UK marketing case study paper范文

 

摘要—Abstract

The case study is attempted towards the development of strategies towards the establishment of a new sportswear-manufacturing venture, ESSKAY Fibers into a thriving and lasting successful firm. The international business strategies adopted in line with the commercial and financially viable features shall help the CEO of the firm to establish a subsidiary of the firm with the name of STAMINA collections for the production of the sportswear, its marketing, creating sales force by appointing agents, subagents etc and thereon move towards the diversification and expansion of the business. The assignment also focuses on the improvement in the global sales and improves the global profit of the firm. Sponsorship policy of the firm may be launched. The study will critically present the wholly owned subsidiary, joint venture plans etc.

 

介紹--Introduction

 

ESSKAY Fibers is one of the world's largest synthetic fibre manufacturing firm based in London UK. The company is leader in its segment with a joint venture with a leading German MNC. In view of the growing challenges in the sportswear manufacturing and marketing the company has decided to establish a wholly owned subsidiary with the name of ESSKAY sportswear. United Kingdom being the hub of the leading sportswear manufacturers like Nike etc. shall be a guiding factor in the flourishing the business and technological development of the organization towards the research and development strategy of the organization.

 

Goals: The major goal of the ESSKAY sportswear is to develop a sophisticated R&D & production unit in Pakistan or Bangladesh, thereby maintaining the desired level of the expertise and enrichment of the experience and innovations. The company wishes to build a brand for the entire sportswear range and sports equipment collections. This also means to appoint the designers that will serve to produce the collections, which will be available for the public and institutional viewing in International Trade fairs in London, Birmingham, Hong Kong, New York and Stockholm etc. thereby increasing the business prospects.#p#分頁標題#e#

 

Mission: Mission of ESSKAY sportswear is to select the best moving brands and appoint the agents, subagents etc so as to develop the facilities to enrich the business by aggressive advertising and marketing campaign. The campaign shall focus on the publicity of the Sports collection STAMINA and increase the exports to the various parts of the globe. The target sales shall identify the profitable aspects of the business by establishing the targets with integrated advertising plans. Sports Celebrities may be used for the campaign and advertising in mass and media.

 

Vision: The visions of ESSKAY sportswear comprises of the framing of the organization policies and develop the strategies towards the excellence of research and control strategies so as to move towards the expansion and diversification. The Brand Image STAMINA is to be established as a USP of the firm towards the achievement of the substantial profit and improvement in global sales. The firm shall produce unbranded merchandise so as to achieve the best of the both worlds markets by means of a Joint Venture.

 

ESSKAY運動裝的PESTEL分析--PESTEL Analysis of ESSKAY sportswear

 

PESTEL ANALYSIS (for location of Production Units for sportswear & sports equipments):

 

This PESTEL analysis conducted for Pakistan and Bangladesh for establishing the production unit of the ESSKAY is one of the most popular analyses done to explore the external environment of the Pakistan and Bangladesh. It explains how the external factors affect the future. PESTEL stands for Political, economical, social, technological, environmental and legal aspects.

 

Political factors:

 

• The government extends the role of facilitation and not the provision, hence there exist a light weight government concept.

• The regulation of the market is city based.

• The democratic citizen behavior is city based

• Facilities, Utilities and basic infrastructure is computerized

• The change process originates from the grass root levels.

• Local Authorities support the government regulations.

• Decisions are often community based.

• There exist an international & inter governmental co-operation which is very strong#p#分頁標題#e#

Economical factors:

• The main factor of economy is the ability of the people to pay

• The nation has equal participation of private sector and public sector hence there is a global economy.

• Ample opportunities of the market and hence profit making approach.

• Niche market is exploited by adequate understanding

• Appropriate integration (Horizontal/Vertical) exist in organizations

• Business economies are economized

• Production and consumption is localized as appropriate decisions are taken about goods

• Storage and distribution centers are community based.

• There exist efficiency of passenger & freight in the global economy since it belongs to SAARC nations.

• The economic demand and socio-economic growth is based on south east

 

Sociological factors:

 

• Hedonistic life-styles exist which are centered, these maximize the opportunities for privileged people. A wide gap exists between the classes and facilities exist for the privileged people.

