Wednesday, April 25, 2012

In response to Emma's post...

Question: Do you think that JC Penny's new marketing plan if going to help them succeed in the current competitive market?

I think JCPenney's has a lot of already loyal customers that have been going there for years. Yes, I can understand that they might see themselves as aging because they have been around for a long time and a lot of the repeat customers are probably older adults. However, by changing their design to something simplier and having way more new, trendy items I think they are starting to target more of the younger population. A huge plus for the store's new look and pricing is that a lot more families will go there to get their kids and themselves as parents clothes. The lower prices will get a lot more young adults to continue to come back because their income is very low or they are still dependent on their parents who want to save as much money as they can but still have their children in nice-looking, new clothes. I personally have been going there more since the new advertisements about low prices all the time have been out. So I do believe these changes will help the department store succeed and build up a larger customer base.

Tuesday, April 24, 2012

Are foreign beers becoming more popular in China?

Foreign beer consumption in China is on the increase

This article written by Bloomberg News says that domestic beers in China are sold at about 32 cents a bottle but companies such as Budweiser are trying to persaude drinkers to switch to their brand beers which are sold for triple the amount of China's local beer. Annual beer consumption in China is still relatively low compared to the United States and other high-consumption countries but even so their beer sales rose 4.8 percent last year (2011). Therefore, foreign companies such as Budweiser see the young people of China as a primary target market with their increasing acceptance and demand for foreign goods. These companies are also making the packaging more attractive to also win over higher-spending customers. However, some analysts in China say their economy is currently trending downward therefore the foregin brewers may not dominate the beer industry because of the low price of local beers.

*Is it an obtainable goal for foreign beer companies to influence a large amount of drinkers in China with their price being so high compared to local Chinese beers?