Power Point Wek9
Assignment 4: Presentation
Due Week 9 and worth 70 points
After you have fleshed out your business plan you will have the information you will need for a slide presentation (e.g., PowerPoint). This 12-slide presentation conveys the most important aspects of your business in a short time. More sophisticated investors, such as angel investors and venture capitalists, will typically not look at your written business plan until they have seen your slide presentation.
Presentation (MS PowerPoint or equivalent)
- Create a 12-slide presentation. Follow the outline on pp. 343–346 for the critical slides of your presentation and their placement. Click here for help accessing a specific page number in your eBook.
- Hints: Include the highlights of your elevator pitch, which shows that you understand your business. The elevator pitch is a concise description of your company—its product, market, competitive advantages, and so on. Whether pitching your business to an investor or describing it to a potential connection at a networking event, you need to be able explain your business succinctly to someone in the amount of time it would take to ride up a few floors in an elevator. Use the worksheet in the text (p. 362 | Your “Elevator Pitch”) to develop your elevator pitch.
- Hints: You must limit your presentation to twelve (12) slides. You do not want to overwhelm your audience with too many slides or bore them with information they already know.
- Cite three (3) resources you have used to complete the exercise.
- Citations and references must follow APA format. The reference page is not included in the required page length
The specific course learning outcomes associated with this assignment are:
- Describe strategic planning techniques used to formulate alternative strategies designed to achieve stated business goals.
- Create a plan to implement a firm’s strategy and manage the change from current operations.
- Analyze strategies for exerting the internal leadership needed to drive the implementation of strategic initiatives and improve operating excellence.
- Use technology and information resources to research issues in strategic management.
- Write clearly and concisely about strategic management using proper writing mechanics.
Running head: STEELNUTRIDRINK 1
SteelNutridrink Non-Alcoholic Beverage Company
Dr. Vanessa Graham
Company and its significance
The company in question is Steel Nutri-drink Non-Alcoholic Beverage Company. The company will be manufacturing, processing and distributing the non-alcoholic beverage to the beverage markets. The rationale and foundation behind the creation, manufacturing and processing of the Steel Nutri-drinkis based on the motivation and need to provide a drink that gives the customer value for their money, instantaneous energy, is refreshing and still healthy. Other companies operating in the market have not managed to satisfy these needs of consumers. This is based on the fact that other drinks contain a lot of calories and sugars that may lead to obesity and other related health complications and are also costly at the same time. All areas that other competitors have not tapped into will be fully taken care of by Steel Nutri-drink.
The mission statement for the company is “To be a global leader in the provision of efficient and timely energy drinks for all our customers, provide value for their money and achieve sustainability for the environment and all our workers.” The mission statement enables the company to remain focused and committed to achieving its goals and achieve consumer satisfaction. This will also enable it work towards maintaining the competitive edge in the highly competitive beverage markets. The provision of efficient and timely energy drinks gives the company direction. This reminds workers in the organization why the company is in existence. This is what will make the organization to be successful. Offering customers value will act as a “North Star,” which keeps each and every worker clear on the direction of Steel Nutri drink. Efficiency and value will help focus the future of the company. The mission will tell workers of the company what they are doing today as well as what they will do in the future.
The trends in the non-alcoholic beverage industry
There are some changes that are being experienced in the beverage market. Among the changes is the growth of energy, water, and sports drinks brands. Directing attention to only carbonated drinks is now a thing of the past. Much effort by organizations is directed towards producing and selling healthy beverages (Granato, Branco, Nazzaro, Cruz, & Faria, 2010). The other trend is reworking recipes. Most brands that have been in market for a long time now have to be reformulated. They have to be replaced with revamped version as well as have few calories. Also, there is a shift towards having smaller cans and bottles. Having smaller cans and bottles makes the players in the non-alcoholic beverage industry to generate more capital.
Nutri-drink (which will have four different flavors of apple, pineapple, strawberry and lemon) has been chosen because has supplements that are nutritious, have vitamins and energy supplements to ensure that besides replenishing energy when one is exhausted, nutrients and vitamins will also be added to the body. Also, the energy drinks will be able to ensure that quick recovery is achieved by athletes after their training sessions. The third reason is Nutri-drinkwill be able to observe health issues.