• Community behavior lags

• Support services by immigrants of poor countries.

• A factor of concern is social exclusion.

• The actions, services and aspiration are based on equal opportunities. and improved life quality.

• Limited private vehicles in urban areas due to localized work, social, shopping community etc.

• Since wealth increases and population ages, there is migration of the rich to warmer climates.

• Responsible living in the country.

Technological factors:

• #p#分頁標題#e#The venture are public private partnership (PPP)

• Technological advance options with telecommunication infrastructure exist for the high uptime of services.

• Availability of niched services

• High security monitoring using biometric base interface.

• Being advanced in technology implementation, the latest technology is already available

• Technology is used continuously for home, working, learning & leisure purposes.

• Renewable and sustainable energy sources

• Low consumption of carbon or fuel based

 

Environmental factors:

 

• The issues like global warming and change in climate are still very common issues.

• Pakistan and Bangladesh's environmental friendliness makes it a good place to live and work.

• The commercial aspects and multi-national interests of the firm govern the firm's environmental intervention.

• In Pak and Bangladesh people, being aware of the latest market trend, market and commercial concerns of the firm dominate over global environment.

• The stable and sustainable living standards of the firm is undertaken by the increasing number of people.

• The lifestyle is healthy and sustainable.

 

Legal factors:

 

• Government regulatory authorities are in interests of society

• The enforcement and systems oriented approach in regulatory bodies assist in speedy control.

• Illegal access and unsafe or inefficient driving is prohibited.

• The Legal framework viewed as relatively easy to set up

 

設計--Designs

 

The company has its associations with the various designers who are experts in creating the innovative and comfortable designer wear for the sports people. Production units setup in the Bangladesh and Pakistan shall be generating the production as per the market demand of the designer sport wear and the equipments that are designed by the international designer celebrities. The design are a hit due to the aggressive campaigning of the STAMINA brand. The durability and the innovative approach of the sports techniques along with the comfort offered by the designers in their new designs are helpful in the creation of the first level support from the masses. People awareness of the nature, environment and protection of the earth for the pollution free environment and healthy body and mind may the designers offer the agenda in the designs. These comprise of the target demands as per the performance of the displays in international shows.#p#分頁標題#e#

 

The set of designs that are given by the designers to support their target customers are evident by the level of the bookings received in the international trade fairs. A great deal of the booking would decide the target of the production that is available for the growth and development of the production units.

 

The organizational approach towards the better performance is evident as the production units are located in the areas of the cheap labour with quality goods availability. This is also a great motivating factor as the firm may be directed towards the better production systems with a little training behaviour.

 

波特鉆石理論--Porter Diamond Theory

 

Diamond Theory (The Competitive Advantage of Nations, 1998, by Micheal Porter) is a model proposed by Michael E Porter's which explains that in global competition, each nation has its own the competitive advantage. It explains that a country may have a range of innovative and advanced gifts like cheap and skilled labor, new technology, government support and culture. He demonstrated using a diamond shape diagram that the determinants of a nation's competitive advantage consist of Firm strategy structure and rivalry, Factor conditions, Demand conditions & Related Supporting industries. Using the four conditions and interacting with them will assure success in international trade

 

Porter's Factor Conditions for the ESSKAY Sportswear include the view of Heckcher-Ohlin theory, which includes the perspective of classical factor benefits that include land, labor and capital in India along with the innovation culture, creativity aptitude, maintaining quality and training

 

The conditions of the demand include new trends of consumer preferences for the quality sportswear. The ESSKAY products include these trends that meet the needs of domestic and international consumers of ESSKAY.

 

Porters' Related and Supporting Industries factors from perspective of ESSKAY refer to the increase in the sportswear's suppliers so as to meet the industry raising demands of production, marketing and distribution.

 

The strategy of the firm, ESSKAY sportswear, its structure and rivalry include the competition of the markets as firms must be able to create strategies and continually provide high quality goods and services to stay ahead.

 

Important for firms to are competing internationally to be on pars with competitors on areas like research and development, advertising, promotion, branding, staff training and others.

