International Marketing AquaHaven

Prin. L. N. Welingkar Institute of

Management Development and Research,
Mumbai

MMS BATCH 2023-25

INTERNATIONAL MARKETING
An International Business plan
Under Guidance of
Prof. R. Venkatesh

Group – 5

Akshat Gala – 68
Govind Mandore – 23
Akshit Bharadwaj – 7
Fahad Ansari - 21

Table of contents
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International Marketing AquaHaven

S.No Topic Page No

1 Executive summary 3
2 Business history 4
3 Market Research 5
4 Marketing decisions 8
5 Legal decisions 11
6 Manufacturing and Operations 12
7 Personnel strategies 12
8 Financial decisions 14

I. Executive summary
A. Key elements of the plan:

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Product Focus: High-quality raincoats

Target Markets: Nepal and Sri Lanka (focusing on these markets currently)
Export Strategy: Building on our domestic success, we are gradually increasing our export
volume, starting with 8-10% of revenue and expanding based on success in Nepal and Sri
Lanka.
Domestic Market: Maintaining a strong presence in the domestic market (covering 13 states)
while strategically expanding into export markets.

B. Description of business and target markets:

AquaHaven is a well-established company with a rich heritage dating back to 1956. We are a
family-owned business, currently in our third generation of operation. Over the years, we
have built a strong reputation for quality and customer satisfaction in the domestic Indian
market, with a presence in 13 states. Recognizing the global demand for rainwear, we have
recently ventured into international exports. While our initial focus was on Abu Dhabi and
Dubai, we have strategically shifted our export focus to Nepal and Sri Lanka, leveraging the
growing demand for rainwear in these countries with high rainfall. We offer a diverse range
of raincoats catering to various needs and preferences throughout our operations. We are
committed to exceptional customer service, providing comprehensive post-sales support in
both domestic and export markets.
Target Markets:
Current Focus: Nepal and Sri Lanka
Future Expansion (5 Years): Europe, with a primary focus on Netherlands and Sweden

C. Brief Description of our Team:

ROLES & RESPONSIBILITY
CEO Akshat Gala
CFO Fahad Ansari
CMO Akshit Bharadwaj
COO Govind Mandore

D. Summary of financial projections

We have projected to expand our business in domestic market in 3 more states in coming 3
years with an increase of 30% in revenue from the domestic market. Also, we are planning to
increase our exports to European countries which would further increase our revenue by
100% in international markets.

II. Business history

A. History of company

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AquaHaven, a family business since 1956, has been a leading name in raincoats for
generations. We have been serving customers across India for over 60 years, and now we are
excited to bring our raincoats to other countries! We started by selling to Abu Dhabi and
Dubai, but now we are focusing on Nepal and Sri Lanka because of their high rainfall. We
offer a variety of raincoats to meet different needs, and we take pride in providing excellent
customer service, both in India and in our new export markets.
B. Products & Services Offered: A Focus on Customer Satisfaction
AquaHaven specializes in the design and production of high-quality raincoats. We offer a
diverse range of raincoats to cater to various needs and preferences, including:
Durable raincoats: Made from high-performance materials like waterproof nylon, polyester
or PVC, these raincoats provide excellent protection against heavy downpours.
Fashionable raincoats: We understand that style matters! We offer a selection of raincoats
in various colours, patterns, and designs, allowing customers to express their individuality.
Unique Advantages:
Customization: Like the previous company, we understand the value of personalization. We
offer customization options for bulk orders, allowing businesses to have their logos or
branding incorporated into the raincoat design.
Exceptional Customer Service: Building long-term relationships with our clients is a
priority. We offer comprehensive post-sales services, including:
Domestic Market: In the domestic market, we provide replacements for any defective
products to ensure customer satisfaction.
Export Market: For our export clients, we understand the challenges of international
shipping. If a defective product is identified, we offer significant discounts on their next
purchase upon verification of the defect. This ensures a win-win situation and fosters trust
with our international partners.
C. Building Domestic Presence

