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UNIQLOs quest for glory

Pradeep Kumar Ramiya Mothilal 2013 - No copying without permission

Uniqlos quest for glory

2013

Table of Contents

Content

Page

Executive Summary

03

Introduction

04

International Market Selection

09

Environmental Analysis

22

Market entry strategy

29

Global Marketing Mix

34

Conclusion

41

Appendix

42

References

55

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Executive Summary
UNIQLO, one of the brands in Fast Retailing Co Ltd, could be considered to be one of the
worlds leading Specialty store retailer of Private label Apparel (SPA) from Japan. Although placed
well financially and competitive in the international arena, the prevailing economic recovery period
could be capitalized for expanding into emerging and developing markets. This thesis is drafted
based on a thorough research of all the potential foreign market based on UNIQLOs position to
Macro, Micro, Industry and Firm level factors. On screening the markets based on Multi Criteria
Model, it is determined that India is the most favourable market for expansion. This assessment is
closely followed up with the analysis of all the available foreign market entry strategies that could
be feasible by UNIQLO to enter the Indian Apparel Retail Market. Based on the analysis of the
Indian Retail business environment, the following strategy is cemented for increasing UNIQLOs
brand image and sales in the Indian sub-continent:

Initially, Direct Exporting for 18 to 24 months

Then, Franchising through renowned franchisees

Finally, making Foreign Direct Investment

An in-depth analysis of implementing the above scenario in the Indian Business context is
performed to make the strategy flawless. On successfully evaluating the strategy, the International
Marketing mix is developed to extensively increase the brand image and sales in parallel amidst the
foreign market environment. In conclusion, the constructive outcome on UNIQLOs business that
could be attributed to the successful internationalization in the Indian Apparel Retail Market is
discussed.

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Introduction

UNIQLO (a division of Fast Retailing Co Ltd) (Fast Retailing. 20132) is one of the first
Specialty store retailer of Private label Apparel (SPA) in Japan. Founded in 1984, UNIQLO earned
its name by uniquely retailing casual clothes for unisex (Unique Clothing). (Fast Retailing. 20132)

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UNIQLO continued its successful journey from then to become one of the leading fashion retailers
in Japan which had vertically integrated all the stages of the clothing retail business from Design to
Sales by using the SPA business model as shown above (Fast Retailing. 20133). By using and
refining the SPA business model, UNIQLO makes dynamic changes to their products based on
trends in the external environment and in turn overcomes its competitors by providing unique
products with high margins despite being priced low.

From the financial summary (Appendix A), it could be inferred that although Net Sales of Fast
Retailing and its consolidated subsidiaries are increasing, the Operating Income Margin could be
assessed to be declining gradually since 2010. This could be considered to be the impact of the
economic slowdown (Fast Retailing. 20134). From the dividend payout ratio, it could be deduced
that Fast Retailing places emphasis on returning profits to the shareholders in the form of dividends
twice a year. (Fast Retailing. 20135)
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AIRism Smart Shirts

UNIQLO comprises of a diversified product line which could be depicted from the figure shown
above. Of all the products in the stable, the AIRism Smart Shirts could be considered as one of the
unique products which have been engineered recently at UNIQLO. The uniqueness in the AIRism
technology lays in the characteristics of microfibers which prevent the bacterial growth that result in
odour, dry precipitation, and provide a cool and soft feel to the skin (UNIQLO. 20131).

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While the HEATTECH technology retains the heat during cold weather, the AIRism technology
based Smart Shirts are perfect for hot and humid weather because of its breathable cotton which
provides convenience. This product would suit all the customers regardless of their gender and
adding to it, the AIRism technology could be integrated into other products to achieve similar
benefits.

UNIQLO Markets

UNIQLO currently operates in 4 regions comprising of the countries such as China, France, Hong
Kong, Japan, Korea, Malaysia, Philippines, Russia, Singapore, Taiwan, Thailand, UK and USA
(UNIQLO. 20132). A thorough analysis of the current markets could be found in Appendix B.

Challenges

UNIQLO, although successfully placed in global markets with financial capabilities, a risk could be
involved as there is significant reliance on one market for manufacturing or sales (Fast Retailing.
20139). For example, UNIQLO is planning to move 37% of its production from China (Fast
Retailing. 20133) as the government could boost its internal demand rather than placing emphasis
on export growth (Fast Retailing. 20134). Economic instability, changes in legal or political
regulations, needs could adversely affect business (Refer Appendix D) (Fast Retailing. 20139) and
consumer spending on apparels (Passport. 20111).

