Viability of Marketing Computer Peripherals in Poland by SolentWater Consultancy Group

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Table of Contents
1. Introduction1
1.1 Company profile:1
2. The Macro Environment2
2.1 PEST-Analysis2
Table 1: PEST-Analysis2
2.1.1 Political Environment3
2.1.2 Economic Environment3
2.1.3 Socio-cultural Environment3
2.1.4 Technological Environment3
2.2 The Industry4
Table 2: Competitive Forces4
2.2.1 Rivalry amongst existing companies5
Table 3: Competitors5
2.2.2 Threat of new entrants5
2.2.3 Threat of substitutes6
2.2.4 Bargaining power of suppliers6
2.2.5 Bargaining power of buyers6
3. Market Entry Strategies6
3.1 Direct Export7
3.1.1 Direct sales via the Internet7
3.2 Subsidiary of a Foreign Company in a form of Branch Office7 3.3 Foreign Manufacturing without Direct Investment8
3.3.1 Local Subsidiary Production8
Table 3.38
4. Marketing Programme9
4.1 Product9
4.2 Promotions9
4.3 Price10
4.4 Place10
4.5 People11
5. Recommendations11
6. References13

1. Introduction

The report has been compiled by SolentWater Consultancy Group following the request of WANO Ltd to research and deliver a comprehensive report dealing with the viability of marketing computer peripherals in Poland. Since the client does not have expertise in doing business in emerging European markets, SolentWater consultants have managed to deliver a brief summary of the environmental analysis as well as detail appropriate market entry and marketing programme strategies that are relevant to the client.

The listed below client’s characteristics were considered in choosing the proposed market entry and marketing mix strategies. 1.1 Company profile


Registered Office London Street Bristol, BRX 009 XZ Holding Company None Established 1991 United Kingdom
Principal activities:

The import, sale and support of applications software and computer peripherals for home use.

Product information:

WANO offers a wide range of server storage equipment, PC printers, and other data processing peripherals, including keyboards, monitors, and expansion cards.

Current and Future developments:

The company is engaged in selling its products via the Internet only and is represented in 18 countries including USA and Canada. With HQ situated in the UK, WANO has host distribution centre in Germany to service Europe and in Chicago for the Americas and Canada. Such approach fits in with the company’s vision of IT as a business service that in turn reflects the company’s main objective to make computing experience safer, more trustworthy and more accessible. Moreover, the company currently has 945 employees worldwide, with almost one third working in the UK. In 2007, WANO is planning to expand into Eastern Europe.

Financial Results:

In the year ending 31 December 2005, WANO Ltd’s turnover was £ 100 m, a rise of 15.7% on 2004. 2. The Macro Environment
2.1 PEST-Analysis
Table 1: PEST-Analysis
The 4th most attractive country to invest in after China, USA, India. •Corporate Income Tax: 19 %
Progressive Personal Income Tax: (19-40%)
Foreign investors: 2 years tax free period
Leader: Conservative party
Polish investment law allows foreign participation up to 100% •Companies with foreign participation are subject to 38% flat tax rate

Source: Ernst & Young 2005, International investment journal 2007.Inflation: 2.1 % (latest years 3.8, 0.8, 1.9) •GDP real annual growth: 5.3 % (latest years 3.4, 5.3, 3.8) •Unemployment: 14.9 % (latest years 17.3, 19, 20)

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