Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Marketing Management Expert

SCENARIO

The Riebeeck Wes Small Farmers’ Co-op CC produces sun-dried tomatoes. As the name of the enterprise suggests, the raw tomatoes are supplied by small local farmers, who at the moment are focusing on this crop as a source of cash income. The variety of tomato grown has been chosen because it is suitable for sun drying: it retains a good colour naturally and a full flavour.

The region is ideal for sun-drying vegetables/fruits; the soil is rich and there is relatively little industrial pollution. The smallholdings are owner-farmed and the crops are carefully nurtured and picked, ensuring high-grade fruit. The labour-intensive operation is commercially viable because most members of a farmer’s family form a willing seasonal work force.

The farmers deliver their tomatoes to the co-op buildings, where sun drying facilities and a simple packaging line have been installed. Here, too, operations are largely manual, thus providing further employment. The process does not require the addition of any artificial additives and, furthermore, complies with all South Africa’s health and food regulations. Being able to achieve this compliance was the major reason for centralising the drying and packaging operation.

At present, the co-op is supplying 500 g and 1 kg clear cellophane-type packets of sun-dried tomatoes to top restaurants and other catering enterprises throughout the Western Cape. The packets carry a simple typed label identifying the co-op as the supplier and giving the contact details. The co-op is operating in a niche market because the high quality of the produce appeals to discerning chefs; it is not competing in the mass retail market for sun-dried tomatoes. However, there is potential to greatly increase production. As no chemical fertilisers or pest controls have been used in the growing area, it is possible for the group to move towards organic certification; the farmers are certainly fair trade compliant, although not certified as such.

The local farmers are unwilling to increase production or apply for organic and/or fair trade certification unless they have a reasonable chance to sell their output in some form or another. They would like to develop export markets, but have been told that their produce, either as fresh tomatoes or as sun-dried tomatoes, almost falls into the category of a commodity.

TASKS

1. State why it is important for the sun-dried tomatoes not to be perceived as a commodity.

2. Discuss the possibilities for product differentiation and niche market development. In your discussion you should describe the link between niche markets and product differentiation. You should suggest possible market niches that the farmers and co-op could target. In discussing possibilities for product differentiation, you should take into account all aspects of the product itself as well as the other components of the marketing mix (price, distribution and promotion).

Marketing Management, Management Studies

  • Category:- Marketing Management
  • Reference No.:- M93058

Have any Question? 


Related Questions in Marketing Management

From the first e-activity specify whether your state

From the first e-Activity, specify whether your state follows the private insurance model or the Medicaid model for its CHIP. Analyze the impact that the choice of model has on the fiscal health of your state. Provide tw ...

Question 1-8 -1 big data analytics are fundamentally

Question 1-8 - 1. Big data analytics are fundamentally different from traditionalmarket research, which applies the scientific method. Describe the scientific method. What is the primary question traditional marketing re ...

Explain why the first tropical storm of the atlantic

Explain why the first tropical storm of the Atlantic hurricane season is more likely to form in the Gulf of Mexico than off the west coast of Africa.

1 explain how the promotional tools used by an airline

1. Explain how the promotional tools used by an airline would differ if the target audience were (a) consumers who travel for pleasure and (b) corporate travel departments that select the airlines to be used by company e ...

Topic 1 target marketgo to the small business

Topic 1: Target Market Go to the Small Business Administration website, and locate information on determining a target market for the product or service offered by your company. You can do a search on the SBA site for "t ...

Describe the three 3 most important concepts you have

Describe the three (3) most important concepts you have learned about marketing in this course. Explain why these concepts will be useful to you in your current or future position.

After reading the following vignettes answer the four

After reading the following vignettes, answer the four questions as clearly as possible. Respond to two other posts from your own perspective. How do you Cultivate and Sustain Risk-Taking as the Company Expands? Accordin ...

Explore the technology systems offered by nanthealth a

Explore the technology systems offered by Nanthealth, a provider of "telehealth" and health management services via the following link: http://nanthealth.com/ Prepare a brief (8-10 slides) PowerPoint presentation in whic ...

Discuss about the advertising messages and

Discuss about the advertising messages and marketing,integrated marketing communications and media choices,channels of distribution and logistics. Papper 1 • advertising messages and marketing • integrated marketing comm ...

Mktg305 marketing principles group project assignmenthow to

Mktg305 Marketing Principles Group Project Assignment How to SWOT Identify the problems. Teaching cases are typified by the presentation of a problem, or sometimes multiple problems, for the reader to systematically solv ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

WalMart Identification of theory and critical discussion

Drawing on the prescribed text and/or relevant academic literature, produce a paper which discusses the nature of group

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro