INTERNATIONAL PROGRESSCombined Major Assignment:

Analyse data from international markets BSBMKG511AForecast international markets and business needs

BSBMKG512A Due 2014/04/14

Company name Tornado

Target market Chile Tanzania

Name Student ID Contents

Fran 1119020101 Economic and demographic

Blair 1119020127 Information of marketing plans

Sylvia 1119020110 PEST

Cathy 1119020104 Marketing mix

Mandy 1119020123 SWOT

Molly 1119020120 Conclusions

Teacher name: DAMIAN DICKSON

Introduction

Our company ( Tornado ) aims to sell vehicles to Chile and

Tanzania.

Economic and demographic analysis-------Chile

1、Geography

A long and narrow coastal Southern Cone country on the west

side of the Andes Mountains, Chile stretches over 4,300 km

north to south, and 350 km at its widest point east to west.

The northern Atacama Desert contains great mineral wealth,

primarily copper and nitrates. The relatively small Central

Valley, which includes Santiago, dominates the country in terms

of population and agricultural resources.

Southern Chile is rich in forests, grazing lands, and features a

string of volcanoes and lakes.

2、Ethnic groups

Chile is a multiethnic society, home to people of many different

ethnic backgrounds. 30% of the population is of Caucasian

origin. "predominantly White" Mestizos are estimated to amount

a total of 65%, while Native Americans (Amerindians) comprise

the remaining 5%.

Despite the genetic considerations, many Chileans, if asked,

would self-identify as White.

3、Religion in Chile

In the most recent census (2002), 70 percent of the population

over age 14 identified as Roman Catholic and 15.1 percent as

evangelical. Approximately 90 percent of evangelicals are

Pentecostal.

Irreligious people, atheists, and agnostics account for around 8

percent of the population.

The Government-observed religious holidays include Christmas,

Good Friday, the Feast of the Virgin of Carmen, the Feast of

Saints Peter and Paul, the Feast of the Assumption, All Saints'

Day, and the Feast of the Immaculate Conception as national

holidays.The government has recently declared 31 October,

Reformation Day, a public national holiday, in honor of the

Protestant churches of the country.

4、Economy of Chile

Chile is one of South America's most stable and prosperous

nations, leading Latin American nations in human development,

competitiveness, income per capita, globalization, economic

freedom, and low perception of corruption. Since July 2013,

Chile is considered by the World Bank as a "high-income

economy", and hence as a developed country.

Chile has the highest degree of economic freedom in South

America (ranking 7th worldwide), owing to its independent and

efficient judicial system and prudent public finance management.

In 2006, Chile became the country with the highest nominal GDP

per capita in Latin America.

Copper mining makes up 20% of Chilean GDP and 60% of

exports. Overall, Chile produces a third of the world’s copper.

The unemployment rate was 6.4% in April 2013. There are

reported labour shortages in agriculture, mining, and

construction.

5、Transport

Due to the geographical features of the country, the transport

network is vital. Buses are now the main means of long distance

transportation in Chile, following the decline of the rail network.

Chile has a total of 372 runways.

Tanzania

1、Demographics

The Bantu Sukuma are Tanzania's largest ethnic group.

According to the 2012 census, the total population was

44,928,923. The under 15 age group represented 44.1 percent of

the population.

According to 2010 official Tanzania statistics, total fertility rate

in Tanzania was 5.4 children born per woman with 3.7 in urban

areas and 6.1 in rural areas.

2、Religion

Gaddafi Mosque in Dodoma is one of the largest mosques in the

Great Lakes region.

According to recent estimates 35% of the population is Muslim,

30% is Christian and 35% practice the Traditional African

religion. Majority of the Muslims are Sunni with most of the

remaining being Shia.

3、Government

The parliament of Tanzania consists of two parts: the president

and the National Assembly. The president and the members of

the National Assembly are elected concurrently by direct popular

vote for five-year terms.

4、Economy

The economy is heavily based on agriculture, which accounts for

more than 25 percent of gross domestic product, provides 85

percent of exports, and employs 80 percent of the workforce.

Tanzania has vast amounts of minerals including gold, diamonds,

coal, iron, uranium, nickel, chromium, tin, platinum, coltan,

niobium, natural gas, and others.

