...1. One factor influencing Divine Chocolate Ltd’s pricing decisions is the fact Kuapa Kokoo owns 45% of Divine Chocolate Ltd and influences the company’s decisions and receives a share in the profit. This means that the company will have to think about what price to make the chocolate bar in order to still receive a good amount of profit after Kuapa Kokoo takes their share of it. If they don’t consider this, they make not make much profit, if any at all, and their business will be unsuccessful leading to loss of sales and no profit. A second factor affecting their pricing decisions is the competition they have with Cadbury’s. Cadbury’s bars of chocolate cost 82p and Divine Chocolate Ltd’s chocolate bars are 81p. They have to consider their pricing because Cadbury’s is a well known brand which is very popular so if they had their chocolate bar more expensive than Cadbury’s then customers are more than likely going to purchase the Cadbury’s bar because not only is it more popular but it is cheaper too. So in order for Divine Chocolate Ltd to do well, they have to make sure they are cheaper than their competitors. 2. A rivalry of two or more businesses that target the same customers. Business competition tends to result in increased efficiency as firms attempt to reduce expenses. One advantage to show that Divine Chocolate Ltd has become more competitive is the cheaper prices they offer. If customers see a chocolate bar, that would probably taste the same as a Cadbury’s bar, cheaper...
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...Introduction P4 In this assignment I will be looking at the ethical concerns facing the communities in which Divine Chocolate operate in. The main ethical concerns for Divine Chocolate would be globalisation, cultural imperialism, ecological issues, fair trade, child labour and exploitation. The main communities in which divine would operate in would be Local which would be the Ghanian communities which would be the people living in Ghana such as families and local businesses, Kuapa Kokoo which would be the farmers who harvest the coco beans and communities around the UK and Germany which again would be people living there and businesses run. Other communities would be regional and national which would be UK and Ghanaian governments. The final community would be international this would look at fair-trade organisations such as (FTO), United nation, European Union and finally pressure groups such as green piece. Ethical Concerns The main ethical concerns which I will be using will be globalisation, cultural imperialism, ecological issues, fair trade, child labour and exploitation. I will give a brief description of each ethical concern first and then cover how they affect different communities in which Divine operates in. Globalisation – This ethical concern allows businesses and people from all over the world to communicate with each other and do business as technology is always developing. It gives businesses the opportunity to sell products and make a profit at the...
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...Fairtrade makes sustainability marketing strategies. The fifth paragraph reports Fairtrade completes sustainability marketing mix. The sixth paragraph concludes. Belz and Peattie (2010, p29) consider that compared to transaction marketing sustainability marketing is a long-term market theory. They also maintain that sustainability marketing could be included in the macro economy. Belz and Peattie (2010, p29) believe that “It embraces the idea of sustainable development, which requires a change in the behaviour of virtually everyone, including both producers and consumers.”Moreover, Belz and Peattie declare sustainability marketing not only focus on environmental problems, but also on social, ecological and other issues. Generally, companies and individuals think they could do nothing to protect the environment. However, Both Fairtrade and its customers have the essential influence on environment and society....
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...universities, over 6,000 churches, and over 4,000 UK schools registered in the Fairtrade Schools Scheme. Over 1.2 million farmers and workers in more than 60 countries participated in Fair Trade. In this essay it is proposed that fair trade is a form of sustainability marketing. It will first consider there are many similar key facets between fair trade and sustainability marketing. It will then go on to describe that both fair trade minimum price and fair trade premium promote sustainable development. The third part is about securing the rights of workers for paying attention to special sustainability issues. The forth part is about the invisible sustainability relationship between products and costumes. Then I analyze a successful fair trade company towards a sustainable way. Fair trade reflects many key facets of sustainability marketing. On the one hand, according to Belz and Peattie(2010, p.4), sustainability marketing means not only focusing on sustainable development but also considering the sustainability issues. To put it simply, sustainability marketing management aims to meet consumers’ wants and needs, while concerning social conditions and natural environment. On the other hand, fair trade is about better prices,decent working conditions and fair terms of trade for farmers and workers(Fairtrade, 2015). It is obvious that fair trade have some characters related to sustainability marketing, due to the fact that fair trade promotes sustainable development and solves some...
