Identify five microenvironmental factors that affect the development and introduction of Vitango. Explain the role each of these factors played in Coca-Cola’s strategy. Divide your answer into five sections, one for each factor.
Factor #1 – The Company Research and Development works with Top Management, Operations, Accounting, Purchasing and Finance in the case of Vitango these areas need to be looked at simultaneously. Coke-Cola marketing managers need focus on providing a product that will be attainable for the target market; very poor school aged children that suffer from malnutrition. Marketing manager’s strategies will need to focus on three areas. The first is the research and Development of the product. The current form of powder will need to be redeveloped in to ready to drink version as the possibility of clean water to mix with could be a challenge for the target market. The second area of affordability will also be looked at. The price of the product can not be too high as the target market will not able to afford it. The third area of education is also another important factor which must be reach target market. Without the education to combine Vitango with a balance diet, the target market may still derive malnutrition problems by missing others nutritional needs. Vitango is a supplement not a replacement for regular diet.
Factor #2 – Marketing Intermediaries With Vitango, there are two basic Marketing Intermediaries of Local Government and the Global Alliance for Improved Nutrition (Gain). Both of the Marketing Intermediaries participate in promoting, educating, and as financial intermediaries. Although some local governments may not have many funds for this type of support, they will play a heavy in Promoting and Educating in their countries. Gain on the other hand will provide financial support with funds made available to the Local Governments to increase demands for fortified foods. For Gain, they also lobby for favourable Tariffs and Tax rates for Coke-Cola. Coke-Cola is looking to partner effectively with Marketing Intermediaries to allow for a seamless optimizes Performance of the entire system.
Factor #3 – Customers Vitango customers are the children that suffer from malnutrition in poor countries. This is the Consumer Markets defined by individuals and households that buy goods and services for personal consumption. The customers here are also further defined as Children attending school that have trouble to sustain attention in class. Coke-Cola is developing a supplement to deliver fortified foods improve the nutritional issue faced by these children. The end result is that these children will be able to receive education with the proper focus and vigour to make learn easy and fun.
Factor #4 – Competitors P&G is competitor is this market. P&G is also looking to develop fortified foods for the same target market of Children that suffer malnutrition that have problems with staying attentive in school. Here Coke-Cola will watch and collect information on P&G progress. Looking at how P&G gets the product out there. An interesting use of McDonalds proved success for 50% of Happy Meals include there product as the drink of choice. Price points and the ability for families to afford the product choices is another area to watch as Coke-Cola develops their marketing plan.
Factor #5 – Publics With the various publics at work with Vitango, you need to be aware of several. They included Financial Publics, Media Publics, Government Publics, Citizen-action Publics, Local Publics, General Publics and Internal Publics. For Coke-Cola the interest of all the publics due plays important part in the marketing process. For instance, Government Publics is one that needs to support the Fortified food for their countries. Without the support, efforts will be lost in the red tape. Another is Local Public where it is important to promote and educate how to use the fortified foods which is in this case is Vitango drink mix. General publics can also extent multiple countries with define interest of how well it is received and