Global Marketing Management Report

Running head: GLOBAL MARKETING MANAGEMENT
Global Marketing Management
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Part I
1. Macro Environment Analysis of Japan Market
The overall PESTEL analysis of Japan mainly aims in addressing political, social,
economic, technological, environmental and legal factors which affect Japan in the present
scenario. Japan is often known as the “Land of the Rising Sun” and it is one of the powerful
countries in world.
Political Factors- Japan is considered to be the monarchy wherein the emperor being
the head of the state. Japan plays a substantial role in the overall international community and
is considered to be the major donor. The political environment of Japan is stable; however,
the neighbours of Japan is quite powerful and they are quite challenging (Alt and Iversen,
2017, p. 36). Moreover, Japan tries to maintain a cordial relationship with The United States
of America and they are trying a lot to maintain cordial relationships with other world level
powers such as United Kingdom, France or Australia.
Economic Factors- The entire economy of Japan is strong and it is among the top
five largest economies in world. The special emphasis is provided to the educational system
as it is considered to be the crucial aspect in Japanese culture. It is the third largest economy
in world with total GDP of $4.9 trillion till November 2017. Moreover, in the future, the
economy will be growing for 1.3% till 2019 which is the good symbol for the expansion of
the new companies (Daszkiewicz, 2017, p.34). However, the companies establishing in Japan
have to pay corporate tax on income which is generated by them.
Social Factors- The country has more than 127+ million Japanese residents and it is
ranked as the 10th most populated country in the world. However, Japan faces different kinds
of social challenges such as the birth and death rate. However, in the respective scenario, the
different people or individuals in Japan prefer the Japanese businesses to the foreign ones

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(Ernst and Dolnicar, 2018, p. 82). It makes the trading difficult for the different foreign
organizations. In such scenario, the company which is planning to expand will be excelling in
the respective scenario through performing detailed scanning of the market in which they
prefer to start their business.
Technological Factors- Japan is considered to be one of the advanced
telecommunication systems which is especially with the mobile devices. It is considered to be
the most appropriate as well as advanced countries in the world through the technologically
front. The Japanese are extremely and highly creative in searching the different kinds of
modern technologies wherein automation systems are widely utilised in restaurants or the
food or beverage companies (Game and Apfelthaler, 2016, p. 244). There has been proper
research and development activities which provide the great opportunities in companies in a
proper manner.
Legal Factors- Legal Environment is the other element wherein the employees enjoy
the employment rights as well as benefits which includes maximum working hours or leaves.
The different organizations include the different laws and legislations such as the insurance
related to unemployment and compensation related insurance which will be effective for
improving the effectiveness (Kennedy, 2016, p.365).
Environmental Factors- It is the last factor wherein Japan is considered to be one of
the clean and environmentally friendly responsible nation. However, there are few
environmental challenges which are faced by Japan such as waste management is the
challenge. Trash which is produced by the food and beverage industries or agricultural
companies can be contributing to the great deal of the wastage (Kennedy, 2017, p.355). There
are different disasters such as Tsunamis or earthquakes which are affecting the environment
of Japan negatively.

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2. Soft Drinks Market Analysis of Japan
For making the best decisions in the market, the proper conducting of the market
analysis is the key tool which should be done as it is the assessment which helps in allowing
for determining how the suitable market is forb the entire industry. It will be capable of
analysing the current market scenario and whether the company will be capable of expanding
their business in Japanese Economy in a successful manner. During the year 2019, it has been
seen that there was a certain rate of decline in the volume along with current value terms in
the Japanese market in 2019 (Kowo, Akinrinola and Sabitu, 2018, p.40). However, from the
different reports, it has been noticed that in several cases, it resulted primarily from the
unfavourable conditions of the summer weather during the entire year.
From the surveys which have been conducted, it has been analyzed that the market
conditions are changing to a large extent, however, the Japanese consumers have already had
the well-established type of penchant for the novelty which tries to place a particular onus on
the different companies for coming up with innovation. In the current scenario, the
consumers in the market are becoming highly health-conscious in nature and due to the
respective fact, it is impacting the soft drinks in a negative manner as they are preferring to
consume the different food items which will be helpful for them in maintaining their health
(Kwak et al. 2019, p.55). The innovation along with the new product development are the
two key aspects which needs to be implemented by the different companies for succeeding in
the market as it will be increasing their sales and revenues in the market in a thorough
manner without any kind of difficulties. The consumers are the asset of the companies and
their preferences need to be kept in mind while preparing or producing the different products
in the market (Light and Shahlapour, 2017, p. 205).