Introduction to Marketing

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Category: Business and Industry

Date Submitted: 09/27/2010 01:13 PM

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Question 1:

Company: Coka-Cola has been around since 1944 and has since then dominated the soft drink industry with a staggering 68% percent in the US alone. Coke is already distributing a variety of products internationally. Given that fact, Coke is in a strong position to be able to enter into the nutrition industry. Due to the assumption that Coke is in a solid financial state it was able to invest millions of dollars and several years of research into building the product – Vitango. Vitangos success would rely heavily on the Cokes ability to market, distribute and supply its product. Considering distribution isn’t new ground for Coke, it shouldn’t have a problem in doing so.

Suppliers: Suppliers play an important role in the success of Vitango. It can directly affect price, brand and ultimately the customer relationship. Coke will not only have to leverage its relationship with GAIN but with its suppliers as well. In order to maintain a brand standard Coke will also have to allocate and invest resources in its suppliers in order to maintain product margins and increase sales.

Customers: One of the key attributes that was overlooked was the demographics that Coke was targeting. Poverty playing an important role, Vitango seems to have been overpriced for society’s affordability. People wouldn’t pass a meal for an overpriced nutritional drink. Another important customer attribute is the fact that most are uneducated and would see Vitango as an ordinary fruit drink thus resulting in low sales of Vitango

Marketing Intermediaries: Having the involvement of GAIN is a key factor in introducing and promoting Vitangos to Botswana. Without GAIN, Vitango may not necessarily be accepted as an alternative solution to malnutrition. Society may just see it as another soft drink by Coke. GAIN can help facilitate Cokes core messaging surrounding Vitango through large-scale public relations campaigns along with the support of the local government. GAIN can really push...