Wireless charging marketing strategy framework in Russia Essay Example

environmental sustainability, social aspects, and productivity can impact Russia's sustainable competitiveness. Unfortunately, Russia performs poorly in environmental sustainability indicators such as the strength of environmental regulations, international treaties ratified, and quality of the natural environment. These low ratings are observed globally.

Furthermore, when it comes to social sustainability performance compared to COED economies (Brazil, India China), Russia falls behind but surpasses India. It is important to note that Russian's profile differs from its IBIS peers in this regard.

The Russian economy heavily relies on global energy prices for oil and gas which greatly affect its GDP and fiscal revenue. Currently benefiting from high oil prices contributes to a strong macroeconomic position; however a decline in energy prices would create uncertainties for the country's future.The quality of domestic institutions has a direct and indirect impact on different aspects of competitiveness. The potential growth of the Russian economy is hindered by corruption, weak rule of law, and limited market competition. However, even small changes in these institutional factors could promote economic growth. Furthermore, it is uncertain how social dynamics will affect Russia's competitiveness. Popular discontent expressed by various segments of society such as the middle class, younger generations, and different regions could directly influence economic stability.

The Russian Federation consists of 83 constituent entities including regions, republics, territories autonomous districts and regions, as well as federal cities like Moscow and St.Petersburg. Each entity has equal status with majority ethnic Russian populations in regions and territories while republics enjoy slightly higher status based on ethnicity with their own constitutions. Autonomous districts and regions are theoretically based on ethnicity but actually have a majority ethnic Russian population.

When Vladimir Putin assumed presidency in

2000, he introduced seven Federal districts to enhance the central government's authority over regional governments. The Federal government also sought to standardize regional political structures and legislation through bilateral power-sharing agreements with the regions. Prior to 2004, regional governors were elected by the local population.
However, a change in legislation resulted in regional legislatures appointing governors recommended by the President of Russia. The laws governing foreign trade activities in Russia consist of several regulations including the "Law on State Regulation of Foreign Trade Activities," the "Customs Code of the Russian Federation," the "Customs Tariff Law," the "Law on Technical Adjustment Method," the "Federal Law on Special Protection against Imported Goods, Anti-dumping and Countervailing Measures," the "Law on Foreign Exchange Regulation and Supervision," and the "Law on Measures to Protect National Economic Interests in Foreign Trade." Since 1991, Russia has implemented significant reforms to its foreign trade management system. The previous monopoly for managing foreign trade has been eliminated, allowing all enterprises registered in Russia to participate in foreign economic activities, including intermediary business. Although some goods still require licensing, quotas, and other restrictions, most goods have been liberalized for operations. According to the Russian Federal Customs' January 2005 list, certain imported goods like animals, plants, food products, beverages (both alcoholic and non-alcoholic), textile materials and products, machinery and equipment, and audiovisual equipment must undergo compulsory certification.The Russian government is actively encouraging foreign companies to directly invest in various traditional industries, such as oil, gas, coal, wood processing, building materials, construction, transportation and communications equipment, food processing, textile manufacturing, and automobile manufacturing. Over the years, Russia has seen a growth in foreign investment. In 2003 alone, the

amount of foreign investment increased by 26% to reach Euro 3 billion. Throughout this period, Russia has received ˆ100 billion of direct foreign investment which accounts for 22.8% of all foreign investment received. The sectors particularly attractive to foreign investors include the oil industry, metallurgy, machine building, food production , wood processing , retail trade , catering , and communications sectors. Since 1998 Germany , Cyprus ,and UK have been active investors in Russia . Not only are Russia's growth rates stable in the oil and gas industries but also in consumer goods.This has led to expanding potential areas for investment due to the rapid growth of the Russian consumer market over several years.The Russian government is committed to developing a market economy and maintaining political stability thus reducing investment risks in Russia.However there are still obstacles that hinder foreign investments.Russia has taken measures aiming at improving its business regulatory climate through simplifying tax payments and obtaining construction permitsAccording to reports from the International Finance Corporation and World Bank, Russia has implemented 17 reforms since 2005 in an effort to enhance its business environment. These reforms have been aimed at narrowing the gap between Russia's business environment and that of high-income economies. President Vladimir Putin has made improving the country's investment climate a priority. As a result, there have been several positive changes in Russia's economy. The country has moved up in the ranking for ease of tax collection, now standing at #64 compared to its previous position at #105. Additionally, annual tax payments have decreased from nine to seven times per year, and the time spent on taxes annually has reduced from 290 hours

to 177 hours. Furthermore, Russia's ranking for setting up a new business has improved, now at #101 compared to its previous position at #111. The number of required procedures for starting a business has also decreased by one, totaling eight now. The time needed for this process has been reduced from 30 days to 18 days as well. Russian policymakers acknowledge the significance of modernizing their economy in order to become an advanced market-oriented nation. They understand that relying solely on trade improvements and idle resources is not sustainable for achieving rapid economic growth. To increase output, it is necessary to better utilize available factors of production and explore new methods of producing goods and services.
Creating an environment that promotes innovation and investment, including investment in human capital, is crucial for achieving these goals. Further reforms are still necessary in various areas. One current initiative aims to modernize the Russian economy by making it appealing for individuals to live, study, work, and innovate within the country. This involves the development of democracy, strengthening civil society, and ensuring a cleaner environment.

Regarding global trade environment and relations, Russia is ranked 67th according to The Global Competitive Report 2011-2012. Russia's economic development faces challenges due to multiple factors. A major obstacle is the weak macroeconomic environment caused by low government debt and weak public institutions (ranked 22nd). Additionally, Russia struggles with its capacity for innovation (ranked 85th). In recent years, inefficiencies have been observed in goods markets (ranked 13th), labor markets (ranked 84th), and financial markets (ranked 30th) which have worsened over time.