 

The ESSKAY sportswear has with perspective of the New Trade Theory (NTT) adopted the economic critique of international free trade for increasing the returns to scale and the network effect.#p#分頁標題#e#

 

全資子公司--Wholly Owned Subsidiary

 

ESSKAY Sportswear shall form a wholly owned subsidiary FGM Sportswear in the United Kingdom. The subsidiary shall be created with an attempt towards conducting and providing very top class research and generate the techniques for the sportswear. Although the ESSKAY Sportswear is known for its work on the gents and kids wear, it has proven experience of being active during the last decade in analysis and development of global sportswear markets and thereon its penetration.

 

Stephen Hymer (1960) focused on the analysis of the MNC (here FGM sportswear which is a subsidiary of an MNC ESSKAY sportswear) based upon industrial organization theory. He attempted to answer the questions pertaining to the firm's ability to compete a foreign company as it is an unfamiliar market for it.

 

The sportswear research by FGM shall benefit ESSKAY due to the independence and attention towards the detailed and rigorous analysis work that has made the firm's research products on sport goods a matter of being worth of global reference. Two Expats with several years of experience in analysis of regional and global sportswear markets from the ESSKAY shall be deputed in FGM as technical analysts. The subsidiary company shall be based in London, UK, but shall represent the Asian, Australian, Russian continent and subcontinent as well. The team of the FGM sportswear shall also include a team of full-time analyst as well which shall comprise of qualified and experienced economist. The special consultant shall also contribute towards insight on important regional markets.

 

Vernon (1966) has developed a PLC model on basis of critique of neoclassical comparative advantage theory. He focused on the failure of organization to deal with the innovation in dealing with patterns based on trade.

 

John H Dunning, 1981 attempted to integrate a variety of strands which were pertaining to thinking. He worked on the macro-economic & micro-economic theory and firm's behavior based on industrial economics. The Dunning eclectic paradigm or ILO paradigm as it is popularly called, suggests that the more is the advantages of Ownerships (O) like trademark, production technique, entrepreneurial skills, returns to scale and Internalization (I) which is a partnership arrangement such as licensing or a joint venture, the firm enjoys the greater Locational advantages (L) like raw material, low wage, special tax or tariff.

 

As per the Dunning theory, the choice behind the wholly owned subsidiary by ESSKAY sportswear includes the study of the form of market entry and various advantages associated with it. The analysis of the Dunning as per the ESSKAY results following observations.

 

•#p#分頁標題#e# Integrated perspective of economy, which includes understanding the sportswear demand. Global and regional development as per the macro economy.

• Research oriented timed activities by FGM Sportswear address issues as per the coherent narrative and analysis over and above news-driven markets.

• The subsidiary shall focus on the regional activities, which shall examine the regional market.

• Subsidiary shall undertake the deep market understanding by line capacity for the global sportswear makers, its consumers and traders associated.

• This shall be a cost effective measure of obtaining the essential business information required by the parent company.

• Subsidiary would undertake a forecast on basis of key economic parameters

• FGM Sportswear customer oriented approach provides details pertaining to contract alternatives, arbitrage across regions, lead times and product availability.

 

ESSKAY possess the ownership advantages as it possess the knowledge about the target market at foreign premises. The subsidiary FGM sportswear has staff that possess the necessary expatriates skills, information about the country & import permissions, appropriate product knowledge, several contacts and so on. The internalization advantages, of the ESSKAY are that it invests more capital abroad in form of the nourishing the subsidiary. Undertaking an export in form of a subsidiary does this. The FDI of the firm is the most capital-intensive act that the company opts for. According to Dunning, this is considered that ESSKAY sportswear need location advantages, which are very necessary for FDI.

 

Greenfield theory of cultural change, 2009 gives a comparative study of the psychology across geographic & ethnic boundaries. There exist a shift in the ways the parent organizations were working and the subsidiary has started operations. This could be observed in almost every MNC where wholly owned subsidiary exists.

