SolePack Kit defies the popular stating “ Beauty Knows No Pain ” . For the stylish adult females on the spell, comfort and practicality is a luxury. Life is approximately unexpected fortunes and Solepack Kit as merchandise focuses on make fulling that demand in one little bundle. SolePack Kit consist of a foldaway concert dance shoe for the tired sole after a long twenty-four hours of being active. The Kit besides consists of different mixes of touch ups and exigency kernels to suit the demands of the of the Party Animal, Career Juggler and Trendy Mothers. As a stylish and adventuresome state, Japan holds a batch of chance for Solepack.

The Economic Environment

Japan is the 2nd largest planetary economic system, with a population of 127 million, which is considered by consumers as high degrees of disposable income ( Australian Government Austrade, 2009 ) . In 2009, Japan had reported its GDP of US $ 4.141 trillion and GDP per capita of US $ 32,600 ( Central Intelligence Agency, 2010 ) . Harmonizing to the World Bank, the GDP in Japan is deserving 7.92 per centum of the universe economic system and it extended at an one-year rate of 3.80 per centum in the last one-fourth ( Trading Economicss, 2010 ) ( Refer to Appendix 1 ) . As the 2nd highest income earners of the universe, Japan could afford for a great demand for imported goods with an highly strong buying power ( Kidd, 2007 ) .

Japan ‘s economic system has been forced by the planetary economic crisis into a terrible recession ( “ Economic Overview, ” 2010 ) . Yet, the market for manner disbursement in Japan is still perforating by planetary degrees and the Nipponese study for a big subdivision of planetary luxury manner disbursement, which is approximately 40 per centum ( Euromonitor International, 2009 ) . As Solepack serves as a stylish merchandise which aimed to aim ‘fashion witting ‘ Nipponese females, the ingestion disbursement form towards stylish merchandises in Japan has strengthen the concern chance of Solepack in Japan.

In footings of population, Japan has an estimated population of around 127,434,000 people in which around 65,480,000 are females, while around 61,954,000 are males ( Euromonitor International, 2009 ) Refer to Appendix 2 ) . The big part of Nipponese females has aided the concern chance of Solepack in the market. Since Solepack ‘s mark group is ‘fashion witting ‘ females, the increasing of female ingestion in Japan is important for its hereafter successful. Fashionable merchandises in Japan will see increased ingestion amongst the perky immature grownups of its hereafter ( Euromonitor International, 2009 ) . Among those, the Nipponese Generation Y consumers preponderantly are manner witting with high buying power ( Knight & A ; Kim, 2007 ) . Therefore, a voguish point such as Solepack should be able to pull the attending of this group in Japan.

Besides that, the exposed Nipponese high school pupils were taking in footings of being influenced by manner tendencies, they have a strong desire for desiring the latest manner ( Lux Research Japan, 2008 ) . This tendency is chiefly important amongst adult females, as the disbursement power amongst females has enlarged badly ( Euromonitor International, 2009 ) . There is besides an increased leaning to pass on manner merchandises among Nipponese females ( Euromonitor International, 2009 ) . The increased disbursement power of adult females in Japan will hold an important impact on manner merchandise market, such as Solepack.

As good, aging population is now the inclination in Japan and it is predicted that a one-fourth of Japan ‘s population will be over 60 by 2020 ( Australian Government Austrade, 2010 ) . The tendency for more operative merchandise to suit the demands of older people and more reasonable consumer will enlarge over the forecast period. Therefore, this tendency will reenforce the successful of Solepack in Nipponese market, since the merchandise is categorised as stylish adaptable merchandise with its multi-functions ( Euromonitor International, 2009 ) .

Although there were 100s of little manner concerns in Europe are stupefying from economic recession in which their gross revenues had felt around 20 per centum in 2009 ‘s first half ( Matlack, 2009 ) , there is still a strong market for stylish merchandise in Japan ( Australian Government Austrade, 2010 ) . Tokyo, which is known as Asia ‘s manner hub ( Australian Government Austrade, 2010 ) is sufficient plenty to supply a possible market for manner point such as Solepack. Additionally, Japan is predicted as the developed economic systems, which is hardest hit by the planetary fiscal convulsion ( Political Hazard Yearbook: Japan Country Report, 2010 ) .

