Partial cost recovery. This is an objective that might have interest for an organization that has other revenue sources.
Maximize quantity. The objective seeks to maximize the quantity of products/services sold or the number of customers in order to reduce costs in the long-term as predicted by the learning curve, also known as the experience curve.
Quality leadership. Use price as a tool to designate high quality and position the product as a quality leader.
Survival. Whenever the market situation is in decline or at overcapacity, a company may choose a pricing level that covers the costs and allows it to remain in the market even though the profits may be affected. This is usually a short-term strategy.
Status quo. A company may choose price stabilization, thus avoiding price wars and maintaining a moderate profit level.
'Nutri Mix' will be positioned as a medium priced product, just like other healthy breakfast cereal products on the…...
mlaReference list:
About.com, retrieved July 15, 2009, from:
http://marketing.about.com/od/marketingglossary/g/imcdef.htm
Australian Bureau of Statistics. (2004). Australian Social Trends, 2004. Retrieved July 15, 2009, from: http://www.abs.gov.au/Ausstats/[email protected]/7d12b0f6763c78caca257061001cc588/31bd15113714d0fcca256e9e00295194!OpenDocument
Australian Government Intergenerational Report (IGR). (2004). Australia's Demographic Challenges: Retrieved June 25, 2009, from:
Furthermore, the researcher could explore the frequency of purchase, consumption, budget, and usual places where the mother purchases the product. Also, the exploratory discussion could lead to other dimensions and information about breakfast cereal purchase and consumption that were not identified in previous studies. Similarly, in IDIs, concepts that will be explored and discovered during the one-on-one interview could be developed into variables for the survey. For concepts identified in FGDs and IDIs, they will be used as variables for the survey, and will be tested during the analysis stage for validity and reliability.
Another proposed approach is through an ethnographic study. Similar to the qualitative methods, an ethnographic study would explore concepts that will be quantitatively tested for validity and reliability in the survey. In ethnographic studies, the researcher will observe and take note of the processes that take place in the target groups' natural environment. This could be…...
There is always a question as to who is really the purchase-driver of children's foods. One school of thought suggests that children, through the 'nag factor.' drive the purchases of sugary cereals. On the other hand, some might say that it is always the parent who puts down the final dollars for the product. The contemporary Frosted Flakes advertisement shows Kellogg's savvy in understanding that it is both: Tony the Tiger's image draws children in, yet parents are comforted by the fact that the cereal apparently contains some nutritional value.
Unlike the earlier box, however, this ad is quite misleading. Its stress that the flakes are "full of energy" hides the fact that 'energy' is being used as a synonym for calories and sugar. Even a Snickers bar, after all provides energy. The advertisement of today is more holistic in its audience target. It also reveals that the way people…...
mlaWorks Cited
1960s Kellogg's Frosted Flakes Advertisement. Flickr. October 27, 2010.
http://www.flickr.com/photos/christianmontone/4497280472/sizes/m/in/photostream/
Frosted Flakes Gold. October 27, 2010.
http://www2.kelloggs.com/ServeImage.aspx?BID=48170&MD5=55ba3ef9d204548d6d646c42d1905cc7&W=220
breakfast "trumps" all other meals for the top spot."
It is widely believed that breakfast is the most important meal of the day. The likelihood of children who always take breakfast having favorable nutrients like carbohydrates and fiber and less cholesterol and fat is higher than is the case among children who seldom take breakfast. Consuming breakfast is also linked to improved overall lifestyle. Children who do not have breakfast regularly report weaker cardiovascular fitness. These assumptions of the place of breakfast in the health of children are grounded on laboratory research. While the evidence is a bit mixed, available studies indicate that breakfast improves children's cognitive aptitude and performance, especially in the areas of attention and memory. Further, the effect having breakfast causes is more pronounced among undernourished children (Katie Adolphus, Clare L. & Lawton, Louse Dye, 2013).
esearch indicates that not having breakfast reduces one's ability to solve problems,…...
mlaReferences
Eliza Cook, & Rachel Dunifon. (2012). Do Family Meals Really Make a Difference? Parenting in Context.
Bazian. (2014). Breakfast 'not the most important meal of the day'. NHS Choices.
Caroline R. Mahoney, Holly A. Taylor, Robin B. Kanarek, & Priscilla Samuel. (2005). Effect of breakfast composition on cognitive processes in elementary school children. Physiology and Behaviour, 635-645.