 

技術轉讓的問題---Issues of technology transfers

 

The major issues which are involved in technology transfers within MNC's especially between headquarter in UK and its Pakistan and Bangladesh subsidiary are exploiting international markets, ensuring a stake in prosperity of developing countries, financial technology capacity and protecting or advancing the international competitive position of the MNC and its subsidiary#p#分頁標題#e#

 

1. The ESSKAY sportswear must have a proven capacity and ability to utilize the technological assets. This is required, as there must exist an ownership advantage, which is generally observed as a critical reason for the existence of the firm.

2. The technical knowledge is a mobile good within the ESSKAY & FGM sportswear on which the joint character within firms exists.

3. The ESSKAY is a tightly integrated organization with its subsidiary and has its activities governed by the common strategies and decisions.

4. Marin and Bell (2006) in have elaborated that the FDI related spill over occurred under the specific circumstances, which is not simply as a result of general FDI-mediated technology amongst the MNC and the subsidiary companies. The model is called the 'Pipeline Model' and demonstrates the absorptive capabilities of MNC and subsidiary.

5. Wang and Blomstrom (1992), also proposed a model according to which the international technology and its transfer process arise form the parent company and its decisions in view of the interaction between subsidiaries and the technological characteristics of the parent MNC.

 

制度的差異--Institutional differences

 

The ESSKAY's institutional differences comprises of the legacy organization where there exists lots of the underdeveloped arenas that need to be strengthened to achieve the best output. Productive base of the nation is inadequate and the firm's economy depends on certain unexploited factors that have been explained in the PESTEL analysis of the Pakistan.

 

The wholly owned subsidiary comprise of the better policies pertaining to the area of operation. This comprises of the national policies of the UK. The investment process of the firm is determined by the opportunity available in the organization and research taken abroad. With the FDI it is expected to fill the gap that exist in the financial operations of the firm. The financial policies include the expansion of the fiscal and monetary policies that contribute towards the entrepreneurship ability of the firm.

The investment policies of the ESSKAY are determined by the national policies of the industry oriented growth approach. Chandler, 1986 believed that the development of the multi national enterprises developed from a large domestic mature firm. Buckley and Casson, 1976, Dunning, 1981, Hennart 1982 endorsed the same.

 

International business have concerned mainly with the impact of the policies on the subsidiary firm (Rossman, 1984), entrepreneurship (Ohe et al. 1991). The new venture is projected as important phenomena. The differences exist due to the hi-tech business, services and new range of technological innovations.#p#分頁標題#e#

 

Various policies of the ESSKAY pertaining to protect its IPR and the patents guide it to become a leader in its own segment.

 

The above arenas shall help the FGM sportswear to take appropriate guidance and control from ESSKAY sportswear. The research work so done by FGM shall help to generate the best production output from the ESSKAY sportswear.

 

• In UK the large majority of the Indian population lacks modern trends. Virtual teams take advantage of time difference between the UK & India.

• A major difference exists in mode of market entry. Foreign imports do not directly affect Indian companies of the leading iron and sportswear producers in the UK in the 2000s, there may be no immediate effect

• UK, sees not much of a difference between commercial institutional and trade wastes in India and abroad, eam has developed a consolidated municipal waste disposal

 

文化差異--Cultural Differences

 

Geert Hofstede, 2001 in his work 'Culture's consequences' explains the differences that exist in national and corporate culture. As per Hofstede, the cultural grouping affects the societies and organization behaviors. The five dimensions that are proposed by Hoftede's help to deal with the institutional differences that emerge on account of the parent and subsiidray organization in to different nations.

 

The power distance variable of Hofstede from the perspective of ESSKAY depict that the subordinates feel easier and contribute more to those in power. The dimension of individualism vs collectivism is shows the movement towards the individualist end as the nation wealth increases.

Cultural and national competitive advantage for both the parent company and its wholly owned subsidiary shows that cultural dynamics play a great role in the adoption of the strategies towards the segmented markets, differentiated products and choosing the strategies that help to sustain the competitive advantage of the firms. Michael Porter's Diamond theory helps the firm to analyze such factors that contribute towards the cultural and competitive advantage. For FGM sportswear's geographic concentration shall play a crucial role in development and transfer of the technology towards development of the R&D units in Indian localities.

