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Marketing Objectives of Sodashi Skincare

Discuss about the Statistical Mechanics and its Applications.

The primary purpose of the task is to analyze and evaluate the market of South Korea to initiate the marketing activities and operations. Sodashi Skincare Company has been taken in the task. The company renders unique and attractive beauty products to the customers across the world. The paper explains the key marketing objectives of the firm and further here is the discussion about the environment of the South Korea. SWOT analysis and Pestle analysis have been done in the task. The paper describes STPD strategy and market mix strategies of Sodashi Company. Also, the report explains the modes of entry and market readiness of South Korea.

Sodashi is a pure nourishment skin care company which was established in 1999 by Megan Larsen. Sodashi skincare products have well known in the global market. The company provides wide range skincare products to the customers across the world. There is only around 50 employees employed in the company. The organization provides ample of benefits to the youngsters, women and adult who are suffering from dry pigmentation, dry and rough skin. The main aim of the firm is to satisfy the needs and requirements of the customers by providing beauty and skin care products to the customers (Sodashi, 2018)

The main objective of the company is to enhance and increase the sale by rendering unique and attractive beauty and skin products to the customers across the world. It focuses on the completeness, happiness and harmony of the people. With maintaining unity and harmony, the organization wants to raise the needs, demands and requirements of the customers in the international market. Furthermore, the organization also wants to increase the market share operating income. By using holistic approach, the firm wants to attract maximum number of the customers across the world. In this way, the company wants to be a global leader in the skincare industry.

Marketing environment plays a significant role to gain competitive advantages in the market. The company operates its business operations in many countries such as Australia, Asia, Japan and Thailand. The pestle analysis for Sodashi Company has been detailed below (Wilson et al, 2012).

Political factors: It has been noted that political condition of the South Korea is not good and effective. In 1986 the democratic process was streamlined. South Korea is a democratic country. The country maintains a centralization power among the people. On the other hand, political violence is one of the significant challenges in the country that could affect the success and sustainability of the firm (Guo, Lee, I.S, Kim, U.J.and  Oh, 2010).

Environment Analysis of South Korea

Economic analysis: There are ample of economic factors that put direct impact on the profitability of Sodashi Company. The economic structure of the country is well support by the government. The economic conditions of South Korea are unique and strong. The reason behind the economic growth and success is powerful and unique export sector in the country. On the other hand, low level of imports, and decline level of FDI’s could affect the revenue of the firm adversely. The GDP of the country is 1.41 lakh cores USD that has direct impact on the outcomes of the company adversely (Molodecky et al, 2012).

Social analysis: The wages are higher than other countries in South Korea. The literacy rate is one of the biggest strengths for the country. Along with this, low fertility rate still indicates a significant challenge in the South Korea that can be faced by the firm. The social welfare and urbanization are low. High wages rate, and high workforce are main strengths of the country. Besides this, low fertility rate, low social welfare and low fertility rates have an adverse impact on the outputs of the firm. In addition, culture, values, customs, beliefs and attitudes of the people could also affect the success of the firm.

Technological factors: The country is known for its technological innovation with well occupied infrastructure facilities and highly educated labor force. Along with this, it has been noted that South Korea is the destination for the research and development. Let talk’s about the communication, collaboration and internet facilities, the South Korea is the most wired country in the world. The effective and unique technology and workforce are helping the company to raise funds in such country.

Legal factors: The Company needs to focus on the rules, regulations and standards of the South Korea. The legal factors also affect the sustainability and outcomes of the firm. No company can survive and grow its business without analyzing the legal factors (Kim, 2010).

Environmental factors: The environmental factors also influence the productivity and efficiency of the workers and organization as well. In today’s modern world, the urban areas are increasing day by day so the government has adopted various control measures in urban areas and is encouraging environmental education is business communities and schools. All these factors influence the outcomes of the firm adversely and positively as well (Lee Yoon, and Lee, 2009).

Porter five forces analysis is conducted by the company to beat the competitors. The main competitors of the firm include Aloette cosmetic Inc, Metrin international products corporation, Pure Lisse and RxGenesys.  These competitors affect the progress of the firm negatively. This analysis also helps the company to determine and evaluate the competitors of the organization. The porter five forces analysis for Sodashi Company are discussed below.

SWOT Analysis of Sodashi Skincare

Bargaining power of suppliers: It has been noted that there are ample of suppliers in each and every industry in the South Korea. The bargaining power of suppliers is high in such country. The bargaining power of suppliers affects the growth rate of the firm.