The position of Steel Nutri-drink in the industry will matter so much. Through its strategic position approach adopted, the company intends to be at the top of its market through cost leadership. It will provide quality beverage at lower cost. Driving down cost is a way through which it will increase its profitability. This will make it attain cost leadership. There will also be increased differentiation through the delivery of distinctive value to customers. This will make the products to be different from those that are being provided by other competitors.
Three distribution channels will be used by the organization. These are direct delivery, customer warehouse, and distribution networks. Through direct delivery, products will be delivered directly to retail stores. This will create maximum visibility (Paksoy, Pehlivan, & Kahraman, 2012). The products will also be taken to warehouses of customers. This distribution channel is less expensive. Third-part distribution network will involve taking products to stadiums, schools, and restaurants through the use of third-party services together with vending operators and distributors.
The first business risk that the organization will experience while operating is the risk related to product safety. The business has to comply with changing rules and regulations related to the products. It has to ensure that its products meet all the required standards that are different in various markets (Seifert, Schaechter, Hershorin, & Lipshultz, 2011). There is also risk related to international operations. The company has to comply with undeveloped or differing, regulatory, and tax regimes. There are also the risks of negative political or economic developments and fluctuations in exchange rates. Competition is very still in non-alcoholic beverage market. This brings about risks related to competition.
|Strength· Constant product innovation· Satisfaction of customer’s needs and wants· Differentiated and lowly priced products· Broad portfolio of products· Aggressive marketing strategies||Weakness· Low product awareness· Targeting a small group|
|Opportunity· Growth in healthier beverages· Increased demand for energy drink· Large size of the market||Threat· Many aggressive competitors in the market· Economic instability in other areas|
Write Marketing Plan & Sales Strategy section of your business plan
I am designing a marketing plan of Steel Nutri-drink Non-Alcoholic Beverage Company and in this plan I am doing its market segmentation, assess the target market on the basis of segmentation and then I would assess intensity of competition in its market. Moreover I would be planning for the marketing vehicles to be used.
Define y*our company’s target market.
Steel Nutri-drink Non-Alcoholic Beverage Company would target all the demographics with an emphasis on the age group between 15 to 40 years. I would be targeting college graduates, university students, athletics and professionals who need nonalcoholic drinks to revitalize their energy. The outlets of brand will be located nearby colleges, universities as well as shopping malls to capture more market share. Moreover I am planning to cooperate or do some agreement with some renowned universities who would be offering this drink. Moreover I would cooperate with renowned Irish brands like Spar or Centra that would help in capturing more customers as most of customers are loyal to these brands and thus when they come there we can attract those customers to use our brand too. This is an effective marketing strategy to make use of some renowned brand name of malls for raising our customer base. In order to market our brand we would be segmenting market on the basis of demographics as well as psychographics for positioning brand effectively.
Analyze the types of consumers who will be drinking your beverage in demographic terms (i.e., age, education level, income, gender, ethnic group, etc.). Support your analysis with actual data on the size of the demographic groups in your local community (nearby zip codes). Outline the demographic information for your company specified on the worksheet.
Appropriate market segmentation is very integral for correct positioning of a product (Weinstein, 1987). Initially our firm is targeting Ireland but in future we would expand geographically by targeting states that are having warm weather as consumption of drinks is higher there for quenching the thirst.
Steel nutria drink will refine its marketing efforts on basis of educational status as we are targeting students of under graduate, graduate as well as post graduate level. One of the major reason of choosing students as target market is that their consumption of nonalcoholic soft drinks is higher as in groups they socialize more and thus thy consume drinks higher. Moreover they need more nutrients in order to have balance diet. They don’t consume correct level of vitamins and nutrients and in order to combat that issue we are offering a daily recommended amount of fruits in form of drinks that will be helpful for them to have healthy life style without hassle of purchasing fruits and cutting them for consumption. Currently they are consuming more alcohol so we had the opportunity to offer them healthy solution.