 

The challenges that exist before the ESSKAY to establish FGM sportswear include the address to the important issues by taking adequate information for establishing the subsidiary in the foreign location. The international business that is not informed well about the cultural aspects of the other nations are likely to fail very badly. The norms and value system of the nation should also be learnt. Other things that a company must understand and pay adequate attention to include the ways of negotiating deals, incentive pay systems, organization structure. ESSKAY shall undertake to address these issues by posting their executives to the target nation so as to understand the work behavior therein. This shall involve the development of the cosmopolitan members. This must also ensure to guard from the ethnocentric behavior of the organization.#p#分頁標題#e#

 

組織結構--Organization structure

 

The working environment of an organization in which it is built in has a great impact on the working and spatial environment in and around organization (Mobach, 2009). Organization Architecture is the framework within which the firm strives to achieve its core qualities as per its vision statements.

 

ESSKAY Sportswear's organization is effective and efficient which is clearly visible from the tract record of the last decade. The organization stricture is simple, flexible, reliable, economical and acceptable to masses. The design of the firm as well as its operations is towards the achievement of the organization goals & mission objectives.

 

In ESSKAY, there exist synchronization between the economy & reliability and between technical efficiency and ESSKAY's organization culture and climate. The HR policy is so designed that there exist a proper allocation of the tasks and its division into meaningful units. Human factors are given due considerations and management attitude is in synchrony with the well being of the workers.

 

The firm takes adequate plans for meeting out the challenges that arise out of internal as well as external challenges in the firm. Managers are signed with the level of authority and control to meet out the demands of the production, marketing, staff -line relations etc. This in turn helps to meet out the organization goals.

Differentiation of the organization tasks helps in the better coordination of these activities and unification of their results. Unification of the tasks is the other activities that help to generate better work coordination. Both vertical and horizontal 

differentiation could be observed at different point of time.

The organization staffing policies comprises of the analysis of the functional issues based on which the policy is framed so as to generate an effective and efficient solution for the firm. ESSKAY's being a manufacturing firm has its differentiation on basis of the functional and product factor that help to frame the HR policies for the firm. The Staffing policies are grouped into various departments as under.

 

機構與贊助--Agency and Sponsorship

 

The activities of the appointment of the retail agencies by the ESSKAY for its STAMINA brand of the sport wear and sports equipments is undertaken by the parent organization or the wholly owned subsidiary FGM. This is undertaken with an attempt towards the creation of a supply chain structure that would help the firm in achieving its sales target by ensuring a wide outreach to the customers across the world. Alliances and acquisitions are very prevailing practices in the business. These have been also treated as a suitable alternative for the firms to grow further. These two modes of expansion share some common features, such as that they are both associated with collaborating two or more firms and their outcomes both depend largely on the success of integrating firms. By the development of the firm's agent and entering into the agreement of the sharing profits the firm may keep its control over the targeted profit as well as at the same time delegate its business to the firm's that are interested in being associated with the international brand. Throuh a negotiation process with the various firms that are into the sports wear the firm and its subsidiary may establish a wide network. The negotiation may be undertaken for the sharing profit or a fixed commission basis as per the location and business prospects lying in that particular area.#p#分頁標題#e#

 

Creative strategy of Sponsorship

• The brand position in market for ESSKAY include the common perception that it provides quality goods for the men's sports equipment and sports wear. The agency and sponsorship program for various games include activities that include retail as well as corporate ones. Branding shall assist the ESSKAY in achievement of the one of the most important in strategic brand marketing pertaining to the 'positioning path'.

• The ESSKAY new branding of entering into sponsorship of games over a period of time may be preceded to reach its long-term desired position. This could be understood as a GMH branding technique.

• The new brand of the ESSKAY is expected to start from a 'STARTER BRAND' position as shown in image above. During this time there will be low sale volumes and a low brand image. Over a period of time few brand become strong niche brands & power brands. As with all strategic brand positioning, the ESSKAY products positions do not necessarily, follow the anti-clockwise BCG logic

• Main message communications should put across

 

1. In view of the recent economic developments in the sports wear industry, the firms are driven to take a closer look towards how to harness the best out of the current market through the effectiveness of their brand message. With the more safety and comfort of the sports wear there is unlimited potential for the reaching out with an objective of greater strength and adequate stability.

