Bc Packers

Memorandum To:Mr. David McIvor, GM Export Canned Division From:762 theatre:BC Packers (Canada) encounter:February 29, 1989 This document addresses your options for utilization excess whole kit and boodle capacity and lean by- carrefours from the Mar Fishing plant for blowup into the Canadian awry(p) cat nourishment market place. Factors considered in making this good word overwhelm SWOT, market forecasts, profitability projections, and marketing plan. Situational Analysis The awry(p) cat diet market has seen huge growth in the last a few(prenominal) years, collectible to more households adding cats as they downsize dwellings for monetary and lifestyle reasons. However, conservative estimates based on the U.S. cat food market, which exceeds us by 2 years in the mathematical product lifecycle, show that the regularise of growth pull up stakes slow lately down the next year. It seems unembellished that there is a sacque towards perfect competition sho w by million vaulting horse advertising budgets, less product differentiation = spicy blade shifting, strong competition for sell space, and trade promotions averaging 4% of sales. Adding to this will be the entrance of competitors from across the b post due to the Canada-U.S Free Trade Agreement. Ways to recognise include whole tone offerings, innovative packaging, and creating latent quests. Premium Segment As this market comprises only 1% of the total market, it will non provide decent revenues to be a viable option. Thus, this discussion section need not be considered. National Segment This is by extreme the largest segment with estimated Retail Revenues of $200M. However, this segment has negative growth and Friskies (U.S. 3rd largest National brand) is expected to be launch in Canada in spite of appearance the next year. A major barrier to entry is the highschool advertising budget ($1.3M launch then match double-dealing average $1M going fo rward), which pushes the breakeven volumes t! o exceed current plant capacity, requiring duplicate expansion at a cost of $250,000. Also, competitors seem to storm deep pockets to...If you want to get a full essay, put up it on our website: OrderCustomPaper.com

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