Marketing and Goodies Producers

 Marketing and Ice Cream Producers Analysis Paper


Ice-Fili is actually a mid-sized and privatized joint-stock company in Russia. In 2002, it ranked as the top goodies producer which in turn offered 170 different ice cream products and acquired more than $25 million in sales. In addition , Ice-Fili's flagship ice cream brand --" Lakomka” was accountable for 30% from the company's revenue.  However, Ice-Fili has been burning off its business and encountering a reduction in sales quantity in recent years because of the increasingly competitive Russian goodies market. External Analysis

Lifestyle Cycle Level

The Russian ice cream market was in the expansion stage following 1996, the ice cream usage value a new huge increase by 222, 1000 tons in 1996 to 376, 000 tons in 2002. However , the industry reached the shakeout stage in 2002 since the demand for ice cream approached saturation level and the competition between companies became more intense (300 companies in 2002). INFESTATIONS Analysis

The table below shows how the macro-environmental factors influence ice cream market in Spain. Political| -- GOST: a minimum standard deciding the ingredients and quality, which usually protected classic Russian your favorite ice cream producers| | - The Dissolution with the Soviet Union: state-run overall economy transferred to an open-market economic climate, which lowered entry obstacles and lead to higher competition| Economic| -- Open Marketplace: created a chance for overseas producers to expand their very own ice cream brands in Russia| | - Financial Crisis of 1998: hindered some potential entry candidates and detrimentally affected existing firms | Social| - Increased Demand for Bulk Goodies: enabled ice cream producers to capture the home usage segment| | - Improved Consumption of Substitute Goods: as alcoholic beverages and soft drinks products gain popularity among the younger generation, the ice cream industry faced the challenge of decreasing sales| Technological| - Rapid Advancement the Ice Cream Equipment: an opportunity for goodies producers to efficiently produce and maintain superior quality products

Porter's 5 Makes

Bargaining Power of Suppliers

2. For suppliers of ingredients: low attention and low switching costs * To get suppliers of equipment: high attentiveness and high switching costs Bargaining Benefits of Suppliers

* Pertaining to suppliers of ingredients: low concentration and low moving over costs * For suppliers of equipment: high concentration and high transitioning costs Relating to Porter's 5 Pushes model, Glaciers Fili can be facing a powerful competition within just Russian goodies industry. Consequently , Ice Fili's managers need to determine the best strategy to create competitive advantages of the company in order to compete and strengthen it is market placement.

Danger of Alternatives: High

5. Low moving over costs

2. Existence of substitutes such as beer, confectionaries and snack foods * Large market regarding substitute items

Threat of Substitutes: Substantial

* Low switching costs

* Lifestyle of alternatives such as ale, confectionaries and snacks * High market growth of substitute products

Depth of Rivalry among Set up Firms: Substantial

* Large numbers of competitors (300 in 2002) including regional, Moscow-based, and foreign producersВ В В * Slow market growth

* Overcapacity

* Excessive barriers leaving

Intensity of Rivalry among Established Businesses: High

* Large number of opponents (300 in 2002) which include regional, Moscow-based, and international producersВ В В 2. Slow industry growth

* Overcapacity

5. High boundaries to exit

Bargaining Power of Purchasers: High

2. Low switching costs

2. Low level of product differentiation

* Low demand elasticity

Bargaining Power of Buyers: Large

* Low switching costs

* Low level of merchandise differentiation

5. Low require elasticity

Likelihood of entry by simply potential rivals: High

5. Low company loyalty

5. Easy access to distribution stations

* Fragmented market

2. Lack of obvious rights...

Recommendations: Hill, C. W. T., & Smith, G. Ur. (2004). Proper Management: A built-in approach (9th ed. ).

Boston: Mass Houghton Mifflin.

Rukstad, M., Mattu, S., & Petinova, A. (2003). Ice-Fili. Boston: Harvard Business Institution



Capital Marketplaces Equity Analysis Game Composition

Berenberg Capital Markets Collateral Research Strategy adidas – Buy (initiation) Puma – Hold (initiation) John Man Analyst +44 20 3465 2674 david. [email protected]…...

Housing Costs in the North park Region Article

2010 Inexpensive Housing Assets City of North park edition Local rental Assistance Treatment of Homes Homebuyer Incentives Creator Incentives Cost-effective Housing Local rental List Single Room Occupancy Hotels…...

The Progression of Philippine Literature Article

Though relatively young compared to other world literatures, Philippine literature has come far in changing from the early forms of folk traditions literature towards the contemporary materials we know…...

Reflective Producing on Promoting Essay

Reflective writing During your time for university you will spend a lot of your time thinking – thinking about what individuals have said, your reading, the own thinking…...

Bond Concern Essay

Bond Issue The city of Salina, Kansas has been up against a tough decision. There are two high educational institutions in Salina. There is a university located southern…...

Parthenon Composition

Athena by Jerr Stowe Period 2 The god as the topic of discussion in this record is Athena. Athena was an important part of the Olympic…...

Milan Kundera’s The Unbearable Lightness of Being: Lightness or Heaviness Essay

п»їBrittany Stuberfield Professor Woehler Enc 1102 Nov 5, 2014 The Unbearable Lightness of Being The Unbearable Lightness of Being opens using a philosophical…...

science and indigenous knowledge Essay

" Scientific research: a human body of knowledge based on facts led by systematic experimentation, and analysis, plus the formulation of general principles” (Geddes and Grosset, 2007) vs .…...

Sample Approach Maps Dissertation

Sample Strategy Roadmaps Best Practice Strategy Maps Software Company Strategy Map Financial Perspective Leader in Strategic Market segments Increased Aktionar Value Mix up Revenue…...

Essay around the Merge: Tmobile and Metropcs

The Blend: T-Mobile & Metro COMPUTERS Two of the largest low-cost cellular providers, T-Mobile and Community PCS, happen to be preparing to combine into one solitary entity. The resulting…...