Ugg Australia in India: A Global Business Marketing Analysis

This report provides a comprehensive analysis of Ugg Australia's potential market entry into India. It assesses the Indian market by examining economic, political, social/cultural, and technological factors to determine the feasibility and optimal strategies for launching Ugg products. The analysis considers India's economic growth, political landscape including FDI policies, social and cultural nuances affecting consumer behavior, and technological advancements impacting business operations. The report emphasizes the importance of adapting marketing strategies to align with local preferences and leveraging technology for cost-effective market penetration, ultimately concluding with insights to guide Ugg Australia's successful establishment in the Indian market.

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Contents
Introduction..........................................................................................................................3
Background information of a product and the country....................................................3
Economic.....................................................................................................................4
Political........................................................................................................................4
Social/Cultural.............................................................................................................5
Technological..............................................................................................................5
Conclusion...........................................................................................................................6
References............................................................................................................................7

Global Business Marketing
Introduction
Globalization is the demand of today's world as the competition has become
international. For sustainable development of a business, a company which is performing
well in domestic market urges to go international for increasing the revenue and profit of
the firm (Cavusgil et al., 2014). The below-executed analysis has been focused on the
launch of Ugg Australia in India which also includes the analyzing the market trends and
the same have been justified.
Background information of a product and the country
Ugg Australia is a very autonomous brand for lifestyle clothing which manufactures
clothing, accessories as well as other lifestyle product in more than 130 countries all
across the world. It is doing exceptionally well in its domestic market and is aiming to go
global with its product (Piekkari, Welch & Welch, 2014). As it has been already
operating business in most of the nations all over the world and is expecting and
attempting to target the markets of India. India is a vast country with a huge population as
well as it is a developing country where people are also vulnerable and acceptable to new
products and brands. As the growth of population in India is very huge the scope of the
success of business also rises. Being a developing country India attracts much business
across the world. There is a huge scope in India for business as the resources in terms of
Human as well as capital is large. The economy of a country is also doing exceptionally
well that the government is aiming to strike more FDI for the country's growth and
development.
As it has already been illustrated that Ugg is dealing in footwear and styling products
which are very much parallel to the value of cost a customer is paying. Its main product
footwear is doing well in the market which it can launch in the various regions of India.
Indian economy has a diversified pool of individuals belonging to various classes and
categories such as lower, middle and upper income groups and hence the segmentation of
the market will be an easy task for the business corporation (Hollifield, Martin &
Orrenius, 2014). It can easily target the market accordingly the cities in which the
products have t be launched must be actualized according to which the company can
launch its product in a new market. Population and purchasing power parity of the

Global Business Marketing
population plays a major role while launching a product in a market so Ugg Australia
have to price its product according to Indian economy so as to attract more and number of
customers at the same time. All the factors of the nation are having a good and sound
chance of future success in business which will raise more and more revenue for the
clothing brand and will result in positive feedback. Hence, the list of factors in detail for
the company has been justified as follows so as to have better chances to have a
successful launch.
Economic
As a country, India is performing exceptionally well when its economy comes. As it is a
developing nation it attracts a lot of foreign business (Adekola & Sergi, 2016). Hence,
this justifies that the market is very good and promising with a scope of success for every
business. People of every class are residing in parts of the nation and the density is also
very high which results in more chances of acceptance for the products of UGG. India is
a big nation the choice of city in the country has to be made wisely with a proper analysis
of the market as this may impact the sales of the business. There are rural areas there are
also urban areas depending upon the product and people's class the city has to be chosen.
As the country may have an impact on revenues while the product is launched in an area
where people are not aware of brands and in this case, the appropriate choice is required
to be taken according to that of the population in terms of their income (Mamic, 2017).
Political
India is performing well with its liberalization policy by the legal bodies. The
government in the city currently is promoting the FDI also there is a huge control on
resources and their use (Selvanathan, Selvanathan & Keller, 2016). The government has
made it clear to make everything in the nation as much as possible and to import less.
This is a political policy of the country. As the nation is democratic the change in the
government keeps on happening after a period of time which may bring change in rules
and may impact the business of such company's like UGG. So a preparation for the same
has to be done by analyzing the market and the government which might come and rules
the nation. Here are a lot of parameters in regards to clothing brand as the competition is
high which has to be taken care by Ugg Australia. The rules and regulations regarding the

