Plan for Hydrogen-Powered Vehicles Entering Hong Kong Markets Essay

Introduction Nowadays. the job of planetary heating and nursery consequence has raised concern all over the universe. During energy coevals. Fossil fuel releases big sum of chemical substances that exacerbates the job.

However. presents. there is still a great dependance on dodo fuel for bring forthing energy in Hong Kong. To get the better of the job. H fuel is an chance for our society to minimise the environmental effects. heighten energy security.

and the sustainability of planetary energy resources. In add-on. many states have been advancing the environmental protection at present. Therefore Hong Kong is non the exclusion.Our company – Ford has decided to present the H powered vehicle to Hong Kong by exporting from a auto mill in United State and advance it to local citizens. In the followers.

assorted analyses including PESTLE analysis. selling schemes. market entry manners. international operation direction. and engaging and employee direction will be illustrated. The Political. Economic.

Socio-cultural. Technological. Legal and Environmental dimensions Political The Hong Kong Government has introduced some policies in advancing low air pollutants emitted conveyance. First. revenue enhancement Incentives for environmental friendly vehicles is provided.

A 45 % decrease in the first enrollment revenue enhancement. topic to a cap of HK $ 75. 000 per auto. will be offered to purchasers of freshly registered environment-friendly autos. In add-on. the authorities besides encourages test of green and low-carbon conveyance engineerings. The Government has set up a $ 300 million Pilot Green Transport Fund for application by the public conveyance trade and goods vehicle proprietors. For vehicles.

the subsidy degree is the monetary value premium between the alternative-fueled vehicle and the conventional vehicle or 50 % of the cost of the alternative-fueled vehicle and 50 % of the puting up cost of the related support installations.The policies give tonss of inducements to the users to reassign their auto to the H powered one. Economic Hong Kong is a developed and flush state. Harmonizing to the statistic of Census and Statistics Department. in the 2nd one-fourth of 2012.

the Hong Kong Gross Domestic Product for is $ 473. 171 million. And the private ingestion outgo additions by 3. 1 % in the existent term. The per capita GDP is $ 273. 657 million in 2011.

Furthermore. there is about 55 % of population belong to the in-between category ( people who receive income above median ) .The household monthly income is besides rated 17 1000s to 30 1000. It reflects that the H powered vehicle is low-cost to the upper and in-between category. Hong Kong is a high potency market for our merchandise. Socio-cultural Hong Kong people are extremely educated with a strong perceptual experience of environmental protection. With the lifting environmental publicity from the authorities.

the consciousness of green construct is going popular bit by bit. First. citizens promote traveling viridity in order to relieve the air pollution job. Second.

a higher living criterion can be achieved with improved air quality.Third. our merchandise promotes the usage of renewable energy.

Thus it helps work outing the job of energy deficit. Our merchandise will pull local citizens with high environmental consciousness. Technological The substructures and installations in Hong Kong are good developed such as Tseng Ma Bridge.

and Kwai Tseung Container Terminal is the 3rd busiest port in the universe since 2007. The fast and efficient transportation and bringing of the vehicles are supported. Furthermore. concerns can obtain proficient audience and professional backup from scientific discipline Parkss and the esteemed universities in Hong Kong.For case.

Hong Kong Science Park. Cyber Port. and the University of Hong Kong are well-known. Legal It is lawful to use the H auto in Hong Kong. Although people sometimes argue that H autos exist unsafe. we still believe that it will non go on about if we can command the measure of H we use in autos. We will besides put the knock detector systems in the auto to cut down the chance of knock happening and the impacts.

Europe has merely legitimate H autos and there are non any local Torahs said that is illegal in Hong Kong.Besides. as the fuel of the H powered vehicle is non fossil fuel any longer but replaced by H. Selling and purchasing big sum of H is legal in Hong Kong leting the users to refuel. Environmental Distribution of Hourly API for General Stations for the period October 2012 | | Legend| | API| Percentage| | Severe ( 201-500 ) | 0.

00 | | Very High ( 101-200 ) | 0. 08 | | High ( 51-100 ) | 65. 23 | | Medium ( 26-50 ) | 34. 59 | | Low ( 0-25 ) | 0.

