Export Implementation Plan for Liquid Shield: Revolutionary Stain Repellent

In order for a business to export to international markets, they must perform extensive research, planning, and organization on both their product and its supply chain. Established in 2019, our company has created a revolutionary product called Liquid Shield which will completely change the retail industry. Our unique water-based formula is created with nanoparticles which is what creates our undetectable shield. Liquid Shield technology is also toxic free which makes it is so safe that you can even spray it in your mouth. Our product can be used in any country around the world as everyone gets their clothes stained. However, our target countries that we believe will give us a competitive edge as well as establish our strong market share is China, India, and the United Arab Emirates. This export implementation plan was created specifically with an ecofriendly approach in mind providing a less toxic alternative to these countries who struggle with chemicals and pesticides in their products. 
Why Liquid Shield Should Export 
Liquid shield should export to China, India, and the UAE because each of these countries contain such diverse consumer segments and environments which will be beneficial for the success of our business. China and India are the world’s largest manufacturers of textile products and will therefore give Liquid Shield the amount of exposure it needs. However, most of these products are made with hazardous chemicals such as lead and phthalates. In addition, nonylphenol ethoxylates and nonylphenols are commonly used in detergents to wash textiles and “according to the U.S. Environmental Protection Agency, accumulating in the tissues of the body, they can disrupt the work of hormones and lead to a negative development of reproductive functions” (Fraser, 2018, pg. 2). That’s why we created Liquid Shield for countries like China and India that are trying to move towards products that are safe and sustainable as consumers become more conscientious of their purchases during this day and age.  Exporting to the UAE is an easy process which will make integration into their market much easier. “With its open and booming economy, its diversification initiatives, one of the highest GDP per capita in the world, and a worldly and diverse population, the UAE is an ideal export market” (Embassy of UAE, 2019, pg.1). Other advantages of exporting to the UAE include easy registration, low taxes, few restrictions, and a pro-business environment. Overall, China, India, and the UAE provide diverse and thriving markets for Liquid Shield to be sold. Our product will give these countries the opportunity to invest in a toxic-free future as much change is needed to better suit the increasing demand from the conscientious consumer.
Part I: Situation and Background Analysis 
There are many misleading stain removers advertisements. They all promote that they instantly remove any stain; but they do not. These products may also contain dangerous chemicals. People around the globe dispose of various items because it has a stain that doesn’t want to wash off. It is very frustrating to have your personal belongings being ruined within a day, week, or month of purchase due to a stain. However, there is a product that people can carry around with them that would make wearing a white dress shirt less agonizing; the Liquid Shield.
 There are many instances where a spill or stain remains on your clothes even after washing it several times. Some people even resort to using bleach to remove the stain. However, bleach can harm your lungs, cause permanent damage to tissue in your eyes, and can burn your skin if you come in contact with it (Watson, 2018). Liquid Shield can counteract all of these issues. It is an eco-friendly, edible, compact spray that can remove any stain in seconds. With this spray, people can confidently use and wear anything they like without the worries of it being stained.
Product
Liquid Shield is a stain repellent which adds an extra layer of protection for everyday items. This product can be applied to a variety of items including automobiles, children’s toys, footwear, household appliances and furniture, outdoor gear, as well as, clothing and accessories. With just one application of this liquid based substance, it can keep items stain free for an entire year. Liquid Shield is a super hydrophobic liquid repellent made with nanotech technology. This repellant is made with a water-based formula, it is non-toxic, eco-friendly, and safe for touching the skin. This product has been FDA tested and complies with EPA regulations. 
Personnel
The chemical and science industry is presently a very large business that is continuously growing in Canada. With new technology and science being discovered, it provides a very large employee need. “The Chemical Industry Association of Canada (CIAC) is the voice of Canada’s $52 billion chemistry industry… and the industry employs 87,300 Canadians and supports 525,000 jobs in Canada” (Chemistry Industry Economic Profile, 2017). We take pride in creating a liquid base, non-toxic, and environmentally friendly product which involves hiring the most dedicated workforce. Providing jobs in areas including scientists, sales representatives, environmental chemists, organic chemists, and more. It is also very important to us to hire personnel based on knowledge and experience, as well as, creating a diverse workforce. Our main priority to hire based on one’s level of education and skill rather than looking at race, ethnicity, and age. From taking in steps in creating the perfect formula, packaging, testing, production, and evaluating the product to ensure that it performs to our standards. This product is just the start, and we look forward to building our workforce to create the most reliable and environmentally friendly products that can be used in everyday life. 
Industry Structure, Competition, and Demand
The stain remover product market is to grow at a compound annual growth rate of 2.51% over the period 2014-2019 (Global, 2016). Stain remover products range from sticks, sprays, wipes and even gels. They also generally contain enzyme preservatives, bleaches and fragrances depending on the brand (Global, 2016). 
Due to the expanding market, there are new products being sold daily. However, this does not 
concern Liquid Shield because there is still no product that is both trusted by users and dominates the industry. According to Rabideau (2019), the top two industry leaders of stain removers are OxiClean Max Force Stain Remover Spray and Tide To Go Stain Remover Liquid Pen. However, OxiClean contains a chemical compound called sodium percarbonate, and Tide To Go only works on minor stains and most effective when used immediately (Palermo, 2019). Therefore, Liquid Shield has a competitive advantage over the two industry leaders because it is both chemical free and can be used on any stain.
Due to there currently being no stain remover product sold that is effective and environmentally friendly, there is a high demand for a product that can serve the needs of customers and the environment together. China, India and the UAE are among the many countries with the most polluted urban areas; their Environmental Performance Index’s (EPI) are 41.4, 60.6 and 64, respectively (Smith, 2017). These EPI’s are very low compared to Finland, which is the most environmentally friendly country in the world with an EPI of 90.68 (Smith, 2017). Because people in these areas are constantly exposed to pollution, they are at more of a risk of being affected by it. Therefore, a product like Liquid Shield that is reliable, eco-friendly and effective has the capacity to satisfy their needs.