Furthermore, the Nipponese authorities had supported international houses to perforate into its market by supplying a figure of inducements ( Enderwick, 2009 ) . The authorities has revealed stimulation bundles to assist industry in Japan, such as loan warrants for little companies, provide extra disbursement and revenue enhancement cuts, in add-on to recognition warrants for fighting concerns ( Political Hazard Yearbook: Japan Country Report, 2010 ) . All of these personal businesss can cut down the fiscal load of Solepack ‘s selling scheme and extinguish the concerns about the economic instability and domestic competitions in Japan.

As there is high unemployment rate and unstable economic state of affairs reported in Japan during the planetary fiscal crisis ( Marren, 2009 ) , there might be a fright of Nipponese consumers to switch their demand from foreign to local merchandises in order to salvage their disbursement. However, the dominant place of foreign offerings is still existed in Japan as the domestic merchandises are tended to be more expensive than abroad merchandises ( Simon, 2009 ) . Besides, Nipponese people tend to seek exhilaration in foreign manner merchandises ( Simon, 2009 ) .

Regardless of all those thrusts above to come in into Nipponese market, it is still important for Solepack to see carefully about the competitory pricing and its placement in order to successfully market its merchandise in Japan.

Political environment

Political factors play an of import function in finding the international selling activities to be carried in a state. Analyzing the political conditions by Dr. Denise ( 2009 ) , the state Japan was non politically stable in the sense that, premier curate of Japan has changed for over 10 times since 1993 boulder clay 2009, being most of the premier curate were forced to vacate. There are besides some political dirts go oning within the authorities such as graft.

Although Japan ‘s political relations may look complicated and there will be a certain hazard to come in their market due to some instability, there besides some really inviting factor implement by the authorities to promote international trading.

As for import controls of Japan, the authorities make pattern the duties system. “ Harmonizing to the Japan Tariff Association, the mean applied duty in Japan is one of the lowest in the universe. ” ( JAPAN: State Conditionss: Climate for Trade, 2006 ) . However, merchandises such as certain processed nutrient, manufactured or leather goods experience instead high duties rate. Solepack which falls under the class of adult females ‘s vesture could perforate the market easier than the mentioned class, as the duty imposed on manner merchandises are non high.

Besides, Japan authorities has implemented a few plans to assist foreign companies to export to Japan as a mark to promote ingestion of foreign goods ( JAPAN: State Conditionss: Climate for Trade, 2006 ) . This plan has lead to a prepared market for foreign merchandise to come in.

Nipponese authorities has rather a few of international engagement in footings of organisations and understandings. Taking one similarity of Malaysia and Japan is the both states are members of APEC ( CIA, 2010 ) .

One of APEC ‘s missions is to “ back up sustainable economic growing and prosperity in the Asia-Pacific part. “ ( APEC, 2009 ) . APEC would hold made it easier to merchandise between Malaysia and Japan because the cooperation will ease a more favourable concern environment for both states.

Legal Environment

Japan has over 190 legal Acts of the Apostless covering assorted countries like the economic system, industry, trade, industrial scientific discipline, commercialism, little and average endeavor, the environment and patents. The revenue enhancements levied on the income generate by the activities of corporation include corporate revenue enhancement ( national revenue enhancement ) , corporate inhabitant revenue enhancement ( local revenue enhancement ) , and enterprise revenue enhancement ( local revenue enhancement ) ( ref 3 ) . Japan is viewed as a hard market to come in, but one time the market has been penetrated, companies will bask happy wagess as a consequence of its rich and homogeneous population ( REF 1 ) . Puting up and running a concern is fairely easy, but the merely merely job is that there is excessively much ordinance. It takes 8 processs and 23 yearss to acquire a concern up and running in Japan. Taxs are besides to be paid by all Nipponese occupants harmonizing to their income, beginning of income, employment position and assets ( ref 2 ) . Major companies such as Vodafone, Merill Lynch and Carrefour have tried to come in the Nipponese market but were unsuccessful ( ref 1 ) .

The Nipponese authorities has made pulling foreign direct investing and economic policy precedence and alterations in statute law and are bit by bit opening the market and doing the concern environment easier to voyage ( ref 1 ) . These investor friendly policies are a consequence of the alteration of the Japan Company jurisprudence that came into force in May 2006, this consequences in new chances for foreign investors ( ref 1 ) .

