Market Entry Plan, Marketing Plan Example

Market Entry

We will enter Chile in our first period, then enter Brazil in the third period and enter

Argentina or Mexico in the fifth period. Why enter Chile first? We have three main reasons to do so. First, Chile has a relatively low CIF (see table1), which is comparing to other countries. We need to build plant factor in the first period in order to give material assistance to our other retailers or factories. Second, Chile has a relatively low international shipping fee (see table2) comparing to others. The international shipping fee from Chile to home is $0.06 per unit, which is the same as other countries, to Brazil is $0.02 per unit and $0.02 per unit to Argentina as well. The third reason is Chile has the lowest cost for decrease in manufacturing costs. As a security reason if there were anything wrong and suddenly happen something would impact the market, we need to decrease our productivity to avoid big lost.

Brazil as the second country we consider to enter, the biggest reason is Brazil is a big country with a large population, which are $198.7 millions (see table4). And the GDP in Brazil is $2024 billions. We could have a big market for our products here. Our product is a daily necessities product. Moreover, as recorded, Brazil has a huge retail sale for $642.9 (see table 3) millions. This is our chance to make our product as a well known one.

Comparing Argentina and Mexico, Mexico seems better a better choice than Argentina. Mexico has larger population and bigger market than Argentina has. Why we consider both of them could be the third country we would enter? We should have two plans after we enter the Brazil market. Although Brazil is a big market and it would be a good chance for us, we still should consider the risk for enter a big country with varietycompetitors. If we failure in period 3 and not have a chance to change the bad situation in period 4, we need to change our strategy. So we keep both Argentina and Mexico on plan.

Target marketing entry strategy

Chile

The first market to enter could always be a hard decision.Ourtarget market in Chile would families.It seems be a conservative choice for our new product. In the first period, we will choose a variety of SKUs from economy small to kids medium. As the strategy and market real situation going on later, we will change our SKUs base on the real conditions. If the market needs differentscenario we would have relevant plan for that. The most reason for we to enter Chile is to build plant factory. We will see if the market in Chile is increasing or stay the same we will continue targeting in Chile. However if the simulation continues decreasing in the future, we would eventually plan to withdraw from Chile.

Brazil

Our target market in Brazil would be families and olderbecause the age structure of Brazil was 26.7% aged 0-14, 66.8% aged 15-64, and 6.4% aged 65 years and over. That means the population was largely skewed in the 15-64-age range. So we chose selection of SKUs towards adults and only two for children. This is our first guess for the market, there may be varies of change and other influence factors. So we would change or maintain our plan for SKUs as the marketing developing in Brazil.

Argentina

In the fifth period, we will enter the Argentinean or Mexican market. The age structure is very similar to Brazil, largely skewed to 15-64-age range. So we chose a similar variety of SKUs, from economy small tube paste to kids large pump gel. We may add on economy and medium later as the market growing. If there is a need for large size we will also add on to the market and compare which is the best choice for our company.