Heather Harvey. (2005, July). Breakfast-Is it the most important meal of the day for children and adolescents? Nutrition for Family Living.
Kellogg's Marketing Plan
Consumer Buying Process
Consumer behavior is a complex phenomenon to study the consumer certainly is not as rational as once believed. Marketers used to believe that if you provide the consumer all of the information then they would make a rational decision. However, we have learned that psychological and personality traits also play a large role in the decision making process. Kellogg itself learned this fact the hard way when it tried to enter the Indian market. In the 1990s, Kellogg's spent $65 million trying to enter the Indian market in hopes of gaining a small percent of the entire market share with its Corn Flakes cereal (Vaish, 2012). They ignored the buying habits of Indian consumers that were built upon thousands of years of breakfast habits and ultimately there market entry failed.
In the U.S. And other Western markets, one of the biggest trends has been the rise of…...
mlaReferences
IndustryWeek, 2009. Kellogg Co.: CEO Talks Consumer Behavior, Food Safety. [Online]
Available at: [Accessed 5 June 2015].http://www.industryweek.com/public-policy/kellogg-co-ceo-talks-consumer-behavior-food-safety
Leonard, D., 2015. Who Killed Tony the Tiger?. [Online]
Available at: [Accessed 5 June 2015].http://www.bloomberg.com/news/features/2015-02-26/for-kellogg-cereal-sales-recovery-may-be-lost-hope
Sanitarium Heal & Wellbeing Company is the operating/trading name of twin fod companies (New Zealand Health Association Ltd. And Australian Health and Nutrition Association Ltd.). Both of these companies are owned and operated by the Seventh-Day Adventist Church .The company produces a wide range of breakfast cereals and a wide range of vegetarian products. Sanitarium was founded in 1898 with Weet-Bix being its flagship products that topped sales in the New Zealand and Australian breakfast market. Sanitarium also operated several health food shops in numerous cities before the 1980s.The company has factories in various locations across New Zealand and Australia. In this paper we conduct the company's Organisation, Environmental and Market analysis as well as a determination of its segmentation and positioning strategies.
A SWOT analysis of Sanatorium
In order to conquer and dominate any given market, adequate information is needed on the prevailing market conditions as well as the organization's…...
mlaReferences
Brassington, F. Pettitt, S. (2005), Essentials of Marketing, Harlow Prentice Hall.
Coddington, D (n.d). Bran Flake. Accessed on 3/23/2012 at http://www.freeradical.co.nz/content/34/34deborah.php
FMCG (2012). Breakfast stars. Accessed on 3/23/2012 at http://www.fmcg.co.nz/features/category-reports/1165
Groucutt, J., Leadley, P and Forsyth, P (2004)Marketing: essential principles, new realities. Kogan Page Publishers
Market of Grain in the United States
In the United States, millions of Americans are confronting the latest trends in the commodities markets where the costs of agricultural products have driven up costs of breakfasts of average Americans. Over the past year, the price of orange juice has increased a quarter, and the price of milk has also risen by 5%, and egg by a fifth. The issues have made General Mills and Kellogg's to increase the prices of their breakfast cereal products. The cause of an increase is due to a recent rise in the price of grains such as wheat and corn. Underpinning the rise in the price of grains is that the demand has outpaced the supply because of the growing demand for cereals for the production of biofuels such as ethanol. Thus, the author is trying to reveal the factors that lead to an increase in the…...
Marketing
Ethics in Marketing
BP and Toyota have been in the news due to serious failures, which created significant safety risk and ultimately resulted in deaths as well as significant environmental damage in the case of BP with the exposition on the Deepwater Horizon oil rig. In both cases there were internal failures. In these two cases there were notable failures which received a high level philosophy and have damaged the reputations of the firms. The causes of the safety problems may be divergent, but the marketing problem of the two firms are similar'; to guide the firm though a recovery and restore faith in the brand; unless this is achieved the firms are likely to suffer financial with lower sales.
