YOULEARNLevel Up Your EducationIBUS 590 Term Project Presentation Part I by Group 4

MARKET EXPANSION• China

• Japan

• Singapore

HOW YOULEARN WORKS

CHINA

Population 1,355,692,576 (July 2014 est.)

GDP per capita $9,800 (2013 est.)

GNP 12.44 trillion PPP dollars (2012)

GINI Index 42.06 (2009)

Economical Environment

Developing Status Largest and fastest growing

emerging market

Competitiveness Rank 29th on the Global

Competiveness Report 2013-14

Rank 85th on technology readiness with 3.4/7 score

Business Infrastructure Rank 1 in the world on

number of telephones and internet users

Internet hosts: 20.602 million Internet users: 389 million

(2009)

CHINA

Higher Education 24.3% school enrollment rate in tertiary education (2011) Public expenditure per pupil – 27.8% of GDP per capita (2010) 68 higher education institutions approved to provide distant

learning programs since 2007

Cultural and Social Environment

Languages Mandarin Chinese Simplified Chinese

Consumer Behaviors 250 million smartphone users (2013) Estimated 500,000 to 800,000 mobile application developers in

2013 People are willing to pay for in-app purchase or upgrade

CHINA

Educational Laws and Regulations Higher Education Law of the People's Republic of

China (effective as of January 1, 1999) Distant Learning Policies from1999

Political risks Difficulties in controlling provinces far from the capital

Political structure Controlled by the PRC Government Single party - Communist Party of China (CPC)

Laws on advertisements Advertisement Law of the People's Republic of China

(adopted and promulgated on October 27, 1994) Restricts advertising by broadcasting, motion pictures,

TV programs, newspapers or periodicals

Political and Legal Environment

CHINA:MARKET POTENTIAL Target

Universities, Colleges Professors, Teachers Students

Market size Largest market in the world Continually growing

Estimated revenue from mobile internet users $13.7 billion (2011)

JAPAN

Population 127.6 Million (2012)

GDP 5.96 trillion USD (2012) Per capita 46,720.36 USD (2012) 3k less than USA Real growth % up 1.6% from

previous year

GNP : 4.63 Trillion PPP dollars

Developed country

Economical Environment

Labor force Unemployment was 4.4 in

2012; 4.0 in 2013 Wages rising due to

government attempting to reflate the economy.

Inflation Rate 2012 → 2013 .4% change. Becoming more static.

Competitiveness High degree of competition,

but relatively high on ease of doing business

JAPAN

Education 103% school enrollment rate (over

100% due to overaged/underaged students)

Over 50% move to college / over half graduate.

Languages Japanese English is growing

Cultural and Social Environment

Business practices Quality is king Pay for a premium

Consumption behavior Cell phone oriented society

JAPAN A constitutional monarchy

The Emperor Akihito plays a ceremonial role

All political power is vested in a Diet (Parliament) a 480-member House of Representatives elected by

universal suffrage for a term of four years a 242-member House of Councillors that serves a

six-year term of office with half of its members coming up for election every three years.

Restrictions on foreign investment Opening up.

Tariffs WTO on talks to expand digital products

without imposition of tariffs per the ITA ( information technology agreement) and due to recent changes in governmental structure.

Political and Legal Environment

JAPAN: Market Potential

Market growth rate Slowing down Region’s highest, world’s 2nd

highest

Market intensity Increasing competition due to

change in laws (just announced in Jan 2014)

Market receptivity Both culturally and

economically proven market

SINGAPORE

Population 5.4 million (2012 est.)

GDP per capita (PPP) $62,400 (2013 est.)

GNP 341,640 SGD mil (2012)

GINI Index 41.4 (2013 est.)