2. Brand differentiation strategy shall be adopted as a part of the marketing communication to deliver the product. The idea for the customer may be to get appropriate return for their investment and hassle free loaning procedures.

3. Even the best services could not be appraised and harnessed if not marketed adequately. The concept of the sports wear and allied services could be successfully passed on to the customers only when there is a appropriate demonstration of the quality provided.

4. The message is simple that ESSKAY provides a secure and protected environment for games/sports. The sports wear services provide the valuable perception of the firm as the most important partner and well-wisher of its customers health.

5. There will be a continuous and consistent marketing campaign carried out so as to incorporate the messages pertaining to the improved customer profile, strengthening of lifestyle, commenting on the firm's services like responsiveness, flexibility, and ability to go hand in hand for a long time relations.#p#分頁標題#e#

6. With a new and contemporary graphical interface which is deployed across the firm's website, flexi's, sign boards, advertisement tickers etc. in various kinds of sports events, along with the marketing, a new sense of excellence and customer-focused energy has invigorated the firm's marketing and provided the starting point for creating strong brand differentiation in the marketplace.

7. Taking up the brand image of the ESSKAY, a further on path could be by taking advantage of a successfully adopted and wide variety of highly several effective & online available marketing techniques including developing firm's product landing pages,firm blogs, and integrating a search engine marketing along with the many free and popular media websites and services that are available to everyone.

Sponsorship Marketing in the ESSKAY shall involve Advertisement in TV. With numerous channel services providers in place like Zee/UTV/ NDTV etc., there is a scope of reaching far more range of the customers. With an appropriate message one may take the message to the customer and drive towards the usage of the firm's products. In rural and semi-urban areas where the media services are not so equipped the local DTH service providers resolve the purpose. The advertisements on the online basis is one that offers to give the updated message at the company's website. Entering into the contract with the sponsorship and telecast rights of the given sports event also serve the bais purpose to gain credibility and ensure far outreach. Latest information may be made available at the very low cost by technical briefings. People tend to become more aware of the various products on offering. It happens by means of the knowledge enrichment. The knowledge to this effect is gained by means of the technical briefing in the newspaper and magazines articles. Any successful deal provides a successful story that is worth sharing. This wins the trust of the customers and they are able to decide better on the firm as well as the products on offering. firm would benefit by the customer and would address the precise needs. Seminars/events. Time to time Business event/ Seminars may be conducted to make the people aware of the sports products on offer. The practice may be adopted particularly in those areas where the advertisements have failed to generate the business. A good event may comprise of the product demonstration along with a light feast to the customers along with the distribution of the gifts like key-chain and product information brochure. A database of the business availability of the various regions may be captured from the address details of the customer database. Drives for the seminar and events may be conducted periodically.

 

控制策略--Control Strategies

 

The strategic management of the subsidiary at the UK and production facilities in India require a great deal of the strategic management procedures that help the organization to become a multinational enterprise. The task of the R&D and technology penetration in the India require the establishment of the facilities that are in proportion of the organization motivation to seek the best position in cosmopolitan segmentation of the products and quality products.#p#分頁標題#e#

 

Various control strategies including the integration of the global R&D, production and marketing requires the thinking and marketing in terms of the global demands of the sportswear. The key focus areas are as under.

 

• Goals statements

• Forecast for the product and environment

• Qualitative statement of the ESSKAY & FGM as per the business environment they work in

• Action plan for the implementation

• Financial budgeting

 

The integration mechanism of the control include the extent that organization wishes to coordinate. The more is integration the more will be the profits. There exist a better inter departmental laisoning.

 

Strategic controls are necessary to establish and achieve the objectives of the ESSKAY and FGM Sportswear. The controls that ESSKAY shall deploy in place include Financial controls like maintaining the assets, its utilization, stock price, return on investments, profitability etc. It should also plan the facilities for ensures efficiency, quality, innovation and CR. Organization policies should be in tune with the behavioral aspects like budgets, rules, standards and the international presence.