Global Business Marketing
advertisement also differ in the nation and the company has to promote the product
accordingly (Drahos & Braithwaite, 2017). UGG also needs to manage the finances in
terms of launching a store or by any means it is aiming to perform business in the market.
The company may launch its online website in the nation for having cost deduction or
else it may have to manage the finances so as to buy the physical assets as well as the
human resources have to actualized from the nation itself for selling the good properly
(Knight & Liesch, 2016).
Social/Cultural
The social environment of the country is very much inclined towards supporting the
nation to grow as a whole. Each and every member of the nation is trying to contribute its
part to the society (Andriof & McIntosh, 2017). There is a huge priority for the values,
religion, and caste in the nation. Hence, every business has to respect those things while
developing any kind of advertisement or business practices. Contribution to the society
by accepting means through which environment is not harmed not does the values is
done. Social values creation of the jobs for the disabled people as well as making
products which are not harmful to the societies and their beliefs is a must.
As far as culture is concerned India has a very historic culture but as globalization is
taking over it is moving towards westernization and modernization. UGG will have a
more rate of acceptance in the nation currently as well as in future (Ho, 2014). The
clothing brand will face some problem in regards to trends and preferences of people at
various locations which it would have to take care while launching the product.
Otherwise, the product will perform well in the market according to the services and
quality the brand provides. There is he belief in tradition and old heritage the company
may have problems in positioning but eventually, with a new strategy it may proceed
with business as other brands like ZARA, H&M etc. are doing in the markets of India.
Technological
The development in every segment of the market is very fast and constant. It cannot be
ignored or kept unanswered if a company aims to grow for a long period of time.
Technological up gradation changes the operation of a business. In order to perform and
outstanding in the market, it is necessary to accept the changes in technology (Grant,

Global Business Marketing
2016). As for clothing brand UGG has many competitors in the new market India as there
are a lot of established business entities in the same region. So, the company has to
upgrade with the selling strategy. It might have to adapt the online technique of selling
the product. As well the human resources which it is hiring to work in India must be very
Hi-tech knowledge with the needs of the nation as well as business. Expatriates for the
same have to be hired. A trend in the nation varies from city to city and from person to
person it also needs to be actualized and taken care. There are chances where a company
may face competition as some brands like H&M and Zara are doing really great with an
exceptional usage of technology (Wheelen, Hunger, Hoffman & Bamford, 2017). The
youth and population of a country are moving online which UGG has to take an
opportunity to reduce the cost of retail store settlement and doing business in the nation.
Hence, these are the effects which may impact the business of the brand UGG.
Conclusion
In the limelight of the above-presented analysis, it has been concluded that in order to
launch a product in a new market there are various factors which have to be taken into
account so as to have smooth functioning of the operations. Various external and internal
factors are required to be analyzed and on the basis of which this report for Ug0g
Australia has been developed.

Global Business Marketing
References
Adekola, A., & Sergi, B. S. (2016). Global business management: A cross-cultural
perspective. New York: Routledge.
Andriof, J., & McIntosh, M. (Eds.). (2017). Perspectives on corporate citizenship. New
York: Routledge.
Cavusgil, S. T., Knight, G., Riesenberger, J. R., Rammal, H. G., & Rose, E. L. (2014).
International business. Melbourne: Pearson Australia.
Drahos, P., & Braithwaite, J. (2017). Information feudalism: Who owns the knowledge
economy. Routledge.
Grant, R. M. (2016). Contemporary strategy analysis: Text and cases edition. USA: John
Wiley & Sons.
Ho, J. K. K. (2014). Formulation of a systemic PEST analysis for strategic analysis.
European academic research, 2(5), 6478-6492.
Hollifield, J., Martin, P. L., & Orrenius, P. (Eds.). (2014). Controlling immigration: A
global perspective. California: Stanford University Press.
Knight, G. A., & Liesch, P. W. (2016). Internationalization: From incremental to born
global. Journal of World Business, 51(1), 93-102.
Mamic, I. (2017). Implementing codes of conduct: How businesses manage social
performance in global supply chains. New York: Routledge.
Piekkari, R., Welch, D., & Welch, L. S. (2014). Language in international business: The
multilingual reality of global business expansion. UK: Edward Elgar Publishing.
Selvanathan, E. A., Selvanathan, S., & Keller, G. (2016). Business Statistics: Australia
New Zealand with Student Resource Access for 12 Months. Boston: Cengage AU.
Wheelen, T. L., Hunger, J. D., Hoffman, A. N., & Bamford, C. E. (2017). Strategic
management and business policy. London: Pearson.