This report focuses on the external factors that are likely to have an impact on the making of a Lobster hatchery in South Korea. In order to minimize possible market barriers, Political, Economic, Socio-cultural and Technological (PEST) analysis has been conducted on the country of interest. The analysis has supported to gain more information regarding the marketing environment of South Korea and the potentiality of the success of the Lobster hatchery.
Matured Market size lobster Cooked Whole lobster
Lobsters are a rare and authentic delicacy anywhere in the world. Due to the high world-wide market demand and shortage in supply, lobsters are priced highly. The mission of a lobster hatchery is to culture and stock lobsters under the method of land-based farming and commercialize it at a competitive price to the local seafood market. Lobster hatchery concentrates on a Business-2-Business approach in South Korea with the concept of aqua-culture. Due to the necessity of a high-budget construction cost as well as sophisticated technological prerequisite, lobster hatcheries are only a few in number all around the world.
Orney Lobster Hatchery located in Orney Isles, Europe
South Korea, in the contemporary world, symbolizes prosperity, success and industrialization. The country is regarded as one of the Asian Tigers that has flourished in terms of its economy. It is one of the highly developed and prosperous countries located in Southeast Asia excelling predominantly with its technological based product export. South Korea is bordered by China, Japan and North Korea along with the Sea of Japan and Yellow sea on both sides of it. The current population is estimated at 48.46 million latest (The World Factbook, 2008) with most of the people living at the capital of Seoul, which is also identified as the second largest metropolitan city in the world. The country is also notified for their excellent transport services that inter-connect all across the country and additionally four different sea ports. With an endless list of accomplishment, South Korea today is an ideal model for every developing nation.
Seoul: The second largest metropolitan city in the world.
2.0 Political Analysis
The South Korean political system is classified under the constitutional democracy governance which is divided into three major categories which are executive, judicial and legislative in the order of descending hierarchy. With the president being highest in the hierarchy, South Korea holds a public voting every five years time for the presidential election. While the legal system in Korea is a combination of Anglo-American law, civil law system as well as Chinese classical thoughts (World Factbook, 2008)
For a successful entry into the South Korean market, long term investment strategies are recommended. This includes matching and assembling the Lobster Hatchery requirements according to the local preferences, research and building long-term relationship with the potential local business holders. South Korea is also a member of the WTO as a result to which entering their market has been made much uncomplicated due to the removal of certain physical trade and non-tariff barriers. A number of industry giants have been known to have ventured into South Korea recently and the government of the country in turn appreciates foreign investments into the country especially in any business that relates IT and specialisation after the Asian financial crisis in 1997. A number of restrictions have been known to have become laissez-faire in South Korea regarding foreign investments venturing into the country. At the same time, South Korea is also members of bi-lateral and multilateral trade organisations such as WTO, APEC and OECD.
However, some constraints regarding the market entry with Lobster hatchery might include the inconsistent food standards policies and law regulations....
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