For our export implementation, we have decided to use FOB (Free On Board) as we think it best suits our needs as well as the buyers. This method of transportation allows Liquid Shield to be exported both by sea and inland waterways which is crucial considering the extreme distance of China, India, and UAE. FOB means that the “seller delivers when the goods are placed alongside the vessel (e.g., on a quay or a barge) nominated by the buyer at the named port of shipment. The risk of loss of or damage to the goods passes when the goods are alongside the ship, and the buyer bears all costs from that moment onwards” (ICC, 2019, pg. 2). Since the buyer chooses how their cargo gets delivered, it will increase efficiency throughout the entire supply chain. Another reason why our company decided to use FOB is because it allows us to be free of all responsibility once the product is given to the buyer. 
 
Most water and stain repellent products by competitors in countries such as China and India use traditional methods of production, mainly made with silicon based raw material, alkaline materials and surfactants fabrics with a PH level of 6.5 by weight. The softening and cross linking agent used in any traditional repellant make it extremely dangerous and therefore cannot achieve a “household product” status in Target countries. Nearly all the liquid repellant gears contain a PFC coating and fluoropolymers, making it a human Carcinogen. On the other hand, Liquid Shield uses unique Nano technology as basis of its water based formula without the use of any toxic ingredients, which is why it is  completely non-toxic and eco friendly. This is our main differentiator and it will be extremely difficult for any competitors to model our product. Our main marketing goal is to achieve a “household level” status by positioning our differentiator effectively in our primary market segments.

Product

Identifying, Evaluating, and Selecting Target Markets
As stated previously, Liquid Shield can be applied to almost anything. This characteristic provides the possibility that any demographic can be targeted, as almost all people will prefer to preserve their items from stains. These broad options, have also allowed for a choice to be made. This choice is to target families in the middle to high income level, as they will be able to afford Liquid Shield in sizeable quantities. Families often come with children, which are known to cause, either accidentally or purposely, messes which stain and damage items. Larger families also carry risk, as the larger the number of people in one space, the likelihood of accidental damage is increased. As Liquid Shield can be used on multiple items, it feels fitting to target families and those at the center of families, parents, as they will want to protect their belongings from damage. 
Product selection and pricing
Pricing is a crucial aspect in any business since it determines the profit the company is going to make, depending on how affordable the product is to the market. Business needs to consider pricing as a strategy that can offer their firms a competitive advantage in the market. Depending on the market, a business wants to venture into and the objective of the business, there are a variety of strategies that a company can adopt. Such strategies include setting the lowest prices to attract customers, setting higher prices to signify their brand superiority, or setting high prices to gain higher profits for a new product then lowering the price over time once competitors start to come into the market. 
Asian is a region that is characterised with a large population, growing economic development, improved infrastructure, and increased competition as many investors move into the area due to benefits such as access to cheap labour and raw materials. To effectively market our product, OxiClean, in the region with the emphasis being on India, China, and UAE, we are going to use a price skimming pricing strategy which involves setting higher initial prices which eventually lowers over time. This strategy will help optimize the profits from the product before competitors venture into the market. Additionally, setting higher prices will help create the impression of our product being of high quality.     
Since the product is not only new in the market but also made up of high quality, the chances of competitors offering similar products with the same satisfaction are lower. Therefore, the product will be provided to the market on a selling price of $12, which is slightly smaller than the one offered on the company’s website of $12.99. With the cost of manufacturing the product being $1.14, this new price will not only make the product profitable but also help penetrate the market. Over time, the prices of the product might be expected to reduce to at least $10, which in our view, offers our customer their value for money since it offers unique features. The product has been tested to ensure that it does not have adverse effects on once health and has met all requirements and regulations which are up to the standards of the intended countries. Since one single application of the product has the capability for lasting for a whole year, the product will not only be attractive to upper-class citizens but also to the lower and middle-income citizens who make up a large percentage of the countries’ population.  
The countries offer a large market for our product due to their large populations which will eventually translate to huge sales and enormous revenues for the product. Being an eco-friendly product that can be used for various cleaning functions, the product is likely to enjoy a competitive advantage over other products offered in the region. Additionally, the industrious nature of these countries is expected to provide an excellent market opportunity for the product since many companies will prefer to use the product on their staff clothes to ensure that they remain clean. With our product, these companies can ensure both customer and employee satisfaction which will help boost their revenues and increase the countries’ GDP.
Distribution method
Distribution is one of the primary aspects of the market strategy that helps the business grow and be successful. To ensure both success in these countries and profitability, the choice of the best distribution strategy is appropriate. This choice will determine the intended customers, the lead time needed to deliver the products, the communication channel to use, and the operational cost, which will eventually determine the product’s profit. The distribution strategies to be used in this case will be business to business and business to customers. 
Business to business distribution will enable us to sell our products to intermediaries such as retailers, wholesalers, and other brokers who are familiar with the regions. They will help us market our products effectively by stocking them on their shelves where customers can easily access them. Our product will be delivered to different ports in these countries for easier distribution to the intermediaries. Additionally, this will reduce the transportation cost required to transport the product to these destined countries since they will be shipped in bulk. The product will be sold to these intermediaries with a lower price, and they will be expected to sell the product at the recommended retail price of $12-$13. This price will help create uniformity in the prices of our product and reduce unhealthy competition between the intermediaries, which might affect the product’s success
Sales Goals: Profit & Loss Forecast
Liquid Shield is a perfect household product that conforms to the increasing demand for non-toxic and environmentally friendly products worldwide. Consumers will prefer Liquid Shield over its competitors mainly because of its safe, non-toxic Ingredients as well its proprietary feature that allows each application to last almost a year. Our differentiators and constant innovation year to year will result in higher profits in the future. Based on a Preliminary Market Testing conducted, the following projections of Net Profit has been established and is expected to increase by 1.5 % to 1.8 % every year. The increase in sales can be achieved through constant innovation in quality and adaptation based on changing consumer preferences, monitoring of competitor products and focus on keeping our costs to a minimum.