INTRODUCTION
Overview of selected business
Expanding the business operation at global level is beneficial for the local companies because it helps in amortising costs, creating economies of scale, attracting new customers, increase market influence and diversifying increases protection (Allal-Chérif, Aránega and Sánchez, 2021). In addition to this, report will be based on the expansion of local business i.e. Crane & Kind into the international market i.e. Australia. Crane& Kind is family lifestyle store that manufactures clothing and toys for the kids. The chosen company was incorporated in 2018 by two sisters Jemma Lascelles and Polly McLachlan (Crane & Kind, 2024). Apart from this, the current report will highlight evaluation of global market trends and demands in Australia. This report will also depict potential of chosen international market by determining and screening opportunities through market gaps and trend observation.
GLOBAL MARKET DEMANDS AND TRENDS ANALYSIS
Global Market Demand discussion
Expanding business operation in the global market is beneficial for the local companies because it facilitates access to the new markets and thereby improve brand image as well. Further, it also contributes in the organizational growth & development and helps in gaining competitive advantage over rivals (Anita et al, 2024). Enlarging the business operation in Australian retail market may prove to be beneficial for Crane & Kind because it is rapidly growing and making significant amount for economic growth and development. Additionally, retail trade is second largest employing sector in Australia. This sector offers employment opportunities to the people and approximately, 9.3% of workers have their job in the retail sector (Australian Government 2025).
Along with this, since pandemic the retail sector of Australia is drastically growing and developing by transforming towards technological advancement for providing better and high-quality of services to the customers. Online shopping trends and omni-channel strategies helps the retail companies to grow and develop the business operation successfully and effectively (Awwad and Al-Aseer, 2021). The market size of the Australian’s retail sector is constantly increased so Crane & Kind will have the opportunity of growing and expanding the business process at large level. Apart from this, the retail turnover of Australia has been continuously increases since 2005 and predicted to boost in future which will be beneficial for the chosen organization. In 2024, the total revenue of Australian retail sector was approximately 436.76 billion Australian dollars which was higher as compared to the previous year (Statista Research Department, 2025).
Figure 1: Annual revenue of retail Australia
Apart from this, the number of operating retail trade business in Australia is rapidly increasing from many years so it will provide the opportunity to Crane & Kind to expand the business operation and gain competitive edge over competitors in the market. In the end of 2024, more than 156, 930 businesses were operating their process in the Australian retail market and it will be forecasted to increase drastically (Statista Research Department, 2024).
Global Market Trends Analysis
Sustainability, technological advancement, changing customer behaviour and seamless commerce etc., are significant and major trends of Australian retail market. For expanding the business operation in Australian market it will be crucial for Crane & Kind to consider and implement all the trends successfully. Due to environmental protection and safeguarding the health and well-being of people, sustainability is considered as one of the significant trend that is adopted by majority of retail companies (Budhwar et al, 2022). For the successful expansion and growth, selected organization will need to lay emphasis on sustainable clothing and toys for the safety and security of the kids. Adoption of this trend will be beneficial for Crane & Kind because it helps in attracting the numerous customers over competitors, gains competitive edge and builds the strong position in an Australian retail market (Klemm and Kaufman, 2024).
Apart from this, e-commerce is another trend of Australian retail market that will be important for the local companies to expand the operation successfully. In the current times, due to the technological advancement the customers are likely to purchase the products from e-commerce platforms rather than going into physical stores (Putri et al, 2025). Therefore, it will be beneficial for the selected business to use social media platforms to provide the option of online shopping to the customers. On the other hand, technological advancement is another trend that directly influences the growth and development of Australian retail market (Chatterjee, Chaudhuri and Vrontis, 2024). For gaining success and build the strong position in the Australian retail market, Crane & Kind will need to integrate emerging technologies such as artificial intelligence (AI), machine learning etc., to produce innovative and unique clothes and toys for kids.
IDENTIFYING AND SCREENING OPPORTUNITIES
Evaluation of opportunities
Before expanding the business process at international level it is crucial for the local companies to evaluate market opportunities in which they are going to operate. Trend observation is considered as one of the critical method that helps the organizations in determining and screening the opportunities of international markets (Galindo-Martín et al, 2021). Crane & Kind will also need to adopt trend observation approach for determining and seeking the opportunities in an Australian retail market. For observing trends and determining opportunities of the chosen international market, selected organization needs to conduct PESTEL analysis. It is considered as one of the critical model that helps in determining the various trends and influence of the political, economic, social, technological, environmental and legal aspects on the overall operation of companies.
Political: The political condition of Australia is moderate neither weak nor strong so it will provide opportunities to the local companies for expanding the business operations, gaining success and increasing market reach (Bonelli, Caferra and Morone, 2024). A stable political environment of Australia encourages Crane & Kind to run the business operation successfully over competitors.
Economic: The GDP of Australia is constantly increasing and in 2024 it reached 1.80 trillion US dollars and forecasted to boost in the future (O’Neil, 2025). Higher GDP significantly contributes in the economic growth and development of the Australia which positively impacts the overall process of selected organization. Growing economy helps in raising the customer’s confidence and prompting them to spend more which will be beneficial for Crane & Kind to increase sales and productivity.
Figure 2: GDP of Australia
Social: In the current times, with the changing trends and preferences demand for the sustainable clothing is rapidly increasing within Australia. Therefore, Crane & Kind needs to lay emphasis on manufacturing organic clothes for kids which helps in attracting customers, increase sales and productivity.
Technological: Australia is a technological country so Crane & Kind will need to emphasis on integrating artificial intelligence (AI), machine learning and other technologies in order to produce clothes with unique designs (Li, Liu and Zhou, 2024). It will help in attracting the customers and encouraging them to make repeat purchase.
Environmental: In Australia, the customers are increasingly favouring the companies which have strong sustainability credentials (Aslam and Davis, 2024). Therefore, to increase customer base and builds strong position in an Australian retail market, Crane & Kind will need to emphasis on eco-friendly materials and packaging.
Legal: For expanding business process successfully in Australian retail market, it will be important for the selected organization to implement various laws related to employment, health and safety regulations, consumer protection, data protection and privacy etc.
From the PESTEL analysis it has been determined that, Crane & Kind will have the opportunities of sustainability, technological advancement, changing behaviour of customers etc., within Australian retail market. It will help the selected organization to grow and develop the business operation successfully and effectively over competitors.
Analysis of challenges/threats
For the successful expansion of operation at global level it is important for the local organizations to identify the market gaps which create challenges or threats for them (Bonelli, Caferra and Morone, 2024). Identifying the market gaps is beneficial for the companies because it helps in gaining competitive edge over rivalries and performs the business operations successfully (Ghauri, Strange and Cooke, 2021). To identify the market gaps and challenges, Crane & Kind will need to measure the competition level of Australian retail sector through Porter’s five forces model.
Threat of new entrants: The threats of entry in Australian retail market are low because the companies will need to invest huge capital for marketing, inventory etc. Thus, it will be challenging for Crane & Kind to enter into the market and run the business operation successfully and effectively.
Bargaining power of suppliers: From the competition analysis it has been determined that, the bargaining power of suppliers within Australian retail market is low (Kiliç and Aytaç, 2024). It means, Crane & Kind will have the option of purchasing the raw materials from the various suppliers at low costs. This will help the chosen organization to manufacture the clothing and toys speedily in order to attract customers.
Bargaining power of buyers: In the Australian retail market, the customers have high bargaining power due to availability of huge number of substitutes. It will be challenging for Crane & Kind because the customers have options of switching towards the same products at low costs in order to maximise their satisfaction and improve experience which leads to reduce sales and profitability.
Threat of substitutes: It can be said that, the threats of substitutes within Australian retail sector is high because the customers have lot of alternatives of clothing and toys for their kids. From this Crane & Kind will face the challenges of declining sales, profits and productivity as compare to competitors.