Competitive rivalry: It is stated that competitors could also affect the market share and operating income of the company. The competitors in South Korea mostly depend upon the country to country. Sodashi is also situated in South Korea that put ample of impact on the sale and profitability of the company. It has been noted that women in South Korea spend twice as much of their income on beauty and skincare products and services. Therefore, there is high and immense competition in the South Korea for beauty and skincare products.

Bargaining power of buyers: It is just only adverse of the supplier’s power. The bargaining power of buyers is high in such country. Due to high bargaining power, the company has been able to sell the beauty and skincare products at low prices.

Threats of substitute: The threat of substitute is high in the country hence it puts adverse impact on the productivity of the company. It has been found that most of the beauty and skincare products are used by the customers on daily basis. Therefore, the demands and requirements of such products are increasing day by day. The threat of substitute is very much in the South Korea because literacy rate is high in the country.

Threats of new entry: The threat of new entry is high in the country because beauty products are used by ample of customers in the global market. Thus, it can also affect the outputs and efficiency of the firm.

The porter five forces analysis plays a significant role to beat the competitors in the South Korea. By using this strategy, the company has been able to know and identify the policies and actions of the competitors in such market.

There are enormous entry modes that can be initiated by the company explore the business in the South Korea. The modes of entry consist licensing, foreign direct investment, franchising, Export and strategic alliance. After the various studies, it has been analyzed that the company can initiate the strategic alliance mode to make a brand image in the minds of the clients. By using this, strategy, the company can collaborate and make agreement with the well known hotels to operate and implement the business activities effectively and successfully. This mode also helps the company to raise the fund in the competitive market. Besides this, the organization can utilize the resources and money by using strategic alliance mode. It will also help to generate maximum revenue and outcomes in the South Korea (Sodashi, 2018).

Market Mix Strategies of Sodashi Skincare

The market readiness is one of effective processes that used by the company to analyze and evaluate the threat and risks of the South Korea. This process also helps the company to launch and introduce beauty products in the international market. In other words, market readiness may be defined as a process that indentifies and evaluates the satisfaction level of the customers in the competitive market. By using this strategy, the organization analyzes and examines the marketing trends and changing buying behavior of the consumers. In this way, this process is becoming more effective and efficient in today’s competitive world. Sodashi is a well brand of the Australia and now it has decided to expand the business in South Korea (Lee, Yoon and Lee, 2009). The main purpose of the company behind the establishment in South Korea is to seek the customers for selling the products and services effectively. This strategy also inspires people for purchasing the beauty products of the company. It has been noted that Sodashi Skincare Company is operating its business actions and operations in many countries. Therefore, it can take ample of benefits in such country also. The company cannot flourish the business in the South Korea without identifying and evaluating the expectations and desires of the upper class clients. In this way, this strategy helps the company to stand out against the rivalries in the global market. After the various studies, it has been evaluated that the company uses plenty of models to identify the barriers and challenges of the foreign market. Some of the models include SWOT analysis, porter five forces analysis and pestle analysis. The SWOT analysis for Sodashi Skincare Company is elaborated below (Graber et al, 2016).

  • The company can use effective and unique labor in South Korea to conduct business activities effectively. It helps in providing good quality of products across the world.
  • The policies, strategies and standards are made by the government are unique and effective in the country.
  • Along with this, effective and advanced technology can be used by the company in the country. Therefore, the organization can take plenty of benefits while implementing the business actions in South Korea.
  • The strong economic condition can also provide advantages to the firm.
  • Centralization of power is one of greatest strengths for the organization.
  • Strong foreign relationships (Van Weele, 2010).

Weaknesses

  • Political violence is the biggest threat for Sodashi Company.
  • Military also influences the South Korea politics.
  • Reduction in FDI could also affect the potential and targets of the firm.

Opportunities

  • High wages and high educated well skilled workforce. Presence of large domestic and global players in the skincare industry.
  • It has been noted that women in South Korea are always ready to spend money on the make up and beauty products in the global market.
  • Online presence is one of biggest opportunities for the company in such market. Online presence could also helps to grow the skincare products in the South Korea market.
  • An exclusive constitutional court is the leading opportunity for the Corporation.

Threats

  • High and intense competition is one of the biggest threats for the firm. Recession is another threat for the organization that could have direct impact on the image of the company in such country.
  • Strict rules and legislations also affect the reputation of the firm.
  • It has been noted that cost of the beauty products are quite high thus it affect the income level of the consumers in the niche market.

It has been stated that STPD strategy is generally adopted by the each and every company. As the same way, Sodashi Company also uses STPD strategy to distribute the products in the global market. The STPD include segmentation, targeting, positioning and differentiation. The STPD strategy for the company has been discussed below.

