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

A driver in a moving car applies the brakes the car slows

A driver in a moving car applies the brakes. The car slows to a final speed of 2.95 m/s over a distance of 40.0 m and a time interval of 7.05 s. The acceleration while braking is approximately constant. (a) What is the c ...

Using a web search engine find an article from a reputable

Using a Web search engine, find an article from a reputable source, published within the past six months, that reports on the risk coming from inside the organization compared to the risk coming from outside the organiza ...

Write a paper 1 reporting types of closing methods and 2

Write a paper (1) reporting types of closing methods and (2) identifying and summarizing two closing methods pertaining to the following situation. Situation:  You are an accountant who owns and operates an accounting ag ...

This project involves examining and blueprinting the

This project involves examining and blueprinting the organization's front stage and back stage operations, interviewing the service manager (or owner) and at least one employee, and developing specific recommendations to ...

Question 1 what term is used to describe an experiment run

Question 1: What term is used to describe an experiment run by an ad agency where the ad agency will recruit consumers to come watch a TV series and commercials like those for Cheerios? The consumer will then answer ques ...

Read the article titled 30 tips on using social media for

Read the article titled "30 Tips on Using Social Media for Competitive Analysis", located (https://smallbusiness.yahoo.com/advisor/30-tips-using-social-media-competitive-analysis-134309477.html). Next, select the top-thr ...

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 ...

Use google news or bing news to search news articles on

Use Google News or Bing News to search news articles on "future of social media monitoring tools" or "social media Key Performance Indicators (KPI)". Select one (1) tool of your interest, and analyze the main pros and co ...

Service failure evaluationwrite a 2-page paper

Service Failure Evaluation Write a 2-page paper, double-spaced 12-pt Arial font, that details a service failure you've had in the past six months. In the paper, explain: 1) What service you encountered 2) how they failed ...

Excel project descriptionproject overviewdevelop a

Excel Project Description Project overview Develop a Microsoft Excel application that provides support for decision making. The application must be useful to someone, which means it needs to help someone analyze data and ...

  • 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

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

Describe what you learned about the impact of economic

Describe what you learned about the impact of economic, social, and demographic trends affecting the US labor environmen