Competitive rivalry: The competition level in the retail sector of Australian is high due to the large number of fashion retail companies (Šimonová, Malindzakova and Malindzak, 2024). Staple the label, By Johnny etc are the biggest competitors of Crane & Kind in Australia so they restrict it to gain competitive advantage and gain success in the market.
From porter’s five forces model it has been determined that, selected organization will have challenges of high competition and losing the customers within retail sector of Australia which adversely impacts the overall operation.
Assessment how opportunities outweigh challenges/threats
From the above trend observations and market gaps it has been identified that, the opportunities will be overweigh the challenges or threats. In Australian retail market, Crane & Kind will have the opportunities of technological advancement, sustainability, e-commerce etc., which helps in mitigating the challenges of high competition. To mitigate the challenge of high competition, chosen organization will need to adopt emerging technologies like AI (artificial intelligence), ML (machine learning) etc., to manufacture the innovative and unique designs of clothing and toys as compare to its competitors. On the other hand, to expand the business successfully and stand out in front of competitors it can be important for the companies to produce eco-friendly products for the customers in order to protect the environment and improving health & well-being (Grimmer, 2021). By using social media platforms, Crane & Kind will provide the option of online shopping to the customers which aids in increasing attraction and retention rates as well as gain competitive edge from the competitors.
VALUE PROPOSITION AND BUSINESS MODEL
Value Proposition
Value proposition depicts the benefits of organization’s products and services which will be delivering to the customers in order to increase their satisfaction and improves experience. Creating the well-crafted value proposition will be beneficial for the companies because it helps in differentiating the products and services at marketplace and among the target audience or market (Stonig et al, 2022). To differentiate the products over competitors in Australian retail market it will be important for Crane & Kind to create the value proposition. Creating the value proposition will be beneficial for the chosen organization because it helps in providing direction, increasing focus, breeds confidence, improves customer’s understanding & engagement and provides clarity of messaging. Apart from this, to create the value propositions of products in the chosen international market, Crane & Kind will need to adopt Roman Pichler’s product vision board extended model. This model helps in illustrating, visualizing and validating the vision and strategies of the products (Muranko et al, 2021). This value proposition model also helps in capturing the target groups, key features, needs and business goals.
|
Vision: To protect the health & well-being of the kids by providing better as well as high quality clothes and toys through sustainable or innovative way. |
|||
|
Target group In Australia, the target customers of Crane and Kind will be kids who have age in between 0 to 10 |
Needs The innovative and sustainable products will be beneficial for Kids because it helps in safeguarding the health and well-being (Klemm and Kaufman, 2024). |
Product The products of Crane & Kind will be innovative and eco-friendly toys and clothing. |
Business goals These products will help in attracting customers and increases profitability. |
|
Competitors Staple the label, By Johnny etc |
Revenue streams Selected organization will be monetise its products through advertising, social media platforms. |
Cost factors Labour costs Raw materials etc |
Channels Social media platforms (Kazi, 2024) Physical store |
Innovation Business Model
For the successful expansion in international markets it is important for the local companies to achieve sustainable growth and profitability through innovative business models such as environmentally friendly, bricks- and-clicks. Additionally, brick-and-click is considered as one of the critical model that will need to adopt by Crane & Kind to attract market demand through funding and partnerships. By adopting this model it will be important for the selected organization to have physical stores and e-commerce websites in order to attract the customers with several shopping preference which leads to increase in sales and profits. Adoption of this model will be useful for the companies because it aids in providing better and high-quality of services to the customers in order to enhance their satisfaction and experience (Van Loon, Diener and Harris, 2021). Apart from this, environmentally friendly is another important business model that will need to be adopted by Crane & Kind to achieve profitability and sustainable growth. By executing this model, chosen organization will need to use eco-friendly practices across its operations and manufacturing the clothing and toys to protect the environment and safeguards the health & well-being of kids.
