Pike Creek Port Barrel Finish Whisky: Japan Market Entry Report

This report details the strategy for introducing Pike Creek Port Barrel Finish Canadian Whisky into the Japanese market. It begins with an overview of international trade and the product itself, a double-distilled whisky with 40% alcohol content. The report identifies the target market as middle and high-income adults aged 20 and above, detailing distribution plans through various channels. It then addresses Japanese regulations regarding alcohol sales, including licensing, drinking age, and driving laws. A competitor analysis identifies key players like Suntory and Nikka. Finally, a SWOT analysis evaluates the brand's strengths (strong brand, high quality), weaknesses (low brand awareness in Japan, targeting high-income earners), opportunities (market research, expansion to other markets), and threats (competition, advertising costs), providing a comprehensive overview of the challenges and opportunities for market entry.

Running head, PIKE CREEK PORT BARREL FINISH CANADIAN WHISKY 1
Pike Creek Port Barrel Finish Canadian Whisky
Student
Institution
Professor

PIKE CREEK PORT BARREL FINISH CANADIAN WHISKY 2
Introduction
International trade primarily refers to businesses selling their products in the global
market. Through international trade, companies can obtain new clients for their products and
expand their market base, hence increasing profitability and competitiveness (Armstrong, Kotler,
& Brennan, 2015). This report explains the introduction of a Canadian whiskey brand- Pike
Creek Port Barrel Finish Canadian Whisky into the Japanese market. To achieve this, the report
has evaluated the whisky industry, the target market for the product in Japan, Japan's trade rules,
key competitor and a SWOT analysis of the firm.
Pike Creek Port Barrel Finish Canadian Whisky
Our business plans to expand the sale of pike creek Barrel Finish Canadian whiskey into
the Japanese market. Pike Creek is a double distilled whiskey produced by Corby Distillers with
an alcohol content of 40% (Pike Creek Whisky, 2018). It was re-launched in 2012 giving the
brand tremendous opportunities of getting markets externally. There was no sufficient market
during the time when Canadian whisky was introduced. The higher end offerings of the product
have made it great in the recent years. Pike Creek is designed to appeal to those who like their
fortified wine-finish Scotch whiskeys.
Country of sale
The sale of the whisky brand will be extended to Japan. We have a feeling that the Brand
will receive a ready market in Japan. Through formulation of accurate market strategies and
target marketing, we feel that the Brand will be sold profitably in Japan
Target Market
Target marketing involves dividing the market into segments and then concentrating the
selling practices on one of the segments (Armstrong, Kotler, & Brennan, 2015). It ensures that

PIKE CREEK PORT BARREL FINISH CANADIAN WHISKY 3
businesses sell their products in the most profitable segment. When selling the Brand, the
business intends to target the middle and high-income adults, aged twenty years and above and
living in Japan. The Whisky will be sold in 750ml bottles using different distributors, bar
owners, whisky dealers and depot owners.
Rules Guiding sale of Alcohol in Japan
Japan has some strict laws that regulate the sale of alcohol and alcoholic beverages. First,
alcohol vendors are required to obtain General Liquor Retail License to enable them to sell
liquor in Japan legally (Carragher, Byrnes, Doran, & Shakeshaft, 2014). Therefore, we intend to
purchase this license to be allowed into Japan. We will also require an export license to allow as
to export this product to Japan. Also, in Japan, the minimum alcohol drinking age is 20 years,
and so the whiskey brand should not be sold to any person under 20 years Drivers in Japan are
not allowed to drive after drinking. The alcohol content for in drivers should be 0.03% when they
are on wheels (Fukuyo & Myojo, 2015). We will, therefore, enlighten our customers on these
requirements to encourage responsible drinking.
The competitors in the Whisky industry
With the development of many whisky companies and distillers, the Japanese Whisky has
gained tremendous attention. Therefore, when entering the Japanese market, we are aware that
we will experience stiff competition from the already-established distillers and distributors in
Japan. These may include, Suntory Holdings Ltd., Nikka Whisky Distilling Company Ltd., and
Chichibu Distillery among other companies (Independent, 2016). The business can have a hard
time dealing with this competition because these competitors’ products are even more familiar to
the consumers. This may call for the business to carry out massive advertising of the product to
create awareness to the consumers.

PIKE CREEK PORT BARREL FINISH CANADIAN WHISKY 4
SWOT analysis
For a business to compete favorably in the market, it must evaluate its weaknesses,
strengths, opportunities, and threats (Verboncu & Condurache, 2016). Specifically, Pike Creek
Brand has two fundamental strengths. First, it is a strong brand, having been sold successfully in
Canada. The Whisky Brand is from a well-grounded company which has been operating for a
long time. Another strength is that it is a high quality whisky. From the recommendations
received from the Canadian customers, this Whisky is unique and of high quality hence is
expected to receive a ready market in Japan.
Conversely, one weakness of this brand is that it is not well-known in Japan. Therefore,
the firm will spend more time and funds on advertising. Also, it targets high-income earners,
meaning that it will not be able to derive market from the low-income earners.
Japan acts as a possible external market. Therefore, the firm has an opportunity to
conduct market research and win customer trust for the Whisky brand. Another opportunity is
the ability of the firm to extend to other international markets outside Japan.
There are also some threats involved in selling the product. Some of these threats are
competition and also high costs involved in advertising. Pike creek product faces competition in
Japan where different Japanese whiskey companies are selling various brands which compete
with the Pike Creek brand. The organization may also be unable to maintain the high costs of
advertising in Japan.

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References
Armstrong, G., Kotler, P., & Brennan, R. (2015). Marketing: an Introduction. Pearson
Education.
Carragher, N., Byrnes, J., Doran, C. M., & Shakeshaft, A. (2014). Developing an Alcohol Policy
Assessment toolkit: Application in the Western Pacific. Bulletin of the World Health
Organization, 92, 726-733.
Fukuyo, S., & Myojo, Y. (2015). Japanese Whisky (2nd ed.). In Whisky.
Independent. (2016, November 18). Eight best Japanese whiskeys: Inspired by the Scottish but
distinctively innovative, head east for some of the world's finest drama. Retrieved March
20, 2018, from Independent Web Site:
http://www.independent.co.uk/extras/indybest/food-drink/best-japanese-whisky-under-
50-100-nikka-suntory-single-malt-10201539.html
Pike Creek Whisky. (2018, March 20). Our Story. Retrieved March 20, 2018, from Pike Creek
Whisky Website: http://www.pikecreekwhisky.com/s/#!/our-story/4
Verboncu, I., & Condurache, A. (2016). Diagnostics Vs. SWOT Analysis. Revista De
Management Comparative International, 17(2), 114.