ashton college international
DESCRIPTION
Term paper for the course on International Trade at Ashton College (Vancouver, BC).TRANSCRIPT
Ashton College International
Luiz Valério P. Trindade
Vancouver, 10th
February, 2011
Term Paper
The focus of the project is the opening of
Ashton College first international operation in
São Paulo, Brazil offering a selection of short
term professional courses taught entirely in
English.
Aim of the Project
Brazil – General Data
Total population: 190,732,694
Density: 22 inhabitants/km²
Annual growth rate: 4.0%
Urban Population: 84%
Population of main cities: 1) São Paulo: 11,244,369
2) Rio de Janeiro: 6,323,037
3) Salvador: 2,676,606
4) Brasília: 2,562,963
5) Fortaleza: 2,447,409
Official language: Portuguese
Official 2nd language: None
Dialects: None
Religion: Roman Catholic (73.8%)
Literacy Rate: 90.3%
City of São Paulo – General Data
City of São Paulo – General Data
Foundation: 1554
Total population: 11,244,369
Largest Brazil’s GDP: 12.26%
Largest estate’s GDP: 57.3%
Urban Population: 98.9%
Literacy rate: 95.3%
The city’s average GDP per head is 2.4 superior of the national average (US$ 25,690 in
contrast to US$ 10,530).
Most important financial centre in South America.
63% of all international corporations with operations in the country have head office in
São Paulo.
According to a 2008 report by PricewaterhouseCoopers, São Paulo is among the world’s
top 10 richest cities and by 2025 it may be among the top 6 after Tokyo, New York, Los
Angeles, London and Chicago.
Market Overview
Tu
itio
n L
ev
el
Brand Awareness (Prestige)
Low Intermediate High
Lo
wH
igh
Av
era
ge
OPPORTUNITY WINDOW
SWOT Analysis
STRENGTHS
1 – Acquired expertise on the business of Career College;
2 – Course taught entirely in English;
3 – Its true international focus;
4 – The Canadian and Brazilian faculty;
5 – Faculty formed by Canadian and Brazilian executives;
6 – Accredited school (conveys the image of seriuosness);
7 – Partnership with Canadian companies;
8 – Partnership with Canadian Educational Council local office.
WEAKNESSES
1 – Low or almost no brand awareness;
2 – Risk of starting a new venture in a new market;
3 – High initial costs and low profits;
4 – Higher costs of brand awareness construction;
5 – Students must have a good command of English.
O PPO RTUNITIES
1 – There’s nothing like that on this teaching level in the country;
2 – The country’s economy is booming;
3 – Companies are in quest of qualified professionals;
4 – São Paulo is the country's most dinamic city;
5 - The coming of FIFA Wordl Cup 2014;
6 - The coming of Summer Olympic Games in Rio de Janeiro 2016;
7 – University of Pittisburgh have already gone there;
8 – People are in search of good and differentiated qualification.
THREATS
1 – New entrants from Canada;
2 – Brazilian new entrants: larger knowledge of the market;
3 – International new entrants: higher brand awareness;
4 – Indirect competitors;
5 - Online courses (either paid or free of charge).
Positioning
50,00
46,30
41,67
32,41
30,00
25,00 25,00
18,42
13,89
0,00
Low High
Differentiation Based on Brand Recognition
Tu
itio
n L
evel
(C
$/h
ou
r)
Intermediate
Hig
hL
ow
Aver
age
Projected Move
BSP
ASH
SEN
MAK
ASH
FGV
FIA
The proposition is that Ashton College Brazil
offers the following courses:
1) Certificate in Business;
2) Certificate in International Legal English;
3) Certificate in International Trade;
4) Certificate in Sales & Marketing;
5) Certificate in Customer Service Representative;
6) Certificate in Hotel Management.
Service Description
The recommended model for market entry is through
Foreign Direct Investment (FDI) opening a branch in
São Paulo.
Some of the strategies to establish the right
positioning in the market are the following:
Establish associations into the target customer’s mind;
Key partnerships with CEC and Chamber of Commerce;
Promotion (Advertisment campaign).
Market Entry Strategies
The report has shown that there is a strategic
opportunity window in the market and that Ashton has
got the necessary capabilities to implement the
operation in the country;
Contrary to what happens in Canada, where the
competition is higher for career colleges, Ashton
College in Brazil could be positioned as a premium
and differentiated service;
It is necessary to develop a more detailed and indepth
financial analysis.
Conclusion and Action Plan
Thank you
for your attention!!
Luiz Valério P. Trindade