Japan has signed Free Trade Agreements with a figure of states including Singapore and Australia ( ref 1 ) . Japan has late merely started to hold Torahs refering to amalgamation and acquisition. This means that foreign companies are allowed to purchase Nipponese companies with their ain portions, cut downing hard currency exchanges ( ref 2 ) . The debut of electronic daze certification may take to limitations on companies to unify, split or list any stocks on exchanges for more than 7 hebdomads.

Japan was based on the antediluvian Chinese jurisprudence, but now has adopted a system that is similar to that of the US and Germany. The Nipponese authorities has late introduced some alterations in the legal demands for assorted concerns which have led to a downswing in the stock market, although the opportunities have besides enhanced the chances for amalgamations and acquisitions.Such Torahs include the fiscal instruments and exchange jurisprudence which reduces intense selling by gross revenues people ( ref 2 ) .

The compatability to a familiar judicial system makes it easier for foreign judicial system makes it easier for foreign investors to run in Japan, and to be cognizant of acceptable behaviors in the state ( ref 2 ) . Foreign companies puting up in Japan have the chance to open either representative office, subdivision office, subordinate company or limited liability partnerships as portion of their entry scheme ( ref 3 ) .

Nipponese corporate Law is based on corporations codification implemented in 2006, and is similar to that of the US. Companies can be established as concern corporations, limited liability companies, limited partnerships, general partnerships and limited liability partnerships.

Cultural Environment

Buying Habit

In the underdeveloped state, Nipponese consumers are most brand- , status- , quality- , and style-conscious. Nipponese consumers are besides extremely group-oriented consumers in which they like to buy merchandises that have good reputes among people in their societal group. Even so, Nipponese have the inclination to devour in lower monetary values for practical usage merchandises while paying premium monetary values for societal position, prestigiousness and the quality of foreign merchandises.

Nipponese consumers prefer merchandises that enhance their position every bit good as contribute to their senses of individuality and self look. While SolePack indulges in being a quality merchandise, its chief focal point is stylish practicality.

Woman Shoppers

There is a planetary addition in female employment doing a important impact on Women ‘s buying power in both developed and developing markets. However, Japan are still in the thick of employment growing. In the United Nations Human Development Report ( 2003 ) , the creative activity of gender equality of Nipponese workplace remains an highly ambitious undertaking as Japan measured 69th out of the 75 states in footings of gender equality and 44th out of 64 in gender authorization steps. Nipponese adult females are still confronted with quandary of a turning spread between their lifting educational achievement versus their comparatively dead calling chances. However, it is besides noted that there is a current widespread work force restricting in which the debut of western manner systems such as merit-based-pay and short term work contracts are get downing to supply new chances for female employments.

Therefore, there is a positive addition in the figure of female engagement in the work force, specifically in the parttime employments and this straight benefits the market for vesture, footwear and adult female accoutrement as a whole. The growing in female workers impacts the disbursement power of the adult females in Japan. Not merely are the adult females buying merchandises for the family, they are besides demanding merchandises that fit their ain wellbeing. This provides a positive chance in diversifying merchandise lines to capture the specific female demands.


The chief linguistic communication of Japan is Nipponese and is spoken about entirely in the state. It is besides thought as a standard Nipponese academic course of study at the primary degree. Furthermore, the linguistic communication is besides widely thought during pre-school old ages and encouraged as portion of wider educational attainment. English is besides widely common in Japan now due to the debut and emphasize of foreign-language categories in school but the still preferable linguistic communication of the society is their ain, Nipponese. There is besides nevertheless different idioms in the Nipponese linguistic communication but the basic of linguistic communications are shared.


As discussed about the issue of environment analyst, it emphasize that important factors have been determined ; hence, it is important to acknowledge the environment of the mark market. Engagement of the economic environment, cultural environment every bit good as political and legal environment in Japan does hold a great impact on seller ‘s determination sing how to market SolePack Kit.

The economic system environment, in the sense of substructure, population and ingestion form shows a sense of growing that has the potency to maintain spread outing every bit good as a potency for an untapped market. The cultural environment provides a brief analysis of what the market and purchaser expression for and how the consequence of civilization is needed to be taken into consideration. Japan as state, even through the wake of recession, has cardinal chances to market SolePack Kit as an low-cost and practical merchandise. Therefore, with the apprehension of the market, the people and regulations and ordinance in Japan it is clear that SolePack has a possible to be marketed in the state.