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TABLE OF CONTENTS Introduction

Facts and Figures

Country Selection Theory

PROS and CONS

PESTLE Analysis

Target Market Analysis

Market Entry

Competitive Analysis

Service Plan

Distribution

Advertising and Promotion

SWOT

Conclusion

References

INTRODUCTION BaseCamp International is a company that

promotes cross-cultural learning activities that helps create global awareness, understanding between cultures and provides the platform for positive change. Some of the programs offered by BaseCamp are internships, languages, student groups and volunteers programs; It also offers hosting services in the following countries: Costa Rica, Nicaragua, Ghana, Ecuador, Peru and Nepal.

BaseCamp International plans to set up business operations in Lebanon. The purpose of this marketing plan in to advise them about the market conditions of their target market.

INTRODUCTION CON’T

BaseCamp International is a company that promotes cross-cultural learning activities that helps create global awareness, understanding between cultures and provides the platform for positive change. Some of the programs offered by BaseCamp are internships, languages, student groups and volunteers programs; It also offers hosting services in the following countries: Costa Rica, Nicaragua, Ghana, Ecuador, Peru and Nepal.

BaseCamp International plans to set up business operations in Lebanon. The purpose of this marketing plan in to advise them about the market conditions of their target market.

FACTS

AND

FIGURES

Political System: Parliamentary Democracy

Total Area: 10,452 km2 Languages: Arabic, English,

French Religions: Islam, Christianity Population: 4.6 Million Urban Population: 86.6 % Population Growth: 1.7 % Workforce: 1.2 Million Literacy Rate: 88.4 % Currency: Lebanese Pound (LBP) GDP: $ 16.4 Billion Imports/Exports: $ 6.5

Billion/$711 Million Industries: Food processing,

jewelry, cement, textiles, mineral and chemical products, wood and furniture products, oil refining, metal fabricating and others.

COUNTRY SELECTION THEORY

Geographic, language and market similarities: It is easier, and therefore more likely profitable, for a Canadian firm to do business in The United States than in a distant, linguistically and culturally distinct nation.

Product Adaptation: some products or services can be sold worldwide and some others need local customization.

Language and cultural similarities also may lower operating costs and risks.

Cost and resources availability . labor cost is a very big consideration. This must be balanced against the availability of competent and/or trainable Workers.

Cultural forces: Attitude towards business, custom and religious belief, etc.

Climatic Condition.

Resource Availability: Labour, land, capital, materials.

Political, economic and legal forces.

Government regulations and risks.

New products spread to similar countries first, but mature products are made by the low cost producer.

LEBANONP R O S Lebanon is very open to trade and

foreign investment. Its economy is a free market economy.

Non-control of foreign companies' capital

Trade movement is also an undeniable advantage.

Very educated and qualified workforce. Good standard of living . Limited investment restrictions. Today there are considerable

investment opportunities in the field of reconstruction of basic and productive infrastructures, in construction and in supermarkets.

Strategic geographical location. Moderate Tax Rate. New and expanding infrastructure

C O N S Foreign business people who have

settled in the country are annoyed by corruption problems, the relative nature of arbitration in the issuing of licenses, customs procedures that are too complicated and the partiality of justice.

Lebanon ranked 127 out of 178 countries worldwide in Transparency International's most recent Corruption Perception Index.

Foreign companies have complained about impediments such as arbitrary licensing decisions, complex customs procedures, archaic legislation, an ineffectual judicial system, high taxes and fees, high telecommunications and power charges, varying interpretation of laws and a lack of adequate protection of intellectual property.

PESTL

E

ANALYSIS

TARGET MARKET ANALYSIS

DemographicsMale and FemalePrimary Age 16-26Secondary Age 27-45Moderate/Student Income“Budget Traveller”

GeographicsWorldwide

PsychographicsAdventurousActive LifestyleInvolved with CommunityWilling to lend a helping hand

MA

RK

ET E

NTRY The Lebanese economy has improved constantly over the last

years, making Lebanon one of the region's top performers in terms of economic growth. Lebanon has a free-market economy and a strong laissez-faire (let do) commercial tradition.

