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Talk About Tyler Pet Foods Which Is Popular In Australia

4642 words - 19 pages

Executive summaryOverall Australia market, executives of Tyler Pet Foods, Inc. must follow the political, economic environment to position the productions, and the changeless purpose is ensure company's resources and combine them to adopt to Australia dog food market. A lot of information has shown the frozen dog food was being sold in the freezer section of selected supermarkets in Australia. Then there are tremendous potential for TPF in the household dog food market. But the competitions also existed. So keep sustainable competitive advantage to share the Australia market is important. Based on this information, we are targeting on Dog Humanists and Conscientious Dog Lovers, positioning ...view middle of the document...

Australia environment overview1. EconomyAustralia's economy has been performing brilliantly. Growth has been strong, unemployment has fallen to almost 5 %, and goods and services inflation is within the Reserve Bank's target range. Australians have never been so wealthy, in part of course because of the massive inflation of shares and house prices. The terms of trade are at record levels, the Aussie dollar is strong - despite a post-war record current account deficit - and business and household confidence is high ( Therefore, the threat of the dog owners' income level is lower, and spending on dog food is expected to continually grow.2. Political situationThe import licensing requirements in Australia require many conditions be met by the exporter. Such as, A quarantine entry must be lodged for each consignment and the item must be inspected on arrival. A permit application is required prior to importation and must be approved by the Canberra Australian Quarantine and Inspection Service (AQIS) office. Animal food is considered to be an article likely to introduce a pest or disease (Andrew C. Burst, 2003). Otherwise, the importers also need to provide details of the pet food including common name, country of origin, if the product is frozen or uncooked and so on.TrendsAt least one third of Australian households own a pet, with 38 percent of households owning a dog. There has been a significant trend towards convenient, single serve packaging of dog food in Australia. There has also been an emergence of dog foods providing functional benefits, such as longer life span for the dog, as well as a move towards gourmet-like dog goods, dog snacks and treats. Customer behavior has recently shown trends towards purchasing dog food based on the age of the dog, e.g. puppy good as distinct from dog food. Because many dog owners are treating their dogs as members of the family, and concerning with nutrition onto their dog, creating greater demand for premium pet food. So in 2004, demand for quality ingredients in dog food is the main driving force for the overall growth. Therefore, the market share of premium dog food is growing.Enter market strategyCompare export and direct investmentDirected investmentAdvantage Zero import tariffs for all pet food productU.S. digestives/flavor systems are considered by the pet food processing industry to be better quality and more palatable than Australian systems(Source: Andrew C. Burst, 2003)U.S. dog food specialty nutritional brands, are received well in AustraliaManufacture develop can decrease costHave abundant raw supplies in AustraliaAustralian dollar is strongMore distribution channel for chosenDisadvantage Imports make up a small proportion of total grocery value of the Australian pet food industryVery low to negative industry growthRelatively inexpensive supply of domestic meat and vegetables for dog food processingAustralian retail market dominated by small number of local...

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