Marketing Proposal for Chuck E Cheese in China
Marketing Proposal for Diversifying
Into China
Executive Summary Chuck E. Cheese’s (CEC) is publicly traded company founded by Nolan Bushnell in 19771 in San Jose CA. CEC currently operates over 500 stores domestically and internationally; expanding into countries such as Chile, Saudi Arabia, Puerto Rico, U.A.E, Guatemala and Canada2. CEC mainly provides games, entertainment, party and food for children aged two to fourteen years old within a safe environment.
The marketing proposal explores the possibility of expanding CEC into untapped, high growth market areas in China. CEC product is modified to tailor the tastes of Chinese children and families. This proposal looks at the overall country and culture, number of children and their habits. China’s growth has been unprecedented for past four decades and the Chinese family’s income has grown considerably. The analysis looked at the key prospects available for CEC and chooses Shanghai as the market place to introduce its first store.
Market research for Shanghai was done from the perspective of number of children, western influence, family income, disposable income, financial status, technology, and competition. The research revealed that there is no single company or store that provides games, entertainment, party and food for children aged two to fourteen years old within a safe environment within one single facility. In addition, Shanghai is the most westernized city in China and the Gross Domestic Product (GDP) has grown rapidly over the last few years. CEC will bring fun and entertainment to the families of China and at the same time, CEC will benefit greatly from China’s vast market size.
The marketing plan includes a strategy to expand CEC over the first five years, growing at a pace of three stores per year in first five years and eventually expanding its brand to all major cities across China.
Table of Contents
1 Introduction and Statement of Purpose 4
2 Product Analysis 5
3
Into China
Executive Summary Chuck E. Cheese’s (CEC) is publicly traded company founded by Nolan Bushnell in 19771 in San Jose CA. CEC currently operates over 500 stores domestically and internationally; expanding into countries such as Chile, Saudi Arabia, Puerto Rico, U.A.E, Guatemala and Canada2. CEC mainly provides games, entertainment, party and food for children aged two to fourteen years old within a safe environment.
The marketing proposal explores the possibility of expanding CEC into untapped, high growth market areas in China. CEC product is modified to tailor the tastes of Chinese children and families. This proposal looks at the overall country and culture, number of children and their habits. China’s growth has been unprecedented for past four decades and the Chinese family’s income has grown considerably. The analysis looked at the key prospects available for CEC and chooses Shanghai as the market place to introduce its first store.
Market research for Shanghai was done from the perspective of number of children, western influence, family income, disposable income, financial status, technology, and competition. The research revealed that there is no single company or store that provides games, entertainment, party and food for children aged two to fourteen years old within a safe environment within one single facility. In addition, Shanghai is the most westernized city in China and the Gross Domestic Product (GDP) has grown rapidly over the last few years. CEC will bring fun and entertainment to the families of China and at the same time, CEC will benefit greatly from China’s vast market size.
The marketing plan includes a strategy to expand CEC over the first five years, growing at a pace of three stores per year in first five years and eventually expanding its brand to all major cities across China.
Table of Contents
1 Introduction and Statement of Purpose 4
2 Product Analysis 5
3
References: 1 http://en.wikipedia.org/wiki/Chuck_E._Cheese 's , accessed in July, 2010 2 http://phx.corporate-ir.net/External.File?item=UGFyZW50SUQ9MzY4Nzh8Q2hpbGRJRD0tMXxUeXBlPTM=&t=1 , 2009 3 http://phx.corporate-ir.net/External.File?item=UGFyZW50SUQ9MzY4Nzh8Q2hpbGRJRD0tMXxUeXBlPTM=&t=1 , 2009 4 https://www.cia.gov/index.html , accessed in July, 2010