Age and other demographics
Drink is a commodity that is being consumed by the people belonging to any age so we are targeting people of age 15 to 40 as in this age people need more energy due to their hard work. People of this age are students or professionals and in their busy routine they don’t find time for themselves and thus don’t have balanced diet. Our brand is targeting all that group.
Our target market include people belonging to middle class as well as upper class. Moreover we are targeting densely populated areas like in downtown Dublin.
Assess your company’s market competition. Use the factors listed in the course text graphic (p. 123 | Assess the Competition) to assess your company’s market competition
Some of the main competitors in Ireland of our nutria drink include the following:
TK Red Lemonade
Baileys Irish cream
All of the above brands are in operation in Ireland for the last few years so they have their brand identity. Many people recognize these brands and thus they have market share in fruit juices industry. All these drinks are considered to be the popular beverages in Ireland where we want to start our operations. Thus when we will open our new brand then there will be retaliation from the competitors in order to sustain their market share.
Defend your strategy to successfully compete against market leaders in your segment.
New brand can only survive if it has some solid competitive edge over existing brands (Diamond & Pintel, 1991). Our competitive edge over the above brands is that we will offer the fresh beverage while most of the above competitors are offering juices in cans that are not freshly made. Moreover once ordered we would strive to fulfill the customer order in three minutes which will be our competitive edge and its essential in order to capture market share as customer don’t like to wait more. We would strive to fasten our customer service and offer the fresh juice to customers as nutrients of fruit get dissolved and disappeared in few minutes so our brand competitive edge is that we are offering healthier, fresher beverage in three minutes. We are also offering larger variety of flavors in order to give customers the choice to select the flavor of his/her own choice. These strategies will be helpful to increase our market share as most of customers of existing brands can come to us once they come to know about fresh beverage that is being prepared so quickly. All the above brands are stablished due to which they can charge higher prices but our brand will initially charge lower price in order to capture more customers.
Defend your plan to differentiate yourself from the competition using the information detailed on the worksheet in the text (p. 131 | Market Share Distribution).
Steel Nutri-drink Non-Alcoholic Beverage will differentiate itself from all the above competitors by effectively fulfilling customer’s satisfaction. Our brand would strive to offer the highest quality products at reasonable or comparatively lower prices. Moreover our staff would offer friendly as well as speedy customer service. We would be having keen interest in customer’s satisfaction and in doing so our staff would be spending more time in perfection of recipes. Another differentiating feature is that we are offering different flavors so that customers can have choice of selection of flavor that they need. Another competitive edge of Steel Nutri-drink Non-Alcoholic Beverage is that we would be offering high quality beverage within three minutes of order delivery as customers don’t want to wait for five minutes or more than that. Only fresher juices and beverages have nutrients in them as nutrients leave the fruits in few minutes so we would ensure provision of fresh juices in three minutes to keep our product healthy.
Clarify your company’s message using the information provided on the worksheet in the text (p. 160 | The Five F’s).
Currently Steel Nutri-drink Non-Alcoholic Beverage will be having competition from different brands that are dealing in beverages and creation of our brand will lead to retaliation from competitors. Our company would also be having competition from alcoholic beverages as well as coffee shops. In our starter advertisements we would be giving more emphasis on healthier as well as fresher aspect of our beverage. We would be having informative advertisement that would depict how Steel Nutri-drink Non-Alcoholic Beverage will ensure to be healthy over other soft drinks, coffee as well as other drinks that are packed in cans. Our brand will make use of life style as its message execution strategy whereby a family or group of students are on a trip and they feel thirsty and tired so having Steel Nutri-drink Non-Alcoholic Beverage will energize them due to its nutrients. We would also be making sue of renowned athletes who would market our product as these renowned athletes are opinion leader and many people follow them so this will be helpful to capture customers.
Identify the marketing vehicles you plan to use to build your company’s brand. Justify the key reasons why they will be effective. Provide examples of other non-alcoholic beverage companies that use these tactics effectively.
