Filiz and Smith’s coffee shop could expand into German market. The justification for entering in Germany as according to Kakabadse et al., (2015) the economy of Germany is assumed as the world’s fourth largest economy for more than 1/5th of European Union. The social market of German economy mainly tails free market principles with an extensive extent of government regulation, which has a wide-ranging social welfare program. Germany is basically a largest consumer market of EU that has a population of 80.6 million. However, the main implication of German marketplace goes outside the borders. Instead of high social costs and labour costs and the cost of post-cold war integration of former East Germany, there is German economy, which has strong health. Thus, there are developing competitive challenges from low-wage economies like India and china because these states are densely populated.
Germany doesn’t directly discriminate government regulation with the virtue of complexity, which offers a …show more content…
Since Germany is the largest importer and consumer of organic coffee in Europe there is huge awareness of organic coffee market in Germany, which has interesting proposition for coffee-exporting states. Organic coffee can be used to this coffee shop as well that will expand the line of Filiz and Smith coffee shop. However, the pricing scheme will be based on standard industry practices.
Distribution and service: In case of Filiz and Smith coffee shop, it is difficult to develop a personnel relationship with the customers because it would be a new place to cater; therefore, it is essential to cater all customers with top-class service that satisfies each customer even in rush hours. A high visible location will be selected for the coffee shop. However, if people like the service and products of coffee shop and if coffee shop will be able to manage the traffic, which has competitive
Germany doesn’t directly discriminate government regulation with the virtue of complexity, which offers a …show more content…
Since Germany is the largest importer and consumer of organic coffee in Europe there is huge awareness of organic coffee market in Germany, which has interesting proposition for coffee-exporting states. Organic coffee can be used to this coffee shop as well that will expand the line of Filiz and Smith coffee shop. However, the pricing scheme will be based on standard industry practices.
Distribution and service: In case of Filiz and Smith coffee shop, it is difficult to develop a personnel relationship with the customers because it would be a new place to cater; therefore, it is essential to cater all customers with top-class service that satisfies each customer even in rush hours. A high visible location will be selected for the coffee shop. However, if people like the service and products of coffee shop and if coffee shop will be able to manage the traffic, which has competitive