The paper "Market Attractiveness of Ukraine - Kids Market Consulting" is a perfect example of a marketing study. Kids Market Consulting (KMC) was founded by Natalia Berezovskaya in 2004 in Kyiv, Ukraine. The firm established its niche market which had not been exploited and it realized an increase in its profit base due to a stable customer base. Kids Market Consulting agencies became a member of Dynamic Development and Innovation Group in Ukraine and specializes in Marketing research and consultation, kids, tweens and teens being its market segment. There has been development in the marketing research industry in Ukraine which has become a challenge to Kids Market Consulting.
This report focuses on market research in Ukraine with reference to Kids Market Consulting. First, it will assess the market attractiveness in Ukraine for the market research industry, followed by the success factor for Kids Market Consulting and its potential risks. The report will further identify the future potentials for the agency and the possible strategic directions to take given the prevailing unpredictable business environment. 2.0 Market attractiveness in Ukraine The success or failure of a business firm depends on the choice of the market or the market niche.
Is important for firms to develop a product mix that can adapt to the properties of a given industry environment (Kotler, 1997). The market attractiveness of Ukraine market research can be evaluated in respect to the rate of growth of the market, overall market size, legal aspect and level of competition. 2.1 Market growth Economic factors like inflation, changes in taxation, economic growth among others determine how attractive a market can be, and affects the level of investment in the country (Dawid and Reimann, 2005).
For instance, the level of national income affects the demand for goods and services while a high level of inflation will affect disposable income. According to the case study, there has been an improvement in the Ukrainian economy, which has contributed to an increase in demand for market research services. Both the investors and the consumer have confidence in the market, and this is more attractive for marketing research investment. However, with an increase in the level of unemployment in the country, would greatly affect the demand for market research services for various firms.
The study shows that Ukraine’ s poverty level is high, which means that the consumers’ purchasing power is low and this makes the market unattractive for investment. 2.2 Overall market size There has been a great development in the market research industry in Ukraine since its introduction, and this indicates how investors have realized the need for market research in the country. According to Dawid and Reimann (2005), a high level of growth in a market makes investors focus on new innovative markets so as to maximize their revenue.
Most of the domestic industries in Ukraine concentrate on advertisement as their marketing strategy and place less emphasis on market research. This provides greater opportunities in the market research industry since there is a need for the service. There is an increase in consumer needs in the country which requires market research and hence several investors are attracted to the industry.
Brattås, M., & Sandung, F. (2011). Developing a process for assessing market attractiveness in emerging industries and evaluating its usability.
Dawid, H. and Reimann, M. (2003). Diversification: A Road to Inefficiency in Product Innovation?. Working Paper, university of Bielefeld.
Dawid, H., & Reimann, M. (2005). Evaluating Market Attractiveness: Individual Incentives Versus Industry Profitability. Computational Economics, 24(4), 321-355.
Dollinger, M. J. (2006). Entrepreneurship strategies and resources. 3rd Edition. Person Educatio, New Delhi.
Falck, O. (2007). Survival chances of new businesses: Do regional conditions matter? Applied Economics, 39, 2039-2048.
Jones, O., Macpherson, A., & Jayawarna, D. (2011). Learning to Grow: Dynamic Capabilities in New Technology-based Firms. In Organization Learning and Knowledge Conference.
Koller, G. (2005). Risk assessment and decision making in business and industry: A practical guide. Chapman and Hall/CRC.
Kotler, S. (1997). Marketing Management, 9th Edition. Prentice Hall.
Markman, G,. AND Baron, R. (2003). Person-entrepreneurship fit: Why some people are more successful as entrepreneurs than others. Human Resource Management Review, 13, 281-301.
Metaxas, T. (2005). Market research and target market segmentation in Place Marketing procedure: a structural analysis. Marketing Territoriality (Territorial Marketing, Application Possibilities, Development Trends), Department of Trade and Marketing, The Poznan University, Academy of Economics, Poland, 50-74.
Simpson, M,. Tuck, N,. and Bellamy, S. (2004). Small business success factors: The role of education and training. Education + Training, 46, 481-491.
Villkinas, T., Cartan, G., & Saebel, J. (2011). Business Success Factors. DKCRC Research Report 79. Ninti One Limited, Alice Springs.