Marketing the Calgary Stampede to Australia Stephen Edge Kai Holloway Andrew Lai Tony Vo Vicky Wong

Introduction Market the Calgary Stampede to Sydney, Australia Strong cultural similarities Strong economic stability

The Calgary Stampede Founded in 1912 by Guy Weadick. Vision was to celebrate romance and authentic culture of Old West Evolved into the world famous 10 day Stampede Attracts 1 million during the 10 days, and 4 million yearly 2008 net income was $10.4 million

The City of Calgary As of April 2009, population of 1,065,450 5th largest metropolitan area in Canada During 2007, 4.85 million visitors to Calgary and Area. 2.95 million stayed at least 1 night

Average length of stay

Visitors segmented into seasons Visitors to Calgary and area by season

Economy of Alberta Energy is Alberta’s main source of GDP Roughly accounts for $89.94 billion

Economy of Alberta $69.1 billion in exports. Crude oil accounts for $30.7 billion, or roughly 44% Only province to have financial net assets above 0 Third lowest unemployment rate at 6.6% Highest after-tax family income, median of $75,300. Canadian average is $61,800

Growth from 1999-2009

Australia’s Environment: Political Constitutional monarchy (Australia Act of 1986), with QEII as monarch, like Canada Very stable government Strong contemporary Australia-Canada relations: Gulf War (early 1990’s), East Timor (1999), Afghanistan Common international memberships: UN, Commonwealth, WTO, APEC (Asia-Pacific Economic Co-operation)

Australia’s Environment: Cultural Interpersonal values: + sincerity, modesty, humility, punctuality - pretentiousness Demographics:

Australia’s Environment: Cultural Geert-Hofstede cultural dimensions:  Very few cultural differences Australia Canada China PDI (Power Distance) 36 39 80 IDV (Individualism) 90 20 UAI (Uncertainty Avoidance) 51 48 60 MAS (Masculinity) 61 54 50 LTO (Long-term Orientation) 31 23 118

Australian Law Legal Environment State Territorial Power Federal Power Laws on trade Taxation Commerce Defence External affairs Immigration and citizenship State Territorial Power Anything else

Legal Environment Equal treatment of foreign firms Excellent competition law Excellent independent judiciary Strict intellectual property protection

Business Environment Quarter Ended Change from previous year (%) Inflation over previous year (%) Unemployment rate (%) Dec 2009 2.0 2.1 5.6 Sep 2009 1.0 1.3 5.8 Jun 2009 0.3 1.5 Mar 2009 2.5 5.4 Dec 2008 0.6 3.7 4.5 Sep 2008 5.0 4.3 Jun 2008 2.7 4.2 Mar 2008 4.0 Dec 2007 3.9 3.0 4.4 Sep 2007 1.9 Jun 2007 Mar 2007 3.5 2.4

Business Environment Time zone is 10 hours ahead of GMT Corporate income tax = 30% No restrictions on trade related payments Low salaries for highly skilled labor Economic operating costs Comprehensive infrastructure at competitive prices Sydney is a global city at an affordable price

Business Environment Prefer win-win negotiation style Greetings relatively casual Very friendly Very matter of fact Appointment necessary

Business Environment Business attire conservative Presentations fact based Very direct Negotiations quick Decision making slow

SWOT ANALYSIS STRENGTHS seasonality excellent political relations common language Rodeo and Rocky Mountain getaway few barriers to overcome to do business Calgary Stampede celebrity appearances - Possibility of US excursion WEAKNESSES OPPORTUNITIES THREATS

SWOT ANALYSIS STRENGTHS seasonality excellent political relations common language Rodeo and Rocky Mountain getaway few barriers to overcome to do business Calgary Stampede celebrity appearances - Possibility of US excursion WEAKNESSES Distance little to no prior exposure of our marketing campaign existing Rodeo market in Australia Canada and Australia may be too similar High advertising costs OPPORTUNITIES THREATS

SWOT ANALYSIS STRENGTHS seasonality excellent political relations common language Rodeo and Rocky Mountain getaway few barriers to overcome to do business Calgary Stampede celebrity appearances - Possibility of US excursion WEAKNESSES Distance little to no prior exposure of our marketing campaign existing Rodeo market in Australia Canada and Australia may be too similar High advertising costs OPPORTUNITIES Advertising outlets: billboards, radio, television, etc. 46% of foreigners come to Calgary from July- Sept partnerships Sydney’s airport and excellent infrastructure Australia’s strong economy THREATS

SWOT ANALYSIS STRENGTHS seasonality excellent political relations common language Rodeo and Rocky Mountain getaway few barriers to overcome to do business Calgary Stampede celebrity appearances - Possibility of US excursion WEAKNESSES Distance little to no prior exposure of our marketing campaign existing Rodeo market in Australia Canada and Australia may be too similar High advertising costs OPPORTUNITIES Advertising outlets: billboards, radio, television, etc. 46% of foreigners come to Calgary from July- Sept partnerships Sydney’s airport and excellent infrastructure Australia’s strong economy THREATS -Australia’s existing rodeo cannibalizing our marketing efforts - Australia’s strong dollar

RISKS AND MITIGATION RISK MITIGATION - Presence of domestic Rodeo’s which may act as substitutes Emphasize Calgary Stampede claim to being world’s largest outdoor rodeo Calgary Stampede’s star power Close proximity to many other tourist attractions

RISKS AND MITIGATION RISK MITIGATION Canada and Australia may have too much in common July is Australia’s winter and Canada’s summer Stampede tour package which includes Banff and Jasper as an optional excursion

RISKS AND MITIGATION RISK MITIGATION Exchange rate risk - Canadian firm can enter into foreign exchange contracts for the interim period, effectively eliminating exchange losses.