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Reebok Team 6

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by

leo xu

on 18 February 2015

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Transcript of Reebok Team 6

CONCLUSION
Manufacture Reebok shoes in Davao or Surabaya
Group 6
Members:
Instructor: Prof. Roger Meiners
Cheng-Yu "Tyson" SHIH
Yen-Min "Leonie" HSIEH
Kai-Hsing "Kent" LIN
Qingying "Natasha" CAI
Haonan "Leo" XU
Online shopping
Customer's loyalty to established brands
Threat of new entrants
High
Buyer price sensitivity
Bargaining of customer
Adidas GROUP Indonesia
Low labor cost
Presence of substitute inputs
Bargaining of suppliers
Converse
Born
Steve Madden
Toms
Luxury brand:
Prada ,Issy miyaki
Threat of substitutes
Nike
Puma
New Balance
Asics
Brooks
Rivalry
4. SWOT analysis
SWOT ANALYSIS
of Indonesia
S
trength
T
hreats
1.Low cost:
Land & factory
Labor force: abundant and cheap
Raw material: cheap(rubber)
2.International transportation
Surabaya is the second-largest port in Indonesia
Ocean transportation is very convenient

1.Cheap labor in Philippines
2.Climatic factor
Rubber’s yield is affected by climate
3.Lack of competitiveness
(Nike, Adidas)
W
eakness
1.Domestic transportation
Poor road system between cities
2.Overall quality of local employees
3.Production equipment level
4.Production structure
Shortage of other material:flax
5.Political environment
Relatively not stable, will bring impact on the export
O
pportunities

3.Technology is developing rapidly
4.Education system is improving


1.Rubber is a renewable resource
2.Consumer disposable income is increasing
Increase local employment rate and GDP


Company's Background
Porter's Five Forces Analysis
Comparison between Indonesia & Philippines
SWOT Analysis
Conclusion
Outline
1. Background
Type Subsidiary
Industry Sports equipment
Founded 1895(as J.W. Foster and
Sons) in England, United
Kingdom
Founder J.W. Foster
Headquarters Canton, Massachusetts, U.S.
Area served Worldwide
Key people Uli Becker (CEO)
Products Sportswear, Footwear
Parent Adidas
Slogan I Am What I Am
Website Reebok.com
Location of the two cities
Davao in Philippines
Surabaya in Indonesia
2. Porter's Five Forces Analysis
3. Comparison between Indonesia and Philippines
Population
Philippines [2015]
101,802,706
Indonesia[2015]
255.708.000
Gross Domestic Product per capita
Philippines [2015]
$3060
Indonesia[2015]
$3500
Benefit of Government Policy
Philippines
Indonesia
No Transfer of Ownership Fee
Six years to 30% of the investment amount reduced taxable income
Import tax fee reduce
Labor costs reduce
4-8years income tax fee reduce
Import tax fee reduce
Labor costs extra reduce
Issue and Risk
Philippines
Indonesia
Demonstration
Government policy
Political and business issues
Natural Disasters
Public security
Which city?
Davao
(Philippines)

Surabaya
(Indonesia)

or
SWOT ANALYSIS
of Philippines
S
trength
T
hreats
1.Low cost:
Labor force: abundant and cheap

2.International transportation
Wharf-Sea transportation
Airport

1.The domestic gap between rich and poor
The president, domestic politics are controlled by the government, notas
2.Foreign direct investment is less
In 2013 Indonesia's foreign for 8 billion, while Philippines is only 1.2 billion.
3.Outflow of population
over 10 million Filipinos leave the country.
Labor loss, affect Philippines's economic productivity
W
eakness
1.Lack of resources
Lack resources of clothes and shoes
2.Political instability
Party conspiracy, social unrest


O
pportunities

1.Increasing foreign investment
2.Consumer disposable income is increasing


Thanks! And HAPPY NEW CHINESE YEAR!
Wishing you guys luck and fortune
Surabaya is the second-largest port in Indonesia
Ocean transportation is really convenient

Many Beneficial Government policies
Surabaya
Sustainable GDP growth
Politically stable
Low cost of labor force and land
Davao City
Lack of resources
Political instability
Surabaya
Full transcript