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Market Screening For Final Exporting Term Paper

The government, which is a communist one, has imposed chocolate importers to mark the country of origin in order to provide the customers with the accurate information about the products they offer.

Size, number, and financial strength of competitors. If we take into consideration the report mentioned above, the main competitors are: Dove (38.61%), Cadbury, Le Conte, Nestle, Hershey's, Golden Monkey, Ferrero Rocher, M&M's, Tresor Dore and Shenfeng. These ten producers account for 90% of the chocolate market, while the first three cover about two thirds of the market share. However, among these ten best companies we can only depict two internal brands. These are Golden Monkey (2.94%) and Shenfeng (1.58%). Due to the new regulations regarding the percentages and quality of the ingredients used, many national producers may not be able to continue their activity unless they invest in new recipes and technologies. This stands as an opportunity for foreign companies which have already adopted these standards and can commercialize their products in China.

Socio cultural forces. Chinese are well-known for their unusual preferences.

However, these habits seem peculiar for other nations which have not experienced the same climate and social conditions. The Chinese culture is totally different from the American one. Still, in the case of the chocolate, we can mention that it is not a product which contradicts with the beliefs of the citizens. It does not contain forbidden ingredients and, in addition to that, it does not interfere with their religious creed.

The difference of language is not an entry barrier for our company. The package is simply an accessory which can be easily translated from and into any language. Thus, the content (chocolate) bears no difference in accordance with the nations where it is sold.

Export marketing strategies

Promotion methods. The methods used in order to promote the product should be very well adapted to the target market. As we intend to sell in China, we should consider the specifics of this nation. Therefore, we should take into consideration their culture, their desires, and their goals. Chocolate is not a product which satisfies a basic need. On contrary, its consumption is based on the customers' will, on the customers'...

A common idea is that chocolate enforces a special effect on its consumers. It brings along a feeling of comfort, a sensation of content. Therefore, our promotional campaign should stress on the idea that chocolate brings delight.
Also, we should take part in fairs that are held in China in order to make our brand familiar to the target customers. We are new on the market and, thus, we should initially raise awareness among people about our existence and, consequently, put forward the image of a trustworthy brand.

Conclusion

Traditionally, chocolate doesn't reach a high level of consumption within the Asian region of the world. However, this is due to the fact that cacao trees do not grow within that area. Therefore, as the world is tearing down its frontiers, global expansion is most likely in the case of companies.

As we have identified a great desire for chocolate products among the Chinese people, we must take advantage of this chance and expand our market. We can see that, even if People's Republic of China is a communist country, in the case of our product, there are no harsh restrictions. Due to the fact that 90% of the chocolate demand is fulfilled by foreign companies, we can note that there are good chances for developing a strong and profitable business. All we must do is to emphasize our competitive advantage and use the proper way in order to differentiate our product in terms of quality from the already existing brands.

China has a great potential for development and it is steadily advancing in the economical area. Our company should keep the pace with the economical growth.

Bibliography

Chocolate Strives for Standard.,(2004) Retrieved on Nov 28th, 2006 from China Daily, web site: http://www.chinadaily.com.cn/english/doc/2004-12/24/content_402994.htm

Parry, Richard Lloyd, (2006), For Lovers of Chocolate, future could be very dark., Retrieved on Nov 28th, 2006, from The Times, web site: http://www.timesonline.co.uk/article/0,25689-2079799,00.html

Sachs, Jeffrey D. (2004), Welcome To The Asian Century. By 2050, China and maybe India will overtake the U.S. economy in size. Retrieved Nov 28th, 2006, from Fortune, web site: http://money.cnn.com/magazines/fortune/fortune_archive/2004/01/12/357912/index.htm

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Bibliography

Chocolate Strives for Standard.,(2004) Retrieved on Nov 28th, 2006 from China Daily, web site: http://www.chinadaily.com.cn/english/doc/2004-12/24/content_402994.htm

Parry, Richard Lloyd, (2006), For Lovers of Chocolate, future could be very dark., Retrieved on Nov 28th, 2006, from The Times, web site: http://www.timesonline.co.uk/article/0,25689-2079799,00.html

Sachs, Jeffrey D. (2004), Welcome To The Asian Century. By 2050, China and maybe India will overtake the U.S. economy in size. Retrieved Nov 28th, 2006, from Fortune, web site: http://money.cnn.com/magazines/fortune/fortune_archive/2004/01/12/357912/index.htm
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