In 2011, Tanzania was the fifteenth-largest producer of gold in

the world and the third-largest in Africa after South Africa . The

value of the gold produced in Tanzania in 2011 was over US$2.5

billion, representing 10.5 percent of the country's gross domestic

product.

5、Child labour

Child labour is common in Tanzania with millions working. It is

more common with girls rather than boys. Girls are commonly

employed as domestic servants, sometimes by force. Poor

children in particular are trafficked internally for commercial

sexual exploitation.

The information about Tanzania and Chile

Chile

● The population of Chile is 1.7557 million. It accounts for 4.22% of

the total population of South America .

● The national area of Chile is 7566.26 million square meter. The

population density of Chile is 25 people per square meter.

● The official languages is Spanish and English. Its neighbour are

Argentina, Peru, Brazil and Bolivia.

● In 2013, its Gross Domestic Product is $277.023 billion. Chile’s

main industries is mining industry and forestry. The main products

are mineral, wood and wine. They export wood and mineral to the

US, France and China. Chilean red wine exports to all over the

world.

Tanzania

● The population of Tanzania is 43.7million. It accounts for 4.18%

of Africa's population.

● Its land area of 945203 square kilometers. The population density

of 42 people per square kilometer.

● Swahili and English are the official languages of Tanzania.

● The Gross Domestic Product is 28.242 billion. Its main industries

are agriculture and light industry, such as food processing and textile

industry. The main products are crop, coffee bean and cotton.

Tanzania export them to India and China. Tanzanians often import

instruments, vehicles and means of production.

PEST analysis----Chile

1、Politics

Economic liberalization in Chile dated back to 1973, when the

government introduced non-liberal economic policies, including

the status of the height from the government-controlled to a free

market economy, liberalized price controls, liberalization of

external trade, lower tariffs, strengthen protection of free

competition.

Currently, Chile has signed trade agreements with 59 countries,

and 24 countries have signed the agreement to avoid double

taxation.

2、Economic

Chile is one of the best countries of the Latin American

economic evaluation in the world and it also has well-developed

economies.

In 2010, Chile depending on its steady growth momentum of

economic development has become the first South American

country to join the OECD.

Note: the OECD is short for the Organization for Economic

Cooperation and Development a group of rich countries who

work together to develop trade and economic growth.

3、Social

Chile is one of the first countries to establish a social security

system in the world.

As early as 1918, the Chilean national Constitution proposed

should focus on health care and other welfare needs of residents.

In 1925, Constitution more clearly presented that the

responsibility of the State is to meet the social welfare needs of

residents.

Today, after nearly a century of improvement, Chile has

established a relatively complete social security system, which

since in 1980 the government implemented a new pension and

health insurance systems.

Chile has been recommended as the United Nations around the

world and other countries learn from the examples.

4、Technology

Chile creates the National Science and Technology Development

Fund for developing their improvement of technology.

In order to solve the shortage of recourses, the government

actively carries out renewable energy research and practice.

The government also establishes regional technology

development center and trains IT personnel to promote national

science and technology.

Tanzania

1、Politics

Tanzania has a stable political system ruled by Revolutionary

Party which has a strong power to dominate the state now.

Tanzanian customs on imported goods are in accordance with the

published schedule of rates of taxation, so exports of goods are

generally not set tariffs.

In Tanzania, any individual subject to local legal registration,

after Tanzania achieving commercial business license, can apply

for both imports, export licenses, and the independent import and

export trade.

2、Economic

It was ever one of world’s least developed countries which the

United Nations announced.

But currently, the economy grows apparently over 6.5% for three

consecutive years with a strong development in mining and

tourism.

3、Social

Tanzanian national per capita income is $ 8.9 monthly salary,

and city residents $ 22.9, Dar es Salaam city residents $ 43, $ 4.1

rural population.

The main source of income for urban residents is engaging in

commercial activities, and the rural population’s income is

mainly from the sale of food and cash crops.

4、Technology

China provides Tanzania agricultural technology support, such as the

main launch of new varieties, new technologies and new

achievements and demonstration trials.

SWOT analysis

1、Strengths

Chile

To the whole country, Chile is a developing country of medium

level. Compared to Chile, our company’s cost for labor is

cheaper and more efficient in manufacturing.

Large and rapid development of the domestic market provides a

huge market support for overseas development of automobile

industry.

Tanzania

Tanzania is one of the least developed countries of the world the

United Nation has announced.