CRITICALLY ASSESS INNOVATION CONCEPTS
Innovation concept discussion
The term innovation is defined as the procedure of bringing new methods, ideas, solutions and products as well as services that have positive value and impact. It includes converting the creative concepts into the tangible results that helps in improving the effectiveness, efficiency or resolve unmet needs and requirements. As per the view of Mariani, Machado and Nambisan (2023), product, process and service, incremental, disruptive, open and sustainable are the crucial types of innovations. Product innovation includes manufacturing of new products improving the existing ones in order to meet the customer’s expectations and meet market demands (Wang and Su, 2022). This includes advancement in design, functionality, performance and user experience that uses products. As critically opposed by Andersén (2021), generally product innovation includes high costs and risks of failure which negatively impacts the profitability and sales of organization. On the other hand, incremental innovation includes continuous refinements and improvements to the existing goods and services as well as processes. According to- Ghobakhloo et al (2021), incremental innovation helps in promoting the gradual improvements in quality, efficiency and satisfaction of the customers which ensures the relevance of sustained market. Sustainable is another type of innovation that adopted by the companies for developing eco-friendly products and business models that helps in minimizing the ecological footprints and fostering social responsibility (Hermundsdottir and Aspelund, 2021).
Suitability of discussed innovation concept for selected business
By doing evaluation, it can be stated that the suitable innovation for Crane & Kind will be sustainable approach or concept. To gain the success and growth as well as profitability, selected organization will need to emphasis on manufacturing innovative and eco-friendly clothing and toys for safeguarding the health and well-being kids. Emphasis on sustainable innovation will be beneficial for the companies while expanding the business into international markets because it helps in attracting as well as retaining the customers and thereby contributes in gaining competitive edge over competitors.
Justification of maintaining competitive advantage in international market
It has been determined that, sustainability is considered as one of the critical source for the companies to maintain the competitive advantage in international market. Emphasis on sustainable innovation will be beneficial for Crane & Kind to gain the competitive edge over rivalries and builds the strong position in the Australian retail market. Integrating sustainability into business strategy is important for the companies because it helps in proactively mitigating all the social & environmental issues by costs savings and driving innovations (Kamal, Lou and Kamaruddeen, 2023).
ROLE OF ENTREPRENEURSHIP IN WEALTH CREATION
Entrepreneur’s wealth creation
Entrepreneurship plays an immersive role in wealth creation within the international markets because it acts as a driving force for the financial prosperity, innovation and economic growth & development. As per the thought of Galindo-Martín et al, (2021), entrepreneurs are considered as the lifeblood of the economies because it helps in improving market competition, promoting job creation and introducing the innovative solutions in order to meet the needs and requirements of the customers. In the context of Australia, entrepreneurs are crucial in the wealth creation because it aids in embracing the new technologies, collaborative models and sustainable practices for the environmental sustainability and societal growth & development which eventually positively influences the economic growth and development (Tajeddini et al, 2023). As critically contended by Majeed et al, (2021), in today’s global economy, entrepreneurship is considered as essential driver for the wealth creation because they have competency to create jobs, innovate and generates values which help in building the prosperous society. Further, entrepreneurs play a crucial role in determining and capitalizing opportunities, taking calculated risks and developing ventures that generate income and value (Kraus et al, 2023).
CONCLUSION
By summing up the whole report, it has been concluded that expansion of the business operation in Australian retail market will be beneficial for Crane & Kind. Moreover, it is rapidly growing and developing which provides opportunity of gaining success and achieves profitability. From the trend observation it has been determined that selected organization will have opportunities of technological advancement, sustainability etc., in the Australian retail industry which helps in gaining competitive edge over the competitors. To distinguish the products in competitive market, Crane & Kind will have to create the value propositions through Roman Pichler’s product vision board extended model
Struggling with complex entrepreneurship or international business assignments? Our expert academic writers provide well-researched, plagiarism-free solutions tailored to your university requirements. Whether you need help with PESTEL analysis, Porter’s Five Forces, or innovation strategies, we ensure high-quality submissions that boost your grades and confidence. Get reliable Online Assignment Help today and submit your work stress-free.
