Plan for Hydrogen-Powered Vehicles Entering Hong Kong Markets

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  • Topic: Hydrogen vehicle, Automobile, Fuel cell
  • Pages : 9 (2363 words )
  • Download(s) : 177
  • Published : April 6, 2013
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Content

* Introduction

* The Political, Economic, Socio-cultural, Technological, Legal and Environmental dimensions

* The Market Entry Mode

* The Marketing Strategy of Hydrogen powered vehicle

* The International Operation Management

* The Hiring and Employees Management

* Conclusion

* References

Plan for hydrogen-powered vehicles entering Hong Kong market

Introduction

Nowadays, the problem of global warming and greenhouse effect has raised concern all over the world. During energy generation, Fossil fuel releases large amount of chemical substances that exacerbates the problem. However, nowadays, there is still a great dependence on fossil fuel for generating energy in Hong Kong.

To overcome the problem, hydrogen fuel is an opportunity for our society to minimize the environmental effects, enhance energy security, and the sustainability of global energy resources. In addition, many countries have been promoting the environmental protection at present. Therefore Hong Kong is not the exception. Our company – Ford has decided to introduce the hydrogen powered vehicle to Hong Kong by exporting from a car factory in United State and promote it to local citizens.

In the following, various analyses including PESTLE analysis, marketing strategies, market entry modes, international operation management, and hiring and employee management will be illustrated.

The Political, Economic, Socio-cultural, Technological, Legal and Environmental dimensions

Political
The Hong Kong Government has introduced some policies in promoting low air pollutants emitted transport. Firstly, tax Incentives for environmental friendly vehicles is provided. A 45% reduction in the first registration tax, subject to a cap of HK$75,000 per car, will be offered to buyers of newly registered environment-friendly cars. In addition, the government also encourages trial of green and low-carbon transport technologies. The Government has set up a $300 million Pilot Green Transport Fund for application by the public transport trade and goods vehicle owners. For vehicles, the subsidy level is the price premium between the alternative-fueled vehicle and the conventional vehicle or 50% of the cost of the alternative-fueled vehicle and 50% of the setting up cost of the related support facilities. The policies give lots of incentives to the users to transfer their car to the hydrogen powered one.

Economic

Hong Kong is a developed and affluent country. According to the statistic of Census and Statistics Department, in the second quarter of 2012, the Hong Kong Gross Domestic Product for is $473,171 million. And the private consumption expenditure increases by 3.1% in the real term. The per capita GDP is $273,657 million in 2011. Moreover, there is about 55% of population belong to the middle class (people who receive income above median). The family monthly income is also rated 17 thousands to 30 thousand. It reflects that the hydrogen powered vehicle is affordable to the upper and middle class. Hong Kong is a high potential market for our product.

Socio-cultural
Hong Kong people are highly educated with a strong perception of environmental protection. With the rising environmental promotion from the government, the awareness of green concept is becoming popular gradually. Firstly, citizens promote going green in order to alleviate the air pollution problem. Secondly, a higher living standard can be achieved with improved air quality. Thirdly, our product promotes the use of renewable energy. Thus it helps solving the problem of energy shortage. Our product will attract local citizens with high environmental awareness.

Technological
The infrastructures and facilities in Hong Kong are well developed such as Tseng Ma Bridge, and Kwai Tseung Container Terminal is the third busiest port in the world since 2007. The fast and efficient shipping and delivery of the vehicles are supported....
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