The government does not limit foreign investment; It is an environment in which transactions between private parties are free from state interference, including policies, taxes, tariffs and enforced monopolies however, the investment climate suffers from red tape (rigid conformity to formal rules that is considered redundant or bureaucratic), corruption, arbitrary licensing decisions, complex customs procedures, archaic legislation, and weak intellectual property rights.

The Lebanese economy is service-oriented; main growth sectors include banking and tourism.

The Government has generally followed a policy to encourage foreign investments. Full foreign ownership of businesses is free, subject to a very limited number of restricted activities such as exclusive commercial agency in relation to which Lebanese majority ownership is prescribed.

• Strategic Geographical Location: Lebanon is uniquely positioned at the crossroads of Africa, Asia, and Europe.

• Free Market Economy: Free enterprise and private initiative are the drivers of the Lebanese economy.

• Liberal Financial Environment: With a free foreign exchange market, full currency convertibility policies, no restrictions on the inward or outward movement of capital, and banking secrecy, Lebanon is truly ideal for conducting business.

• Developed and Non-Discriminatory Legal Framework: Lebanon offers a well-developed legal framework that protects private property and grants Lebanese and Non-Lebanese equal rights.

KEY ASPECTS OF

MARKET

ENTRY DECISI

ON

KEY ASPECTS OF MARKET

ENTRY DECISION

Moderate Tax Rates: With maximum tax rates of 15% for companies and 20% for individuals, Lebanon’s fiscal charges are among the most moderate worldwide.

Qualified and Competitive Workforce: Lebanon’s workforce is well educated and multi-talented. Skilled labor is widely available, yet at moderate fees.

New and Expanding Infrastructure: With state-of-the-art telecommunications, a modern electricity network, a new airport, expanding port facilities, and an ambitious road rehabilitation program, Lebanon’s infrastructure is quickly becoming one of the best in the region.

Unique Living Environment: Thousands of years of history, optimal climatic conditions, a very rich culture, and a vibrant nightlife justify Lebanon’s “Pearl of the East” surname.

Introduction

• BaseCamp International should seeks to build product awareness and develop a market for the product.

Growth

• Is this stage the main objective should be to build brand preference and increase market share.

Maturity

• At this period the strong growth in sales may diminish. Competition may appear with similar products.

• Action to be taken at this point is to defend market share while maximizing profit.

Decline

• As sales decline, the company will have the following options: Revitalize the product by adding new features and finding new uses. Reduce costs and continue to offer it, possibly to a loyal niche segment. Discontinue the product or selling it to another firm.

Intro

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Declin

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TimeProduct Cycle Theory

BaseCamp International is a firm initially established locally and wants to be expanded into foreign markets in response to foreign demand. The followings action should be taken during its entry and growth in their target market.

MARKET ENTRYDirect CompetitionAl-Nazih Pension Hostel in Beirut, capital of Lebanon Offers the best budget accommodation for all backpackers and travellers on a budgetAdvertising Strategies- Travellers can find Pension Al-Nazih business cards in many budget hotels and markets around the Middle EastMarket Entry Strategies- Joint Ventures- partners with other hotels in Lebanon share resources, but mainly because hotels in Lebanon usually have strong

In-Direct CompetitionAMIDEASTExchange program between Americans and Lebanese Provides education, professional training, exchange and development programs20,000 visitors each yearAdvertising Strategies- AMIDEST has a few billboards across Lebanon and a few in the United States, however they mainly stick to press releases and social mediaMarket Entry Strategies- Joint Ventures in United States (FulBright) they also

Global Competitors Hostelling International- Formed in 1909. It is the only global network of national hostel associations-Has more then 90 Youth Hostels in over 90 countries- They thrive on their quality and variety of accommodation - Advertising Strategies- Newsletter that you can sign up for, and a bit of social mediaMarket Entry Strategies- Joint Ventures with other hostels so that they can use those political affiliations

Competitive

Analysis

SERVICE PLAN

Considering that the target market of BaseCamp Internatioal is located worldwide. the company could keep the same offer strategy. What we suggest is to adapt their products or services to what Lebanon can offer and be appealing to the target market.

