for the cosmetics in the economic market. The corporations of cosmetics are the main supplies of the beauty products. As the blooming development of cosmetics industries, some phenomenon is involved in argument, which have exert an harm on people and the society even though they do not violate the current law. In this research paper, three main ethics problem will be discussed. This paper will give a brief background on each phenomenon, and then give the arguments and problems of it by using the ethics theories and case. Finally, some suggestions and measurement will be given to each problem. Key words: ethics, animal-test, advertising manipulate, double standard, Corporate social responsibility Introduction Cosmetics industry is called “the beauty economy”, devoted to develop the products of skincare and make-up both for woman and man. Due to the pressure from employment and mating (lipstick effect), people, especially woman most likely tend to spend their money on buying cosmetics, in order to enhance their beauty on their appearance and body. Consumers in America spend $45 Billion on cosmetics and beauty products the cosmetics industry makes billions of dollars each year from people's quest for great skin. Different from other industries like clothing or automobile, beauty products are directly applied to consumer and absorbed by people. Thus, standards...
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...International Views on the Cosmetics Industry: Japan, Saudi Arabia, China, Germany, & the United States of America BMGT454-0101: Global Marketing Professor Fardanesh Spring 2015 Mica Cocco Molly Pinkas Nora Keller Antonia Murray Katie Ta Table of Contents: Introduction Article Summary: Saudi Arabia “Booming KSA Beauty Market Attracts Investors” by Jamadil Akhir & “Saudi Arabia and UAE top world list in consumption of cosmetics” "Route to Market: Saudi Arabia" "Chapter 4: Ughmuri Ahasisaki: Cosmetics and Personal Care Products" by Roni Zirinski Article Summary: Japan “Blueprint for a Cosmetics Empire” by Terrie Lloyd “Exploring International Cosmetics Advertising in Japan” by Bradley Barnes & Maki Yamamoto “Face Time: A Digital Makeover for Japan’s Cosmetics Industry” by Kiyoshi Miura, Ian St-Maurice, Brian Salsberg Article Summary: China Understanding the Chinese Cosmetics Market - Dr. Mark Mobius Investigating the Impact of International Cosmetics in China - Bradley R. Barnes Western cosmetics in the gendered development of consumer culture in China - Barbara Hopkins Article Summary: Germany Trends in the European Cosmetic Market- Tereza Roubalikova Vivness 2015: The place to be for the global natural cosmetics industry Beauty Around The World- Germany - Eternal Voyageur Article Summary: United States of America “FDA official says cosmetics industry is trying to undercut government regulations”...
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...business in the United Arab Emirates (UAE) and China. A capable communications plan is necessary for its success. Goal of this communications plan will be to inform customers about the services being offered by the KFF. It will also try to convince customers that they should try Kudler Fine Foods because that experience will change the way they look at food services. The four points discussed in this short plan include evaluation of factors involved in both development and management of a successful plan, and promotion plans especially advertising. Other two points that will come under discussion comprise of technological trends in marketing of the product and marketing communication strategies for China and UAE. Factors in the Marketing Communications Plan KFF wants to create an effective communications plan for China and the UAE. Both of these countries have different cultures and will need different approach. KFF is to determine the best strategy for establishing and managing the customer relations keeping in mind the factors like culture and lifestyle. An effective communications plan “…should certainly include an explanation of the product or service’s positioning – how the product is perceived in the eyes of the target market” (Smith & Taylor, 2004). Management should be in touch with customers, through e-mail, newspapers and flyers, to keep them updated on all the products and services being offered by the company. Advertising and Promotion Programs KFF needs to focus...
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