REFERENCES
Books and Journals
Allal-Chérif, O., Aránega, A.Y. and Sánchez, R.C., 2021. Intelligent recruitment: How to identify, select, and retain talents from around the world using artificial intelligence. Technological Forecasting and Social Change, 169, p.120822.
Andersén, J., 2021. A relational natural-resource-based view on product innovation: The influence of green product innovation and green suppliers on differentiation advantage in small manufacturing firms. Technovation, 104, p.102254.
Anita, S.Y., Mu'min, H., Megawati, E., Setiawati, R. and Utomo, B., 2024. The Relationship Between Environmentally Friendly Product Innovation, Sustainable Marketing Strategy, and Customer Satisfaction to Financial Performance in the Sustainable Fashion Industry in Indonesia. West Science Interdisciplinary Studies, 2(05), pp.1063-1076.
Aslam, U. and Davis, L., 2024. Analyzing consumer expectations and experiences of Augmented Reality (AR) apps in the fashion retail sector. Journal of Retailing and Consumer Services, 76, p.103577.
Awwad, M.S. and Al-Aseer, R.M.N., 2021. Big five personality traits impact on entrepreneurial intention: the mediating role of entrepreneurial alertness. Asia Pacific Journal of Innovation and Entrepreneurship, 15(1), pp.87-100.
Bonelli, F., Caferra, R. and Morone, P., 2024. In need of a sustainable and just fashion industry: identifying challenges and opportunities through a systematic literature review in a Global North/Global South perspective. Discover Sustainability, 5(1), p.186.
Bonelli, F., Caferra, R. and Morone, P., 2024. In need of a sustainable and just fashion industry: identifying challenges and opportunities through a systematic literature review in a Global North/Global South perspective. Discover Sustainability, 5(1), p.186.
Budhwar, P., Malik, A., De Silva, M.T. and Thevisuthan, P., 2022. Artificial intelligence–challenges and opportunities for international HRM: a review and research agenda. The InTernaTIonal Journal of human resource managemenT, 33(6), pp.1065-1097.
Chatterjee, S., Chaudhuri, R. and Vrontis, D., 2024. Does data-driven culture impact innovation and performance of a firm? An empirical examination. Annals of Operations Research, 333(2), pp.601-626.
Galindo-Martín, M.Á., Castaño-Martínez, M.S. and Méndez-Picazo, M.T., 2021. The role of entrepreneurship in different economic phases. Journal of Business Research, 122, pp.171-179.
Galindo-Martín, M.Á., Castaño-Martínez, M.S. and Méndez-Picazo, M.T., 2021. The role of entrepreneurship in different economic phases. Journal of Business Research, 122, pp.171-179.
Ghauri, P., Strange, R. and Cooke, F.L., 2021. Research on international business: The new realities. International Business Review, 30(2), p.101794.
Ghobakhloo, M., Iranmanesh, M., Grybauskas, A., Vilkas, M. and Petraitė, M., 2021. Industry 4.0, innovation, and sustainable development: A systematic review and a roadmap to sustainable innovation. Business Strategy and the Environment, 30(8), pp.4237-4257.
Hermundsdottir, F. and Aspelund, A., 2021. Sustainability innovations and firm competitiveness: A review. Journal of Cleaner Production, 280, p.124715.
Kamal, E.M., Lou, E.C. and Kamaruddeen, A.M., 2023. Effects of innovation capability on radical and incremental innovations and business performance relationships. Journal of Engineering and Technology Management, 67, p.101726.
Kazi, K.S.L., 2024. IoT driven by machine learning (MLIoT) for the retail apparel sector. In Driving Green Marketing in Fashion and Retail (pp. 63-81). IGI Global.
