The Day Chocolate Case
The Day Chocolate Case
International marketing
Assignment 1
Date: 2nd of March 2011
Group 1.4
Table of contents
Table of contents 2
1. Introduction 4
1.2. Main characteristics of The Day Chocolate Company 4
1.3. Porters Diamond 5
1.4. Comparative industry structure analysis: Porter’s five forces 5
2. Applying available theories, concepts and statistics to answer the requested questions 6
2.1. Question 1: Describe the consumer segment Day Chocolate is aiming at 6
2.2. Question 2: Asses what makes The Day Chocolate such a strong brand (e.g., competitive advantage, strengths, weaknesses and customer equity). In this, also describe the marketing mix for Day Chocolate. 7
2.2.1. SWOT analysis: strengths and weaknesses 7
2.2.2. Brand strength analysis 7
2.2.3. Customer equity 8
2.3. Question 3: Describe the general market trends in the chocolate market. Come up with opportunities and threats. 8
2.3.1. Trends in the chocolate market 8
2.3.2. Trends in the fair-trade chocolate market 9
2.4. Question 4: Considering the strengths, weaknesses, opportunities and threats, what should Day Chocolate do? Should they pursue the same market segments, with the same products? 9
2.5. Question 5: The Day Chocolate company wants to internationalize to other parts of the world. Where should they go? 10
2.5.1. Motives, Triggers and Barriers to internationalization 10
2.5.2. Strategic approach to internationalization 11
2.5.3. The country choice 12
2.5.3.1. First screening: determining what product to offer to the world market 12
2.5.3.2. Second screening: Macroeconomic and financial conditions 12
2.5.3.3. Third screening: Political and Legal forces 13
2.5.3.4. Forth screening: socio-cultural forces 13
2.5.3.5. Fifth screening: Competitive enviroment 14
2.5.3.6. Final selection 14
2.6. Conclusions 14
3. Statistical Annex 15
3.1. Figures 16
International marketing
Assignment 1
Date: 2nd of March 2011
Group 1.4
Table of contents
Table of contents 2
1. Introduction 4
1.2. Main characteristics of The Day Chocolate Company 4
1.3. Porters Diamond 5
1.4. Comparative industry structure analysis: Porter’s five forces 5
2. Applying available theories, concepts and statistics to answer the requested questions 6
2.1. Question 1: Describe the consumer segment Day Chocolate is aiming at 6
2.2. Question 2: Asses what makes The Day Chocolate such a strong brand (e.g., competitive advantage, strengths, weaknesses and customer equity). In this, also describe the marketing mix for Day Chocolate. 7
2.2.1. SWOT analysis: strengths and weaknesses 7
2.2.2. Brand strength analysis 7
2.2.3. Customer equity 8
2.3. Question 3: Describe the general market trends in the chocolate market. Come up with opportunities and threats. 8
2.3.1. Trends in the chocolate market 8
2.3.2. Trends in the fair-trade chocolate market 9
2.4. Question 4: Considering the strengths, weaknesses, opportunities and threats, what should Day Chocolate do? Should they pursue the same market segments, with the same products? 9
2.5. Question 5: The Day Chocolate company wants to internationalize to other parts of the world. Where should they go? 10
2.5.1. Motives, Triggers and Barriers to internationalization 10
2.5.2. Strategic approach to internationalization 11
2.5.3. The country choice 12
2.5.3.1. First screening: determining what product to offer to the world market 12
2.5.3.2. Second screening: Macroeconomic and financial conditions 12
2.5.3.3. Third screening: Political and Legal forces 13
2.5.3.4. Forth screening: socio-cultural forces 13
2.5.3.5. Fifth screening: Competitive enviroment 14
2.5.3.6. Final selection 14
2.6. Conclusions 14
3. Statistical Annex 15
3.1. Figures 16
Cited: Äijö T., Kuivalainen O., Saarenketo S., Lindqvist J., & Hanninen H., (2005), Internationalization handbook for the software business. Annual report of Divine Chocolate, (2008-9). Byers A., Liu P, (2008), Value-adding standards in the North American food market, Food and Agriculture Organization of the United Nations. Doherty B., Tranchell S, (2004), New thinking in International trade? A case study of the day chocolate company. Fair trade Annual report (2009-10), Growing stronger together. Hollensen S, (2008), Initiation of Internationalization. International Cocoa Organization, Annual report (2008-9). Michael E. Porter(1975), From the book of Hollensen (2008), Essentials of Global Marketing, IBSN 978 027 371 7843, page 73-82. Pay E., (2009), The market for organic and fair-trade cocoa, Food and Agriculture Organization Pham M., Ausema T., Ten Brug H., Van Leeuwen B, (2010) International marketing – case study: Divine Chocolate Ltd (Formally the Day Chocolate Company). Rabobank, (2010), The chocolate confectionery market today: consumer trends and outlook. Schwab K, (2010-11) The global competitiveness report, World economic forum. Tranchell & Doherty, 2005. IMF, World Economic Outlook (2011) Global recovery advances but remains uneven. [7] Michael E. Porter (1975). [9] Food and Agriculture Organization, 2009 [10] ibidem. [14] http://www.dubble.co.uk/user/register [15] The market for organic and fair-trade cocoa, 2009. [20] Tranchell & Doherty, 2005. [22] www.transfairusa.org and Food and Agriculture Organization (2009).