University of Phoenix
August 2, 2010
Consumer Marketing and Branding Strategies
The consumer electronics industry has undergone a major entertainment shift with the advent of the 3 dimension high definition television (3D HDTV). The technology has advanced to the point in which consumer demand for 3D television has become profitable from a global marketing view. The Chinese economy appears poised to take advantage of the latest developments in the consumer electronics industry. The United States is a market in which the demand for the latest consumer electronic trends is quite strong. How China markets and brands its version of the 3D HDTV will determine if it will become a viable contender in the industry. Identification of Selected Domestic and Foreign Countries
Prior to creating an effective marketing strategy, researching current market trends for the domestic country, China, and the foreign country, the United States, is necessary. Through researching and studying the consumer’s behavior, the company will be able to create an effective marketing plan to reach the desired results. Reviewing the domestic market and the factors that affect consumer preferences, the similarities and differences will allow the company to determine the effective types of marketing strategies and make adjustments to accommodate the foreign market. A thorough consumer analysis of the dominant religion, education, political, and economic stability of both countries will set the foundation for the marketing strategy.
As the highest populated country in the world with over 1.3 billion people, China’s real gross domestic product (GDP) per capita is estimated at $5,383 that some argue is because of the population level that offsets the rich economy (CultureGrams, 2010). The communist state is the fastest growing economy and has become “one of the world’s largest trading countries as well as a global economic force” (CountryWatch, 2010, para. 1). The political environment has received international attention over the years but the government has made enormous strides to improve the quality of life for many of its citizens as the private sector increasingly grows to contribute more to the economy. According to CountryWatch (2010), on a scale of zero to 10, zero meaning the highest political risk, China scored an 8.5. This score represents better governance in comparison to many countries, although in the recent years with the strike of the global recession, the political stability, and governance have decreased (CultureGrams, 2010).
Although China does not have an official religion, it is listed that 92% of the population is Atheist and unofficially the general population consider themselves as either Christian or Buddhist/Taoist. Another vital factor in consumer market research is the average level of education of the population. China’s government budgets 13% of its spending directly to education and seeks to provide elementary education to every citizen (UNESCO, 2010). Nearly all school age children enrolled in school by first grade do finish, but less than 10% attend college because of high costs. To increase literacy rates, local universities offer instruction over the radio and television leaving the country with an average adult literacy rate of 93.5% (97% male; 90% female).
Culturally, the United States appears to be a world away from China’s people and population. The Constitution-based Federal Republic remains the world’s most powerful country and its economy is the “largest and most technologically advanced” (CountryWatch, 2010, para. 1). The United States alone has a GDP that accounts for almost a quarter of the world’s total (CountryWatch, 2010). The Real GDP per capita is exponentially higher than that of China at $45,592 as the population, even though the third highest in the world, is just a fraction of China’s with an...