We can take advantage of the technology and experience to

supply enough cars for this country.

For that Tanzania has much cheaper labor force and land rent, we

can employ local people to produce cars in their domestic land.

2、Weaknesses

Chile

Our company is small in scale because of the low starting point.

Compared with the developed countries, such as

Europe, America, our company has less investment in research

and is in lack of independent intellectual property rights.

There is quite a long distance between China and Chile.

Tanzania

There is quite small demand in quantity due to its poverty.

Market for cars is starting.

3、Opportunities

Chile

Our company has a trend to get into the field of new energy

vehicles.

In recent years, our country has launched a number of

support policies for new energy vehicles. 

Tanzania

Though this country is poor ,there exists much commercial

interest in market for cars.

Our cars are practical with excellent quality and reasonable

price.

4、Threats

Chile

The global financial crisis must have a great impact for our

company's exports.

More advanced technology from developed countries will hit our

sales volume severely.

Tanzania

Our company lacks a regular organization to take charge of

exports.

Market development is a difficult process, which remains so

much unknown emergencies.

Marketing mix---Chile

1、Product

In order to make products adapted to Chile's automobile market

better, We mainly sell Sport Utility Vehicle.

Our products are attractive, strong and have vigorous appearance.

They have spacious interior space, and can fit the taste of young

people from Chile well.

Our objectives are facing the young people who have children.

They need big cars with enough driving space and luggage space,

thus it will be convenient for the family trip.

2、Price

The car mainly take competitive low price strategy. Our goal is not

only attack into the market quickly with no profit from single

product, but also get a certain amount of market share. From this

strategy, we are able to get a long-term development.

3、Place

Chile is a coastal state, we chose to focus on coastal economically

developed cities such as San Diego and so on. So we choose a

intensive sales market, put all sales force into target market, after our

product began to launch on this market, we can move to next market,

even the whole country.

4、Promotion

A large amount of advertisements may improve the brand

awareness. In order to fit the preference of local people, the

advertising will introduce the function of cars are suitable for them

and will bring many advantages to them.

Tanzania

1、Product

Multipurpose vehicle(MPV) is the vehicle that combine functions of

car, van and camper. It has more rows of seats, room and the seats

could be adjusted. MPV’s gas consumption is always high and it

also has a high price. So in Tanzania, a relatively poor country, it is

proper to be applied in business instead of individual. We will

recommend a type that is proper to business man.

2、Price

We will choose low or middle grade of MVP to market in Tanzania

considering its economical development level. Lower price and

lower gas consumption can appeal more consumer.

3、Place

Our company adopt the method of direct marketing, direct and

effective way to transfer the information to customer.

4、Promotion

We can hold a commodity exhibition meeting to attract consumers,

post advertisements in column and offer installment to promote it.

Recommendations---Chile

Nowadays, China became Chile's largest exporter, and the trade

volume is increasing persistently. Therefore, we forecast that

Chile’ government will ask our company boost production to

support their demand for cars. The worse case scenario forecast

is Chile’s government adds the tax to protect local business.

We suggest we enhance the efficiency of production; on the other

hand, we can raise technical equipment level and take risks to

innovate for the local companies.

We need pay addition to design unique cars to catch the

consumers’ eyes.

Tanzania

Recently , its economic development is slower, and since the

privatization of the economy was developing in Tanzania， it

causes our companies moderate trade with theirs. We forecast

that our cars' sale will decrease 5% in Tanzania, and the best case

scenario is we will increase the automobile exports about 5%.

If we cut the export scale, we should pay attention to after-sales

service quality; if we expand the export scale, we can reduce the

cost of the cars.

We need increase the amount of service stations, and improve the

quality of the automobiles, and improve cars’ fuel efficiency can

our car’s increase sales.

References

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2013. 

3 、 Jump up ^ "Revisión del cuestionado Censo 2012 reduce

población chilena a 16.341.929" (in Spanish). Emol. Retrieved 26

February 2014. 

4、 Jump up ^ "Society at a Glance   : Social Indicators OECD" .

OECD. October 2012. Retrieved 28 October 2013. 

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Development Programme. 14 March 2013. Retrieved 14 March

2013. 

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2005. "Chile's name comes from an Indian word, Tchili, meaning

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Dictionary.reference.com. Retrieved 19 February 2014. 

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