Retail Market Feasibility Report Indonesia Essay

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WIGGO Expansion to Indonesia
Market Feasibility Study Report 2012

Prepared for:
Board of Commissioners of WIGGO Retail Plc.

A report researched and published by:
Hananto Consulting Ltd (Jan 2013)


: Djati Hananto S

Student ID

: STU34874

Word Count

: 4265

Submission Deadline : 21 January 2013

The contents of this report are intended to fulfill the assignment in Marketing Management
Assignment of ARU MBA Project Management program. All concerned entities such as WIGGO and
Hananto Consulting Ltd are fictitious but the facts in this report are believed to be correct at the time of the publication.

@ Hananto Consulting Ltd, 2012.


Table of Contents


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This report provides in depth look into Wiggo current business strategy and Indonesian grocery retail market condition in order to assess the feasibility and provide strategic marketing plan for Wiggo to enter Indonesian market.
Key to this plan is the opportunity of business in Indonesia as an emerging market and top 10 most attractive destinations for FDI in UNCTAD’s World Investment Prospects Survey in 2010. Macro and micro economic analysis uncovered that
Indonesia is an attractive market for Wiggo’s business expansion though attention should be paid to infrastructure support, widespread corruption and social stability issue.
Like most Asian countries, Indonesian grocery retail market is far from saturation. There are much scope for modern format retailers to increase penetration in suburban area and second tier cities. Competition would be expected in
Wiggo’s business segment which is medium supermarket size with the massive local retailer’s expansion. This retail sector will achieve double substantial growth with expected amount of US$70.73 billion in 2015.
To create and increase brand awareness, make product affordable and appealing for Indonesian market to capture 1% of market share in 5 years, the following marketing mix is suggested:
1. Product: Localization of products, imitating local supermarket in product selection and store display, providing fresh food and
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