Ep 23

There are many options in the low-calorie frozen, microwavable food industry available in the industry today. The demand for this market has increased over the years as consumers are in need of quick on the go meals. Two of the leading competitors in the industry include Lean Cuisine and Smart Ones. Lean Cuisine offers a brand of frozen meals manufactured by the Nestle Corporation. Smart ones also offer frozen meals which are made by H.J. Heinz Company. The regression results in Assignment 1 show that the product is inelastic. The market structure is determined to be a monopolistic competition market.

Lean Cuisine was first established in the early 80’s in response to the increasing desire of consumers for weight management products (Nestle, 2014). Lean Cuisine is owned by Nestle and offers variety of frozen foods and is a leading choice for low calorie food.

Demographic market segmentation is a strategy where the company divides the larger market into groups based on several defined traits (Kokemuller, 2014). These traits include age, race, gender, marital status, occupation, education and income are included (Kokemuller, 2014). In analyzing these variables you can look at behavioral traits to determine buying patterns.

In determining the market structure for food industry, you should first have a market strategy. The purpose of a marketing strategy is to help a company make as much profit as they can each year. The marketing strategy can always change and will never stay the same. In developing a market strategy a specific demographic will need to be targeted. Consumer behavior is a process that can help determine a purchase decision. Once marketers have enough data about our shopping habits and preferences, they can use that information to help them make predictions about our shopping behavior (Roach, 2014). These predictions can be used to influence a customer’s buying behavior through market strategy. For example, baking supplies like...