10 | | | Harmonizing to the above tabular array. the API for general Stationss is chiefly at medium to high degree but more at the high degree ( 65. 23 % ) .Serious air pollution is a considerable job in Hong Kong. Heavy traffic has contributed to the impairment of the job. The job has been negatively affected non merely physical wellness of local citizens. but besides the touristry.

Harmonizing to the research from Civic Exchange. there are 90 % interviewees. who are Hong Kong citizens. are caring about the issue of air pollution. Besides. the per centum of air quality dissatisfaction raised dramatically compared to 2001. The H powered auto.

which will assist alleviate the job. will derive support from local citizens.This is an chance for our company to present H powered auto to Hong Kong. The Market Entry Mode The market entry manners in Hong Kong are Foreign Direct Investment and exporting. Ford will put up a subordinate to pull off the concerns and besides set up a forte store to advance and sell the H powered auto.

The H powered vehicle will be exported from the works in China to the shop in Hong Kong. Our house undertakes FDI because of the combination of location advantage. ownership advantage. and internalization advantage.Location advantage Hong Kong has a comprehensive transit web such as port and flexile main road which is good for exporting the vehicles to Hong Kong.

The advanced telecommunication besides drives down the cost in pass oning with the mill and the consumer. On the other manus. Hong Kong has a figure of revenue enhancement inducements under particular agreements on the Mainland. The cardinal countries. including transportation. air power. land conveyance and personal revenue enhancement. can be exempted from dual revenue enhancement and heighten the profitableness of our house.

Ownership Advantage Ford has a strong trade name name with the perceptual experience of good repute and first-class public presentation of the vehicles in the consumer’s head. It is utile and easy for advancing the vehicles in Hong Kong in order to derive more gross revenues volume and increase the market portion. In add-on. our house besides possesses the H power engineering surpassing with its rivals. It is a necessary portion for the fabrication and aids contending in the keen and concentrated competition of fossil fuel-powered cars. Internalization Advantage.As hydrogen-powered auto is a new market in Hong Kong.

Ford can derive a high market portion by foremost presenting the auto into the new market. Besides. the houses emphasizes on high criterion of client service. there will be better commanding by functioning clients by ourselves instead than engaging an independent local company to offer it. For illustration.

there is more clearly account and illustration to the queried clients by our experient staffs. Marketing Strategy of H powered vehicle Product The factors Hong Kong’s concern environments have to be considered for the merchandise scheme.For the national image. the trade name name of Ford brings good repute and first-class quality to the consumer’s head. Consumer has assurance in buying our company manufactured vehicles that helps us to come in the market. In add-on. H power is a complicated engineering that is hard to copy that prevents the creative activity of imitative goods.

Put Our established forte store is responsible for confer withing service and selling the H powered vehicle to the clients. Our distribution web is comparatively short ( maker. forte shop. clients ) to keep a greater control over the planning and execution.

There is merely an sole channel – owned forte in the distribution channel in consequence of shorter channel length. It saves the cost of having one shop alternatively of holding tonss of mediators in the distribution channel. Price The pricing scheme our house used is double pricing that different merchandising monetary value abroad than at place. As our house adopts the distinction scheme. we set the monetary value based on the Hong Kong buyer’s value every bit good as the populating criterion.

This method overcomes the job of exchange rate and fits the local buying power which besides increases our profitableness for selling the vehicles.Promotion As our market and merchandise are both new so that production innovation of marketing communicating scheme is used. Our house is traveling to publicize on the celebrated auto magazines and auto forum to advance the new merchandise launch. This can raise the auto users’ consciousness of this new merchandise. Besides. our house is traveling to utilize Public Relation tools for publicity.

Celebrities will be invited to see the hydrogen-powered vehicle before the merchandise launch. Then the feedbacks or recommendations from the famous persons will make a world-of-mouth consequence. every bit good as bombilation in the full society.Pull offing International Operations Production Strategy The production scheme of Ford H powered auto is focus distinction which aims to supply the hydrogen-powered auto to the market of environmental friendly private auto users. Facilities location Planning Besides. Ford adopts the location economic systems of the installations location planning.

