Marketing Asian Places

7/31/2019 Marketing Asian Places

1/42

1

Marketing Asian Places

.

.


2/42

2

What Is A Place?A place is a nation-state, a geopolitical physical space.

A place is a region or state.

A place is a cultural, historical or ethnic bounded location.

A place is a central city and its surrounding populations.

A place is a market with various definable attributes.

A place is an industrys home base and a clustering of like industriesand their suppliers.

A place is a psychological attribute of relations between people

internally and their external views of those outside.


3/42

3


4/42

4

Growthdynamics

A place is attractive1

. New industry starts up

2. Job opportunities are strong3. Quality of life is attractive

Inward migrationof new residents

and visitors

Inward migrationof new business

and investment

Real-estate costs rise,infrastructure is strained,

social needs rise

Community raises taxes


5/42 5

Dynamics of declineA place becomes unattractive1

. Major company or industry is hurt or exits

2. Economic recession affects business3. Unemployment climbs4. Infrastructure breaks down5. City budget deficit increases

Outwardmigrationof people

Tourism, conventionbusiness declines

Outwardmigration

of business

Banks tighten creditBankruptcies increase

Crime increasesSocial problems rise

City image deteriorates

Community raises taxes


6/42 6

External Forces Rapid technological change

Global competition

Political power shifts.


7/42 7

Hard and soft attraction factorsHard factors

Economic stability

Productivity

Costs

Property concept

Local support service and networks

Communication infrastructure

Strategic location

Incentive schemes and programs


8/428

Soft factors Niche development

Quality of life

Professional and workforce competencies

Culture

Personal relationships

Management style

Flexibility and dynamism

Flexibility and dynamism

Professionalism in contact with the market

Entrepreneurship


9/429

People Marketing1. Famous people

2. Enthusiastic local leaders

3. Competent people

4. People with an entrepreneurial profile

5. People who have moved to the place


10/4210

Place marketing1. Local actors

1. Public - sector actors

Mayor and/or city manager

Business development department in the community

Urban planning department of the community(transport,education, sanitation, etc.)

Tourist bureau

Conventions bureau

Public information bureau


11/42

11


2. Private - sector actors Individual citizens

Leading enterprises

Real - estate developers and agents Financial institutions (banks and insurance companies) Electricity and gas utilities, telecommunication

companies.

Chamber of commerce and other local business

organization

Hospitality and retail industries (hotels, restaurants,department stores, other retailers, exhibition andconventions centers)


12/42

12


2. Private - sector actors Travel agencies

Labor market organizations

Architects Transport companies (taxi, railway, airline)

Media (newspaper, radio, TV)

2. Regional actors Regional economic development agencies

County and state government

National tourist boards


13/42

13

Place marketing3. National actors

Political heads of government

Inward investment agencies

National tourist boards

4. International actors Embassies and consulates

Inward investment agencies

Economic development agencies with a specificlink to a region or city

International enterprises with a place-boundlink


14/42

14

1. The character of a place

A place needs a sound desigh and development plan

that will enhance its attractiveness and more fullydevelop its aesthetic qualities and values.

2. The fixed environment of a place

A place needs to develop and maintain a basic

infrastructure that is compatible with the naturalenvironment.

Various investments a place canmake to improve livability,investibility and visitability.


15/42

15

3. The service provision of a place

A place must provide basic services of sufficient

quality to meet business and public needs.4. The entertainment and recreation aspects of a place

A place needs a range of attractions for citizens,residents and visitors.

Various investments a place canmake to improve livability,investibility and visitability.


16/42

16

1. Infrastructure problems.

1.1 Higher unemployment rates a prolongedrecession pushed politicians to improvecompetitiveness. Infrastructure projects

became one answer in the battle toimprove Asian competitiveness.

Infrastructure improvement


17/42

17

1. Infrastructure problems.

1.2 Traffic congestion reached unacceptablelevels throughout Asian cities.

1.3 Increased competition from within and

outside the region for Foreign DirectInvestment (FDI) and new job creationforced a change in attitude in governmentsand enterprises. In the past, FDI wasaccepted; now, it is recruited, evenseduced.

Infrastructure improvement


18/42

18

1. A more critical environmental debateacts as a catalyst for a number ofinfrastructure projects.

2. Needs Assessment

3. Infrastructure Management

4. Inter - governmental Planing

5. The Environmental Imperative

6. Synchronizing Place Development Needswith Infrastructure Development


19/42

19

Basic services: protection of

people and property, socialsecurity, and education

1. Programs for Improving Security

2. Programs for Improving Education


20/42

20

10 Major types of attractions

that places can consider:1. Natural beauty and features2. History and famous people3. Shopping places

4. Cultural attractions5. Recreation and entertainment6. Sports arenas7. Festivals and occasions

8. Buildings, monuments and sculptures9. Museums10. Other attractions.


21/42

21

Current statusAudit instrument for infrastructure,attractions and people

Infrastructure

Housing

Roads and transportation

Water supply

Power supply

Environmental quality

Basic social security

Education

Lodging and restaurant facilities

Convention facilities

Visitor services

Poor

Fair

Excellent

Good


22/42

22


Attractions

Natural beauty and features

History and famous people

Shopping places

Cultural attraction

Recreation and entertainment

Sports arenas

Festivals and occasions

Buildings, monuments, and sculptures

Museums

Other attractions

Poor

Fair

Excellent

Good


23/42

23


PrepleFriendly and helpful

Skilled

Citizenship

Poor Fair ExcellentGood


24/42

24

InfrastructureHousing

Roads and transportation

Water supply

Power supply

Environmental quality

Basic social security

Education

Lodging and restaurant facilities

Convention facilities

Visitor services

None Modest Major

Potential Improvement


25/42

25

InfrastructureNatural beauty and features

History and famous people

Shopping places

Cultural attraction

Recreation and entertainment

Sports arenas

Festivals and occasions

Buildings, monuments, and sculptures

Museums

Other attractions

None Modest Major



26/42

26

InfrastructureFriendly and helpful

Skilled

Citizenship

None Modest Major



27/42

27

How can a places imagebe measured?

