Threats to Marketing in China

Executive Summary
For industry sectors the threat of globalisation to their local market has increased competition which in turn has lead to price cutting and increased spending to maintain a competitive advantage over the opposition. In New Zealand the wine industry has been on to benefit from globalisation as it has lead to expansion of their target markets, effectively leading higher returns as they are can expand production. The increase in the supply of wine has lead many wine producing countries to explore new and unexplored markets, already New Zealand’s wine industry has been identified as creating themselves a niche market within the Association of South-East Asian Nations (ASEAN). This report aims to identify the strength, weaknesses, opportunities and threats that exist in entering the Asian wine market.
















Situational Analysis
Strength
• For over twenty years the wine industry in New Zealand has enjoyed a share in the upper-premium wine market, the long stretch has established New Zealand’s domestic wine varieties in the international market.
• Many of New Zealand’s unique flavours such as their Sauvignon Blancs, aromatics and Pinot Noirs have already developed strong following throughout Asia (Barton, 2007).
• Many in the Asian market believe that the New Zealand wine industry can be seen as somewhat of an example for the countries other exporting industries such as dairy, furthermore stating that the industry has created itself a niche market to be imitated (Barton, 2007).
• Internationally, New Zealand is widely regards as being clean and green. New Zealand exports benefit from this image and the wine industry not one to be excluded from this list (Ministry for the Enviroment, 2001).   For international consumers, association the New Zealand image in wine provides unique attributes that wines from other countries are unable to imitate, providing New Zealand wine exported with a competitive advantage.
• New... [continues]

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