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You are the vice president of marketing for a new retailer that-(Answered)

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You are the vice president of marketing for a new retailer that sells brain training games to exercise and improve memory, and your company is expanding globally.?

Analyze the global population data in Table 7-1 (Chapter 7 in?Retail Management: A Strategic Approach) ?of the textbook from a retailing perspective.?

Analyze each country's population data. For example, how will a retailer use the population data to target consumers? The age distribution provides invaluable information to the retailer in terms of target market planning. Overall, what sense do the data make?


*Basically the same topic and sub topics as the attach file.

3-4 pages double space


Running head: MODULE 4

 


 

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MODULE 4

 


 

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Module 4

 


 

Demographics play a part in all areas of a company. From the product they sell to the way

 

they market their product and much more. These different areas can all be affected by

 

demographics. This module assignment looks at a table with some demographics from different

 

countries. It shows different things such as literacy, age groups, and languages used. In order to

 

better understand the role demographics plays, I will look at the categories in the table and see

 

how a retailer would respond to them and how it would affect them.

 

Population Demographics

 

When looking at a group of people, their demographics play a big part in what they do.

 

An individual as well as a group of consumers can be identified by demographics like gender,

 

age, literacy, life expectancy, language spoken, and much more. These different factors will

 

affect the consumers shipping and in turn effect the retailer?s actions [Ber13]. Because these

 

different demographics can have such big effects on the consumer and retailer, it is very

 

important to thoroughly research a country before deciding to open up stores or sell products

 

there. Doing this will insure that the company is in an area that is most profitable to them. Also,

 

it will allow them to make sure that their product and advertising style best suits the people of

 

that country.

 

Gender and Age

 

When looking at an area, gender and age are some of the first things that a company

 

needs to pay attention to. Although these areas may not seem like they are that important, the

 

role that they play can be quiet big. Both of these play a role in the products that are sold, how

 

those products are advertised, and how those products are sold. With gender, a company that sells

 

a product that is specifically targeting women are going to focus on areas that have a large

 


 

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female population. When looking at the graph, all of the countries are close to 50% when looking

 

at males versus females. If a company is selling a makeup product for women, they are going to

 

want to go to a country that has a large amount of women. Although it isn?t the highest by much,

 

this company would want to go to Poland to sell their makeup because their population is 51.5%

 

female. Had the percentage been closer to 25%, the company would not have put that country as

 

a priority because of the lack of women. This goes the other way as well with product directed

 

towards men.

 

Like with gender, age also plays a role in the product and how companies go about

 

selling them. There are certain products that are directed towards certain ages, and therefore will

 

only sell well if there is a high percentage of the age group. Also, there are certain groups that

 

have more buying power than others and will be able to afford more expensive products [Ric].

 

When looking at apparel, if a company is selling children?s clothing, they are going to want to

 

sell their product in a country that has a high percentage of children between 0-14 years of age.

 

In this situation, their number one country to go to would be India where 30% of the population

 

is 0-14 years of age. They would then aim for South Africa and Mexico who are both at 28%.

 

Japan, would be a country where this company wouldn?t want to go. With only 13% of the

 

population under the age of 15, they don?t have as high of a demand for children?s clothes.

 

Instead, a company that sells modern technology for those that are between 15-64 years of age

 

would do better since their percentage is at 64%.

 

Population Growth and Life Expectancy

 

The next two sections on the graph are population growth and life expectancy. Population

 

growth occurs when the ?global birth rate exceeds the death rate? [Bon09]. If the population of a

 

country is decreasing, then that means that the opportunity to sell a product is also decreasing.

 


 

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According to Kevin Johnston (n.d.), flat rate demand is a concern for retailers in places where

 

the population isn?t growing very much. This is where there is an increased chance that a

 

company will not attract many new customers. Along with this, there is also the chance that the

 

population is just growing older [Kev]. For a place that is selling products geared towards

 

middle-aged consumers, if the population grows passed that age, the product will not do as well.

 

In a country like South Africa or Japan where the growth rate is negative, there is an increased

 

chance that it will be more difficult to sell a product and get new consumers. With life

 

expectancy, if growth rate is fairly stagnant, how long people will live is also important. Japan

 

and Canada have some of the highest life expectancy reaching in the low 80s. This shows that

 

although the consumers may be older, they are still living for a longer period of time and will

 

therefore be consumers for longer.

 

Literacy Rate and Languages Spoken

 

Finally, the last two groups found on the table or literacy rate and principal languages

 

spoken. These two things greatly affect how the product is advertised and how the product may

 

need to be adjusted in order to better suit a country. In the United States, Great Britain, Japan,

 

Poland, and Canada, the literacy rate is 99%. This means that if an advertisement has words on it,

 

their consumers would be able to read those words. Also, if a product is one that has a

 

description or written directions, these countries will be ok in terms of reading. India, on the

 

other hand, who as a literacy rate of 61%, may have more consumers that are unable to read the

 

directions to a product.

 

Besides being able to read in general, a company has to know what languages are spoken

 

in that country. As an American, many people assume that the entire world speaks English.

 

Although many countries teach their people the basics of English, that doesn?t mean it is their

 


 

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primary language or that they fully understand it. For this reason, research is necessary. In a

 

country like Poland, the primary language is Polish. For this country, everything would need to

 

be translated into Polish so that the people were able to read and understand the product. In a

 

country like Italy where Italian, German, French, and Slovene are spoken, the retailer must

 

realize that their product has to have translations for all of these languages. Without research of

 

the languages spoken, a retailer could go into a country assuming that they only spoke one

 

language and not sell their product as well because there are people that don?t understand it due

 

to language.

 

Conclusion

 

With every country, a retailer will find many different situations. No two countries are exactly

 

the same. For this reason, it is always important to research the country before deciding to sell a

 

product or open a store there. Looking at a countries demographics is a great way to start and

 

prepare for working in that country. Each demographic can play a different role, whether positive

 

or negative, with a company. If a company does not research the demographics of a country, they

 

may find themselves in a situation where they are either not making money, don?t have room to

 

grow, or don?t have the right consumer base. They may have to complete chance their strategy or

 

pull from the country outright. Studying the country beforehand will help prevent these issues,

 

decrease potential losses, and increase sales.

 


 

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References

 


 

Berman, B., & Evans, J. R. (2013). Retail Management A Strategic Approach. Upper Saddle

 

River: Pearson Education Inc., Prentice Hall.

 

Bongaarts, J. (2009). Human population growth and the demogrpahic transition. Philosophical

 

Transactions of The Royal Society B: Biological Sciences. Retrieved from

 

http://www.ncbi.nlm.nih.gov/pmc/articles/PMC2781829/

 

Johnston, K. (n.d.). How Does Low Population Growth Affect Local Business? Retrieved from

 

Chron: http://smallbusiness.chron.com/low-population-growth-affect-local-business38039.html

 

Suttle, R. (n.d.). The Demographic Variables That Affect a Business. Retrieved from Chron:

 

http://smallbusiness.chron.com/demographic-variables-affect-business-24344.html

 


 

 

Paper#9209488 | Written in 27-Jul-2016

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