Weak market competition (ranked 13th), ineffective policies (ranked 24th), trade restrictions, foreign ownership restrictions, and lack

of trust in the financial system all contribute to an inefficient allocation of Russia's abundant resources and hinder economic productivity. Despite limitations in business sophistication and low rates of technological adoption, Russia can leverage its high level of education enrollment and large domestic market to enhance competitiveness.Russia, along with Brazil, India, China, and South Africa (IBIS), has a similar competitiveness profile. From 1999 to 2008, Russia experienced significant growth in foreign trade. During this period, exports increased by approximately 525%, reaching $471.6 billion while imports rose by nearly 640%, totaling $291.6 billion. As a result of this growth, the country's trade surpluses and rent account balance also increased significantly, leading to one of the largest foreign reserve holdings globally amounting to $427.1 billion by the end of 2008.

According to the World Economic Forum Global Competitiveness Report 2012-13, Russia's investment climate greatly benefited from its robust growth during that time frame as well. Foreign direct investment in Russia rose from $3.3 billion in 1999 to around $60 billion.

However, concerns have been raised regarding potential obstacles imposed by the Russian government on future foreign investments despite the country being viewed as having ample marketing opportunities; existing businesses operating there are generally satisfied.

Initially aiming for membership in the General Agreement on Tariffs and Trade (GAIT) in 1993, Russia shifted its focus towards joining the World Trade Organization (WTFO). After experiencing some delays during negotiations known as the Yelling period , Russia eventually became a member of WTFO in 2012 following extensive discussions.The expected regulatory changes and promotion of competition in various sectors such as banking, insurance, business services, telecommunications, and distribution are projected to result from this move.

Russia has made significant progress in driving innovation-based economic development recently with support from both the Russian President and government through substantial budget allocations. The country aims to rectify past shortcomings and enhance global competitiveness by adopting international best practices. The transition from an economy dependent on oil and raw materials to one driven by technology is publicly declared as a goal by the Russian President. Key objectives include increasing the contribution of the hi-tech sector to GDP, boosting innovative product output, enhancing research and development investments, and centralizing Russian innovation efforts. While skepticism exists regarding Russia's chances for success, the objective remains set. Presently, discussions are taking place within the Russian business community about the country's innovation strategy for 2020 which will guide economic development, talent pool support and stimulation, intellectual property protection, infrastructure establishment and support legislative framework improvement,reduction of administrative barriers provision of tax incentives,and creation of demand for innovative products.According to Soon & Partners Consulting, smartphone sales in Russia reached over 12.3 million units in 2012, showing a growth rate of 52% compared to 2011. However, the main weakness for most smartphones remains their limited battery life. From 2010 to 2012, there was a 12% increase in average battery capacity.

Wireless charging devices are becoming an important trend in smartphone development. These devices use electromagnetic induction to transfer energy from an electric coil in the charging device to a coil in the device being charged. Initially introduced with models like Alumni 920 and Monika's Wireless Charging Plate, smartphone stands that also act as chargers have gained popularity.

Currently, there are more than 30 smartphone models, LOG devices, and ETC devices that support this

wireless charging technology.

To enter the Russian market successfully, our strategy involves exporting and establishing relationships with distributors in Russia. We also aim to form strategic partnerships with leading companies in the wireless charging industry and create a Wireless Power Consortium. This consortium will help reduce marketing costs and distribution barriers.

By certifying our products, we demonstrate industry standard convergence and interoperability between different vendors at a cost-effective manner. This reduces investment uncertainties for all parties involved.

Moreover, building relationships with local vendors who have achieved product certification provides customers with assurance of interoperability. It also gives service providers and end-users confidence and flexibilityOur primary approach enables the seamless provision and utilization of wireless power technology in any location with established infrastructure. Specifically targeting students, frequent travelers, and tech-savvy consumers in Russia, our smart wireless charging device aims to enhance their mobile digital experience by providing high-quality standards. The key function of this product is wireless charging, eliminating the need for a plug and allowing users to easily power their smartphones. It boasts a sleek design, slim shape, and intelligent safety features. With its simplicity and spatial freedom, it eliminates the requirement for aligning devices.

In order to successfully enter the Russian market, we have formulated a pricing strategy based on thorough cost analysis encompassing research and development, distribution, and promotion expenses. Recognizing the significance of price as a motivator for consumers in Russia, we strive to offer competitive prices ranging from $45 to $60 per unit. To ensure efficient distribution channels, we will establish partnerships with local distributors who possess strong connections to potential customers. Furthermore, we will retain control over our marketing strategy right from the outset.Our

distribution channels cover various locations throughout Russia, including chain stores specializing in digital products, wholesale markets focusing on communication products, and IT accessories wholesale markets. We expect significant achievements through e-commerce platforms such as BBC and ICC channels.

The retail sector in Russia is experiencing rapid growth, making it one of the fastest-growing among BRICK countries. Furthermore, Russia has seen extraordinary expansion in internet usage surpassing many other nations. As a result, it now ranks second in Europe for internet users with over 42 million individuals accessing the internet. Additionally, nearly 90% of Russian internet users engage in online shopping (Commerce, 2012).

Russia has a powerful online presence that makes a significant contribution to global internet usage (Commerce, 2012). The use of the internet in Russia is steadily increasing, especially with the rise of Russian language websites. About half of Russia's adult population uses the internet and around 15% regularly engage in online shopping. This places Russian consumers among the top ten European countries for online shopping and puts them ahead of Italy and Greece (Taillights, 2012).

In our advertising research endeavors, our main objective was to identify the most efficient promotional techniques for reaching our target audience.