No company can strive with competitors without using the segmentation strategy. The firm uses this strategy to divide the market into different group of people in the international market. The different customers consist different types of needs and requirements in the competitive market. That is why; the company divides its market into different group to examine and analyze the demands, needs and requirements of the customers in a large extent. They consumer is considered the biggest key success factor for each and every company in the competitive market. The segmentation is done by the company after considering various areas such as geographic, demographic, Psychographic and behavioral. The four major segments are detailed below.

Modes of Entry and Market Readiness of Sodashi Skincare in South Korea

Geographic: In this area, the company focuses on the climate, weathers and other environment factors that can affect the image of the firm. It also focuses on the cities, and religion of the people to increase and maximize the selling process of the firm (Jung et al, 2012).

Demographic: In this segmentation, Sodashi Skincare Company can focus on the age, income, job type, race, gender, size of the family, life cycle of the family, and culture. These factors play a vital role to reduce the cost with maximizing the outcomes of the firm. Therefore, these factors should be kept in mind by the customers while implementing the business in South Korea.

Psychographic: These factors include lifestyle, socioeconomic factors, social class, and aspects of the people.

Behavioral: Under this segmentation, the organization focuses on the status of the people, readiness of the market and rate of the usage of the products.

It has been revealed that there are various types of segments initiated by the company for gaining profit and income in the competitive market. Along with this, the company also uses various other segmentations such as business market segmentation; inter market and international market segmentation. These segmentation help Sodashi Company to beat the competitors in the international market. It is noted that segmentation is necessary for analyzing the income of level of the customers. Efficiency and sustainability can be achieved by using this strategy within the organization.

In this strategy, the company attracts those customers who purchase the skincare and beauty products of the firm in the global market. This type of market is designed by the firm to sell the products widely. The company targeted women, young boys and girls who want to look beautiful in the marketplace by using (Sodashi products Haggard and Noland, 2009). The upper class and middle class people are also included in the target market for Sodashi Company.

It has been revealed that assessment of the target market includes the following:

Size and growth of the market: The sales, revenue, profitability and rate of growth could affect the image of the organization (Babin and Zikmund, 2015).

Goals and resources of the firm: Goals and objectives are decided by the firm to attain long term benefits in the marketplace. Along with this, effective and optimize utilization of resources shall be done by the company to capture the entire market (Yan et all, 2011).

Attractiveness and effective structure: It is note that there are various competitors in the South Korea market that have various impacts on the goodwill and success of the firm. With effective and unique structure, the company has been able to know and measure the aggressiveness’s of the competitors in the global market. The substitute’s products are identified by using this strategy at the workplace effectively. The targeting strategy helps the company retain the existing customers in the rivalries market (Bamberger and Mulligan, 2010).

The selection of the target market is also done by Sodashi Company to overcome the rivalries in the market. The selection of the target market is dependent on the various factors that can determine the success and revenue of the firm. Some of the important points that used by the firm are discussed below.

Mass marketing: This is one of the dynamic strategies that focuses on the needs, requirements, desires and wants of the customers instead of focusing the operations of the competitors. It is noted that company ignores the market segment to avert the risks and key issues of the market.

Niche market: This segment focuses on the needs and demands of the whole target market. To identify the niche market, the company should conduct marketing survey and research in the global market. By using this segmentation, the company can identify and measure the desires of the competitors also.

Internal marketing: The skincare and beauty products are designed after considering the needs of the individual customers in the local market. This type of market is able to maintain strong and effective communication with suppliers and customers worldwide.

Individual marketing: This type of marketing is also done by the company to introduce and use the innovative technologies within the organization. In this marketing, one to one marketing of the skincare products is done by the firm.

By using this strategy, the organization has been able to sell the products in the competitive market. The firm designs the products in such way then it can attract and retain the customers in the international market. To position the skincare products, the company needs to focus on the diversification strategy to fulfill the needs and requirements of the customers. A competitive benefit is one of the leading and biggest benefits for the firm. The company uses positioning strategy after considering the performance, productivity and style of the products (Claessens, 2015).  

Along with positioning strategy, the company also uses differentiation strategy to distinguish its skincare products and services from the competitors. The product and service differentiation is done by the firm to make easy the delivery of the products and services (Kim et al, 2012). Differentiation strategy is done by the company to differentiate its products in terms of feature, aspects, reliability and flexibility of the market. Under differentiation strategy, the organization has been able to differentiate its people after considering the skills, talents and experience of the workers. After the various studies, it has been revealed by many authors that the company can also use image differentiation to better positioning and to provide unique products to the customers in the international market. The firm can use value proposition strategy to implement the business in South Korea. It has been analyzed that differentiation strategy helps the firm to distinguish its prices and products from the rivalries (Van Weele, 2010).