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Hence the prevailing economic slowdown could be capitalized to test the attractiveness of new
markets to innovative products such as AIRism Smart Shirts (Fast Retailing. 20134). Although
China is on the verge of transforming into a global market (Passport. 20091), there are other
emerging markets in Asia and South America which could also be considered for entry (Fast
Retailing. 20134). However, having capitalized on markets by gaining market share to compete with
Global players, UNIQLO needs to make the right move to establish its Brand image by executing a
Foreign Market Entry strategy in a market which could experience rapid economic growth (Fast
Retailing. 20134). This could in turn result in the increase of consumers demands and thus have a
substantial effect on the global sales figures which could make Fast Retailings UNIQLO the
number one Specialty Share Retailers of Private Label Apparel in the world (Fast Retailing. 20131).

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International Market Selection


As per Hollensen, S. 2004, a positive decision for internationalization could lead to the selection of
the International Market. The Market selection process involves assessing the internal and external
environment factors associated with the product and the organization, and determining the political,
economic and socio cultural environments to realize the target market and in turn the International
marketing mix (Hollensen, S. 2004). For UNIQLO, it could be considered that the systematic
selection should aim to create long term profitability and sustained increase in sales.

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Initially, the value of markets could be attributed to initially partition the markets and establish the
scope for expansion based on their potentials. From the Clothing and Footwear Opportunities
(Passport. 20101) shown below, the Western Europe, North America, Asia Pacific and Latin
America regions could be inferred to account for 91% of the industry value. Thus the markets in
these regions could be researched further for external factor attractiveness.

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Macro Factors

As per Hollensen, S. 2004, the Macro factors involve economic, political, legal and socio-cultural
attributes. On the economic front, the PPP per capita for apparel specialist goods and growth rate of
Real GDP could be considered.

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From the above figure, it could be inferred some of the markets in Western Europe, Asia Pacific,
Latin America and North America regions could be exploited due to their economic potency.

From the GDP Growth, it could be deduced that the markets in the Asia Pacific regions were
winners in the recession, whereas the Latin America region was affected negligibly. The countries
in the North America and Western Europe region were predominately disturbed.

On the Political and Legal front, the political instability in the Africa and Eastern Europe markets
could be comprehended whereas strategies need to be executed to overcome risks in Asia and Latin
America regions.

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On the socio-cultural environment front, physical environment factors such as Climate, and Cultural
factors such as Long Term Orientation based on Hofstedes framework could be considered.

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As the AIRism based products including Smart Shirts provide a cool sense to the skin, it could be
beneficial to consumers in Asia Pacific, Africa and Latin America regions where the Annual mean
temperature is more than 60 F.

From the scores of the Long Term Orientation of Cultural dimensions, it could be realized that
Western culture is short term oriented where as the culture prevailing in Asia Pacific and Latin
America regions strive for long term benefits. This could be attributed to the perception of
UNIQLO brand by different markets.

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Firm Factors

As per Hollensen, S. 2004, the nature of the product, firm resources could be regarded as Firm
factors.

When the firm resources are considered, even though the production offices are located globally,
most of the contributions are made from China which accounts for high substantial labour cost.
Alternate options could be examined in the Asia Pacific region such as India where the labour is
available and cost is reasonable.

Industry Factors

As per Hollensen, S. 2004, the Industry factors involve local players, buyer behaviour and available
channels. All the regions have competition as the Industry is mature as shown below:

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Consumer debt could be termed as one of the factors attributing to the buyer behaviour. From the
consumer debt information given below, the consumers in developed regions (North America and
Western Europe) have higher debt to consumers in developing and emerging markets (Latin
America and Asia Pacific Regions).

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Distribution Channels could be considered as one of the main industry factors which impacts the
consumer accessibility of products. The clothing retail industry could be seen as adopting all the
channels (from traditional to emerging) to reach consumers. Despite using technology based
emerging channels, the traditional channels involving the Brick and mortar store could be
assessed to be successful in all the regions expect for Eastern Europe.

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Micro Factors

As per Hollensen, S. 2004, the Micro Factors involve market potential, size and growth amidst
competition.

