Marketing Brief

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1. Introduction
Peru is a country which is the third largest country in South America and bordering the South Pacific Ocean between Chile and Ecuador (U.S. Department of State, 2011). Trading between Australia and Peru are constantly expanding, this is due to Peru’s developing attractiveness as a destination for mining investment and exports of mining services and equipment (Austrade, 2011). Australia and Peru have a genial relationship as they cooperate in some regional and multilateral forums (Department of Foreign Affairs and Trade, 2011). This marketing brief will examine the perspectives of social- cultural, economic and environmental and the reason of it is not recommended for Australian companies to operate business in Peru. 2. Discussion

2.1 Social-cultural factor
2.1.1 Definition
Social- cultural factor refers to the demographic characteristics of the population, including the set of values, ideas and attitudes that are learned and shared within the group (Kerin et al., 2008). 2.1.2 Example and impact

The population of Peru is 29.8 million and 30% of the population lives in metropolitan area such as Lima/Callao (U.S. Department of State, 2011). Spanish is their official language. In terms of education, the compulsory attendance for those who are ages 12-16 is 66%, which is relatively low. Peruvians’ literacy rate is 92.9% which means that most of the population at the age of 15 and above could read and write (Central Intelligence Agency, 2011). These show that although the literacy rate is high, but the levels of literacy may not cope with the complex tasks in international trade companies, such as languages requirement because of their first language is Spanish. This would be a drawback to Australian companies to operate in Peru, as they may need to provide English language program to members of staff which also become an operating cost. 2.2 Economical factor

2.2.1 Definition
Economy relates to factors that affect a business or...
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