 

It is proposed to deploy the cross functional team in the ESSKAY and its subsidiary FGM sportswear as that would ensure that the required functions of the firm are taken in consideration and organization shall not suffer due to non presence of any of the expertise.

 

A balanced scorecard approach as proposed by Kaplan, 2000 shall be a good choice towards building financial and strategic building blocks.

 

Performance ambiguity Management of expatriates requires that because of the inability of firms to effectively select and manage their expatriates (primarily due to the lack of integrated international human resource (HR) strategies), attention has been focused on more seemingly substantive business elements: product innovation, product quality, and cost sourcing. (Bennett, 1989), researchers' interest in international assignments as part of the growing global market-place has produced a consistent body of knowledge that was not available a decade ago.

 

Cost Of Operations

 

Post subsidiary and R&D export from Pakistan to UK and other global cities.

The target of the ESSKAY is to promote the latest trend of the R&D of sportswear and offer the competent products at competitive prices. The only behavior that exist is to strengthen the parent firm by adopting the state of art techniques with a proven past years track records. Since the firm is adopting the latest trends the chances of the success are very high and hence the institutional setup and control strategies need to be framed to achieve the desired milestone. The exports facility from India is strategic choice as the latest trend in the industry is adopted for the manufacturing and available for the consumption in the UK. The budgetary provisions and the raw material must be so adopted so that the exports from India is highly utilized for the best quality and good return for the money.#p#分頁標題#e#

 

Expansion and Diversification

 

ESSKAY in its drive to excel and to achieve the growth in the business shall undertake the activities for the expansion in business to stay in market and keep moving. Innovative ideas and changing product range is the key to achieve the desired targets. To keep moving the expansion strategies may be followed which require the creation of the awareness among the public. The limited business constraint is also a drawback. This could be resolved by adopting the techniques like generating

 

• Level of awareness

 

1. The advertisement intends to generate the participation of the customers to the product range on offers. It is expected that the customer range will be developed to the tune of 56%.

2. The awareness is likely to double the turnover and generate the participation of the workers towards the motivated business building plan.

 

• Attitudinal research

 

1. The research would show that the customer have been knowledge of the offerings of the ESSKAY With more awareness and knowledge it is expected that the firm would have a better coordination among the employee to trap the undiscovered areas.

 

• Response rate

 

1. Response rate would go manifold. The customers today are having more choices and expect to get their needs fulfilled. The sport wear variety is offering the customer the taste of their requirements. Response rate would depend more on the offerings by the firm by their particular department requirements.

 

As the time passes by diversification process of varied product range will help the business to prosper and help the ESSKAY in maintaining a global brand image. Through the sustaining production and expansion of the units in various countries the firm is expected to maintain a wide portfolio of the products that will help the sports person of all age group with various demographic values to like the products equally. Though this is also accompanied with a set of challenges the firm need to establish a goodwill by allowing diversification with the maintenance of the standards.

 

Being a part of industry where there exist a lot of challenges due to continuously changing designs and pattern based on the organizations innovative approach to offer updated technology and cost effective quality solutions, ESSKAY is committed to offer the sports person and marketers quality goods based on latest technologies at competitive prices. The suppliers of the ESSKAY are the leaders of their respective domains. The main customers of the firm include the leaders in gents and kids sports wear. Major problems may arise in the demand forecasting and planning of the facilities towards the achievement of the objectives of the firm.#p#分頁標題#e#

 

Adam and Ebert have explained forecasting in their book "Production and Operations Management" as a process of estimating a future event by casting forward past data. The past data are systematically combined in a predetermined way. Thus Forecast is an estimate of future values of certain specified indicators related to the decision-planning situation.

 

The forecasting methodology used for the forecasting future demand for ESSKAY would depends on type, pattern & time horizon of past data. The sophisticated models of the forecast provide forecast with smaller error bust the cost of development of the model, forecasting and maintaining tends to be high.

 

John C. Chambers, Satinder K. Mullick and Donald D. Smith in " How to choose the right forecasting technique". Harvard Business review, Vol. 49 No 4 as given in the chart in the book, Quantitative techniques for business decisions by Charles A. Gallagher, and Huge J. Watson have given description of various forecasting models and related them from poor to excellent. By proper choice suiting the purpose good to execellent result of the forecast can be achieved.