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...Case Study: Diamant Foods Company Diamant Foods Company produces a variety of food products, including a line of candies. One of its most popular candy items is Divine Diamonds, a bag of dozen individually wrapped diamond-shaped candies made primarily from a blend of dark and milk chocolates, macadamia nuts, and a blend of heavy cream fillings. The item is relatively expensive, so Diamant Foods produces it only for its eastern market, encompassing urban areas such as New York, Atlanta, Philadelphia, and Boston. The item is not sold in grocery or discount stores but mainly in specialty shops and specialty groceries, candy stores, and department stores. Diamant Foods supplies the candy to a single food distributor, which has several warehouses on the East Coast. The candy is shipped in cases of 60 bags of the candy per case. Diamonds sell well, despite the fact that they are expensive, at $9.85 per bag (wholesale). Diamant uses high-quality, fresh ingredients and does not store large stocks of the candy in inventory for very long period of time. Diamant’s distributor believes that demand for the candy follows a seasonal pattern. It has collected demand data (i.e., cases sold) for Diamonds from its warehouses and the stores it supplies for the past 3 years, as follows: Demand (cases) |Month |Year 1 |Year 2 |Year 3 | |January |192 |212 |228 | |February...
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...Diamant Foods Company – Case Study MGT - 9710 Diamant Foods Company – Case Study MGT - 9710 Ankit Kadakia Victor Hang Fung Monnica Honrade Bojan Grozdanic Ankit Kadakia Victor Hang Fung Monnica Honrade Bojan Grozdanic Background Diamant Foods, a company focused on producing food products, specializes in producing an exquisite line of candies. One of its most popular candy items is Divine Diamonds, a bag of dozen individually wrapped diamond-shaped candies made primarily from a blend of dark and milk chocolates, macadamia nuts, and a blend of heavy cream fillings. The company only sells Divine Diamonds in specialty stores in urban areas in the Notheast America. The candy is shipped in cases of 60 bags of the candy per case. Diamonds sell well, despite the fact that they are expensive, at $9.85 per bag (wholesale). Since the company uses only high quality and fresh ingredients, the company does not store large inventory of the candies for a very long time. The 3 year data provided in this case follows a seasonal pattern, using regression we determine the demand for the fourth year which is as follows Distributor Order Quantity | | Month | Forecasted Demand | Jan | 235 | Feb | 249 | Mar | 244 | Apr | 305 | May | 270 | Jun | 238 | Jul | 226 | Aug | 234 | Sep | 320 | Oct | 440 | Nov | 311 | Dec | 334 | Year | 3404 | Based on the above the annual demand is 3404/year. The annual carrying cost is $116...
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... In this area of the study, the problems talked about in the earlier segment of the study have been analyzed. Here the expert has concentrated on what Zotter chocolate as of now doing and what it can do in future to resolve the issues with these analytical models. 4.2: International Business Problem: * 4.2.1: Ricardo’s theory of international trade: This theory represents if Zotter wants to get the necessary raw materials from its suppliers of another country, it also needs to help them. Zotter can surely help them by importing the products which they do not have much cost advantage. For example, from the edible zoo, they can send meat to those suppliers. Again, it can send other nations the cocoa husk wastage of those chocolates so that they can recycle them and make food-grade paper. Nowadays it is possible to make food-grade paper from cocoa husk. By doing this, those countries can gain cost advantage. Finding: Zotter can send their own edible zoo meat to the suppliers of other countries. Besides this, they can export the cocoa husk wastage by which those suppliers can produce food-grade paper. * 4.2.2: Uppsala Model Uppsala model is a hypothesis that helps in establishing business in other countries through internationalization. * Market Knowledge To expand business in another country, company must have enough knowledge about the market. Zotter is gradually expanding its business to other countries. It needs to remind that every market is distinctive...
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...Chapters CHAPTER 1 AN INTRODUCTION TO INTERNATIONAL MARKETING INTRODUCTION Managers around the globe are recognising the increasing necessity for their companies and organisations to develop the skills, aptitudes and knowledge to compete effectively in international markets. The emergence of a more open world economy, the globalisation of consumer tastes and the unabated expansion of Internet access globally all increase the interdependency and interconnections of nation economies across the globe. The need for managers to develop the skills to respond to these pressures affects companies of all sizes. In this chapter, the reader will be introduced to the concepts of international marketing, enabling them to acquire an appreciation of the complexities of marketing on an international basis and of how this activity differs from operating purely in domestic markets. In the following sections we will define international marketing, examine the important trends in the global marketing environment and introduce the reader to the international marketing strategy development and international marketing planning process. LEARNING OBJECTIVES After reading this chapter you should be able to: I I I I Explain and use the SLEPT factors to assess international markets Discuss the differences between export marketing, international and global marketing Understand the criteria required to evaluate a company’s international marketing strategy Appreciate the key steps in the international...
