...THE DANNON COMPANY: MARKETING AND CORPORATE SOCIAL RESPONSIBILITY (A) Question 1) Should Dannon proactively communicate its CSR activities to the public? Discuss pros and cons of your decision. Answer: Dannon should not communicate its CSR activities to the public. Dannon and Yoplait are the two leading company in US with Yoplait have 35.4% market share and Dannon is second with 28.9% market share. Dannon is not too far behind Yoplait and so they don’t need to do much to become the number 1 player in America. Also, the consumers can gather more knowledge about the CSR activities of Dannon through the Dannon cares section on the website and the 16- page Corporate Social Responsibility Overview. So, it is not that the consumers are fully unaware of the company’s CSR activities. The pros of not communicating the CSR activities are: * When they will spend their marketing budget on TV ads, in-store shopper marketing tactics, branded websites etc. people will become more aware about the high health benefit products that they provide and thus increase the consumption. * Communicating its CSR activities to the public will not be of much benefit because consumers are more concerned about how much satisfaction the product can provide and how it impacts their life. * As the consumption increases, the loyalty will increase and there will be long-term sales impact. * Sometimes the consumers...
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...Introduction The Dannon Company is US subsidiary of the Danone Company that was founded in Spain by Isaac Carasso in 1919. Isaac Carasso created an innovative yogurt product using ingredients obtained from Paris, which were used to treat intestinal disorders. Isaac’s son, Daniel went on to found Danone in Paris and after Isaac’s death in 1939, he immigrated to the United States seeking a safe-haven after World War II (Marquis, 2010). In 1942, Carasso founded Dannon Milk Products, Inc., changing the name from Danone to Dannon in order to sound more “American”. During this time, the market for yogurt in the United States was almost non-existent. Carasso had two successful breakthroughs, first in 1947, introducing “fruit on the bottom” yogurt and in 1955 with low-fat yogurt, all appealing to health enthusiasts (Marquis, 2010). Over the next several decades, structural and product changes took Dannon is several different directions. In the 1980’s Dannon had 17 different product lines and had received FDA approval for a new sugar free sweetener which allowed for the most successful product launch to date, “Dannon Light”. In 1994, the company focused on rebranding their products, focusing on the overall health benefits of everything they produced (Marquis, 2010). Although the United States had had yogurt products available for over 60 years, research concluded that yogurt was not a core component to the American diet and the biggest potential for growth for Danone, rested within...
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...Case Study: The Dannon Company Student’s Name Institution Affiliation Case Study: The Cannon Company Introduction Dannon Company was among the US subsidiary of Danone, which was one of the largest health-focused companies in the whole world. Its global business centered on fresh dairy such as active yoghurt, medical nutrition, baby nutrition and the bottled water. In 2008, Dannon did manufactured and also marketed the fresh dairy products in US and they became number 2 player in domestic yoghurt market. Dannon’s marketing efforts did focused on the growing US yoghurt consumption and expanding the category, and this was while growing the brands. Dannon has been maintaining some strong commitment to CSR, which was integrated into the overall mission of the company. They have internalized its CSR commitments and programs (Marquis, Et al, 2010). Danone took some holistic approach to social responsibility and this was indicated by the mission statement. The social values were embedded deeply in the company’s culture and also the business. Antoine Roboud, who was the CEO, communicated the vision of Danone double commitment to the economic performance and social responsibility in 1972. According to the senior leadership, the social responsibility was the basis to the purpose of Danone as the economic performance. This was the double project and it stipulated some equal respect for the social influence and the financial results of the business decisions...
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...Case Study: The Dannon Company OL 690: Responsible Corporate Leadership Southern New Hampshire University March 25th, 2015 Introduction Danone, the parent company and U.S. subsidiary of Dannon, was founded in Barcelona Spain in 1919 by Isaac Carasso (Marquis, Shah, Tolleson, & Thomason, 2011). Isaac had the goal of developing a yogurt for more than the purpose of taste, but with additional inherent health benefits (Marquis, et al., 2011). The health benefits were based on the use of pure lactic ferments, which were initially prescribed by physicians due to their proven ability to help treat intestinal disorders (Marquis, et al., 2011). It was because of Carasso that consumers could have the added benefit of treating their intestinal disorder while nourishing their bodies. Daniel Carasso, Isaac’s son, was brought into the business and ultimately became CEO in 1939 after Isaac’s death (Marquis, et al., 2011). Prior to his father’s death, Daniel was able to take Danone to another level in 1929 when he founded it in Paris (Marquis, et al., 2011). Due to the extensive amount of competition in the yogurt business, Daniel leveraged the focus on health to differentiate Danone from the competition (Marquis, et al., 2011). After his father’s death, Daniel merged with two notable organizations in 1967 and 1973, Gervais and Boussois-Souchon-Neuvesel (BSN) respectively (Marquis, et al., 2011). These mergers resulted in rapid expansion throughout Europe, a newly named conglomerate...
