Beruflich Dokumente
Kultur Dokumente
Vinsen Poonoosamy
W. Carr
A. Mag
Presentation - Overview
Introduction
Toy R Us background/ Japan in brief
Impact on Management Practices
Entry Barriers
Competitive Advantages
Internalizing vs. Licensing
Future Strategy Japan and USA
Conclusion
Toy R Us background
World's leading retailers of toys, children's apparel
and baby products
Sells merchandise in more than 1,550 stores
Has 5 Division
Japan In Brief
Total Area: 377,835 sq km
Population: 127,078,679 (2009 est.)
Ethnic groups: Japanese 98.5%, Koreans 0.5%, Chinese
0.4%, other 0.6%
Religion: Observe both Shinto and Buddhist 84%, other
16%
Economically powerful and stable
Japan In Brief
Country
PDI
IDV
MAS
UAI
LTO
Japan
54
46
95
92
80
Japanese Culture
Long-term oriented/high uncertainty avoidance
Life long employment
Market in Japan
Preference to local products
High Quality Product
Attractive Market
Along with the US and Europe, is one of the 3 largest
and wealthiest markets in the world for leisure goods
Ease of entry provided by Joint-Venture with McDonald
in Japan
Cultural Obstacle
Employment culture
No more than 50 employees per store regardless of its
size
Loyalty to existing stores
Strong competitors
specialty stores
general retailers
occupy the largest portion of sales in Japan
Large toy retailers make much less sales than small specialty
stores
Loyalty of suppliers
Unwilling to enter into direct deals with Toys R Us due to
their traditional way of making trades
Go through several layers of distribution
Cannot profit from low transportation cost for goods
manufactured in Japan.
Developed/Industrialized country
Behavior of customers
Behavior of customers
McDonald in Japan
entry in Japan
Competitive Advantages
Problems associated in transferring it to Japan
Low Prices
Japan High Purchasing Power Index
Low Price might means Lower Quality
Product Selection
Japanese not amazed by huge product selection
Japanese know what they are looking for
Conclusion
Japan: prospective and important market
References
About Toys"R"Us, Inc.. 2010. http://www1.toysrus.com/about/
Question Time