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...Cataloguing-in-Publication Data A catalogue record for this book is available from the British Library. ISBN: 978-1-84480-763-5 Cengage Learning EMEA High Holborn House, 50-51 Bedford Row London WC1R 4LR Cengage Learning products are represented in Canada by Nelson Education Ltd. For your lifelong learning solutions, visit www.cengage.co.uk Purchase e-books or e-chapters at: http://estore.bized.co.uk CHAPTER 1 AN INTRODUCTION TO INTERNATIONAL MARKETING INTRODUCTION Managers around the globe are recognising the increasing necessity for their companies and organisations to develop the skills, aptitudes and knowledge to compete effectively in international markets. The emergence of a more open world economy, the globalisation of consumer tastes and the unabated expansion of Internet access globally all increase the interdependency and interconnections of nation economies across the globe. The need for managers to develop the skills to respond to these pressures affects companies of all sizes. In this chapter, the reader will be introduced to the...
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...Introduce the Company Sweet Sentiments Bakery, a budding idea for a classic bakery, is in the making for a local soon-to-be small business owner. Known for creating sweet and moist desserts, Ms. Lesley has spent years trying to find the perfect little bakery. Previously Ms. Lesley has created her baking goods within her own home and now plans to share her classics to others for a profit. Her baking skills are proven among those she has chosen to share her simple creations. Sweet Sentiments Bakery will provide a variety of baked goods designed to fulfill the individual’s needs depending on appetite or necessity. Éclairs, cream puffs, butterflies, and shoe soles will adorn the display for those customers looking for something special. Ms. Lesley also plans to provide classic baked goods such as a variety of cookies designed for the kid at heart, specialty pies for everyday needs, and flavored cakes for any particular occasion. Today’s bakeries should also be able to cater to the more health-conscious individuals. Taking the old fashioned flavors and developing a truly tasteful dessert without the calories and fattening ingredients are becoming more and more important in today’s society. Have a family member where sweets are a no-no? Sugar-free snacks and pastries are the new craze. Offering a selection of sugar-free cookies and cakes, Ms. Lesley has created wonderful desserts by using ingredients such as applesauce and artificial sweeteners. These desserts are perfect...
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...1.Introduction Nestle Nestlé was founded in 1866 by Henri Nestlé and is today the world's biggest food and beverage company. Nestlé employe around 250,000 people from more than 70 countries and have factories or operations in almost every country in the world. The history of Nestlé began in Switzerland in 1867 when Henri Nestlé, the pharmacist, launched his product Farine Lactée Nestlé, a nutritious gruel for children. Henri used his surname, which means ’little nest’, in both the company name and the logotype. The nest, which symbolizes security, family and nourishment, still plays a central role in Nestlé’s profile. Since it began over 130 years ago, Nestlé’s success with product innovations and business acquisitions has turned it into the largest Food Company in the world. As the years have passed, the Nestlé family has grown to include chocolates, soups, coffee, cereals, frozen products, yoghurts, mineral water and other food products. Beginning in the 70s, Nestlé has continued to expand its product portfolio to include pet foods, pharmaceutical products and cosmetics too. 2. MISSION STATEMENT 3.Why NESTLE? Nestle has a strong and deep management team that makes it a well run company. They have strategically focused the company and its products on their nutrition, health and wellness platform and it's paying off with stronger organic growth. NESTLE focuses more on a healthy diet as what we eat largely affects our health. NESTLE’s global diversification makes...