 

結論--Conclusion

 

ESSKAY sportswear while sustaining its competitive advantage in UK shall open a wholly owned subsidiary, which shall be equipped with the engineers, which are proficient in the subject matter and possess necessary expatriate skills. The firm shall open a production unit in Pakistan and Bangladesh for which various R&D related advancement exist and competitive advantage over the similar players could be ensured. The ESSKAY and FGM policies of the operations in their respective segments for their respective capacity shall have to deal with thevarious issues pertaining to the policies of the organization and cross-cultural issues. The task of institutional and cultural differences could be met away by the formulation of the competitive strategies, cross cultural literacy and designing of the organization structure that is attuned with the cross cultural aspects and globalization of the industry and the changing technology and innovative developments. Several control strategies need to be formulated that comprise of the financial factors, economical factors, behavioral pattern and international presence.

 

參考書目和參考--Bibliography & References:

 

Bibliography

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1. http://basiccollegeaccounting.com/michael-e-porters-diamond-theory-on-international-trade/ [online] accessed 12 March 2010.

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4. http://images.google.co.in/images? [online] accessed 12 March 2010.

 

附錄--Appendix

 

Organization

The ESSKAY Sportswear based in Orissa is million dollars firm with its proven tract record of the supply of the sportswear. The firm has more than 1000 researchers and domain industry experts of sportswear development and at facilities in the India. It is planning to launch a wholly owned subsidiary for the R&D facilities development and exports to UK and the adjoining area like Netherlands. The firm combines world-class innovation, cutting-edge technology and market knowledge. The ESSKAY, products are a truly unique combination of materials and application solutions.

 

Goals: Since the major goal of the ESSKAY sportswear is to develop a sophisticated R&D unit in India thereby maintaining the desired level of the expertise and enrichment of the experience and innovations. There is a need to establish the required infrastructure so that the desired targets could be achieved in time. With the higher availability of the desired resources the goal to enter the UK markets by means of the subsidiary setup is justified. As the new setup is developed and sustained the flourish of the organization business is but obvious.

 

Mission: Mission of ESSKAY sportswear is to develop the facilities to enrich the R&D in India and increase the exports to the UK. As the mission fulfillment requires the detailed study the firm has adopted the policy of the deep research that would undertake a PESTEL analysis of the nation where the organization objectives shall be achieved with certainty. The most cost-effective materials and manufacturing processes to make a new product can mean the difference between financial success and failure. Added to these challenges is the constant pressure from the peers in the market.#p#分頁標題#e#

 

Objectives: The objectives include framing of the organization policies and develop the strategies towards the excellence of research and control strategies. Various experimental facilities, which may be used to characterize the materials and performance of the firm and generate specific items for, use by customers. A major contribution is the deputation of the domain experts in the target nation thereby achieving the desired level of the technological adequacy.

 

Key Concepts/words:

 

1. Stereoptype: A stereotype is a commonly held public belief about specific social groups, or types of individuals, Firmin Didot, 1922. Stereotype is beliefs about the attributes, roles, and behaviors that describe that group. (Gill, M. J. 2004).

2. Ethnocentrism: Ethnocentrism is the tendency to believe that one's ethnic or cultural group is centrally important, and that all other groups are measured in relation to one's own. (William G. Sumner).

3. HR Policy: are systems of codified decisions, established by an organization, to support administrative personnel functions.

4. Expatriate management: The internationalisation of business has resulted in the increasing use of expatriates to oversee growing numbers of international operations. In the private sector International Human Resource Management literature, the effective management of expatriates is recommended to involve attention to their selection, preparation, management and repatriation. This study presents the results of research which ascertains the importance of these four aspects in contributing to the success of expatriate assignments. As public and non-government sector organisations also have considerable experience in the management of expatriates, repatriates from all three sectors participated in the research. The results confirm the importance of selection, preparation, management and repatriation in contributing to the success of expatriate assignments. Furthermore, the non-government sector repatriates were more united in their opinions as they consistently rated these aspects as being more important than repatriates in the other two sectors