Today society is filled with the obsession of promoting a self-image of beauty and perfection. Individuals take extreme measures to reach the goal of a flawless body, however with the so many innovations beauty can be accomplished with no surgery a balanced diet and exercise. «Beauty Sculpt for You» is a procedure that is pain free consisting of ultrasound cavitation, radio frequency, suction, and with lipo pads. The benefits of an ultrasound cavitation liposuction treatment are the following: Improve blood circulation and lymph circulation, improve skin texture, body tighten, excellent performance of body shaping, so surgery or pain. No anesthesia, remove fat cells permanently, cellulite therapy, connective tissue tightening.
Product for Globalization
Thus, the selected product, which is intended for distribution to other markets, is the cosmetology device with which “Beauty Sculpt for You” is performed. Since the service itself cannot be extended to other markets, the decision to develop the commercial appeal of the apparatus product seems very justified. Also, the international expansion should bring the desired effectiveness because the issues of excessive weight and the desire to achieve aesthetic perfection of the body are permanent and do not depend on the region. In other words, “Beauty Sculpt for You” has the potential to be a commercial success in other markets.
Location for Global Expansion
Placement strategies in new markets can vary, and it cannot be said that there is a universal rule that guarantees success. On the contrary, the guidelines and criteria described below may be favorable for “Beauty Sculpt for You” but utterly unsuitable for other businesses. Therefore, it is critical to emphasize that each company, when intending to expand into new markets, should conduct an individual audit rather than relying on success stories. For the purposes of this product, it was decided to investigate only those regions with the largest populations. The choice of this policy is justified: since it is assumed that the product offered will be top-rated among the majority of the population, choosing countries with initially larger populations increases the statistics of commercial benefit.
Thus, for the present analysis, the approach chosen was a study of the ten most populated countries. For this purpose, the material prepared by Hawal (2021) was used, although population data is publicly available, which means that any other source could have been consulted. Therefore, among the potential candidates for expansion, the following countries should be considered:
- China with a population of 1.439 billion.
- India with a population of 1.380 billion.
- The USA with a population of 331 million.
- Indonesia with a population of 274 million.
- Pakistan with a population of 221 million.
- Brazil with a population of 213 million.
- Nigeria with a population of 206 million.
- Bangladesh with a population of 165 million.
- Russia with a population of 146 million.
- Mexico with a population of 129 million.
Economic Growth (GDP)
Another, no less critical criterion under observation is the level of gross domestic product. Primarily, it should be said that GDP is standardly understood as the value of all services rendered and products produced in the country for a specific reporting period: as a rule, for a year. Thus, the higher the GDP, the more developed the economy is because its resources work more intensively. The decision to choose the country with the highest level of GDP was also justified by the assumption of the most developed market.
In other words, entering the markets of developing countries with the new product “Beauty Sculpt for You” might seem like a ruinous idea because society would not have enough money for this level of self-care. On the contrary, prosperous, developing economies with high GDP growth usually reflect high chances for territorial development of a new product.
It is worth realizing, however, that GDP itself can be a relatively weak function because of the disproportionate value of the services and products produced and the population. Instead of focusing only on this parameter, it is also appropriate to turn to the economic growth rate, expressed as a percentage. In short, economic growth refers to an increase in the output of goods and services for a particular country. The information below was compiled by synthesizing material from Bajpai (2021) and WPR (2021). Thus, among the ten fastest-growing economies in the world, the following candidates have high practical value for launching “Beauty Sculpt for You”:
Table 1. Economic growth and GDP data for the top 10 countries.
FDI
Finally, the third important criterion for this paper is Foreign Direct Investment. In short, FDI is the parameter corresponding to investments aimed at the long-term control of the investor over the economic activity of the recipient company in another country. In other words, it is the purchase of a controlling stake in foreign companies in order to control them. Kearney (2021) lists 25 countries with the highest FDI index:
Table 2. FDI data for the top 25 countries.
Decided Country
Based on the data of the analysis, only one country was selected as the primary attempt to expand “Beauty Sculpt for You geographically”. Among all the candidate countries, special attention should be paid to China, because after the USA, which is the home country of the company, it is the second leader in the list. China is the absolute leader in terms of population and holds one of the top positions in terms of GDP and FDI. Consequently, choosing China to invest in product development in the local market is a potentially successful strategy to distribute.
References
Bajpai, P. (2021). The fastest growing trillion-dollar economies in 2021. Nasdaq. Web.
Hawal, B. M. (2021). The world’s most populated countries. My Funky Travel. Web.
Kearney. (2021). On shaky ground. Kearney. Web.
WPR. (2021). GDP ranked by country 2021. World Population Review. Web.