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...The trends that could transform the chocolate industry kpmg.com T he outlook for the world’s chocolate industry is brighter than it has been for eight years. Euromonitor predicts the industry will enjoy a 6% rise in revenues in 2014, delivering record global revenues of US$117bn. This robust performance is driven by a 2.1% increase in volume, reflecting growing appetite for chocolate in emerging markets. The challenge for the industry’s major players is how to make best use of this boom to profitably grow their volumes faster than the markets, achieve sustainable improvements in core operating margins and make the right investments – be they in capacity, acquisitions, the supply chain, marketing or R&D – to seize the significant opportunities ahead. The single biggest factor improving the industry’s performance is the fact that, at long last, the global economy is showing signs of sustained recovery. Growth in many major markets is accelerating. The stellar performers are India (expected to grow by 22% this year), Brazil (13%) and China (11%). The potential long-term growth in emerging economies – many of which have growing middle classes – is vast. To give just one example: the per capita consumption of chocolate in China is only a tenth of that in Switzerland. Yet, as this global tour of the chocolate industry suggests, the future is not without challenges. The immediate concern is the balance between supply of cocoa and the chocolate industry’s demand. Manufacturers are...
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...1&*" 1, / &0" 1%" / 1A> />:E HKIHK:M> 0HLIHGLB;BEBMR />IHKM ?HK MA> %>KLA>R HFI:GR TIME TO RAISE THE BAR: The Real Corporate Social Responsibility for the Hershey Company September 2010 Prepared by WWW.GLOBALEXCHANGE.ORG WWW.GREENAMERICATODAY.ORG WWW.LABORRIGHTS.ORG WWW.OASISUSA.ORG. 2 September 2010 1:;E> H? HGM>GML Executive Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 Areas for Improvement. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 Desired Outcomes for a Fair Hershey’s . . . . . . . . . . . . . . . . . . . . . 7 Problems at the Source. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 Lack of Transparency . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 Lack of Certification . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 Commitment to Ethical Cocoa Sourcing . . . . . . . . . . . . . . . . . . . 15 Certification Chart . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17 Other Corporate Social Responsibility Initiatives . . . . . . . . . . . . . . . 18 Job Losses and Worker Rights Abuses in the US . . . . . . . . . . . . . . . . 21 Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23 Desired Outcomes for a Fair Hershey’s . . . . . . . . . . . . . . . . . . . . 24 Appendices A. Breaking the...
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...REGINA GARCÍA CUÉLLAR Chocolates El Rey The divine drink which builds up resistance and fights fatigue: a cup of this precious drink permits a man to walk for a whole day without food. — Hernán Cortés, 15191 In late November 2006, Jorge Redmond, CEO of Chocolates El Rey, called a meeting with senior management to discuss the company’s growth strategy. A relatively small firm with sales of around $14 million,2 El Rey produced top-quality chocolate made with single-origin Venezuelan cocoa beans.3 The firm sold its chocolates in four different sectors—food services, industry, retail, and beverages4—and exported 17% of its production, mostly to the United States, Europe, and Japan. El Rey needed to grow, but Redmond wondered how to achieve growth and how to market the El Rey brand to its different target segments and international markets. With only 0.5% of cocoa’s world production, was it worth the effort to try to establish a country-of-origin image for Venezuelan chocolate? If so, how should El Rey go about it? And was this wise for a small company with scarce resources for marketing? El Rey In 1929, José Rafael Zozaya and his father-in–law, Carmelo Tuozzo, introduced chocolate bars under the El Rey brand, founding Venezuela’s second-oldest chocolate company. The company, called Tuozzo Zozaya and Co., was funded with a 15,000-Bolívares (Bs) loan from Pius Schlageter. Tuozzo Zozaya produced mainly chocolate bars for hot cocoa (chocolate de taza) for customers...
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...a tiny village called York, on a cold dreary day the funeral procession for the late Hagatha L. Worstshire was about to begin. A small group of relatives and friends gathered for this sad day to pay their respects to an old woman who had recently been found dead inside her oven. The old woman was a quiet soul who lived alone in a house made of gingerbread and cakes with windows made of sugar. However, Hagatha didn’t always live in a house made of confection. While a resident of YorkVillage, she lived in a simple three room cottage. The cottage interior had an open concept floor plan. One room held the kitchen and dining area, the 2nd room was a bedroom and Hagatha turned the 3rdroom into a play room for the children who enjoyed her company. Hagatha never had children but she found great joy in baking and making sweet treats for the children of her village. Every Sunday Hagatha would spend the entire day making cakes, cookies and candies to be shared with the children of York Village. After church, the children would all gather at Ms. Hagatha’s home and feast on the vast number of treats the nice woman spent her day creating. Hagatha would always warn the children against over consumption. She would tell them how even the best things in life require moderation and should be consumed in small amounts or the consequence would be unfavorable. While most of the children heeded the old woman’s advice, there were two young girls who felt the old woman was senile and was only...
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