From the above figure, it could be inferred that the competition for International retailing is less
than 5% in North America and Asia Pacific regions. The Latin America region could be deduced to
have moderate competition whereas there is stiff rivalry amongst the international players in the
Western European region.

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From the value of shares given above, the dominant markets in the four regions which accounts for
$1.1 trillion could be determined. Italy, Germany and Spain from Western Europe, Canada from
North America, India from Asia Pacific and Brazil from Latin America are the markets which could
be considered for expansion.
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Multi Criteria Model Macro Selection Factors

The Multi Criteria Model could be used to rate the countries on the basis of the attractiveness
factors and compute the overall score from the weights. The compensatory and the non
compensatory principle would be considered in the process to select the desired country which has
the highest score.

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The weights of the indicators of market attractiveness could be given as follows:

The assessment of the screened markets by the Multi Criteria Model could be table given below.

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It could be inferred that the emerging markets in the Asia Pacific and Latin America namely India
and Brazil respectively demonstrate significant attractiveness for the UNIQLO Smart Shirt products
based on AIRism technology. The Psychic Distance based on culture and UNIQLO presence in the
international markets could be attributed as crucial factors for successful expansion into these
emerging markets. Thus, based on the Macro, Micro, Industry and Firm factors it could be
concluded that in order to increase the brand image and the global revenues, a foreign market entry
strategy needs to be implemented by UNIQLO in the progressively developing Indian market.

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Environmental Analysis

The Indian Retail market could be considered as one of the largest retail market which is expected
to demonstrate a staggering growth in retail sales by 2016. It could be accounted to be worth $491
billion in value, out of which the apparel retail contributes for 10%. The apparel retail industry
employs as many people as Canadas population which is ranked 35th in the world. The urban
population which accounts for 30% the total population follow trends in fashion as shown below.

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Further, it could be inferred that the major customer segment of UNIQLO products aged 25 to 40,
who follow fashion trends are the wealthiest consumers in India.

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Having described most of the Indias Macro factors (which involves Political/Legal, Economic and
Socio-cultural factors) in comparison with other markets, there could be other aspects of these
factors which could be considered to be specific to India.

Political/Legal Climate

The Indian Political system could be considered to be based on Pluralism involving pure democracy
and parliamentary activities. The states could decide the foreign retailers entry depending upon the
impact that it will make to the local businessmen.

While there is no nationalism that prevails in India due to the open mindset of urban population,
there are few restrictions that have been placed for foreign retailers entering the Indian Market.

These restrictions could be considered to be barriers to entry to tap in only the successful retailers
worldwide like Adidas and Bata who could afford to make additional investments.

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Economic Factors

Due to the coalition government, Indian economic environment could be considered to be closely
related to centrally planned economies. About half of Indian population living in the urban areas
could be termed to be clustered around the 4 metropolitan cities namely Delhi, Mumbai, Kolkata
and Chennai. Bangalore, the Information Technology hub also possesses remarkable population.

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From the figure given above, the average annual consumer expenditure is predominately high in the
North western regions than the South eastern regions due to the lack of benefits attained from
increase in income (Euromonitor International India new FDI rules). Most of the urban city
population accounting for 10% of the total population have access to foreign retailers.

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As depicted in the figure above, the foreign apparel retailers have only 3% of the market share in
India with small local retailers contributing 94%. The major local retailers given below account for
another 3% which could be depicted as very negligible, given their extended presence in the market.

Almost all the groups have diversified businesses including franchisees to support foreign retailers
(Nahar, A. 2012).

Cultural and Social Environment

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Although the Indian high context culture could be regarded to be similar to Japanese culture, there
could be some situations in which the culture could be perceived to be low context in nature. This
could be primarily rooted to the westernisation of the Indian culture (Nishimura, S., A. Nevgi and S.
Tella. 2013).

Challenges in the Physical and Material Environment

Apart from the heavily fragmented retail market and political opposition, frequent power cuts and
obsolete manufacturing technologies are the order of the day due to negligible funding towards
improving infrastructure. Adding to it, the labour needs training for handling sophisticated
machinery.

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Market entry strategy


The foreign apparel specialist retailers benefit from significant success regardless of the strategy
adopted for market entry.

