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Seizing the Future: Mail Order Market Potential in China–Business Development Strategy for Quelle Shanghai Content Content The direct marketing industry in China, including telemarketing, direct mail, catalog mail, and even the internet marketing, is in the infancy Mail order can satisfy some demands what traditional retailing can not do Rediscovering of mail order industry in China The actual mail-order sales in 1999 has been estimated as 300 millions RMB, which accounts only 0.02% of total retail sales in Urban China The top ten provinces ranked by mail-order sales volume in 1999 The consumers with middle income between 600-2000 RMB per capital are mail-order companies’ first targets Development of value customer usually have three phases Speedy development of related and supporting and related industries contributes to the shaping of mail order market Content Content Quelle is now facing three options regarding investment strategy Investment in customer satisfaction has many ways Financial Forecast/Budget (RMB) Content Following conclusions can be draw out of our study (I) Following conclusions can be draw out of our study (II) Existing overseas competitors are strengthening their position, while others are considering entering Chinese market. The growing-up of private enterprises will attack Quelle from another angel. The development of e-business may spur other enterprises into this industry. SWOT ——Threat of Quelle The major reason of the present loss is the brand building and marketing cost for customer database. Other factors not considered, Quelle Shanghai has managed a relatively higher investment efficiency in terms of unit cost for database and annual sale. Resources of intellectual capital in Quelle Shanghai: Customer Database: more than 500,000 useful name list had been collected. (in worth of 7,500,000 US$) Human Resource: more than 70% staff ,part of whom have been trained abroad ,having 2-5 years experience in Chinese Mail Order market. Mark
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