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...of Danone’s subsidiaries are companies that manufacture specific products for specific markets. For example, The Dannon Company is a subsidiary of Groupe Danone operating in the United States primarily under the brand name Dannon. Affiliates: Multiple companies’ supply components go into the final goods sold under Danone Groupe brand names. These companies have a presence in the industry already, make packaging materials, and/or produce raw dairy products. In the case study, Danone formed an affiliation with Wahaha Group to get a better foothold in the expanding Chinese market. Cultural: In Spain and Italy Danone established relationships with local suppliers. In Eastern Europe Danone took over local suppliers to exploit growing demand for fresh dairy products. Fewer Chinese citizens have refrigerators to hold fresh dairy products. Administrative Danone rarely sends executives (or resources) to their joint ventures, but allows them to be autonomous. Danone and Wahaha (Chinese) joint venture Danone has been accused of trying to become a monopoly in the Chinese market. Human Resources The Danone Way Programme: Embodies Danone’s commitment to combining business success and attention to people and the community Human resource policies represent a dual commitment to success and social progress Partnerships and joint ventures allow Danone to access new markets and capitalize on consumer trends. Partnership with subsidiary Stonyfield to create Dannon Oikos Greek Yogurt. Acquiring...
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...Marketing strategies generally rely on four important elements; product, price, place, and promotion. Together, these four elements make up the marketing mix. The purpose of marketing mix is to satisfy the needs of consumers, achieve marketing goals, and create competitive advantages for companies in the marketplace. For this essay, a study was performed to gain understanding of how the marketing mix is utilized for Activia Probiotic Yogurt. Activia is a brand of yogurt, owned by a company named Groupe Danone. Here in the United States, the company is known as the Dannon Company. The yogurts come in a variety are creamy and delicious, come in a variety of flavors, and contain probiotics, which aids in regulating the digestive system. Throughout the years, the health and wellness industry has grown in popularity, as consumers pay greater attention to living healthier lifestyles. This is a strong advantage Activia has in the marketplace, since it taps into the probiotic and healthy living crazes. An item that is produced and marketed by a company and placed on the market for purchase is called a product. When developing a product, design, quality, and packaging are to be considered. It should be well packaged and visually appealing to consumers. Presentation is everything and product packaging plays an important role as a medium of marketing. It is instrumental in creating a brand’s identity, and aids in standing out from comparable items in the market. For instance, Activia...
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...45-minute journey, the average London commuter is exposed to more than 130 adverts” and in a day “we're likely to see 3,500 marketing messages.” (Owen Gibson, 2005) False Advertising within the Private Sector Within the Private sector there is constant competition between originations, so they must therefore do everything within their power to stay ahead of their rivals. In order to do this they must make consumers believe that their products are better than whatever else is on the market place even if it is similar to their own products. For example the soft drinks coke manufactured by Coca-Cola and Pepsi by PepsiCo can be considered to have the same taste but they are marketed differently and set apart by the brands that make them. “Both companies are continuously trying to develop a perceived product differentiation with their consumers, Coca-Cola has created a family-friendly image by utilizing the polar bear and Santa as its identifier in their advertising campaigns. Pepsi, on the other hand, positioned itself as the choice of a new generation by showing people doing different things such as dirt biking and snowboarding, as well as through the use of celebrity...