One of the significant strategies for Sodashi to sell its products in the South Korea is marketing mix strategy. This is an effective and dynamic method to identify and analyze the prices , promotional channels and products of the competitors (Helms and Nixon, 2010). It is an effective strategy that is implemented by the firm to produce and launch the new and innovative products in the international market (Carney et al, 2011). The marketing plan can be made to analyze and evaluate the market competitors of the customers. It is an effective and unique technology that includes product, price, place and promotion. In this way, the company has been to create a dynamic image in the minds of the customers (Hou, Abraham and El-Serag, 2011). The company cannot cope with the rivalries without using marketing mix analysis that are detailed below.

Product strategy: It has been analyzed that wide range of products and services are implemented by the company to introduce the new and innovative products in the internal marketing (Guest, MacQueen and Namey, 2011). The skin care company has launched its products in a large extent. The organization offers various type of the skincare and beauty products to the clients in the international market. Before implementing the policies and strategies, the firm needs to focus on the demands of the existing products in the rivalries market (Morgan and Rego,  2009). By using this strategy, the company satisfies the plans and actions of the consumers in the South Korea market. The future and adaptability of the products and services should also be explained and analyzed to earn maximum outcomes. The skincare and beauty products can affect the demand and requirements of the consumers in the international market (Yan et al, 2011). An effective and unique strategy is used by the firm to strive and cope up with rivalries in the global market. The product overview of the company has been detailed below.             

Product Range

Product

Features

Size and Weight

Price (AUD)

Skin Care

Rejuvenating Face and Neck Moisturizer, hair spa

Reduces and eliminates the skin problems and isuses.

90 Ml

150

Skin Care

Reviving Face Mist

Strengthen Capillaries and hydrates skin

105 Ml

100

It is one of the most significant factors of the marketing mix strategy. The organization should focuses on the pricing of the products to decide the appropriate prices of the products in the international market. Price is an important factor that should be considered before initiating the products in the South Korea. The firm should provide discount and offers to the customers in the foreign market (Tsimane, 2015. ). By using pricing strategy, Sodashi has been able to know and identify the prices of the rivalries in the global market. If the company sets the appropriate or effective prices of the skincare products then it can increase and enhance the more and more clients in the international market. The organization sells its products at cheaper prices to stay in the competitive market. Pricing is one of the unique and dynamic strategies for Sodashi Company to cope with rivalries in the marketplace. The prices of the products are help in determining and analyzing the purchasing power of the customers across the world. There are ample of factors which should be kept in the minds while exploring and flourishing the business in the South Korea that have been discussed blow (Morgan and Rego, 2009).

  • The cost of skincare and cosmetic products.
  • Value and significance of the products and services.
  • Rivalries product pricing and discounts and incentives.

All these factors help the firm to destroy the competitors. Furthermore, it also helps in creating the job opportunities in the whole market. The success and growth of the firm is dependent on the special offers and discounts (Kottier, 2017).

Distribution strategy: It is one of the effective and leading strategies for the company to handle the consequences and issues related to the distribution and place. The company uses E-commerce and online channels to sale the products effectively and carefully (Dinnie, 2015). Distribution is considered to be a tool or technique by which the company has been able to allocate the products and services among the customers. Sales force, online channels, location and online place of the products also affect the long term goals and objectives of the firm. In addition, this strategy helps the company to increase and maximize the results of the firm. The appropriate prices of the skin care and beauty products shall be set by the firm to run the business activities and operations effectively and efficiently (Roy et al, 2014).

This technique is used by the many companies to hit the competitors. The company uses effective and unique promotional strategies to gain rivalries benefits in the rivalries of the market (Lee et al, 2016). The company uses various tools to attract the more and more consumers in the market. The promotion process include branding, direct selling, and public relations that help to identify and analyze the promotional and advertisement channels in the competitive market. There are various promotional strategies that should be taken by the firm to promote the features, needs and requirements of the customers. The company uses information technology and resources to overcome the competitors in the marketplace. Now it has been stated that all these marketing mix strategies helps the company to protect the business from the changing trends of the market (Kong, 2013).

Conclusion

From the above mentioned analysis, it has been concluded that Sodashi Skincare Company focuses on the needs and demands of the consumers carefully. It will also help to generate outcomes in the international market. PESTLE analysis, SWOT analysis and porter five forces analysis are done by the company to expand and explore the businesses in the international products and services. The above mentioned analysis shows that how the company helps in traducing and eliminating the challenges and hurdles of the market. Furthermore, the company needs to focus on the needs, wants and requirements of the customers while starting new business activities and operations in the foreign market. Apart from this, the organization also improves and enhances the sales and profitability of the firm after considering the STPD strategy and marketing mix strategy.

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