New retail outlet
Most CD stores in Hong Kong don’t store CD’s from different bands and genres. For example HMV do not stock genres like hardcore, post hardcore, screamo or emo. I think this is because they don’t think they will make a profit from stocking CD’s from these genres and that no one would buy them if they did stock them. I personally think that by having these genres I can make a profit because a lot of people in Hong Kong especially teenagers have started listening to these genres of music. In my CD store, I will be selling CD’s and band merchandise like shirts, jumpers, bags and shoes.
‘A’s CD store’ will be aimed at people between the ages of 13 and 25. There will be no specific gender that we will aim for because both genders like the products and music. The store will also be aimed at people who live or go to the Causeway Bay area because the store will be based in Causeway Bay. I think that ‘A’s CD store’ will be successful in this economic climate because of the wide range of products the CD store will stock and the different types of products the store will have will be different to the other CD stores in Hong Kong. This is because the genres of the CD’s the store will have will be different to the genres the other stores will have. The store will also have shirts from bands that are not so popular to some people and maybe the other music stores.
The competition will influence the marketing decisions made by A’s CD Store because the competition may threaten my business by raising or lowering the price of their products or making better products than my business, this can change the marketing decisions A’s CD Store makes because if they lower the prices of their products the market will go buy their products because it is cheaper. The competition can also guide my business because if they use a good promotion technique or a good technique to sell their products my business may decide to try that technique and see if it works for my business.
Customer Taste Customer tastes will change the marketing decisions A’s CD Store will make because if A’s CD Store does not stock the latest CD’s of the bands that are popular no one will visit the store and buy the products simply because the CD’s that the store is selling is not up to date. The Economy The economy environment can affect the marketing decision that A’s CD Store makes because for example if the exchange rates are very high people from other countries that visit your shop may rather buy a similar product back in their home country because it may be cheaper to buy one there than in Hong Kong.
Internal influences Hiring employees Who A’s CD Store hires can change the decisions they make because if they hire people that are not very experienced they may have to spend some time teaching them how to run the shop and to do their job well and if you hire people that are very experienced you might want them to do a harder job or even have them working longer hours.
Location The location of the store can influence the marketing decisions made by A’s CD Store because if the shop is not located in a very popular or busy area they may want to spend more money on promoting their shop and their products but if the shop was located in a very popular and busy area then they may not want to spend so much money and time on promotion but more on making a profit or expanding their brand name.
Experience A lack of experience can influence the marketing decisions that A’s CD Store make because if the shop and its employees do not have enough experience the shop may not be very successful because if the employees are inexperienced they may not know what to do, they may take a very long time to do their job, they may not know the products very well because they have not been working at the shop long enough and they haven’t spent time learning about the products in the shop. Also if the employees are inexperienced they may do their jobs very badly and can let the shop have a very bad reputation for having bad service and badly handled products.
Market knowledge A lack of market knowledge can change the decisions made by A’s CD Store because if the shop doesn’t know enough about the market they may not be as successful as they can be because if they don’t know about the market they will not know what is going on with their competition and the economy, this can cause the shop to do badly because if the competition is doing better than them they will not know what they are doing to be so successful. Also if they do not know the economy well enough they will not know when the economy drops and when the economy drops people may not be able to afford products that are too expensive so you will have to lower the prices of your products as the economy drops.