With a long-standing presence in India since 1956, AquaHaven boasts a loyal domestic
customer base spanning 13 states. We leverage this experience and customer feedback to
continuously refine our raincoat offerings. This strong domestic foundation positions us well
for further expansion into international markets.
D. Charting Our Course in International Markets
AquaHaven is poised for continued growth through strategic international expansion. While
our initial export focus was on Abu Dhabi and Dubai, we have identified Nepal and Sri Lanka
as our current target markets due to their high rainfall and growing economies. We are
confident that our high-quality, eco-friendly raincoats will be well-received by consumers in
these regions.
E. Building Strong Client Relationships:

Building long-lasting partnerships with our international clients is a core focus. We

understand the importance of cultural sensitivity and clear communication in fostering trust.
We will be actively engaging with potential buyers in Nepal and Sri Lanka to understand their
specific needs and preferences.

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F. Production Facility: Committed to Quality.

AquaHaven maintains a state-of-the-art manufacturing facility located in Daman, India. We

leverage a labour-based manufacturing approach, ensuring meticulous attention to detail and
quality control throughout the production process.

III. Market Research

A. Domestic Market Experience-
Business started in 1956, started by selling umbrella later on raincoats it’s a family run
business running around from 3 generations.
Reach in around 12-13 states in the domestic market.
Average revenue generated- 20-25 cr per year.

B. International Market Research-

Initially targeted countries- Abu Dhabi, Dubai.
Enquiries came from these countries through BUYING HOUSE . Later on, had to stop
business with Arab countries because of getting less orders from those countries as because of
the weather conditions there (Less rain- More heat).
Present target countries- Sri Lanka & Nepal.

C. Market Size and Conditions-

The global raincoat market was valued at $1,174.16 million in 2022 and is expected to reach
$2,102.75 million by 2032. The global rainwear market was valued at USD 3.84 billion in
2022 and is expected to grow at a CAGR of 5.4% during the forecast period

D. Peak Sale Period-

Monsoon seasons- (it’s the time when there will be a peak demand on these countries)
Nepal- MAY-JUNE
Sri Lanka- Oct-Nov
Sales are done beforehand to stock up the inventory ( 2-3 Months prior ).

E. Competition-
In Nepal-
DRH Sports Pakistan is a sportswear manufacturer based in Sialkot, Pakistan.
T2S Ibérica. It is a Nepal based company.

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In Sri Lanka-
RAINWEAR PVT LTD is a Sri Lankan exporter of quality products to the global market
Zeelyne is a bespoke contract manufacturer of umbrellas, rain wears and cut & sew products
from Sri Lanka.

F. Strengths and weakness of these targeted countries-

For Nepal-
Strengths of the Nepalese Economy:
Strategic Location: Nepal's location between India and China provides opportunities for trade
and transit.
Young Population: Nepal has a young population, which can be a potential workforce for
various industries.
Low Industrialization: The industrial sector in Nepal is relatively underdeveloped, limiting its
capacity for value addition and export diversification.
Weaknesses of the Nepalese Economy:
Infrastructure: Nepal faces challenges in infrastructure development, including roads.
Political Instability: Political instability and frequent changes in government policies can
impact business operations and investor confidence.
Dependence on Imports: Nepal heavily depends on imports for essential goods, which can
affect its trade balance and economic stability.
Barriers to Entry for a Raincoat Exporting Company in Nepal:
Infrastructure Constraints: Inadequate transportation and logistics infrastructure can increase
the cost and difficulty of exporting goods from Nepal.
Competition: Competition from established domestic and international players in the raincoat
market can pose a challenge for new entrants.
Political Uncertainty: Political instability and changes in government policies can create
uncertainty for businesses, affecting investment decisions and long-term planning.
FOR SRI LANKA-
Strengths of the Sri Lankan Economy:
Strategic Location: Sri Lanka's location at the crossroads of major shipping routes in the
Indian Ocean makes it an attractive hub for trade and commerce.
Free Trade Agreements: Sri Lanka has established free trade agreements with several
countries, enhancing its access to international markets and reducing trade barriers.
Growing Urbanization: Rapid urbanization and a rising middle class contribute to increasing
consumer demand and market opportunities.
Weaknesses of the Sri Lankan Economy:

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Political Instability: Sri Lanka has experienced periods of political instability, which can
impact investor confidence and economic growth.
Infrastructure Deficiencies: Inadequate transportation, energy, and telecommunications
infrastructure can hinder business operations and increase costs.
Fiscal Challenges: Sri Lanka faces fiscal challenges, including high government debt and
budget deficits, which can affect macroeconomic stability and investment climate.
Dependency on Imports: Sri Lanka relies heavily on imports for fuel, raw materials, and
consumer goods, leading to trade imbalances and vulnerability to external shocks.
Barriers to Entry for a Raincoat Exporting Company in Sri Lanka:
Import Restrictions: Sri Lanka may impose import restrictions or tariffs on certain goods,
affecting the cost competitiveness of imported materials for raincoat production.
Regulatory Compliance: Exporting companies need to comply with various regulations,
licenses, and quality standards, which can be time-consuming and costly.
Competition: The raincoat market in Sri Lanka may already be saturated with established
local and international brands, making it challenging for new entrants to gain market share.
Infrastructure Constraints: Inadequate transportation and logistics infrastructure can increase
the cost and difficulty of importing goods to Sri Lanka.

IV. Marketing Decisions

A. Distribution Strategies
Direct exporting
Inquiry from Buyer:
The potential buyer expresses interest by sending an inquiry regarding raincoat prices,
desired quality, terms, and conditions for the export of goods.
Quotation Response:
We respond to the inquiry by providing a detailed quotation, including pricing, specifications,
and any relevant terms and conditions.
Apply for Import/Export Code (IEC No.):
For the first time raincoat exporters, the next step involves applying for an Import/Export
Code (IEC No.), a unique identification number required for international trade transactions.
(already having)
Apply for RCMC (Raincoat Export Promotion):

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To avail benefits specific to the raincoat industry, apply for a Registration cum Membership
Certificate (RCMC) from the Raincoat Export Promotion Council or relevant industry
association.
Negotiate and Contract Agreement:
The raincoat importer engages in negotiations with us to finalize the contract of sale. This
may include discussions on quantities, delivery schedules, and payment terms. A Letter of
Credit (LC) is commonly used for secure transactions.
Document Preparation:
Both parties collaborate to prepare necessary export documents, including the invoice,
packing list, and any certificates required for raincoat shipments.
Quality Assurance:
We ensure that the raincoats meet the desired quality standards agreed upon in the contract.
Any necessary inspections or quality checks are conducted.
Shipment and Logistics:
Once the raincoats are ready for export, the logistics and shipping arrangements are made.
This includes coordinating with freight forwarders, ensuring compliance with customs
regulations, and arranging for transportation to the destination.
Payment and Settlement:
As per the contract terms, we receive payment, often through the agreed-upon Letter of
Credit or other mutually accepted payment methods.
Post-Shipment Follow-up:
We maintain communication with the importer to address any post-shipment issues, provide
necessary support, and ensure customer satisfaction.
Terms of Payment: (100% Advance Payment to unknown buyers, if not, 10% advance and
90% L/C)
Prepare “Proforma Invoice” (containing information regarding the selling price quality,
quantity , mode of payment) and send it to Importer. Accepts – importer prepares and sends
an export order.
After the receipt of quotation, the buyer will either reject or accept our proposal thus
finalizing the sale. Placement of Order/ Indent for import of raincoats.
Arrange for Insurance - Risk Insurance from ECGC
- Pay premium on 100% of FOB, get 80% return
- Get “Insurance Certificate” via Domestic Insurance
Arranges Pre-Shipment 3rd Party Quality Inspection, Charges 0.56% of the FOB - Get “Test
Certificate”
Branding and Packaging
Pick up delivery order for container, stuffing and sealing
Arrange for Freight Forwarder.