Developed Country High-tech Wealthy

Competitiveness Ranked 2 out of 148 in

Global Competitiveness Index 2013-14

Business infrastructure Telecommunications Transportation Financial System

Economical Environment

Education System Centralized, integrated, coherent, well-funded Strongly committed to capacity building at all levels of the

system “Pedagogy” of teaching

Literacy Rate: 95.9% of the population

Only 2.8% of GDP spent on education

Higher Education Top Universities: National University of Singapore (NUS) and

Nanyang Technological University (NTU) NUS ranked 26 in World University Rankings 2013-14 (Times

Higher Education) NTU ranked 8 in “The 100 Under 50” 2013-14 (Times Higher

Education) NUS ranked 2 and NTU ranked 11 in Asia University Rankings

(Times Higher Ed.)

Languages English (Official) Malay Mandarin Tamil

Technology Use in Classrooms In five years, there will possibly be an

increase in the proportion of online learning compared to face-to-face classroom contact

Cultural and Social Environment

SINGAPORE

Education Laws/ Regulations Education Act of 1957 Compulsory Education Act of 2003

Political risks Race, religion, and migrants Security

Political Structure Multi-party nation The People’s Action Party has been dominant force since

independence from Malaysia in 1965

Restrictions on foreign investments Legal framework and public policies favorable towards

foreign investors Exceptions to general openness (telecommunications,

broadcasting, domestic news media, financial services, legal services, and property ownership)

Laws on advertisements Controlled Media Environment Singapore Code of Advertising Practice (SCAP) 2008

All advertisements should be legal, decent, honest, and truthful Advertising advice agencies

Political and Legal Environment

SINGAPORE

SINGAPORE: Market Potential Target Market

Schools, Universities Professors, Teachers Students

Market size 92% smart device penetration from ages 15-64 years old Singaporeans are willing to pay for apps, avg. $2-3

Market growth rate 46.7% annual growth from 2012-2013 Singapore accounted for 64% of mobile app downloads in 2012

Market intensity GNI per capita: $61,100 PPP (2012 est.)

Market consumption capacity By July 2012, more than 50 billion apps were sold/downloaded Technology Outlook for Singaporean K-12 Education 2012-2017

Market receptivity Already a market for interactive learning apps for education in

Singapore (SquareCrumbs, Trail Shuttle)

CONCLUSION

Enter into Japan Highest Mobile Commerce Per Capita

Highest Consumer Expenditure on Higher Education

High market receptivity

Japan Excels in its business utilization of ICT and has a high level of capacity for innovation

Educational Apps, especially English Teaching, are among the Top Sellers of Apps in Japan

REFERENCE http://globaledge.msu.edu/mpi

http://news.asiaone.com/News/AsiaOne+News/Singapore/Story/A1Story20110201-261508.html

http://statutes.agc.gov.sg/aol/search/display/view.w3p;page=0;query=DocId%3A%22acab79b8-6671-4ed8-a984-4eb09060e314%22%20Status%3Ainforce%20Depth%3A0;rec=0

http://www.moe.gov.sg/initiatives/compulsory-education/

http://www.timeshighereducation.co.uk/world-university-rankings/2013-14/world-ranking

http://www.citystate.com.sg/7-infrastructure.html

http://thehearttruths.com/2013/02/21/singapore-has-the-highest-income-inequality-compared-to-the-oecd-countries

http://www.timeshighereducation.co.uk/features/no-sleep-for-singapores-universities/3/2009064.article

http://www.bbc.com/news/world-asia-15961759

http://www.indexmundi.com/singapore/demographics_profile.html

http://www.nmc.org/pdf/2012-technology-outlook-for-singapore-k12-education.pdf

http://databank.worldbank.org/data/home.aspx.

https://www.cia.gov/library/publications/the-world-factbook/.

REFERENCE http://www.broadwayworld.com/bwwgeeks/article/China-Update-250-Million-Smartphone-Users

-137-Billion-in-App-Sales-20130208#.UybQVPldWbg

http://www3.weforum.org/docs/WEF_GlobalCompetitivenessReport_2013-14.pdf

http://www.techinasia.com/chinese-smartphone-users-apps-content/