Brand managment

Brand management

Tiffine C Bourland

Business 4016

05/18/16

This paper critically looks at swimwear company Lenny Niemeyer in Brazil with respect to several endeavors. The performance of the company is contrasted against those of two competitors namely Raia Azul Bikinis and Adventure by Brazil (Diniz, Atwal & Bryson, 2014).

Brazilian real is the currency of the country and among the risks that it possess includes the fluctuation its value against the American dollar chiefly due to corruption and unrest that has destabilized the economy. There has been an overwhelming potential in the market and some of the factors that have caused competitors to be successful in the field is the adherence of the Samba culture in the swimwear they produce. The sale potential of the market is anticipate to be USD $20 Billion by 2020 making it to be quite viable for investors. The price that consumers can pay for swimwear in the country is R$30 and the market is currently filled with competitors some of who are foreign. It is therefore clear that the market has some companies already plying their trade. Some of barriers to entry in the market are the unstable nature of the economy in the country and the high number of competitors in the country (Diallo, Burt & Sparks, 2015).

Despite the large number of competitors in the market and the unstable nature of the economy, the extensive beach in the country together with the Samba culture justifies the viability entry into the market by Lenny Niemeyer. The company is better placed to engage the market and attract a substantial share despite competitors due to the reputation it holds all around the world (Mendonça, & Galveas, 2013).

References

de Mendonça, H. F., & de Siqueira Galveas, K. A. (2013). Transparency and inflation: What is the effect on the Brazilian economy?. Economic Systems, 37(1), 69-80.

Diallo, M. F., Burt, S., & Sparks, L. (2015). The Influence of Image and Consumer Factors on Store Brand Choice in the Brazilian market: evidence from two retail chains.

Diniz, C., Atwal, G., & Bryson, D. (2014). Understanding the Brazilian Luxury Consumer. In Luxury Brands in Emerging Markets (pp. 7-16). Palgrave Macmillan UK.