Expansion Into Austailia

Abstract

Thompson's Beer Incorporated is a family owned business that specializes in Specialty Beer. Since its inception Thompson's Beer has strived to provide Specialty beer for many different countries. After researching beer sales in Australia we have determined that one of our specialty beers would be a big seller in Australia. The beer we have chosen to market in Australia is a special blend of beer which is a Lager beer that is made using bottom-fermenting yeast which is typical of an Aussie brand of beer. We have added a twist of lime and are carbonation. With Australian's desire to support the underdog, and their love of beer we feel that Australia would be the perfect place to launch our American Continental Beer. Australia's highly diverse cultural background will allow us the ability to reach many cultures within one country. Our target market will be 21-35 year olds Australians are strong supporters of the underdog and they love their beer, namely lager, they like fizz and flavor in their beer and they are a very culturally diverse group of people. Based on these facts we feel that the sale of Thompson's "Beer with a twist" will be a big hit in Australia

Thompson's Beer Incorporated: Expansion into Australia

Australia's system of government is based on representative or parliamentary democracy. This means that the Australian people elect representatives to make important decisions for them and govern on their behalf. These representatives form a parliament to make or change laws or require its residents to pay taxes.

Australia's federal parliament has two chambers, the House of Representatives (or lower house) and the Senate (or upper house). Under the system of responsible government, the party (or parties in a coalition) which usually has a majority of seats in the lower house, becomes the executive government. The leader of the party (or parties in a coalition) with the same majority of seats in the lower house also becomes the prime minister.

As parliament can't look after all the details which go into the day-to-day running of the country, the executive government runs the country by developing policy and enforcing laws. The executive government is made up of the prime minister and ministers chosen from elected members of parliament, of the same party or parties. These ministers become responsible for certain areas in running the country. The prime minister and his or her ministers are appointed by the Governor-General.

The executive government is accountable to the parliament, which in turn is accountable to the people. See below: 'Separation of Powers'.

Elections are held regularly for the Australian and state or territory parliaments. Voting is compulsory in Australia and all Australian citizens who are 18 years and older are required to vote. The democratic process is transparent and accountable and the right to vote and change governments is taken very seriously.

Government departments assist their minister in delivering government policy. They are staffed by a civil service of permanent officers who are expected to be neutral and serve the executive government of the day. This neutrality also applies in dealings with the public, without any special favor or treatment. . (Australian Government, July 2005)

In part because of the many similarities between Australia and the United States as well as the receptivity of Australians to many American products and services, American businesses have been trading with Australia and investing heavily in Australia for many decades. Currently it is the 12th-largest export market for the United States and the United States has about a $10 billion trade surplus with Australia. Because of Australia's sophisticated media and advertising industries, U.S. companies can market their products and services there by making only a few modifications to their advertising and promotions used in the United States. (Gail, T., 2006)

The Australia-United States Free Trade Agreement includes the following measures in insuring that the laws of marketing in Australia are effective and impartial:

* Reinforces Australia's reputation as one of the world's leading countries in protecting and enforcing intellectual property rights.

* Harmonizes our intellectual property laws more closely with the largest intellectual property market in the world, which is recognized as a global leader in innovation and creative products.

o At the same