In order to promote our product I would be making use of advertisement as well as sales promotion as my marketing tools or vehicles. We would start advertising our product before its launch in order to create awareness among the customers regarding its benefits. We are also using sales promotion as our toll according to which company will be using discounts in starting months that would be helpful in attracting more customers. We would be offering campaigns like buying one and getting second one at half price in starting year so that customers can taste and maximum people can give positive word of mouth (Horchover, 2002). We would also be having partnership with some renowned universities as well as malls to attract more customers.
In order to set prices of our product we would be conducting an in-depth investigation of prices and then we would use market penetration a sour strategy whereby we would set our products prices lower than that of our competitive brands in order to attract larger customer base. We would be using blue color as a theme to promote as well as package our products as this color is symbol of pureness as well as freshness like water. This selection of accurate themes is also very important component for marketing of any beverage (Espejo, 2010). We would also use online marketing campaigns and we would use social media too to advertise our products.
Sources and use of funds
There are various sources that the funds to be used in the plans of the company or rather to actualize the idea can be generated from. Some of this sources include: Banks, equity financing, savings and personal contribution and contribution from friends. This sources will be able to generate the much needed amount that will be able to ensure that the company will be able to run its affairs. To clarify equity financing will involve the company raising capitals from the general public this will be through selling of the shares of the company. This will not only be able to generate funds for the company; it will also make the general public to be part of the management of the company since they will be shareholders (Philips, 2013). The company is allowed to sell certain number of shares though the prices of the shares is supposed to fluctuate since they will be able to determine how much they what and this will help them to decide how to sell the shares so as to be able to generate sufficient funds that will enable them to run their activities effectively.
The funds that will be collected by the company will be used for various purposes that will serve to ensure that the company is able to run and manage its affairs effectively. This is other words implies that the funds pf the company will be used to meet the cost of production. This will include pay off the salary of employees, running the affairs of the company. The funds will be used to ensure that the company is able to meets its target and it does not fail to engage in its sole purpose due to inadequate funds. This therefore implies that for the company to continue engaging in producing its products it needs to have sufficient funds that will ensure that the factors of productions run smoothly. This therefore implies that the funds are the major tools that will be used to drive the company to its success.
There are various assumptions that will be made by the business, these assumptions are made on the basis of the funds available and the nature of the products that the company is dealing with. These factors include Tax, Level of competition and Cost of production. This will be discussed in detail.
Tax, the company has made an assumption that the operating tax will remain the same or even reduce. This has the high probability of increasing the production of the company and the yearly turn over. The rate of taxation will be important because it will not only be able to affect the production of the company if it is increased it will also affect the turnover of the company. Therefore, the company makes an assumption that rate of taxation will remain the same.
Level of completion, the operating budget of the company is streamlined with the level of competition in this sense it means that if the level of competition increases then the company will not be able to record an impressive performance. This is because new entrants to the market may outshine them and thus taking up their market share. The company therefore makes an assumption that there will be no new entrant in the market.
The factors of production are not anticipated to go up and therefore the company makes an assumption that the factors of production remain constant. This is to the effect that if the factors of production go up the this will imply that the funds that the company is operating with are inadequate and thus the company may not be able to achieve its purpose or run its affairs effectively.
The company will need to sell 3000 crates annually so as to be able to break even, this implies that the company should not sell anything less than 3000 crates of non-alcoholic beverages. This therefore implies that the company should ensure that they increase the number of crates sold annually so as to be able to generate sufficient income that will cater for variable and fixed costs. If the business will be unable to sell the number of crates, then the following is supposed to be done (Dickson, 2002).
1. Increasing the quality of their beverage that they are selling.
2. Reducing variable cost by, for instance, they can find a new supplier who will be able to supply them with the necessary products for a cheaper price and another one who will sell the beverages at a friendly price.
3. Reducing the fixed costs, this involve other parties and it may include negotiations on certain factors these are: education of rent, improved, management of bills and general costs.
Any of the above options can be able to reduce the break-even points so the business will need to sell as many crates as before, and they could still incur a fixed cost. This will be able to meet the sole purpose of the break-even analysis which is to determine the output which must be exceeded for the business to be profitable.
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