Brand Name: Gads, Dealers of Children Toys (Essay Sample)

EXPORT PLAN
BUSINESS NAME: GADS
PRODUCT: CHILDREN TOYS
STUDENT NAME:
STUDENT ID
Introduction
My business brand name is Gads, located in China, Hainan city. We are dealers in children toys. Our current domestic market has been growing at a rate of 3%. Thus, we are looking for options to expand our market into other countries. We have evaluated the global market and a need in the developing countries has been realised.
Body
In total the developing countries including Kenya has been consuming about 56% of products from China. The toy market in Kenya has been seen to be vibrant, with a potential demand of 4%, which is expected to double in 3 years (Mutugu, 2011). Thus, Gads would like to take advantage of the growing demand and venture into this niche market. Kenya has been known to have political instability during election. This is owing to shake the economy in 2007, 2013, and 2017 elections. However, the economic climate has been favourable as it is ranked among the best countries in East Africa (Kidenda, 2020).
Like any other business, attempts to move into the international market is faced with a lot of external business risks. The risk are economic, political, social, and technological. Politically there could be legal measures that are devised to ensure the toys are safe for use. As such Gads will ensure compliance to Kenyan law and safety standards. There is realisation that in the Kenyan domestic market, there are toy production. Thus, the issue of copy right and patent may arise, to protect the domestic market (Njati and Maguta, 2019). Gads will ensure no infringement of the law is undertaken. There is also possibility of high regulatory fee to be allowed to export the toys into Kenya. As such, Gads will ensure mass production, as well as set a strategic objective of setting a toy factory in Kenya. Economically, Gads will be affected by the high competition with major toy brands. In addition high fragmentation, lowered prices, and seasonality may affect the business. However, Gads will ensure to set prices following the penetration strategy that will help deal with the competition. Socially, demands may fall due to the harsh environment, as well as low income in families. The harsh environment due to Covid-19 has left toys for the rich which may slow sales. Consequently, attract more costs. Besides, in the current age, people are having fewer children, and they are maturing very fast. This has a negative effect on the toy market which could decline. Technological factors such as low limitation from similarity will be a major challenge. In toys, it is hard to differentiate, especially in the advent of technological advances. Besides in the current age, most children have digital toys (Nyamai and Waiganjo, 2014).
Owing to the challenges mentioned. Gads plans on making use of low price market entry strategy. The firm will also embark on mass marketing, as well as use of online platforms to move sales. The firm will have outlets, as well as delivery services. Thus tracks, and motorbikes will be used. For long distant cust