FOOTLOCKER

Footlocker

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Table of Contents

Introduction3

Market analysis4

Macro-environmental analysis4

Pakistan5

Political factors5

Economic factors5

Social factors5

Technological factors6

Russia6

Political factors6

Economic factors6

Social factors7

Technological factors7

Three major changes7

Market segments8

Market trends8

Review of local culture9

Implications for the market strategy9

Global marketing information system9

Market entry strategies10

Conclusion10

Footlocker

Introduction

Footlocker is a US based company that mainly sells branded athletic shoes. Other than shoes, Footlocker also sells clothing and other accessories. There are a lot of brands that the company has in its tore, some of the main brands are Adidas, Nike, Reebok, Fils etc. Footlocker is a successful athletic store in the United States and is looking to expand its operations globally. It has selected two regions for the purpose of expansion, Asia and Europe (Shaw, 2004). In Asia, it has chosen to expand its operations in Pakistan and in Europe it has chosen to expand in Russia.

Footlocker has chosen these two regions to expand its operations and because it thinks it can earn substantial revenues. Though there are competitors present in these two countries, in the footwear industry, Footlocker has a competitive advantage over them. Based on the competitive advantage, Footlocker has made the decision to enter these new markets. The competitive advantage that Footlocker has over other companies is that it has all the brands under one roof, so the customer does not have to go to any other store.

Entering a new market requires a lot of analysis and planning to be done. In the same way, Footlocker also requires planning and analysis to be done, and strategies to be made. This paper will focus on Russia and Pakistan's market analysis and trends. It will analyze the macro-environment and will also formulate marketing strategies for the company to launch its business successfully in the two countries (Miller, Et. al, 2011). The results will be presented after a thorough analysis of the two countries' trends, macro-environmental situation and the footwear industry analysis.

Market Analysis

The first step in entering a new market is to analyze the market of the country that the company is planning to launch its business (Croft, 1994). Footlocker has chosen Russia and Pakistan to launch its business; therefore, an analysis of the markets of the two countries is as follows:

Macro-environmental analysis

The macro-environmental analysis is carried out by analyzing the political, economic, social and technological factors of the country, which is commonly known as the PEST analysis.

Pakistan

Political Factors

The political factors in Pakistan have a lot of influence on the business community. The unstable political situation in the country has caused the economy to suffer a lot. The frequent change in government causes frequent changes in the rules and regulations due to which it is difficult to do business. The footwear industry in Pakistan is not huge due to which Footlocker has an advantage to enter the untapped footwear industry.

Economic Factors

The economy of Pakistan is very weak. The main reason for such a weak economy is the policy of the current government. It has caused the economy to suffer a lot, and inflation in the country is approximately 14%, which speaks for itself (Malik, ...