If working for the marketing the department's responsibility is to support the firm's recovery, but this does not mean it should be undertaken in an unethical manner. The marketing department has the…...
mlaReferences
Bakir, Aysen; Vitell, Scott J, (2010), The Ethics of Food Advertising Targeted Toward Children: Parental Viewpoint, Journal of Business Ethics, 91, 299 -- 311
Chapter 10, Responsible Marketing, Source details unavailable as supplied by student
Cross, Gary, (2002, Dec), Valves of desire: a historian's perspective on parents, children, and marketing, Journal of Consumer Research, 29(3), 441-448
Kotler Philip; Keller Kevin, (2011), Marketing Management, Prentice Hall
The weaknesses of the company are first that it relies on just a few top customers for the majority of its revenue growth and its lack of product quality have at times led to recalls. Opportunities include the growing level of health consciousness in globally, higher levels of product demand in Latin America nations that today have relatively low levels of adoption today and the potential to grow through mergers and acquisitions (Kissas, 2007). The threats Kellogg's is facing include stringent regulations and a lack of strategies for managing foreign exchange risk. In addition there is intensive pricing pressure from competitors as well.
GOALS and OBJECTIVES
The goal of transforming Kellogg's Fruit Loops into a healthy alterative and also spinning off new products for its widespread popularity is the goal of this marketing plan. Specifically concentrating on product line extensions for the product into the ready-to-eat cereal category is the goal.
TAGET…...
mlaReferences
Bainbridge, J.. (2010, March). All-day breakfast. Marketing,32.
Jeff Cioletti. (2005, January). There is no spoon. Beverage World, 124(1746), 12.
Clare Dowdy. (2004, October). Bright lights, big brands. Marketing,39-40.
Anne Bond Emrich. (2008, June). Kellogg Makes Progress on Nutrition Initiatives. Grand Rapids Business Journal, 26(26), 6.
..hile older children and adults understand the inherent bias of advertising, younger children do not, and therefore tend to interpret commercial claims and appeals as accurate and truthful information," said psychologist Dale Kunkel, Ph.D., Professor of Communication at the University of California at Santa Barbara and senior author of the task force's scientific report. (Kunkel, et.al, 2004)
The Lego ads, when seen by younger children who "do not understand persuasive intent in advertising," might feel as if the balance of the world really does hang in their hands -- and an older child might be confused by the overlapping techniques of advertising, which blur the lines between advertising with a persuasive ulterior motive to encourage consumption, and entertainment in the form of cartoons. This confusion might be another reason for the greater efficacy of movie and product tie-ins with children's advertising."(Briesch, Bridges, & Kim, 2004) This fact is seconded by J.…...
mlaWorks Cited
Briesch, Richard, Eileen Bridges, & Chi Kin (Bennett) Yim. (Nov 2004) "Advertising
Decisions and Children's Product Categories." SMUCox. Retrieved 6 Dec 2006 at http://www.cox.smu.edu/article/research/research.do/114
Campbell, Margaret & Amna Kirmani. (2000). Consumers' Use of Persuasion
Knowledge: The Effects of Accessibility and Cognitive Capacity on Perceptions of an Influence Agent." Journal of Consumer Research. Vol. 27. Pp.69-83. Retrieved 6 Dec 2006 at http://www.journals.uchicago.edu/cgi-bin/resolve?id=doi:10.1086/314309&erFrom=8138845525183247928Guest
In the "question marks" category were introduced the products of the "Specialty channel," as they appeared in 2004 and tried to conquer a relatively new market for the company, that of the non-traditional products. Therefore, this attempt has not been proved to be a real success because, just as in the case of the natural, organic and frozen products, the market of the specialties had been reached by other companies and, even though the investments were quite high, because the offer of products was diverse, the growth has proved to be quite low.
The QSPM Matrix
Having all these in mind, the main two directions I could identify for the Kellogg Company to follow are represented by a potential enlargement of its company in Europe -where for example, the sugar free chocolate chips cannot be found- or by a diversification of the products line in the North America, the most productive…...
mlaBibliography
Henry H. BEAM, "Kellogg Company-2005," Western Michigan University
Rory O'BRIEN, "Normative vs. Empirical theory and Method," New York American library, 1981
J.P. GUILFORD, 'Psychometric Methods," McGraw-Hill, New York, 1954
E. GUMMERSSON, Relationship Marketing," Macmillan Publishing Company, New York, 1993
As far as the decision to use penetration pricing or skimming pricing is concerned, Crispy Fruit should be emerged with the penetration pricing (Waterschoot & Bulte, 1992). That is; set a low price in the introductory stage then gradually increase it with the passage of time. It will help it to strengthen the customer base and increase the level of acceptability in the market (Waterschoot & Bulte, 1992). Price skimming should not be used in any case. This is because all the top competitors of Crispy Fruit are charging high price because they have a surety of a developed customer base. If Crispy Fruit charges a higher price than these competitors, no consumer will like to pick a new brand with a higher price in the presence of their favorite brand or brands (Waterschoot & Bulte, 1992). Converse to this situation, if Crispy Fruit charges a very less price than…...