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...used only natural ingredients, and no artificial flavors or thickeners. That was one of the main points of differentiation from bigger competitors such as Dannon, Yoplait, and Breyers, and gave the Natureview farm yogurt the privilege of a niche producer. Moreover, Natureview Farm’s yogurt’s average shelf life was 50 days, 20 days longer than that of competitors. That way special production process and ingredients helped Natureview Farm to save on efficient supply chain that competitors needed to reduce shipping time to their distributors. Strong reputation for high quality and great taste, as well as high perception of natural ingredients helped the company to grow quickly to national distribution. The Natureview brand occupied the organic & natural segment that was not served adequately through the normal retailing chains at that time. Natureview Farm was considering two growth strategies: through Supermarket Channel and through Natural Foods Channel. Supermarket Channel usually dominated by large manufactures such as Dannon and Yoplait. The product takes just four steps before it gets to final consumer. In this channel an 8oz cup sells for $0.74. However, in order to sell its yogurt in the supermarket channel, Natureview farm has to pay a “slotting fee” for each flavor of the same size cup. Moreover, the company - manufacturer is obligated to participate in promotions four times per year, which costs from $7,500 till $15000 per ad per retailer depending on a region...
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...Tropical Smoothie Cafe. For lunch I had Turkey quesadilla on whole-wheat tortillas and bottle water. Countries of origin: Whole grain Bread: Neena, WI Egg White: Jackson, MS Dannon Yoghurt: Minster, OH Tropical Fruit Smoothie: Destin, FL Turkey Quesadilla: East Springs, TX I purchased all of the products from Food Lion grocery store: The chain of events that took the product to get from the farm/laboratory to my table: Whole wheat bread- Once harvested, the wheat is milled and turned into flour. The basic process involves mixing of ingredients until the flour is converted into a stiff paste or dough, followed by baking the dough into a loaf. This is followed by the measurement of ingredients, mixing and kneading them properly, fermentation, baking and then cooling it. Egg White - The hatchery houses a flock of thousands of chickens. When the hens are ready to lay, they seek shelter in the coop. The eggs are collected from the coops, washed thoroughly and are positioned onto a conveyor belt. This conveyor is the beginning of a systemized process that cracks the eggs, and puts the contents into a special tray that catches only the yolks. Then the egg whites are sent to a pasteurization process which sanitizes and help to eliminate any contaminants and make them free of salmonella. Dannon Yogurt – come from farm fresh milk from local dairies, which is separated into skim milk, condensed skim milk and cream. The milk mixture is then...
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...MRKT 5000 Midterm 2013 Webster University 1) What are the four variables of the marketing mix? Who controls the marketing mix variables? Explain briefly. Product, distribution, promotion, and price are what make up the mix, while the marketing managers are the ones who control the variables. It is their job to match the needs of the customers with the desired marketing mix, and it’s crucial for the marketing managers to look at their target group and decide the level each variable needs to be used to achieve maximum return on a product. 2) What are the key components of a marketing plan? List and describe each component briefly. The key components are the executive summary, environmental analysis, SWOT analysis, and the performance evaluation. Executive summary gives the reader a complete overview of the plan, and the environmental analysis gives information about the company’s current situation about the marketing environment, current objective and performances, and the target market. The SWOT analysis, which analyzes the company’s strengths, weaknesses, opportunities, and threats, is derived from the environmental analysis. The performance evaluation establishes the standards for how the results of the plan will be measured and evaluated. 3) Explain 3 of the 6 forces in the marketing environment. Competitive forces are ones that compete with other organizations for similar products; the competitive forces can include brand competitors, product competitors...
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...most developing events in the world’s history. Internet today is all pervasive—from keeping people updated on the latest international and national events to giving a person the inside scoop on all kinds of major political matters, it has steadily moved on to becoming the one-stop destination for all sorts of information. And then there are the digital learning sessions, e-commerce, online review sites, e-campuses, consumer forums, and virtual shopping zones, there is nothing that the Web does not have an answer for. Advertising is the best way for companies can reach consumers with their target market for different kinds of companies. Having the internet and able to advertise is the most modern way for companies to be able to reach and influence larger groups of consumers. With advertising, companies need to follow certain kinds of code of ethics. When companies don’t follow codes of ethics, there can be a chance that the company will not have the kind of advertising they want and it can be short lived. While the online medium is well established, the concept of advertising and selling on the net is still at a promising stage. However, with the impact of the Internet, it becomes critical to have the ethics and regulations put in...
