market research sri lanka and africa

8/9/2019 Market Research Sri Lanka and Africa

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Business Potential Study

Sri Lanka and African Countries

Presented By Sudeep Nair


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Objective

Determine import potential

Determine target goods

Area wise analysis

Major Competitors


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Sri Lanka

Favorable Factors

Total Value of Imports 2009 : $13,638 Million

Rise in Imports from previous year : $ 2237 Million ( 19.6% )

India ranked 1st in Importers List with $ 2738 Million in Imports

FTA agreement in place

Political Relations favorable for trade

Location proximity

GDP growth rate @ 3.5% ( 2009 ) , Forecast @ 6.5 % ( 2010 )

Favorable Currency Conversion Rates

Increase in demand for consumer electronics


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Sri Lanka

Target Goods

1.Mobile Phones

Current Market size at 15 million subscribers ( First Quarter 2010 )

Annual growth rate at 39%

Average monthly sales of handsets is around 100,000 units

Grey market share is around 15 20 %

Reduced import duties and taxes on mobile handsets in 2010

28% use second hand handsets

Introducing low cost handset with warranty period


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Sri Lanka

Target Goods

2.Television

Average annual TV sales 300,000 Units

Annual growth rate at 20%

Flat Panel TV sets in Demand : Hold 30% share

High demand due to new players entering the digital broadcasting industry

Advertising and local promotion activities is the key to brand awareness

Technology focus : LCD and LED

Service capabilities key to brand loyalty


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Sri Lanka

Area Wise Analysis

City Province Approx. Population

Colombo Western 11,00,000

Kandy Central 6,00,000

Dehiwala-Mount Lavinia Western 9,00,000

Morutawa Western 8,00,000

Negombo Western 6,00,000

Trincomalee Eastern 5,00,000

Kotte Western 6,00,000

* Sri Lanka has the slowest growing population in South Asia at 0.9% yearly


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Sri Lanka

Major Competitors

Television Market Mobile Phone Handset Market

LG Nokia

Samsung Samsung

Phillips Sony Ericsson

Sony Micromax

Sanyo LG

Chinese and Local Brands Apple

Chinese Brands

* There is major market of second hand goods as many cannot afford to buy first hand


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Africa

Favorable Factors

Volume of trade increased by 285% in last four years ( FICCI )

Trade figure sits at $ 25 Billion ( 2008 )

India Exports to Africa Figure at $ 14.81 Billion

Trade expected to rise to $ 50 Billion by 2010 ( FICCI )

Major areas of export are south and east africa.

Favorable political conditions between the two countries

India a major fund provider for development

Huge Middle Class population estimated to be larger than India

Rising disposable income

Many major investments done by Indian organizations already


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Africa

1. Computer Hardware

Market share is about 61% of the consumer electronics market

CAGR is forecasted at 11%

Rising computer penetration levels, falling prices, retailer promotions contributing to high grow

Sales expected to rise from $ 3.73 Billion (2009) to $ 4.12 Billion (2010)

Target Goods

Total value of consumer electronics market stand at $ 6.7 Billion ( 2010 First Quarter )

Market expected to rise up to 9.91 Billion by 2014


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Africa

2. Audio/Video Devices

Market share stands at 18%

CAGR forecasted at 11%

Growth fueled by new technologies and transitions towards digital television.

Sales expected to rise to $ 1.20 Billion in 2010

Set Top Boxes also show a promising trend apart from other Audio/Video equipment

3. Mobile Handsets

Market Share stands at 22%

CAGR forecasted at 5% : Subscriber penetration at 114% ( 2014 )

High Demand for 3G sets

Sales expected to rise to $ 1.85 Billion in 2010

Replacement and accessory market shows high growth patterns


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Africa

Target Countries

Angola

Ethiopia

Rwanda

Equatorial New Guinea

Niger

Republic of South Africa

Af i


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Africa

Major Competitors

Computer Hardware Audio/Video Equipment Mobile Handset

Sahara Sony Apple

Mecer Alpine Nokia

Acer JVC Mercury

Asus LG Mi-Fone

Dell Samsung Motorola

Gigabyte Logitech M-Tech

HP Phillips Samsung

MSI NU Sony Ericsson

Lenovo Audiovox


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Thank You

market research sri lanka and africa

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