Sinar Sosro Private Limited is the first company that introduced bottled jasmine tea to the public in Indonesia in the year 1940. The family started their business in Central Java, Indonesia which then expanded their market to Jakarta, Indonesia.
Initially, the jasmine tea was brewed on the spot and served to the consumers. However, after they expand their market to Jakarta, they realize that the consumers find the tea that was brewed on the spot find the drink is too hot to be consume. Thus Sosro come out with a new strategy, the bottling system. In 1970, they came out with the first design of the bottle where tea was pre-brewed and bottled when it was cooled down and thus sell it to the consumers. The design of the bottle changed again in 1972 and 1974, which the latter design was used till now.
Today, there are 4 different products which are under Sosro Logo. They are Bottled Sosro tea, Sosro Fruit tea, Sosro Teabag and Sosro Joy Green Tea.
In addition to the local market, Sinar Sosro had also penetrated to the overseas market mainly by exporting their products in Tetra Pak and can packages to several countries such as Malaysia, Singapore, Brunei Darussalan and several countries in the Middle Eastern countries, Africa, Australia and United States.
In this report, I will be investigating and analyse the opportunities exist in Singapore for Sosro brand product which is the Sosro Teabag which comes from Indonesia.
ENVIRONMENTAL ANALYSIS OF SINGAPORE
Singapore is known as one of the best country in the world for having the suitable environment for business. Located at the crossroads of the international trade routes, it is a constant top choice by multinationals organization to invest their money in.
Singapore is known as a multi-cultural country with its diverse ethnic group, thus the varieties of cuisines are always in need. Food and Beverage business is one of the major business in Singapore
and there is always a market for investors under this sector.
Below, we will be analyzing the environment of Singapore and it is chosen to be the destination of the product.
Located in the central of South East Asia, Singapore has one of the major advantages in doing business through their sea routes. The availability of the international and domestic transportation as well as the natural seaport had allowed Singapore to be one of the important hubs in the international trading.
Changi Airport, the international airport of Singapore allows the country to connect with more than 180 countries in the world. This location allows them to easily access to all the premier Asian market.
SOCIO-CULTURAL / PEOPLE
With a population of more than 4 million people including expatriates, Singapore is a densely populated island with different races of people living harmoniously together. The people are the main drive behind most of the government decisions which aim to provide a better life for the people.
With a population growth rate of 3.1% in 2009, the literacy rate of the population comes up to 95% in total contributes to the economic boom in Singapore. The increase of the population plays a major part in the increase of the demand especially in the manufacturing field.
Singapore is a knowledge based country, thus explained the highly educated people in the country. According to the Labor Force Evaluation Measurement report, Singapore has the best labor force in the world. Many of them have high productivity, technical proficiency, work hard and work smart culture.
With professionals coming from all over the world, they bring extensive knowledge and professional expertise as well as experience which also contributes to the welfare of Singapore.
The distribution channels for the food and beverage industry in Singapore can be divided into two main sectors. They are through retailers (includes wet markets, shopping malls, and supermarkets) and...
References: 1. EDB Singapore (2009), Singapore Facts and Figures, July 24 2010
2. FTA Singapore (2008), Benefits of FTA, July 24, 2010
3. Focus Singapore (2009), Business Opportunities, July 27, 2010
4. Guide Me Singapore (2008), Advantages of Doing Business in Singapore, July 25, 2010
5. Kotabe, M. and Helsen, K. (2008) Global Marketing Management, John Wiley and Sons Inc. United States of America
6. Sosro (2008), Company Profile, July 23, 2010
7. Statistics Singapore (2007), Latest Data, July 24, 2010
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