Asian Places: Attracting

Investment, Industry and Tourism

to Cities, States and Nations
Philip Kotler, Michael Alan Hamlin,
Irving Rein, & Donald H Haider


What is a Place?
A geopolitical physical space
A cultural, historical or ethnic bounded
location
A central city and its surrounding population
A market with various definable attributes
An industrys home base
Psychological attribute of relations between
people internally and their external views of
those outside


Growth Dynamics
A place is attractive:
1. New industry starts up
2. Job opportunities are strong
3. Quality of life is attractive
Inward migration of new
residents and visitors
Inward migration of new
business and investment
Real estate costs rise,
infrastructure is strained,
social needs rise
Community raises taxes
Dynamics of Decline
A place become unattractive
1. Major company/industry is hurt/exits
2. Economic recession affect business
3. Unemployment climb
4. Infrastructure breakdown
5. City budget deficit increases
Outward migration
of people
Tourism, convention
business decline
Outward migration
of business
Banks tighten credit, bancrupties increase
crime increase, social problem rise, city mage
deteriorates
Community raises
taxes
To solve the problem:
Place Marketing

Develop strong & attractive positioning & image for
the community
Set attractive incentives for buyers & users of goods
& services
Deliver a places products & services in an efficient,
accessible way
Promote a places attractiveness and benefits

Planning group
Citizens


Place
Marketing Plan

Business Local
Community Government


Tourists Business
& conventioners & industries
Infrastructure







Attraction People






New Image & quality Exporters
residents of life
& employees




Marketing Factors
Target markets
Levels of Place Marketing
4 Main Target Markets
1. Visitors
Business (convention, survey, buy & sell)
Non-business (tourist & travelers)
2. Resident & employees
Professionals
Skilled employees
Wealthy individuals
Investors
Entrepreneurs
Unskilled workers
Senior citizens & pensioners
3. Business & industry
Heavy industry
Service companies, high technology
4. Export markets
International markets
4 Strategies
1. Image marketing
Clever slogan that is believable &
demonstratable
Communicated in many channels
Bali Island of Gods, Malaysia The Truly
Asia, Singapore Lion City

4 Strategies
2. Attraction marketing
1. natural beauty
2. history & famous people
3. shopping places
4. cultural attractions
5. recreation & entertaintment
6. sports arena
7. festival & occasions
8. building monuments
9. museums

4 Strategies
4. People marketing
The success/failure of independent republic depended on the
character of its citizens, the civic virtues they possess
(Machiavelli)
1. Friendly & helpful
2. Skilled
3. Citizenship

Major Actors in Place Marketing
1. Local actors
Public sector actors
Mayor/city manager, business development
department, urban planning department, tourist
bureau, convention bureau, public information
bureau
Private sector actors
Individual citizens, leading enterprise, finncial
institutions, telecommunication, chamber of
commerce, hospitality & retail industries, travel
agents, transport companies, media, etc

Major Actors in Place Marketing
2. Regional Actors
Regional economic development agency,
province government, regional tourist board
3. National actors
Political heads, investment board, national
tourist board
4. International Actors
Embassies & consulates, economic
development agencies, international
enterprises
Strategic Market Planning
Process
1. Place audit
2. Vision & goals
3. Strategy formulation
4. Action plan
5. Implementation & control
1. Place Audit
Establish a places attraction factors
Identify main competitors
Identify major trends & developments
SWOT analysis
1. Hard factors:
economic stability, productivity, costs, property
concept, support services & network,
communication infrastructure, strategic location,
incentive scheme
2. Soft factors:
quality of life, workforce competancies, culture,
management, flexibility, entrepreneurship

2. Vision & Goals
Which unique combinations of attraction
factors should the community target?
Which are the target markets of the
community?
Which are the long-term & short-term goal?
Which are the operative prequisites for the
vision?
3. Strategy formulation
4 Generic strategies
1. Design
Sound design & development that will enhance
attractiveness
2. Infrastructure
Develop & maintain a basic infrastructure that is
compatible with the natural environment
3. Services
Develop basic services of sufficient quality to meeet
business & public needs
4. Attractions
Range of entertaintment & recreation for citizens,
residents & visitors.
4. Action Plan
Who is responsible?
How is the action to be implemented?
How much will the action cost?
What is the expected completion date?
5. Implementation & Control
Places annual report
Facts & figures about number of
citizens, economic result, jobs, income,
taxes, etc.
Communitys annual report should
receive broad public distribution (local
newspaper, magazine, internet)