Opportunity Analysis Report for The AussieMate Group (MKT7003)

This report provides an opportunity analysis for The AussieMate Group, a start-up organization designed to assist international students transitioning to Queensland, Australia. The report begins with an introduction to the company and its background, followed by a detailed market situation analysis. This includes an overview of the increasing trend of international student enrollment in Australia, particularly in Queensland, and a comprehensive market analysis covering political, economic, social, technological, and legal factors. The micro-environment analysis focuses on consumer behavior, competitor analysis, and a SWOT analysis. Finally, the report outlines marketing initiatives and goals for the company, providing a strategic framework for its success. The report emphasizes the importance of understanding the diverse cultural backgrounds of the students and adapting services to their needs, highlighting the potential for The AussieMate Group to thrive in the competitive market by offering tailored services that address the challenges international students face.

Opportunity Analysis for
The AussieMate Group
7003MKT Marketing Foundations

A. INTRODUCTION TO THE COMPANY 5
A.1 INTRODUCTION 5
A.2 COMPANY BACKGROUND 5
B. MARKET SITUATION 6
B.1 MARKET OVERVIEW 6
B.2 MARKET ANALYSIS 8
POLITICAL ANALYSIS 8
ECONOMIC ANALYSIS 9
SOCIAL ANALYSIS 10
TECHNOLOGICAL ANALYSIS 11
LEGAL ANALYSIS 12
B.3 MICRO-ENVIRONMENT ANALYSIS 13
B.3.1 CONSUMER ANALYSIS 13
B.3.2 COMPETITOR ANALYSIS 13
B.3.3 COMPETITIVE MARKET SUMMARY 15
B.3.4 COLLABORATOR ANALYSIS 16
B.3.5 SWOT ANALYSIS 17
C. MARKETING INITIATIVE AND GOALS 18
D. REFERENCE LIST 19

A. Introduction to the Company
A.1 Introduction
It is undeniable that Australia has become a popular destination for international students
who wish to do overseas education; it is a crowd’s favourite for various reasons such as the
quality of education, diversity in culture, and the amicable residents (International Students,
n.d.). The thought of living in a new country is exciting, however, the transition of students
from all over the world to the land down under is a crucial phase and an important
determinant of the quality of life they are about to have in Australia. For international
students to succeed in a foreign environment, one has to learn how to be independent and
may require a lot of support from the university, friends, and family (Ong, 2009). In the
survey conducted by Sarah Kuhne (2019) on random international students, only 10.5% of
the respondents were fully prepared before coming to Australia and majority were
intimidated by a lot of things such as accommodation, language, meeting people, and
transportation. It creates hardship for international students and will continue to be an
adaptation problem if not acted upon. Hence, this paper will provide an opportunity analysis
for the start-up organization called The AussieMate Group which aims to provide a transition
service platform to prospective overseas students planning to study in Queensland Australia.
A.2 Company Background
The AussieMate Group is a new organization aiming to provide assistance to incoming
international students before, during, and after their transition to Australia for their
convenience and reduction of unexpected cost due to poor planning. It also aims to provide a
platform where thousands of overseas students across Brisbane can connect and engage with
each other through meaningful activities (i.e. workshops, social gatherings) to learn about
Australia and the culture of other countries.
The service to be provided to each new student who joins the organization will be tailored to
his or her specific needs and will be closely monitored by the group advisor. A three-phase
service program will be offered to the student. Phase 1: Pre-arrival Preparation focuses on the
basics such as accommodation, phone set-up, bank set-up, and Australia rules and
regulations. Phase 2: Transition stage focuses on the arrival of the student; picking them up
from the airport, settling in their accommodation, and picking up the basics (e.g. ATM card,
phone, etc). Phase 3: Post arrival focuses on the social engagement and adaptation of the
student with the other members through activities, seminars, and trips conducted by the
organization.

B. Market Situation
B.1 Market Overview
There is an increasing trend of international student enrolments in Australia since 2012
wherein higher education can be seen as being the consistent major player (see figure 1.0). In
2018, there were 482,521 commencements (new enrolments) of international students which
is 6.6% higher than 2017; and which higher education was a major contributor accounting for
34.5% of the total commencements (Australian Department of Education, 2019). It is
undoubtful that the international education sector contributes greatly to the economy of
Australia, as evidenced by the $34 billion contribution in 2018 which is 15.3% higher
compared to 2017 (Tehan, 2019) and will continue to be a major part of the economy due to
the continuous pursuit of the Australian government to improve international education
through its Australian International Education 2025 roadmap or the AIE2025 (Australia
Trade and Investment Commission, n.d.).
Figure 1.0

Moreover, Queensland has the third largest number of new commencements in 2018 (see
figure 1.1) following New South Wales and Victoria. While each university in Brisbane has
their own international student support services, almost 85% of the respondents of the survey
conducted by Sarah Kuhne (2019) still wished that they have more help for international
students and almost 80% said having prior recommendations about trusted products (i.e.
banking, accommodation) would be helpful.
Figure 1.1

B.2 Market Analysis
POLITICAL ANALYSIS
Political factors involving the government such as legislations, law, and policies on overseas
students that can impact the organization and how it operates.
Political Factors
Australia plans for the
international education
sector
In the report done by Deloitte Access Economics, there is a
forecasted increase of international education enrolments from
650,000 to 940,000 by 2025 (Deloitte Access Economics, 2015).
Moreover, The Australian government is continuously pursuing
opportunities and creating initiatives to improve the sector to
provide more value to the students and the economy. The
Australian International Education 2025 or AIE2025 roadmap
aims to improve the sector’s strength to match it with the global
trend (Australia Trade and Investment Commission, n.d.). This
will impact the volume of overseas students coming to Australia
and will challenge the business to provide top quality service to
compliment the quality of education they came for and the value
of their money.

ECONOMIC ANALYSIS
Analysis of the economic factors, often the financial fluctuation that are out of the business’
control, but which can affect the operations and the decision making of the organization.
Economic Factors
Increase in annual tuition
fee for international students
Tuition fee for international students is way more expensive
than domestic students. The average annual tuition fee for
international students is roughly between $20,000 to
$50,000 depending on the degree and program
(StudyinAustralia, n.d.) and in 2018, the average tuition fee
increased by 6.2% (StudyMove, 2018). Moreover, while the
international education is a booming sector and a major
contributor to the economy of Australia, the increasingly
expensive tuition fee may reduce the number of prospective
students to Australia and can affect potential clients and
their behaviour towards obtaining the service of the
organization.
Different cost of living
across various states in
Australia
The cost of living in Australia is 84% higher than around
the world (Expatisan, n.d.) and on an average, the annual
cost of living for a student is $21,041 (StudyinAustralia,
n.d.). However, living in Brisbane is 12% cheaper living in
Sydney (Expatisan, n.d.). This may affect the willingness of
prospective clients to pay a premium for the convenience of
their transition to Australia, thus, the organization pricing
needs to be gauge with the cost of living of the place of
interest (i.e. Brisbane, Queensland).

SOCIAL ANALYSIS
The social aspect of the environment is a major player for this organization; the prospective
clients are overseas students coming from different cultural backgrounds and demographic
location. Although Australia has been embracing multiculturalism, discrimination is still on
the rise (Marr, 2017). Thus, it is very important for this business to consider the following
social factors to help the business understand the client better and the drivers of their
behaviour.
Social Factors
Cultural differences In the 2018 Student Summary of the Australia Government
Department of Education (2018), 85% of total overseas
students are from Asia (i.e. South-East, Southern, North-
East, and central) with China being the top 1 with 158,319
students. Moreover, Asian culture is very different from the
western culture (Australia). Hence, the diverse culture of the
of overseas students must be taken into consideration in
planning the activities and their level of involvement.
Maturity in planning of
overseas students
Some overseas students, teens or young adults, may have
developed independency and successfully planned their
whole trip and are able to move to Australia with no
problem. This may decrease the likelihood of potential
overseas students to avail the service.
Language Barrier for non-
English speaking
nationalities
English is the national language of Australia and overseas
students are required to pass the English language test. It is
very important that overseas students know how to speak
the language so they can cope up with their lives in
Australia (Ong, 2009). This can be an opportunity for the
business to add as one of sub-services to be offered.

