Analysis Of UNIQLO

851 Words2 Pages

This chapter will describe the theoretical framework of this report. This is an import part of the report, as the theoretical framework will give either a better understanding of or serve as a warning/advice when planning or analyzing strategies about specific subjects.
Seeing as UNIQLO is a brand of clothing, there are several key factors that will come into play during their entry into the next European country. These are in fact common for any product based company. For one, their products need to be transported from the country of manufacturing to the country of the consumers. It is in this case important to find the best methods of transport for this particular product, in terms of cost and time efficiency. Another factor would be the market entry. There are a multitude of possibilities for a company to enter a market, but which one is best suited for their needs? It could be by franchising, or perhaps licensing their brand to another, already established, store for their products to hit the country’s market. And finally, a marketing strategy needs to be made. How will UNIQLO products reach their targeted consumer?
To help us with these factors/aspects, several theories will be reviewed to find out the intricacies of each.
2.2 Market Entry
Expanding a company into foreign markets is no easy feat. A great many companies have tried over the past decades and many have learned firsthand, that in the world of trade, one has to be prepared and cautious. It is for this reason, that many have dedicated countless hours, days, weeks, months, even years, into finding successful methods. Some have done this by simply trying, and consequently failing. Others have used the data provided by the failed attempts, and the successful ones, to r...

... middle of paper ...

...n Europe and Asia, it tends to be forgotten that this also reflects into doing business and not just social interactions. Hofstede, Hofstede and Minkov (2010) can give a listing of the differences between cultures, globally, and how these differences can be analyzed, but this does not inform people of how to act and react in other cultures outside of social interactions. According to Pye (1983), cultures can influence the way a negotiation proceeds, Maede (1969) shows that leadership is different depending on the culture of the leader and Naor (1986) and Tse, Russel and Nan (1988) conclude that marketing is not any different.
Taking this into consideration, it is of the utmost importance for UNIQLO to keep in mind that the marketing strategy they are using in homeland Japan, or in the rest of Asia, may not be as successful, if at all, when used on a European market.

Open Document