The company produces the auto in its largest production location in the United State. The production location offers sufficient engineerings and experienced proficient staffs and applied scientists required to bring forth the hydrogen-powered vehicle.Although the labour costs in developed states must be comparatively higher compared to some developing states such as China. there are better quality control and productiveness through using the experient labours and the local advanced machines in Germany. Furthermore. the distance mill – United State to the market – Hong Kong is besides comparatively longer. but the transit installations and substructures are mature in both states. For illustration.

the havens are available for the transit. The company can present the auto by H2O bearers in order to bask lower transportation cost to cover the high unit cost.JIT Manufacturing In order to further cut down its high fabrication cost. Ford adopts the Just-In-Time fabrication system diminishing its stock list costs. The inputs including the natural stuffs. constituent parts. and sub-assemblies can be minimized because those input are delivered as the mill receives the orders from the trader in Hong Kong for the production procedure. The decreased cost non merely gives the company higher net income border.

but besides offers the merchandise with a more acceptable and low-cost monetary value for the consumer in Hong Kong.Furthermore. as the hydrogen-powered auto is non really common and popular in most metropoliss. the demand is comparative little and unsure. JIT system can help the company to avoid keeping excessively much stock lists and making wastes which are dearly-won. Hiring and Pull offing Employees Staffing Policy For enrolling the top directors in Hong Kong subordinate.

Ethnocentric Staffing is used that the top directors are from place state – United State as they understand the hydrogen-powered auto undertaking more clearly and ain sufficient information and cognition to manage the whole operation in Hong Kong more expeditiously and efficaciously.It will besides ensue in better planning in both short term and long tally that gives a much more clear way to the subordinate. For using the center directors and non-managerial workers. geocentric staffing will be used to choose the best-qualified persons. regardless of nationality. Compensation of Managers Ford gives some compensation to the exile directors including cost-of-living effects and fillip and revenue enhancement inducements every bit good. The company should non merely do up the local goods and services derived function. but besides have to give the fillip and revenue enhancement inducement to convert the top directors remaining abroad longer.

Furthermore. the houses besides should supply linguistic communication preparation and sensitiveness preparation to the oversea directors to break the ability of bridging cultural differences and populating in foreign state. Labor-Management Relations Keeping a strong relationship between directors and workers is highly indispensable because it is impacting the productiveness every bit good as cost. Workers should be invariably motivated to heighten their productiveness by offering more merited results such as wage. benefits. and holiday clip.

Besides. severely treated employees may go forth the organisation if they have other employment options which cost an expensive hiring and preparation cost particularly the experient proficient staffs. Therefore. Ford can roll up the sentiments and feedbacks from the employees every bit good as work out their jobs through the labour brotherhood in order to hike the relationship. For illustration.

the labour representatives can take part in high-ranking company meeting by really voting on proposed actions. Decision To sum up. our company is confident of come ining the Hong Kong market with the H powered vehicle through the above supportive analyses.The constructive selling scheme will assist tauten to advance the vehicle more efficaciously. Furthermore. the effectual and efficient international operation direction and the human resource direction will convey the success to go the market leader non merely in Hong Kong. In the hereafter. the H powered vehicles will be promoted in different parts of the universe in order to maximise the profitableness.

Mentions 1. Statisticss of Middle Class population hypertext transfer protocol: //www. gov. hk/sc/about/abouthk/factsheets/docs/population. pdf 2. Statisticss of income median and GDP hypertext transfer protocol: //www. hkcna.

hk/content/2011/1031/118642_2. shtml hypertext transfer protocol: //www. censtatd. gov.

hk/hkstat/sub/so50_tc. jsp 3. Hong Kong environmental policies http: //www. epd.

gov. hk/epd/tc_chi/about_epd/env_policy_mgt/env_policy. hypertext markup language 4.An overview of air quality in Hong Kong hypertext transfer protocol: //www. epd. gov.

hk/epd/tc_chi/environmentinhk/air/air_maincontent. html hypertext transfer protocol: //www. epd. gov. hk/epd/tc_chi/environmentinhk/air/studyrpts/air_studyrpts.

hypertext markup language 5. The populace has the consciousness and cognition of environmental protection hypertext transfer protocol: //net2. hkbu. edu. hk/~enews/view_article. php? id=13430 hypertext transfer protocol: //www.

info. gov. hk/gia/general/199902/23/0223epdc. htm.


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