Assignment MC Cain

Assignment -1Case On McCain Foods, the marketing mix in the food industry Marketing ManagementGROUP-1Section: BSubmitted to: Hoq,
q, Md. Ziaul Submitted by:NameID 1. Rokshana Alam 10-94273-32. Nahar Samia 10-94230-33.4. Submission date: 21/02/2011 1. Which four Ps make up the marketing mix? Answer: Marketing mix is the balances of four elements (the four Ps). A product or service willhave its own different mix of the four Ps. The right mix will achieve mar keting objectives andresult in customer satisfaction. Themarketing mixis often referred to as the '4 Ps'(product, price,place and promotion). To meetcustomers' needsa business must develop products to satisfythem , charge the right price, get the goods to the right place, and it must make the existence of the product known through promotion. Products or services Product - this has to look and taste good and be made from wholesome ingredientsMust meet customer requirements whatever these might be. For example, an important aspect isf u n c t i o n - p r o d u c t s s h o u l d d o w h a t t h e y s a y t h e y c a n d o a n d w h a t t h e y a r e e x p e c t e d t o d o . McCain Foods is the worlds leading manufacturer of frozen potato products. Although McCainis perhaps best known for producing Oven Chips, its product lines are much wider. Price The price has to be attractive to ensure enough sales to generate a profit. Needs to be relevant tothe product/service and the market. McCain uses a range of pricing strategies associated withadding value for money. For example, extra-fill packs can give the customer up to 30% extra free. This rewards regular buyers of a particular product. McCain may also offer its products at aspecial promotional price using price-marked packs to encourage people to try the product. Afirm's pricing decision is often aimed at attracting a particular market segment. For example, if itwants to sell at the top end of the market it will charge a high price, at the bottom a low price, and so on. Place The place and position of the product in the market is important to compete for market share.Roughly one fifth of the cost of a product is spent getting it to consumers. Of course, the actualf i g u r e v a r i e s w i d e l y f r o m product to product but generally dist ribution is a very i m p o r t a n t element in the marketing mix. Different organizations use different approaches to reaching their customers. Place describes the channels McCain uses to position its products in the marketplace.As a business-to-business ( B2B ) organization, McCain does not sell directly to its consumers. Instead it places its products with wholesalers
and retailers, such as major supermarket chains.McCain may then be able to influence how its products then reach the consumer at the point-ofsale . For example, it may secure key positions for its products in stores. By paying for end-of-shelf positions for its products, customers are more likely to see and buy them. Promotion Promotion i s t h e p r o c e s s o f communicatingw i t h c u s t o m e r s . T h i s h a s t o f i t t h e c o m p a n y s objectives for the product . For marketing purposes, communication of products and services contributes to the persuasion process to encourage consumers to avail themselves of whatever ison offer. The key processes involved in promotion, include: branding - creating a distinctive image and character to an o r g a n i z a t i o n / a n d o r i t s products and services advertising - to inform and persuade the public Packaging - presenting the product in desirable and appropriate way public relationsactivities and other forms of publicity sponsorship. Special promotions - e.g. buy one get one free.Promotion falls into two main categories: Above-the-line: Direct expenditure on advertising, such as for a TV advertisement. Supplier (Mc Below the Line: Use of indirect promotional methods such as public relations and advertorials;promotional activity other than advertising 1. Explain the different product categories in the Boston Matrix. Why is thisuseful tool for businesses ? Answer: A useful tool to help a business analyze its product lines is the Boston Matrix.Below the Boston market Matrix is explain in details and also explaining how it is important for the Businesses. BostonMatrix High MarketGrowthRate Low LowHigh Relative Market Share The Boston Matrix identifies four types in a companys product portfolio:
Stars . These products have a high market share in markets that are g r o w i n g q u i c k l y. F o r example, the Play station was a star when it was first introduced into the games market. Question Marks . These products have a low market share in a growing market. Cost s aremore than returns as the company tries to increase market share. An example of a Question Mark could be a newly launched fashion item or a new car model. Stars QuestionMarks Cash Dogs Cows Cash Cows. These products have high market share in established markets, for example,cornflakes in the breakfastCereals market. Dogs. These products have low market share in a low growth market. A company may look toget rid of these products or invest in marketing to improve sales. For example, DVD recordershave replaced video recorders which became Dogs for the electrical firms making them.A b u s i n e s s w a n t s t o a v o i d a n y o f i t s products being Dogs, although this may happen a s t e c h n o l o g y, i n n o v a t i o n a n d t r e n d s c h a n g e . S t a r s c a n b e c a s h f l o w n e u t r a l . T h i s m e a n s t h a t although they generate income, money needs to be spent on promotion. Stars should in time become Cash Cows. Cash Cows generate income and require little investment. Question Marks(sometimes called Problem Children) generate costs in terms of promotion, while returning little.Businesses hope that they will turn into Cash Cows with some investment. However there is thedanger that they could become Dogs.For the business analysis a Boston Matrix is important because it analyze the companys growthrate in the market, its share, profit, position. Boston matrix measure the companys position inthe market, customer needs.

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Assignment -1Case On McCain Foods, the marketing mix in the food industry Marketing ManagementGROUP-1Section: BSubmitted to: Hoq,

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