Some of the adaptations suggested are: Language programs: Promote

languages courses in: Arabic, English, French.

Hostels: advertise lodging in attractive cities of Lebanon.

To Adapt volunteers programs to Lebanon needs.

HOW THE FIRM WILL ADJUST THEIR OFFER IN THE MARKET

PLACE?

The mode of International service is “Commercial Presence”

DISTR

IBUTI

ON Basecamp International will use

an integrated distribution method because we will be making an investment in a foreign market.

But we would like to also use channel relationships, perhaps with The United Nations Volunteers. This way we would already have political affiliations, which would help us avoid conflict with corrupt government officials. We could perhaps set up our volunteers to do work for them and we could house some of their volunteers in return.

ADVERTISING AND PROMOTION STRATEGY• As advertising strategy we proposes a campaign through

social media: Facebook, Twitter,and company’s website, developed to communicate ideas about BaseCamp products and services to potential consumers in the hopes of convincing them to buy those products and services.

• Even though a small business like BaseCamp has limited capital and is unable to devote as much money to advertising as a large corporation, it can still develop a highly effective advertising campaign. The key is creative and flexible planning, based on an in depth knowledge of the target consumer and the avenues that can be utilized to reach that consumer.

• As a business begins, one of the major goals of advertising must be to generate awareness of the business and its products. Once the business' reputation is established and its products are positioned within the market, the amount of resources used for advertising will decrease as the consumer develops a kind of loyalty to the product. Ideally, this established and ever-growing consumer base will eventually aid the company in its efforts to carry their advertising message out into the market, both through its purchasing actions and its testimonials on behalf of the product or service.

MALE/FEMALE USER RATIO ON FACEBOOK IN LEBANON & AGE GROWTH

Strengths- Financial Environment- free foreign exchange market, no restrictions on the movement of capital - Low tax rates for companies- New and expanding infrastucture: new airports, expanding port facilities, and well established telecommunications Lebanon can expect to see a rise in tourism- Unique environment: historic sites, rich culture, beautiful beaches, and unbelievable mountains make Lebanon a beautiful place to visit

Weakness- Highly Corrupt: Although there are low taxes, government can set up road blocks, no questions asked- Wars in Lebanon: Although Syria pulled pulled their troops out of Lebanon there is still a sense of discomfort and mistrust, may make people weary to visit Lebanon- Constant wars took a toll on some of the city’s in Lebanon and may deter tourists from visiting some of those places.

Opportunities- High Tourism Rates rapidly growing and contributes over 20% to Lebanons GDP- Regaining image of “Paris of the Middle East”, tourists may want to explore - Opportunity to gain a massive reach because it is such a unique group of services amalgamated under one roof.

Threats- Society may have a bad perception of Lebanon because of recent turmoil- may make tourist hesitant to stay in Lebanon for a long period of time- Safety and security concerns: The Department of State in the U.S. urges U.S. citizens to avoid all travel to Lebanon. This may force tourists to stay away from Lebanon and in return stay away from BaseCamp- Rising conflict between Israel and Lebanon may be unsettling to tourists travelling to Lebanon and may decided to hold off on travel plans.

SWOT

CONCLUSION

Lebanon's economy and markets are best described as a private and liberal economy activity and openness to abroad with perfect capital and labor mobility. The private sector highly contributes to aggregate demand it is a well-diversified sector that covers the totality of economic sectors and is a major pillar for growth and recovery

The strategic position of Lebanon, its mild climate and natural beauty, consisting of snow-capped mountains, valleys and the Mediterranean Sea, make it a natural tourist attraction. Apart from its privileged geographical and natural situation, Lebanon benefits from qualified and experienced human resources, investment freedom and political stability.

Based on the current situation of Lebanon we consider It would be a good idea for BaseCamp International to expand their business and offer as part of their portfolio the attractiveness of having a rich cultural experience with their adventurous target market

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