Your company manufactures and sells tennis rackets and would like to start selling outside the United States. You are in charge of developing a global Web strategy and the first countries you are thinking of targeting are Brazil, China, Germany, Italy, and Japan. 1. Using the statistics in the CIA World Fact Book, which of these countries would you target first

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Business

Armani Solis

14 August, 09:14

Your company manufactures and sells tennis rackets and would like to start selling outside the United States. You are in charge of developing a global Web strategy and the first countries you are thinking of targeting are Brazil, China, Germany, Italy, and Japan. 1. Using the statistics in the CIA World Fact Book, which of these countries would you target first

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Nataly Thomas · Answer 1

Germany

Explanation:

Tennis rackets are in a way, a luxury item that is only often bought by people who enjoy a middle-high, or high income. This is because Tennis as a whole tends to be an expensive sport to practice, since most tennis courts are located in private clubs, need to be rented for the practice, and the rest of the equipment associated with the sport: the footwear, and even the clothing, tends to be expensive as well.

For this reason, I would target a high income country first, and the most straightforward proxy to measure the average income of a nation is its GDP Per Capita, which is the GDP divided by the total population of the country.

According to the CIA Factbook, we have the following GDP Per Capita figures for the countries listed:

Brazil: $15,600

China: $18,200

Germany: $53,209

Italy: $38,200

Japan: $42,900

As a result, I would choose Germany, because it has the highest GDP per capita among the lot.