7.3.2.Product Mix167.3.3.Promotion187.3.4.Price197.3.5.Place197.4.Advertisement Strategy208.Implementation and Control219.Conclusion2110.Bibliographyv11.AppendicesviiExecutive Summary Being a recognized multi-channel retailer in UK, Argos is taking advantage to get a market share in the UAE market. Technology growth is taking place very fast both at regional and global level. To maintain her competitive advantage, Argos has gone ahead of other companies following the intention of the government to change to digital signal fully. This is to be achieving by December 2012. The primary research conducted among UAE residents identified that 50% of the population egger to purchase HDTV devices.
40% of the population is said to be aware of inadequacy in the use of the current HD technology. Secondary data collected also implied that UAE is a ready market for HDTV devices. For instance, a research conducted in 2007 ranked India which is a major target among the countries where HDTV devices have been least applied. The information and the growing customer awareness have resulted to Argos deciding to enter UAE market based on her well developed HDTV technology. Argos intends to utilize the 4Ps in attaining a market share and establishing weakly evaluation and a strong monitoring system to ensure a continuous increase in the number of sales.
She also intends to diversify her products to meet customer needs and be able to compete with “Harman House” which is her major competitor. “Harman House” poses a threat to Argos to her large customer base, brand loyalty and intention to introduce a similar product. However, Argos is prepared to counter this through promotion sales, advertisement and product differentiation. Argos Back Ground InformationArgos is a well recognized multi-channel retailer for her convenience, value and choice.
The company sells home products and general merchandise within UK and the Republic of Ireland. Argos products include leisure, sports, jewellery, toys, electrical goods and enhancement products for homes. There is increased competition for the market but Argos is known for her equipped and innovative team who move ahead of their competitors in improving the quality of their products. Currently, Argos intends to capitalize on the urgent need for equipments that are compatible with HDTV. Argos can take advantage of this change to introduce her company and products to the UAE market.
However, this will not be easy as she is faced with a challenge of economic crisis that may make it difficult to convince consumers to purchase HDTV and do away with their old TV set majorly because most of the UAE citizens are conservativeIntroductionArgos intends to capitalize on the month of January to introduce her products in UAE market. With her recognition in other countries for value and choice of products, she is likely to win a favorable market share though she expects resistance at the beginning.
To overcome such challenges, Argos should focuses on advertisement through local Radio and T. V station. In addition, she will need to recruit local workers to participate in road show promotions and in the sale of the products. So many companies have entered into the market making the competition stiff. According to a report by BMI (Busness Monitor International) industry, indicates that by 2014, electronic spending by consumers in UAE on audio visual equipment will increase to USD 1.1 billion. This will reflect an annual increase of 4% for the four years.
In 2009, 30% of the total spending accounted for audio visual devices. By 2013, the electronic market in UAE is expected to grow by $1 billion.