TECHNOLOGICAL ANALYSIS
The survival and business strategy of an organization will be determined by the way they
utilize their IT systems (Codeless Platform, 2017). As such, the following technological
factors may impact on how this business will operate, such as the positioning, pricing, and
promotion of the service.
Technological Factors
Digitalization of processes Humans are often online and wired to their smart phones;
merely everything is just a click away. Besides the website,
a mobile application may be a good option for the company.
Businesses will benefit more when they provide lots of
opportunities or way for potential clients to reach them
(Gazdecki, 2016).
Importance of social media
platforms
Social Media platforms such Facebook, WeChat, and
WhatsApp play a significant role in promoting and
increasing the brand reputation of a business. It also changes
how organizations do their business (i.e. payment mode, e-
commerce). WeChat is the most popular messaging
application amongst Chinese consumers (Kharpal, 2019)
and China is the top 1 nationality of overseas students
coming to Australia (Ferguson & Sherrell, 2019). Thus,
understanding the social platforms is an important factor in
reaching out to the right market and gaining their trust.

LEGAL ANALYSIS
Legal factors are uncontrollable influences that can affect the demand for the service and the
cost of doing the business.
Legal Factors
Changes in the Australian
student visa
The requirements to obtain a student visa have changed for
overseas students from India, Pakistan, and Nepal. They
have been classified as a high-risk category as their
assessment level is now level 3 from level 2, thus requiring
them to provide more evidence to support their application
for a student visa (Grewal, 2019). India is one of the top
nationalities coming to Australia for higher education and
this change in the visa requirement may impact the volume
of incoming overseas students.
Australian law applicable to
the service provided
Trade Practice Act 1974 or The Competition and Consumer
Act 2010 (CCA) is national law that governs all business
operations in Australia and how businesses can compete
fairly in the market while protecting customers rights
(Australian Competition, Consumer, & Commission, 2018).
The organization must understand and comply with this law
to avoid penalties. By doing this, it can gain positive
reputation from its client and increase their trust.

B.3 Micro-Environment Analysis
B.3.1 Consumer Analysis
Aspiring international students may find it difficult to arrange everything on their own, with
so much information to digest from websites and brochures, they might plan their transition
poorly and become restless for months; in addition, choosing a university and a program is
already hard enough. As a result, they are susceptible to hardship and poor quality of lifestyle
while in Australia. Moreover, adhering to the modern world, consumers may be more incline
to transact online rather than face-to-face, thus, it is easier to reach them through the internet.
In a nutshell, The AussieMate is for incoming overseas students that will commence their
studies at any Universities located in Brisbane, Queensland Australia. What will be provided
is a tailored convenience service with the necessary things before, during, and after their
transition (i.e. bank, accommodation, transportation). The service will be available to them
when they are already enrolled in a university in Brisbane. They can obtain the service
through the website or the mobile application. Lastly, the reason for obtaining the service is
for their convenience – to reduce time consuming activities such as browsing through tons of
website offering information as to what they should do after their visa and enrolment are
approved, to reduce stress through better planning and scheduling of their transition, and to
improve their experience while in Australia.
B.3.2 Competitor Analysis
Student guides such as Insider Guides, Study in Australia, or universities’ international
student guides are already abundant everywhere, and as such can be the main competitors. As
a student service provider, The AussieMate Group will strongly compete with these
organizations for competitive pricing wherein they provide guidelines, help, and suggestions
to future overseas students for free. The points of similarities are (1) information given by
AussieMate may be relatively similar to the information provided by competitors and (2) the
positioning of the service through website and networks with education agents and
universities. However, as much as written help is abundant everywhere (i.e. online, on-
campus), students may find it still difficult to do everything on their own especially if they

are not used to being in another country or planning a whole trip or stay. Thus, the main point
of difference between The AussieMate Group with its competitors is that AussieMate Group
will plan the transition of the student tailored to the student’s preference and provide
convenience-focused service such as liaising with the accommodation, airport pick-up, bank
account set-up, and phone set-up.