mlaReferences
Bamford, D., Forrester, P. (2010). Essential Guide to Operations Management: Concepts and Case Notes. U.S.: John Wiley and Sons
Dickson, P., Ginter, J. (1987). Market Segmentation, Product Differentiation, and Marketing Strategy, the Journal of Marketing, American Marketing Association, Vol. 51, No. 2, pp. 1-10
Hill, C., Jones, G. (2007). Strategic management: an integrated approach. U.S. Cengage Learning
Kotler, P., Armstrong, G. (2008). Principles of marketing. 11th Edition. U.S.: Pearson/Prentice Hall
HM Job
Human esource Management PBL exercise
Human esource Management
PBL exercise 1: Taking an HM job
The cereal company Sanitarium is currently seeking an H generalist. Sanitarium advertises itself as the company that transformed Australia's eating habits, shifting the tastes of the national palate from traditional 'fry-ups' to more healthy whole grains at the breakfast table. "We were the first to introduce healthy and innovative breakfast foods and soy foods. We promoted plant-based eating before it became trendy, and offered well-being clinics in our cafes throughout Australia. In caring for the health and well-being of all Australians, we have created great breakfast cereal foods, soymilks, spreads and healthy vegetarian foods" (About us, 2012, Sanitarium).
Sanitarium's flagship products include the popular wholegrain staple Weet-Bix, which is currently Australia's best-selling breakfast cereal. Sanitarium emphasizes sustainability in its product offerings as well as good health. It has made a particular commitment to improving the health of…...
mlaReferences
About us. (2012). Sanitarium. Retrieved:
http://www.sanitarium.com.au/about-us
Lifestyle. (2012). Sanitarium. Retrieved:
In other words, it's all well and good for McKevith to focus only on the hard figures (fiber content, what makes up each cereal, etc.) but Berketova is focusing on both parts of the research equation (everything McKevith looked at but also inclusive of consumer opinion, why consumers choose one cereal over another, personal opinions, etc.) and thus this research will be more illuminating if done correctly since the research addresses the hard figures as well as the insights that statistics and figures cannot provide.
Using qualitative only (which Berketova did NOT do) would be unwise for anything that has relevant statistical information to gain. As such, it is wise that Berketova included both dimensions. McKevith did quantative only which is fine if assessing the "what"…but again, it's not the least bit adept at answering any "why" questions about who is consuming what and "why."
Conclusion
As noted above, quantitative research is…...
mlaReferences
Berketova, L. (2006). [Study of qualitative and quantitative of dietary fibre composition in dry breakfasts and food supplements, contains wheaten brain]. Voprosy Pitaniia,
75(2), 30-32.
McKevith, B. (2004). Nutritional aspects of cereals. Nutrition Bulletin, 29(2), 111-142.
doi:10.1111/j.1467-3010.2004.00418.x
Pro Veganism
A strictly vegetarian diet is best suited to the human body's needs, mankind's ability of survival on earth, and our inherent compassion. Switching to such a diet is fairly simple and creates the opportunity to lead a healthier, happier, and gentler life (Marcus, xi).
For numerous reasons, humanity has been increasingly taking to veganism since the last few years. Some vegan supporters assert their participation in a dietary regimen wherein consuming or utilizing animal products is unethical, according to their religious beliefs or values. Meanwhile, others put forward the argument of animal consciousness's ethicality and the industrial farming process. Those who claim to be vegans most probably do so owing to environmental, animal rights, or personal health concerns, which can alter with time. Several vegans begin as vegetarians, gradually ceasing consumption of milk, eggs and other animal by-products. Meanwhile, others turn purely vegan right from the outset. In Maurer's (2002)…...
mlaReferences
Primary Sources
Jacqui. Beyond Factory Farming: Sustainable Solutions for Animals, People and the Planet. A Report by Compassion in World Farming. 2009. Web. 15 July 2016. http://www.compassioninfoodbusiness.com/media/3817096/beyond-factory-farming-report.pdf
Phillips, Frankie. "Vegetarian Nutrition." British Nutrition Foundation. Nutrition Bulletin, 30, 2005, pp. 132-167.
Rauma, Anna-Liisa. Vegetarianism and Vegan Diet. Physiology and Maintenance, vol. II. 2011. Web. 15 July 2016. http://www.eolss.net/sample-chapters/c03/E6-54-03-06.pdf
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