Kiliç, S. and Aytaç, D., 2024. Competitiveness Analysis On The Axis Of Porter's 5 Forces Model: The Case Of Corum Manufacturing Industry. Third Sector Social Economic Review, 59(4), pp.2884-2901.
Klemm, C. and Kaufman, S., 2024. The importance of circular attributes for consumer choice of fashion and textile products in Australia. Sustainable Production and Consumption, 45, pp.538-550.
Kraus, S., Vonmetz, K., Orlandi, L.B., Zardini, A. and Rossignoli, C., 2023. Digital entrepreneurship: The role of entrepreneurial orientation and digitalization for disruptive innovation. Technological Forecasting and Social Change, 193, p.122638.
Li, R., Liu, W. and Zhou, S., 2024. Digital transformation of supply chain management in the fast fashion industry: A case study of Zara. In SHS Web of Conferences (Vol. 181, p. 04019). EDP Sciences.
Majeed, A., Ghumman, A.R., Abbas, Q. and Ahmad, Z., 2021. Role of entrepreneurial passion between entrepreneurial attitude, subjective norms, perceived behavioral control, and entrepreneurial intention: measuring the entrepreneurial behavior of Pakistani students. Pakistan Journal of Commerce and Social Sciences (PJCSS), 15(3), pp.636-662.
Mariani, M.M., Machado, I. and Nambisan, S., 2023. Types of innovation and artificial intelligence: A systematic quantitative literature review and research agenda. Journal of Business Research, 155, p.113364.
Muranko, Ż., Tassell, C., Zeeuw van der Laan, A. and Aurisicchio, M., 2021. Characterisation and environmental value proposition of reuse models for fast-moving consumer goods: Reusable packaging and products. Sustainability, 13(5), p.2609.
Putri, N.F., Hameed, A., Akin, M., Akin, I., Khan, M.Z., Banerjee, S. and Zaidi, S.M.T., 2025. Analysing the modest fashion market: an empirical study of e-commerce best-selling products. Journal of Islamic Marketing, 16(3), pp.841-869.
Šimonová, T., Malindzakova, M. and Malindzak, D., 2024. Integrating Management Strategy and Porter’s Five Forces Model for the Sustainable Recycling of Textile Waste. Sustainability, 16(21), p.9283.
Stonig, J., Schmid, T. and Müller‐Stewens, G., 2022. From product system to ecosystem: how firms adapt to provide an integrated value proposition. Strategic Management Journal, 43(9), pp.1927-1957.
Tajeddini, K., Gamage, T.C., Tajdini, J., Qalati, S.A. and Siddiqui, F., 2023. Achieving sustained competitive advantage in retail and consumer service firms: The role of entrepreneurial orientation and entrepreneurial bricolage. Journal of Retailing and Consumer Services, 75, p.103495.
Van Loon, P., Diener, D. and Harris, S., 2021. Circular products and business models and environmental impact reductions: Current knowledge and knowledge gaps. Journal of Cleaner Production, 288, p.125627.
Wang, S. and Su, D., 2022. Sustainable product innovation and consumer communication. Sustainability, 14(14), p.8395.
Online
Australian Government 2025. Retail trade. Online. Available through: https://www.jobsandskills.gov.au/data/occupation-and-industry-profiles/industries/retail-trade
Crane & Kind, 2024. About us. Online. Available through: <https://www.craneandkind.com/?srsltid=AfmBOooU7XL2GyepqryG2IHFUSs-ufMyVjO5KMbKRGucQTiCHgjx8uFo >
O’Neil, A, 2025.GDP of Australia. Online. Available through: <https://www.statista.com/statistics/263573/gross-domestic-product-gdp-of-australia/ >
Statista Research Department, 2024. Total retail business in Australia. Online. Available through: <https://www.statista.com/statistics/1295494/australia-retail-trade-businesses/>
Statista Research Department, 2025. Annual revenue of Australian retail sector. Online. Available through: <https://www.statista.com/statistics/653638/australia-annual-retail-turnover/>
