Name: Nguyễn Thành Long SID: 20281915

My company is: NEM Fashion

My product is: clothes

My country is: Australia

NEM Fashion
Introduction
NEM fashion is a women’s clothes brand especially the office outfit for women. It was
established in 2002 and is one of the top Vietnamese office outfit for women in Vietnam. The
brand follows the French fashion style which are formal, attractive for women. The located
product of the brand is office clothe for women. Now the company is belonged to Stripe
International, a Japanese company. In order to increase profit growth, so we decide to expand the
market from national to international with the target market is Australia. As a new market, these
factors would be important such as society and culture, politic and legal.
Political factor
Australia has kept a stable liberal democracy political system under Australian
constitution, one of the most world’s ancient, since association in 1901. Australia is world’s sixth
nation that has the most ancient continuous commonwealth had largely run as a 2-party system.
Australia also is a federation, where power is not held by one party but held by many parties:
federal government, territories and states.
Thanks to the FTA between Vietnam and Australia, exporting from Vietnam to Australia
is now much easier and higher profit. According to the FTA between Vietnam and Australia,
textiles and clothing is the product non-tariff measures which means the tariff for exporting our
product is 0%, which also mean lower cost and higher profit as I mentioned (Dezan Shira &
Associates, 2019). Thanks to the FTA our product price can be more efficient.

Legal factor
As mentioned above, the legal power of the country is held by national government and
the six states. However, there are three self-governing territories- Australian Capital Region,
Northern State, Norfolk Island. Moreover, the laws in Australia is not the same for all 6 states
(The Australian Legal System - Law - LibGuides at The Australian National University, 2017).
So it would be careless if we don’t acknowledge about the laws in Australia for each state.
Especially in those self-governing states in Australia. And the laws in Australia is comprised of 2
main sources of law that are case law or common law legislation, law made by Parliament. There
are some weird rules in some certain states this may affect to the marketing campaign and our
product sale as there are some rules for clothe and color of the clothes. So the marketers of NEM
fashion should consider and carry a research about the local rules in advanced to avoid local
legal risks.
Cultural factor
There are 6 types of working out fit in Australia. Formal business; Smart casual; Business
casual; Informal; Uniform; Other (Seek, 2019).
The most used style in Australia is uniform which accounts for 26%, but that’s not the
most favorable style. Smart casual attire is the most second used which takes a quarter, smart and
business casual take 16%, casual or informal clothing takes the same proportion as smart and
business casual (16%), formal business attire account for 11%. Moreover, basing on the Seek’s
survey, the most people surveyed claim that their favorite style is smart casual after that is
uniform and then business casual (Seek, 2019). The most likable is smart casual which is skirt or
dark jeans combined with a collared or dressy top for women. This represents the taste of the
market and show that NEM’s product is quite suitable for the market. As our product is dressy,
luxury, fashionable. Moreover, Seek stated that people from the age of 18-34 think dress style
had a specific higher impact on their decision in choosing a place to work, with only 43%
claiming the opposite (Seek, 2019). And this range of age is also fit with NEM’s target
customers, those are in the age of 25 or above. However, Vietnamese wearing manner is
different from Australian wearing manner, that means the designers of NEM should make some
adjustments in term of product to meet the target customer perspective.
Besides the wearing culture of Australia, there are also other differences between
Vietnam and Australia in term of culture. There are some holidays that Australian giving gift to
each other like New Year’s day, Queen’s birthday, … and especially the Boxing day- is also
known as black Friday in Australia (VisaOne, 2016). This is the right time for NEM to give
promotion to boost up the sale.
Social factor
Australia is a developed country, which has more than 25 million people. The working
age from 25-54 account for 41.15% of the population of Australia and female account for 50,1%
of the total population of the age from 25-54 and 20.5% of the total population of the whole
Australia and the number of women who work in office or related to it is 2,381,400 people. And
this number will be increased more in the future as the population of female in the age from 15-
24 is 1,572,041 people. And that also the target customer of NEM fashion, which means this is a
high potential and high profitable market as the market size is big. In addition, the average height
of Australian women is 161.8cm while Vietnamese women is just 152.2cm (World Population
Review, 2020) (appendix 1) (appendix 2). Besides, the average weight of Australian women
(70kg) also higher than Vietnamese women (45kg). To deal with this issue, NEM fashion need to
make a new standard size for Australia market by making the size bigger than Vietnamese
standard size.
Appendix
Appendix 1

Appendix 2
 References

Australian Government. (2020). Welcome to the Labour Market Information Portal.

https://lmip.gov.au/default.aspx?LMIP/GainInsights/IndustryInformation

Dezan Shira & Associates. (2019). Vietnam’s Free Trade Agreements - Opportunities for Your
Business. https://www.vietnam-briefing.com/news/vietnam-free-trade-agreements-
opportunities-for-your-business.html/
Seek. (2019). The right fit: how what you wear affects how you work - SEEK Hiring Advice.
https://www.seek.com.au/employer/hiring-advice/right-fit-wear-affects-work
The Australian Legal System - Law - LibGuides at The Australian National University. (2017).
Australian National University Library. https://libguides.anu.edu.au/c.php?
g=634887&p=4547083
VisaOne. (2016). Top 9 Biggest Holidays in Australia. https://visaone.com.au/top-9-biggest-
 holidays-in-australia/
World Population Review. (2020). Average Height By State 2020.
https://worldpopulationreview.com/country-rankings/average-height-by-country