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Disposable income

Boots Skincare products are stylish and therefore for consumers to purchase the products they must have enough for the basic needs. The disposable income is selected over other major factors because it shows the amount that consumers in a certain market are willing to spend on non-basic commodities. Countries with increasing disposable income were selected because they represented the company with an opportunity to market its products. Additionally, high disposable income showed that the country’s or the market enjoyed a high GDP or the commodities in the country were not highly taxed by the government.

Population

Population is very important in any market. The higher population results in higher demand for commodities in the market (Li 1996). China and India are very lucrative markets for Boots Skincare products because of the high populations in the country. The number of the population among the target age is very crucial in selecting a market for the Boots products.

Population Distribution

Population distribution is a key factor because it affects the distribution of beauty and personal care products. The way that the population is organized would help determine future trends in the market. For instance, currently the demand for the company’s products is on high demand on urban areas where the population distribution is concentrated. This is in most markets expected to change and the demand would be higher for the rural areas (World Bank 2006).

Age Distribution

Boots Skincare products include creams and anti-ageing products (Boots 2012). Therefore, the target age would be between 20 to 75 years. Having selected the potential markets it would be easier to attain the number of those under this age bracket in a certain market. Further, study on the identified market would be crucial in identifying other requirements in the market in order to serve the consumers better and promote the product in the process.

Foreign Direct Investment

The level of foreign direct investment in a market is very important because it determines how stable a market is (Economy Watch 2010). The level of foreign direct investment in a country would show how a market is favorable to international trade.

Gross Domestic Product (GDP)

GDP affects the market selection criteria in two ways. The first GDP factor is the purchasing power parity. This is a mode of comparing the currencies in different markets (Online Forex 2012). It is very important because it indicates the living standards in a certain market and therefore it can be used to identify markets where the consumers will be willing to purchase the Boots Skincare products. The second method in which GDP applies in market selection criteria is the GDP per-capita. This shows the differences in the living standards of the consumers despite the countries’ economic growth being different (Amadeo 2012). The second benefit of using per-capita in market selection criteria is the fact that it indicates the economic performance of the country. The higher the GDP per-capita indicates better the economic performance of the country and hence the better the market for Boots Skincare products.   

Tariffs

Information on the tariffs levied on beauty and personal care products would be very important in determining the markets to select. The different tariffs are very crucial in determining the prices and costs the company would incur in the market (Statcan 2010). 

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