Uniqlo's Market Implementation Strategy in the UAE Fashion Industry

Arab Fashion Week is considered one of the five most significant fashion weeks in the world. Uniqlo, a Japanese-based fashion retailing organization, is expanding into the UAE market using a low-price strategy. The marketing implementation strategy includes product activities such as adding local features to clothes and focusing on modest fashion trends. Price activities involve setting fixed prices with discounts. Place activities include selling products through retailing and supermarkets, while promotional activities include digital media, advertising, public relations, and discounts sales.

Running head: INTERNATIONAL MARKETING PLAN
International Marketing Plan
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Introduction
Uniqlo Co., Ltd. is a Japanese manufacturer and designer of casual wear. Fast Retailing
Co., Ltd. has been the parent organisation of Uniqlo since 2005. The products of Uniqlo are
available in Japan and many other Asian countries like Indonesia, Bangladesh and Australia.
Uniqlo was established in the year 1949 at Yamaguchi in Japan (Uniqlo.com, 2017). Headquarter
of the organisation is in Minato, Tokyo. The CEO of the organisation is Tadashi Yanai. The
number of employees of the organisation is right now 30,000. In the year 1997, Uniqlo took the
strategy of private-label apparel as it meant that the organisation started to produce own clothing.
Uniqlo engaged the retail consultancy brand as market strategy. Japan at that time went through a
recession and low-cost clothes became popular. Uniqlo took the advantage and they started
outsourcing from China as labour was cheap in China. The organisation has been expanding its
business since the beginning and in 2017 February, it reached 1800 stores in worldwide.
This report aims to describe the marketing plan of Uniqlo in expanding its business in
UAE and analyse the potentiality of UAE as the host country. This report contains three main
parts; situational analysis, marketing plan and control plan. In order to get the idea of situational
analysis, PESTLE, SWOT and competitor analysis will be done. In the marketing plan, this
report will set the marketing objectives and marketing entry strategies for Uniqlo. In the
following part, STP analysis will be conducted and marketing mix will help Uniqlo to have the
better marketing strategy. In UAE, Uniqlo needs to understand the customers' preferences and
behaviour in order to market the products. In the final part of the report, marketing control will
be done through giving contingency plan as any risk might come.
2.3. Market size assessment

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Global Islamic Economy report stated that spending on Islamic fashion was approx 243
billion US dollars in the year 2015. UAE is going to be the best environment in order to support
the condition, whereas, only in Dubai, the fashion clothing market value estimated as $4.2 billion
(Thenational.ae, 2017). In modest fashion, Dubai has taken the place in design and production of
retail shopping of fashion clothes. UAE has almost all international fashion brands, Zara, Gucci,
Louis Vuitton and H&M. In UAE, it has been observed that modest fashion clothing that suits
the taste of Islamic sense is growing high on demand basis. In case of Muslim women, Dolce and
Gabbana just released the women Hijab and Abaya collection in Dubai like another fashion
brand (Thenational.ae, 2017). The concept of modest fashion is getting popular in UAE as the
women want the international fashion brands should design the dresses that must support their
faith still express the fashion sense and their preferences. The fashion industry is expected to
thrive as UAE is observing new shopping complex, malls; these nurture the clothing market and
look for potential. In case of apparel and footwear, it valued $15 billion in the year 2016 and
apparel industry took 73% of market share in UAE (Huang, Kobayashi & Isomura, 2014).
In UAE, the fashion clothing industry has been flourishing and it is evolving and
adapting the latest design, style and trends that cater international and native clientele (Cific,
Ekinci & Whyatt, 2014). Apart from international players, fashion brand leaders in the UAE are
Vogue Arabia, UAE Uniforms and Louzan Garments Factory. The numbers of Emirati designers
who are women are trying to tap into innovative fashion clothing industry through creative
designs. These women know about the taste and preferences of clothes of Arabian women. In the
previous time, fashion clothing industry lacked the variety and this concept is supported by
online e-commerce providers such as Noon.com, Namshi.com and Asos.com. By the end of
2020, the fashion sector for Islamic clothing only will touch $900 billion (Tarlo, 2016).

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However, the new trend is observed in the fashion market as fashion clothing industry is
diversified to grab the niche section of the market as a number of rich people in UAE are getting
high. Moreover, the demand for innovative and creative clothes is observing acceleration. Most
importantly, Arab Fashion Week is taken as on one of the five most significant fashion weeks in
the world (Masarrat, Jha & Dash, 2014).
3.5. Market Implementation
Market implementation helps to execute the marketing strategy of the organisation that it
is going to take in expanding into UAE. The marketing implementation strategy must follow the
marketing objectives of the organisation. Uniqlo is Japan based fashion retailing organisation
and it is taking low-price strategy in Dubai in entering the market. In Korea, Uniqlo's high-
pricing strategy was a failure. However, in Dubai, the fashion clothing price is moderate and
numbers of competitors are high also. The next table demonstrates tactical implementation of
Uniqlo's marketing strategy.
Specific Tactical activities Person/Department
responsible
Proposed completion date
Product activities
1. Products quality is the main
characteristics with taking the
modest fashion trend in UAE
2. The organisation is going to
add extra features in clothes
according to culture. Uniqlo is
Uniqlo Japan manufacturing
department
All the manufacturing
activities and final designing
must be done before it starts
its sale in UAE market

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going to arrange local
designers to add the ‘local
touch’
Price activities
1.Uniqlo is going to take low-
pricing strategy, however,
Dubai customers can afford
high-priced as well
2. Uniqlo will set a fixed price
with discounts before it
showcases to customers
Headquarter of Uniqlo in
Japan
All the pricing activities
should be done before Uniqlo
enters the market of UAE
(Expected date March 2018)
Place activities
1. Uniqlo is going to sell their
products through retailing and
supermarkets
2. They will import the
manufacturing products from
Istanbul and logistic issues
need to solve
Uniqlo Japan headquarter and
Uniqlo Istanbul offices
Selling of the products in
UAE will start by April of
2018; the decoration of stores
needs to be done by March
2018. In case of taking rent of
malls, they need to do this by
2018
Promotional activities
1. Digital media (Social
media, You Tube videos,
Uniqlo UAE and Japan These activities must be done
before Uniqlo enters the Dubai
market as a promotional buzz

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mobile advertisements)
2. Advertising (Billboards,
Newspaper, flyers and
Television)
3. Public relations (organising
events and fashion shows
4. Discounts sales
(membership and redeeming
of points)
is needed. The promotional
activities need to continue
even after the entering the
market to remain competitive
Table: Implementation of marketing strategies
(Source: Self-developed)