Business Analysis: Di Bella Coffee

1. About Di Bella
1.1. Company in brief
Phillip Di Bella with his passion in coffee established Di Bella coffee in 2002. A decade after launching, Di Bella has become an Australian key player in coffee market with a series of retail stores in Australia (Boley, 2012). In 2014, Di Bella Coffee has become a part of Retail Food Group (RFG) associated with Gloria Jean's Coffee. The annual report from RFG indicates that Di Bella coffee is continue driving this business forward, said Nichols (2015).
1.2. About Espresso Martini
An innovation from Di Bella is called espresso martini. This is a mixture of high quality roasted coffee and vodka. Containing 7% of alcohol, espresso martini is aim to be a product for starting a party and for whom enjoy night
Country analysis
2.1. Japan
2.1.1. Administrative landscape
The democracy in Japan with the governing of Shino Abe is seemed to be continuing its stability. Although the nation raises the concern of the roiled relationship with China and South Korea, World Bank (as noted by Euromonitor International, 2014) votes Japan relatively high, at 40th out of 203 countries in term of political stability. Furthermore, Abe’s policy is also continuing discussing to enlarge the free trade agreement. Particularly, a success of Free Trade Agreement with Australia has implied a reducing import tariff on Australian products, especially alcoholic beverages (Marketline, May 2014).
It is reported that Japan’s legal framework is high in terms of economics freedom and the ease of starting a business (Marketline, May 2014). As said in the same report, Japan is relatively free from corruption. However, business in Japan suffer from high tax (Euromonitor International, September 2014). It may lead to the price concern for a new product’s competitiveness.
2.1.2. Economic landscape Figure 1: GDP and growth rate in
Social landscape
With the population of nearly 250 million according to World Bank, Indonesia is a fourth populous nation in the world (2015). There is no doubt that there are numerous of potential customers in this market. However, accounting for over 87% of population is Muslim, the religious tolerance has cause major issues for social stability in this emerging nation (Marketline, 2014).
Actually, the growing trend of Indonesian economy has led to an increase in socializing demand of population (Euromonitor International, 2014). Beers and alcoholic drinks are on their growth of consumption. In the same report about consumer’s lifestyle in Indonesia, it is stated that the wealthier people at nightclub for cocktail consume increase the demand. It is said that “although alcohol consumption has grown, it still has a negative image for many Indonesians, not only for religious reasons but also because of its consequences on behaviour, such as drunk driving” (Euromonitor International, July 2014). A new regulation on restriction of alcoholic sales, which is supported by Islamic groups, has influenced on the retailers and distributor of this market segment (Brummit, 2015). The alcoholic based product would have narrow market distribution when enter