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Transfer consignment to Port warehouse

Custom Clearance, Physical Examination of shipment, Document Check, Port Dues.
Apply for Certificate of Origin from Chamber of Commerce.
Port Dock workers load the consignment on to the Ship.
Collect Bill of Lading from the shipping line after handing over the documents to the
shipping line.
In case of Advance: Couriers the Contract, Invoice, Packaging List, Bill of Lading,
Certificate of Origin, Inspection Company Report to the importer.

B. Pricing Strategy
Tiered Pricing for Bulk Orders:
Benefit from tiered pricing where the cost per raincoat decreases as the order quantity
increases.
Early Payment Discounts:
Importers who make advanced payments will be given a special discount.
Shipping Incentives for Advanced Payments:
Benefit from shipping incentives, such as discounted or free shipping, for importers who
make advanced payments.

C. Promotional Strategy
Build a Professional Website:
We have created a user-friendly website to serve as our online storefront, showcasing our
diverse range of raincoat products. This platform would feature high-quality images, detailed
product descriptions, and easy contact options.
Engage on Social Media:
Leveraging social media platforms such as Instagram, Facebook, and Twitter, We'd regularly
share visually appealing content, customer testimonials, and promotions. By engaging with
our audience, we can generate interest and build a community around our raincoat brand.
Participate in Trade Shows:
Attending relevant trade shows within the fashion and outdoor industries would be a priority.
This provides an excellent opportunity to exhibit our raincoat products, network with
potential buyers, and establish meaningful partnerships.
Collaborate with Influencers:
Partnering with influencers or bloggers in the fashion, travel, or outdoor sectors would be a
key strategy. Their authentic reviews and endorsements can significantly enhance our brand
visibility and credibility.

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Implement Email Marketing:

Building a targeted email list, we’d send regular updates on new raincoat designs,
promotions, and company news. Personalized email campaigns can help establish a direct
line of communication with potential customers.
Create Engaging Content:
Developing valuable content related to raincoats, outdoor activities, and fashion trends would
be part of our content marketing strategy. By sharing blog posts, articles, and videos on our
website and social media, we can position our brand as an industry authority.
Forge Partnerships:
Collaborating with businesses or brands that align with our raincoat products could lead to
mutually beneficial partnerships. This might include tie-ups with outdoor gear retailers,
fashion brands, or travel agencies for cross-promotional opportunities.

V. Legal Decisions
A. Export Registrations:
• Import Export Code (a 10-digit business identification number allotted to an importer or
exporter by the Directorate General of Foreign Trade (DGFT))
• Registration Cum Membership Certificate (RCMC) from Textiles Export Promotion
Council (to get benefits under FTP and avail assistance and guidance from the government)
• Authorized Dealer Code (a 14-digit code, which is given by the bank where the exporter
maintains a business current account)
• Letter of Undertaking (GST Letter of Undertaking (LUT) is a document filed to export
products without paying IGST)
• Importer of Record (An Importer of Record (IOR) is an individual or entity who ensures
that all the products being exported are documented and valued as required by the CBP).
B. Agent/distributor agreements
Exclusive distributor for the products in a specific Territory
Clauses to ensure the distributor uses its best efforts to promote the products and maximize
sales.
Remuneration on profit share.
Standard arbitration clause as a precautionary measure.
C. Dispute Resolution
Strict quality checks are implemented to minimize the risk of disputes related to quality. Still,
if any quality issues related to the product arise, compensation is based on mutually agreed-

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upon terms, and the buyer is compensated adequately, thus avoiding any friction points. The
contract will include an arbitration clause, and its jurisdiction will be in India.
D. Product Compliances
The labelling should have information on
Country of Origin
Details of Manufacturer/Marketed by
E. Documentation
Commercial Invoice, Packing List, Shipper Letter of Instruction, Bill of Lading.
HS Code: 62011210

VI. Manufacturing and Operations

A. Location for export:-
JNPT port, Mumbai
B. Production Unit:-
In Daman
C. Plans For Expansion
Countries like Europe, Poland, Netherlands (sampling done) & Norway (sampling done)
are of major focus as because there the temperature remains the same mostly cold throughout
the year.
But their demand is different from ASIAN countries, they need-
Thicker, stronger and long-lasting products.
Multi-purpose can be use during rain, snow as well as hot weather.
Meeting international quality standards and certifications required for exporting raincoats
may require significant investment and expertise.

