案例面世真题4: Famous Skin Care Whitening Products in China
2004-10-30 22:10
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Case Background: You are the product manager at famous skin care's whitening division and you are asked to whether to launch the product in China
Key questions:
1) What's the size of the skin care market in China? And growth rate?
2) What's the size of the whitening produce in china's market? And growth rate?
3) What are the consumer behavior patterns?
4) Who are the competitors and how has market share changed?
5) Can famous skin care operate profitably? Make local vs. import?
Options and Hypothesis:
1) Consumer goods demand pattern(correlates well with income)- see how well this can be used to project future demands
2) 4P of marketing in analyzing competitors - and see what they have done
3) Profitability model to see the economics impact of the different options
Data Requirement
1) Total size of skin care market and growth rates
2) Total size of whitening products and growth rates
3) Market share by competitor and historical market share
4) Consumer behavior surveys/studies
5) Regulations on foreign company investment in China
6) Profitability model for make local vs. import
Data Collection and Analysis:
After you collect the data, then you can look at how your questions are answered:
1) China's skin care market is worth over $10 Billion, with whitening product accouting for 40% of it. There are currently6 major competitors- with only one clear market leader. Consumers are extremely receptive to new skin products and customer loyalty can be established when the products really delivered the results. Even at a high premium, customers are willing to pay for it
2) Based on profitablity model - the import model is more feasible during the first 5 years - then when demand really picks up, the make-local model would be more profitable
Key questions:
1) What's the size of the skin care market in China? And growth rate?
2) What's the size of the whitening produce in china's market? And growth rate?
3) What are the consumer behavior patterns?
4) Who are the competitors and how has market share changed?
5) Can famous skin care operate profitably? Make local vs. import?
Options and Hypothesis:
1) Consumer goods demand pattern(correlates well with income)- see how well this can be used to project future demands
2) 4P of marketing in analyzing competitors - and see what they have done
3) Profitability model to see the economics impact of the different options
Data Requirement
1) Total size of skin care market and growth rates
2) Total size of whitening products and growth rates
3) Market share by competitor and historical market share
4) Consumer behavior surveys/studies
5) Regulations on foreign company investment in China
6) Profitability model for make local vs. import
Data Collection and Analysis:
After you collect the data, then you can look at how your questions are answered:
1) China's skin care market is worth over $10 Billion, with whitening product accouting for 40% of it. There are currently6 major competitors- with only one clear market leader. Consumers are extremely receptive to new skin products and customer loyalty can be established when the products really delivered the results. Even at a high premium, customers are willing to pay for it
2) Based on profitablity model - the import model is more feasible during the first 5 years - then when demand really picks up, the make-local model would be more profitable
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