As per Hollensen, S. 2004, different modes of entry strategies could be adopted based on the
organisations position which may not necessarily match to other organisations. Petersen and
Welch (2002) found that a firm often combines modes to enter foreign market (Hollensen, S.
2004). The position of UNIQLO to internationalize further in global markets could be analyzed in
Appendix F and the result could be shown below:

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Having assessed UNIQLOs position and feasibility for further internationalization in the Indian
Market, the following potential initial foreign market entry strategy could be determined:

Direct Exporting to flagship stores

Franchising through renowned franchisees

Foreign Direct Investment

As each of these market entry modes have their pros and cons as given in Appendix E, none of
these modes could be used on a long term basis without impacting investments to achieve the
market share goal of UNIQLO. Moreover, as the Indian apparel retail market is heavily fragmented
by small local retailers, merger and acquisitions could become daunting activities. In-order to
overcome the disadvantages in each entry modes, it could be beneficial for a large retail chain like
UNIQLO to use a combination of entry modes with respect to the duration of internationalization.
(Aron, R. 2012)

By this approach, the initial phase of the market entry mode is to establish UNIQLO brand with
AIRism products in India by opening Flagship stores and set up primitive supply chain capabilities
(Aron, R. 2012). Then based consumer responses in the next 18 24 months increase the variety
and volume of products offered to the consumers by Franchising and in parallel meet the local
sourcing and investment requirements.

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The final phase is to keep the investments and productions aligned to the rate of expansion and meet
the demands of growing markets demands (Aron, R. 2012). The substantial investment gets to be
noticed during the second and final phase (Aron, R. 2012).

The implementation details are described in Appendix G. Thus, the initial foreign market entry
strategy could be verified from the Choice Criteria for Entry Mode Selection process.

Choice Criteria for Entry Mode selection

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As per Hollensen, S. 2004, the influence of proposition for internal factors, external factors, desired
mode characteristics and transaction-specific behaviour could be formulated to determine the
market entry mode. Direct Exporting, Franchising and Foreign Direct Investing are the potential
market entry modes that could be considered for UNIQLO expansion into India. Criteria(s) are
identified based on the four factors give above to determine the Entry Mode selection.

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The assessment of the shortlisted entry modes by the Choice Criteria for Entry Mode Selection
process could be shown below. Thus, it could be inferred from the scores that the Direct Exporting
mode is higher than the other shortlisted strategies which has aligned to the initial market entry
strategy derived based on UNIQLOs position.

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Global Marketing Mix


After establishing the market entry strategy for the selected market, the development of the Global
Marketing Mix for the product could be considered to be the next step forward in the Global
Marketing process. As per KEEGAN, J.W. and M.C. GREEN. 2003, the Global Marketing Mix is
an effective way for finding a balance between the payoff from extensively adapting the products
and brands to local market preferences and the benefits that come from concentrating company
resources on relatively standardized global products and brands. The Global Marketing Mix
involves assessing the Product, Price, Place and Promotions as in the Marketing mix but at a global
level.

Global Product
UNIQLOs AIRism based Smart Shirts is the product to be internationalized to the foreign market
India. The AIRism Technology Smart Shirts equipped with distinctive patter of microfibers enables
the ventilation and in turn prevents the growth of bacteria which results in foul odour and dry
precipitation. Thus, the consumer feels convenient with a soft and cool feel in the skin even in
scorching hot and humid weather. The Smart Shirts needs to be adapted to the metrics and
aesthetics preferred in different countries to determine the size. When comparing to major global
and local players, UNIQLO products are positioned in such a way that they are low-priced and have
varying classic designs.

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The major consumer segment for UNIQLOs Smart Shirts could be termed to be the dense
population who are placed in Mid-market based on their annual income as shown below and those
who are within 20 to 40 years in the Age-related segment (Suttle, R. 2012).
.

The AIRism based Smart Shirts could be placed in the mens and womens outerwear markets for
all the regions in the world as shown below:

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The Fast Retailing Co. Ltd has many brands in such as Comptoir Des Cotonniers, Princesse
Tam.Tam, Gu, J Brand and UNIQLO (Fast Retailing. 20133). Out of all the brands, UNIQLO could
be regarded as the most successful brand in both the international and local arena.

The country of origin effect plays a vital role by showcasing a high quality perspective in the
international markets as Japan had delivered many brands such as Cannon, Sony, Lexus, Yamaha
etc which are perceived to be of high quality.

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Global Pricing
The UNIQLOs AIRism based Smart Shirts could be approached for international pricing by using
the Skimming mechanism which is used to determine the premium segment in the market (such as
the population segment who earn maximum income in a region) that is willing to pay the best price
for the product based on the perceived value. Other Internal factors and External factors could also
be considered for altering the international price.