1. Selecting an Audience1.1 Residents :

1.2 Visitors :

1.3 Management :

1.4 Investors :

1.5 Entrepreneurs :

1.6 Foreign investors :1.7 Location specialists :


28/42

28

How can a places imagebe measured?

2. Measuring the Audiences Perception

2.1 Familiarity - favorability measurement

2.2 Semantic Differential


29/42

29

Guidelines for designing aplaces image

1. It must be valid.

2. It must be believable

3. It must be simple.

4. It must have appeal.

5. It must be distinctive.


30/42

30

What tools are available forcommunication an image?

1. Slogans

2. Themes

3. Positions

4. Visuals

5. Stories and Legends

6. Cultures7. People

8. Events

37/50


31/42

31

Segmentation variablesfor the tourist market

Attractionssought

Market areas/Customer locations Characteristics Benefits

Sea, sun, ski

Naturalbeauty/wilderness

Recreation Gaming

Culture/ history/ people

Events/ sports

Theme parks

Facilities/hotels/restaurants

Unique products

wine,beer, perfumeclothes, watches

Non Asian

European

Domestic

Regional

Local

Seasonal / Year around

Language

Age

Income

Family

Single

Professionals

Lifestyles

Ethnic group

Price Convenience Quality Food ServiceFacilities Transportation


32/42

32

Six generic strategies to improvetheir competitive positions :

1. Attracting tourist and business visitors.

2. Attracting business from elsewhere.

3. Retaining and expanding existing business.

4. Promoting small business and fostering newbusiness start - ups.

5. Expanding exports and outside investments.

6. Expanding the population or changing the mix ofresidents.

37/50


33/42

33

Locational characteristics : Old and newCharacteristics Old New

Labor

Low cost, unskilled

Quality, highly skilled

Tax climate Low taxes, low service Modest taxes, high serviceIncentive Least-cost production, cheap land

and labor Value-added adaptable labor force,professionals Amenities Housing and transportation Culture, recreation, museums,

shopping, airportSchools Availability Quality schoolsHigher education Not key Quality schools and research facilitiesRegulation Minimum Compatible quality of life

And business flexibilityEnergy Cost / availability Dependability/ reliabilityCommunication Assumed Technology accessBusiness Aggressive chamber of commerce Partnerships


34/42

34

Current trends in the Asiandistribution sector:

A reduction in the number of larger operators as the sectorconsolidates

Closer vertical and horizontal links betweenmanufacturers, wholesalers and retailers

A slower increase in the number of hypermarkets

A rise in franchising increased distance selling Networks of multifunction distribution centers Increased use of automation and information technology,

especially e-marketplaces that bring buyers and sellerstogether electronically.

New concept stores being introduced Moves towards internationalization and cross-border

networks Growth in the Asianized dimension.


35/42

35

Way to assist companies inpromoting exports

1. Informer2. Broker3. Expediter

4. Trainer and counselor5. Financier6. Host

7. Targetes

8. Promoter9. Facility developer10. New - technology Developer


36/42

36

Explotingthe place - of - origin image

1. The impact of place-of-origin varies with the type ofproduct

2. In highly industrial countries, consumers tend to

rate their domestic goods high, whereas consumersin the developing countries tend to have a biasagainst product produced in their own or otherdeveloping countries.


37/42

37

Explotingthe place - of - origin image

3. Certain countries and places have established agenerally good reputation regarding certain goods:Tokyo for fashion, Dubai for gold, India for textiles,

and Japan for electronics/cars. This reputation stemsnot only from a products characteristics but also fromaccessibility, history and service reliability.

4. The more favorable a places image, the more

prominently its name should be displayed inpromoting the brand.

5. Attitudes towards place of origin can change over time.


38/42

38

Why resident attraction isimportant in place marketing

1. A world Problem : competing forTalent and Identity

2. Targeting Skilled Professionals3. Targeting Lifestyle Groups

f f


39/42

39

Asian places face fourmajor challenges :

1. Challenge one : places are increasingly at risk as aresult of the accelerating pace of change in the globaleconomic, political and technological environment.

2. Challenge two : places are increasingly at risk as aresult of the inevitable process of urban evolution anddecay.

3. Challenge three : places are facing a growing numberof competitors in their efforts to attract scarce

resources.

4. Challenge Four : Places have to rely increasingly ontheir own local resources to face growing competition.

H t l d t


40/42

40

How must places respond tothese challenges?

1. Response One : Places need to establish a strategic vision to facethere challenges.

2. Response Two : Places need to establish a planning process to facethese challenges.

3. Response Three : Places must adopt a genuine market perspective

toward their products and customers.

4. Response Four : Places have to build quality into their programsand services to compete with other places.

5. Response Five : Places need skill to communicate and promote theircompetitive advantages effectively.

6. Response six : Places need to diversify their economic base anddevelop mechanisms for adapting flexibly to changing conditions.

How must places respond to


41/42

41

How must places respond tothese challenges?

7. Response Seven : Places must develop and nurture entrepreneurialcharacteristics

8. Response Eight : Places must rely more on the private sector toaccomplish their tasks.

9. Response Nine : Each place needs to develop its unique change

processes that arise from differences in its culture, politics andleadership processes.

10. Response Ten : Places must develop organizational and proceduralmechanisms to sustain place development and maintain momentumonce it has begun.


42/42

42

Documents

Marketing Asian Places