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...subject as well. The ads in television are what are especially bad. Some television ads are very misleading to the public. Many companies use false advertisement to catch the audience’s attention. In this case, they use it in many ways such as billboards, posters, etc. The way the product is shown in the advertisement makes the customer want to buy the product because of the way it catches the customer’s eye. Companies use this because it is a very effective way for them to get high amounts of money. The food industry is mostly known for having these types of advertisements. A certain food industry named McDonald’s is known for this type of advertisement on the famous burger, The Big Mac. The meal that they would serve you at any ordinary McDonald’s would not be the same as the burgers on the posters or the billboards. This is caused by either the laziness or the speed of the employees at the McDonald’s. Also, on TV commercials, they make sure that their burgers are made to perfection so that it attracts the costumer, but when it comes to reality, the employees at the fast food restaurant put no effort into making their burgers at good as they look on the Television Commercials. Dannon's popular Activia brand yogurt brought costumers into paying more for its health benefits, when it was actually pretty much the same as every other kind of yogurt. Dannon even got a famous spokesperson to come and do a commercial for them for the supposed it after a while, some customers didn't...
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...Super Bowl Sunday is the biggest advertising day of the year. Every year, companies spend fortunes on thirty second clips hoping to grasp the attention of all the millions of viewers tuned in to the game. But why is the Super Bowl such a big advertising event? Audiences have been changing over the years. It is not that everyone has stopped watching television, but rather the audience is fragmented. There is so much more TV out there. People now watch so many different channels that it is rare that so many viewers are tuned into one channel. That makes the Super Bowl’s reach – more than 100 million viewers in the U.S. – such a huge craving for advertisers. People watch this game live. Other times the audience may tape the games. Thus, the audience may be fast forwarding through the commercials and not watching them. During the Super Bowl, a large portion of viewers actually WANT to watch the commercials. This season the Super Bowl will be played on February 2nd. But nearly two months away from the big event, all of the ad space is sold. Neil Mulcahy, the executive vice president for sales at Fox Sports, said that automobile companies are big spenders this year. Some of the car companies that have said they will spend on advertising this year include General Motors, Hyundai, Jaguar, and Kia. Other companies who have mentioned they will purchase advertising space are Anheuser-Busch InBev, Butterfinger, Dannon Oikos yogurt, Doritos, GoDaddy, Intuit, SodaStream and Wonderful pistachios...
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...com/doc/43910055/SWOT-Analysis-on-McDonald * . The brand name and its packaging has been already recognized and accepted by many children ages 3 to 5 in all parts of the world * McDonald’s is a community oriented company, as well as it is socially responsible business. (Ronald McDonald House Facilities provides free extensive financial, education, dental and medical assistance to billions of children all from all parts of the globe). * The company operates more than 23,500 restaurants in 109 countries in worldwide. * Around 85 percent of McDonald’s restaurant businesses world-wide are franchised. The food-brand has been known as leading fast food and restaurant since 1997. Its global locations such as airports, cities, highways, theme parks and malls attract many busy people such as students, professionals and employees. * McDonald’s has efficient line assembly of food preparation which is orderly and clean * The company always ensures the quality and freshness of food they serve to the customers. It uses only 100% pure USDA inspected beef and chicken, without any fillers or additives; as well as only fresh eggs. All the foods are coming from only certified food suppliers. * McDonald's has its own brand processed items such as Dannon...
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...NESTLE Nestle has been originated from Switzerland, to date there are over 281,000 employees. Nestle first started in the mid 1860 by Henri Nestle (1814-1890), a trained pharmacist who began experimenting with cow’s milk, wheat flour and sugar in an attempt to develop the alternative source of nutrition for mothers who were unable to breastfeed. Nestle is one of the world’s largest food producers. The company has been in existence for over 140 years and continue to thrive on ideas of fairness, honesty and long-term thinking. Nestle’s main objectives are to be recognised as the world leader in Nutrition, Health and Wellness, trusted by all its stakeholders, and to be the reference for financial performance in its industry (source www.nestle.com). Nestle’s vision is to be the leading Food and Beverage Company in the world, providing customers with high quality products and services with added value at competitive prices, simultaneously ensuring the long term viability and profitability of the organization. Their mission of "Good Food, Good Life" is to provide consumers with the best tasting, most nutritious choices in a wide range of food and beverage categories and eating occasions, from morning to night. With their unique experience of anticipating consumer needs and creating solutions Nestle contributes to your well being and enhances your quality of life (source www.nestle.com). So according to their logo and mission statement it is fair to say that they are following the...
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