Global Distribution

The growth in the Apparel Internet Retailing sales forecasted for 2016 in the Asia Pacific, North
America and Western Europe Regions could be one of the factors influencing marketing through
the Internet including other Internet Retailing factors such as adaptation, delivery, promotion and
payment.

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From the figure given below, the Internet retailing which could be depicted to undergo a staggering
rate of growth in the Asia Pacific region could be the predominant International Channel alternative
for the future which could be considered to be partially exploited by leading Apparel retailers like
La Redoute, Victorias Secret etc. to increase their value of sales.

This would in turn make the International Channel Alternatives flexible enough to reach consumers
in numerous ways as shown below:

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Global Communication
The UNIQLOs AIRism based Smart Shirts could be promoted by using One-way communication
and two-way communication mechanism as per Hollensen, S. 2004. The One-way communication
mechanisms could involve sponsoring world famous upcoming sports personalities as they have
represented their country while achieving medals in Olympic and sponsoring the global sporting
events to convey the brand image.

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It could be crucial to consider the Cultural considerations given below while promoting the brand
using International advertising as it may sometime convey a different meaning to the audience who
could be potential consumers.

The two-way communication could involve Internet marketing which could be highly effectual by
creating a virtual store for every consumer like Amazon. Apart from Internet Marketing, Viral
Marketing could be executed by spreading the Word of Mouth in Social Media and Social
Networking sites.

By performing all the global marketing mix, the challenges facing UNIQLO to deliver the AIRism
based Smart Shirts tailored to fit the different International markets could be overcome proficiently.

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Conclusion
In summary, even though UNIQLO is financially secure to be competitive in the global arena, the
economic slowdown could be capitalized to access whether it could expand further into emerging
and developing markets. The Foreign market to entry was determined to be India after having
considered UNIQLOs position and feasibility for expansion. Number of foreign market entry
strategies was assessed against the current situation of UNIQLO to determine the market entry
mode for the product based on which the Global Marketing Mix was established. This Marketing
mix could be considered to increase the UNIQLOs brand image and sales in the foreign market and
in turn gain market share to make Fast Retailings UNIQLO worlds number one Specialty Share
Retailers of Private Label Apparel.

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Appendix
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Appendix A
Financial Summary of Fast Retailing Co Ltd (Fast Retailing. 20132)

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Appendix B
UNIQLO Markets

Being an under-represented clothing retailer in urban areas of Japan, UNIQLO is by far the leading
Apparel Retail Stores with sales worth 565.5billion.

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Globally, UNIQLO could be considered to be successfully expanding its operations since opening
the outlets in Shanghai and London in the year 2002 (Fast Retailing. 20131). UNIQLO currently
operates in 4 regions comprising of the countries such as China, France, Hong Kong, Japan, Korea,
Malaysia, Philippines, Russia, Singapore, Taiwan, Thailand, UK and USA (UNIQLO. 20132).

Adding to the Flagship stores, UNIQLO owns 70 partner factories in Shanghai, Ho Chi Minh City,
Jakarta and Dhaka to cope up with the high demand. (Fast Retailing. 20133) Increased reliance on
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China (manufacturing 70% of the products) could turn open opportunities for decreasing the
manufacturing cost (Fast Retailing. 20133). Apart from factories, UNIQLO could have been
inferred (Refer Appendix B) to have involved in numerous Mergers and Acquisitions to increase the
sales and profitability (Fast Retailing. 20138).

Having expanded globally, the Fast Retailing subsidiary UNIQLO could be ranked to be the fourth
major global Specialty Share Retailers of Private Label Apparel.

In terms of Market Capitalization of Apparel Speciality Stores worldwide, UNIQLO with its parent
Fast Retailing could be ranked to possess the third highest share.

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This could be seen to be prominently reflecting in the International Sales and Operating Income
figures of UNIQLO which rose strongly in the financial year 2012.

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The Fast Retailing group sales could be depicted to be increasing at the same rate as the other global
competitors such as Inditex (Zara) and H&M (Fast Retailing. 20131).