VII. Personnel strategies

Managing exports to Sri Lanka and Nepal would require a comprehensive approach involving
various aspects of personnel management, experience assessment, training, and potential
hiring needs. Here's a breakdown of what we would consider:
A. Personnel needed to manage exports:
Export Managers: Individuals responsible for overseeing the entire export operation,
including coordinating with distributors, handling documentation, and ensuring compliance
with international trade regulations.

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Logistics Coordinator: Someone to handle shipping logistics, coordinate transportation, and

ensure timely delivery of goods to the respective markets.
Compliance Officer: Personnel to ensure adherence to import/export regulations, including
customs requirements and trade agreements between India and Sri Lanka/Nepal.
B. Training needs of existing personnel:
Provide training sessions or workshops on export regulations, customs procedures, and
cultural awareness specific to Sri Lanka and Nepal.
Offer courses or seminars on negotiation skills, international marketing strategies, and
logistics management.
Training in language skills, particularly if communication in Sinhala (Sri Lanka) or Nepali
(Nepal) is necessary for effective business dealings.
C. Hiring needs in the short term and long term:
Short term:
Evaluate if current personnel can handle immediate export demands or if additional resources
are required.
Identify any gaps in expertise or manpower that need to be addressed quickly to kickstart the
export process.
Long term:
Consider hiring personnel with specific expertise in South Asian markets, such as individuals
with prior experience in similar export ventures or language proficiency.
Assess future growth projections and potential expansion into other markets, which may
influence long-term hiring needs.

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VIII. Financial decisions

Exporting your raincoat product involves various financial decisions to ensure
profitability, manage risks, and secure funding. Here's a breakdown:
A. Pro forma financial statements and projected cash flows assuming export activity:
Income Statement

Expenditure Amount (₹) Revenue Amount (₹)

COGS: 12,50,00,000 Sales 25,00,00,000

Raw material purchases
11250000(50% of sales)
Total COGS

Operating expenses: 10,00,00,000 Total 22,50,00,000

Salaries and wages Expenses
5,00,00,000
Marketing Expenses
1,25,00,000
Transportation Expenses
1,25,00,000
Miss Expense
1,25,00,000
Depreciation
1,25,00,000
Total operating expense
Net income 2,50,00,000

B. Identification of key assumptions:

Clearly define the assumptions underlying your financial projections, such as market demand,
pricing, currency exchange rates, import/export regulations, and production capacity.
Regularly review and update these assumptions based on market dynamics and changes in
business conditions.

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C. Current sources of funding-private and bank funding:

Firstly we assess our current funding sources, including, retained earnings and bank
financing.
Also we would explore options for additional funding to support export activities, such as
export financing programs offered by banks or government agencies, trade credit insurance.
D. Financial needs and future sources of funding:
To determine the financial requirements for exporting, including working capital needs,
marketing expenses, expansion of production capacity, and compliance costs, we will need to
identify potential future sources of funding to meet these needs, such as retained earnings and
debt financing.
E. Tax consequences of export activity:
We would evaluate the tax implications of exporting, including taxes on profits earned from
export sales, import duties and tariffs imposed by destination countries and potential tax
incentives for exporters.
Seek advice from tax professionals to optimize our tax strategy and ensure compliance with
relevant tax laws and regulations.
F. Potential risks and sources of protection:
We will identify potential risks associated with exporting, such as currency exchange risk,
geopolitical instability, trade barriers, transportation delays, and product quality issues.
We would implement risk mitigation strategies, such as hedging currency exposures,
diversifying export markets, obtaining insurance coverage for shipments and credit risks, and
establishing robust quality control measures.

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