Victoria secret market entry strategy case study

Document Type:Creative Writing

Subject Area:Engineering

Document 1

These factors include demographic factors, technology, socio-cultural factors, economic factors, political and regulatory factors amongst others. An organization must therefore develop the marketing plan and market entry strategy in consideration of the said factors. This paper seeks to develop a market entry strategy for Victoria Secrets’ products into the Brazilian market and provide an appropriate marketing plan following the 4Ps of Marketing Mix. Company Overview Founded in 1977 by Roy and Gaye Raymond, Victoria Secrets is a Lingerie Company specialized in designing, manufacturing and marketing of lingerie, general womenswear and other beauty products. The company is an American multinational corporation headquartered in Ohio, USA with a strong presence in Europe, North America and other parts of the world. 6 million people with a female to male ratio of 51:49% (Bouzon, Govindan, 2015).

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This ratio is quite favorable for Victoria Secret since women are the primary target population. Furthermore, nearly half of the female population fall in the bracket of 15-40 years of age which is the prime age for consumers of beauty and fashion products. Brazil therefore offers a lucrative opportunity given its favorable demographic factors. Socio-Cultural Factors Brazil has an open-minded and liberal society that accommodates contemporary lifestyle as part of the rich diversity (Bouzon, Govindan, 2015). Consumer Behavior Lingerie and beauty products used to be affluent products that were considered not basic. However, these products have become quite integral in the lives of women of all ages especially those that fall within the bracket of 15-40 years of age. Beauty has become an art unto itself and the products are almost basic.

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The consumers are always looking for quality that makes them stand out and the products are consumed in large quantities. Brand loyalty is based on quality and this gives Victoria Secrets an edge. Some promotions will be launched making some lingerie more affordable for other audiences. Place: Brazil was the chosen country, however, stores will be opened in the major capitals, such as Rio de Janeiro, Sao Paulo, Brasilia, which are people with higher purchasing power and more tourists. The stores will be located in the main and most luxurious malls. Entry Strategy Victoria Secrets has several options it can leverage as entry strategies. The first strategy that Victory Secrets could leverage is franchising where it can license local entrepreneurs to use various aspects of business specific to Victoria Secrets (Dadzie, et al.

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After the three months period, the company will establish operations in Brazil and begin local manufacturing and customization of the products to incorporate the cultural diversity in South America. The plan is therefore a two-step entry model that employs direct exportation through local agents as a reconnaissance for the establishment of local presence. In order to enhance success, the company shall partner with top local models and modeling agencies considering the rich modeling culture of Brazil. Brazil will therefore serve as the epicenter of establishing customized South American Victoria Secrets trademark (Tulung, 2017). Conclusion Brazil offers a dynamic market with a rich and established beauty oriented culture. , Amponsah, D. K. , Dadzie, C. A. , & Winston, E. Tulung, J. E. Resource Availability and Firm’s International Strategy as Key Determinants Of Entry Mode Choice.

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