All the above evidences stand testimony of the effectiveness of the Foreign Market Entry Strategy
that has been adapted by UNIQLO which could be considered to put UNIQLO in par with its close
competitors. The following Foreign Market Entry Strategies have been adapted by UNIQLO for
internationalization:

Mergers and Acquisitions (Refer Appendix C)

Foreign Direct Investment (Aron, R. 2012)


o Executing Pilot Project by opening flagship store for 18-24 months
o Increase footprint and product diversification
o Production in high volumes from operational capabilities and infrastructure

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Appendix C
M&A Strategy of Fast Retailing Co Ltd (Fast Retailing. 20138)
2004
January
Acquired an equity stake in LINK INTERNATIONAL CO.,LTD. (now LINK THEORY JAPAN
CO.,LTD.), developer of the THEORY brand
2005
March
Acquired ONEZONE CORPORATION
May
Obtained management control of NELSON FINANCE S.A.S., developer of the COMPTOIR
DES COTONNIERS brand
2006
February
Acquired PETIT VEHICULE S.A., developer of the PRINCESSE TAM.TAM brand
March
Established G.U. CO., LTD.
April
Invested in CABIN and concluded an operating alliance
November
Invested in VIEWCOMPANY CO.,LTD.
2007
August
Made CABIN into a subsidiary through a takeover bid
2008
February
Made VIEWCOMPANY CO., LTD. into a subsidiary through a takeover bid
2009
March
Made LINK THEORY JAPAN CO.,LTD. into a subsidiary through a takeover bid
2012
December
Acquired J Brand Holdings, LLC

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Appendix D
SWOT Fast Retailing Co Ltd (Passport. 20123)

SWOT analysis for Japanese retailers in Asia (Passport. 20131)

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Appendix E
Market Entry Modes Strengths and Weaknesses

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Appendix F:
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UNIQLO position to internationalize

The factors that attribute to the position of UNIQLO to internationalize further in global markets is
analyzed and placement of UNIQLOs market entry preference could be shown deduced.
Control available over foreign operations: UNIQLOs high dependence on local partners which
reduces the revenue margins overseas could be considered for the minimum control available over
foreign operations.

Resource commitment: The Flagship stores located in the global arena could be attributed for
UNIQLOs intention for limited resource commitment.

Flexibility: The extremely flexible nature of UNIQLO paved way to the closure of three stores in
New Jersey without any commendable loss and re-open them again after five years due to the
business growth (Grant, N. 2012).

Risk: Besides internationalizing with negligible risk, the limited risk exposure of UNIQLO could
be attributed to the low risk developed markets selected for expansion (Hollensen, S. 2004).

Experience: As per Hollensen, S. 2004, the result of serving limited markets and the merger and
acquisitions performed instead of actual operations attribute to the trivial international experience
acquired by UNIQLO through its internationalization strategies.

Appendix G
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Detail Implementation of proposed market entry strategy

the initial phase of the market entry mode is to establish UNIQLO brand with AIRism products in
India by opening Flagship stores starting from Delhi (Capital of India) and other metropolitan cities.
UNIQLO could be able to learn about the Indian market as well as assess demands and set up
primitive supply chain capabilities (Aron, R. 2012). The products could be exported at low cost
from the Production office situated at Dhaka (Bangladesh) so that only the set-up costs are required
for investments.

If the consumer responses to the UNIQLO brand are overwhelming during the next 18-24 months
through the flagship stores, increase the variety and volume of products offered to the consumers.
This could be made possible by increasing the product exports and executing the second market
entry strategy to Franchise. Renowned Franchisees such as Madura Brands and Arvind Brands
which now franchise global brands such as Arrow, Excalibur, Louis Phillip and Allen Solly could
be sought after for this phase (Nahar, A. 2012). Links for supply chain and logistics could be
recognized (Aron, R. 2012). Further, production facilities at Ludhiana (Manchester of India (BBC.
2006)) and Coimbatore (Manchester of South India (The Indian Express. 1936)) could be
established for training labours to meet the local sourcing requirement.

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The final phase is to keep the investments and productions aligned to the rate of expansion and meet
the demands of growing and saturating markets (Aron, R. 2012). The substantial investment gets to
be noticed during the second and final phase (Aron, R. 2012). One of the underperforming major
local retailers in the eastern regions could be acquired for $100 million to satisfy the investment
requirement. This local retailer store could be transformed into UNIQLO stores to reach more
consumers nationwide. Adding to it, the Internet Marketing channel could be transformed to the
state-of-the-art e-store by outsourcing the effort to web developers located at Bangalore.

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