DaChan Food (Asia) Limited essay
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Brief Summary of the company
DaChan Food is located in Asia and its trade mark is seen as quality. Most consumers perceive its products to be of a higher standards and hygienic. When it comes to food production sectors, most consumers tend to value hygiene so much more than anything else in the market. Chicken products have become so common foods that are on demand. This is because of growing cases of various diseases that come due to poor eating habits and too much consumption of red meat. This is a food company that mostly engages in the manufacturing of livestock feeds. The company has diversified in poultry and other domestic animals.
They produce processed food and chicken meat for the animals. The company is divided in three segments; processed meat, chicken meat and livestock feeds. The chicken department ensures breeding and hatching of eggs (Rodgers 1989, p. 57). The livestock feeds involve itself in the manufacturing and distribution of complete feed. The company has been in existence for the last 17 years. They produce chicken meat and processed meat products which they sell in two brands called DaChan and sister kitchen brands. This is the largest meat processor and they supply their products internationally.
The strategic marketing plan will base on the mission statement of the company, its vision, and the core values of DaChan foods limited. It will go ahead and evaluate the environmental factors and here it includes; the SWOT analysis (strength, and weaknesses; Opportunities and threats) that face the company in its daily operations. The Internal analysis will be so systematic in highlighting the companies qualities and quantity of the various departments, identifying each functional tasks and value activities DaChan Company is supposed to be doing assessing its actual operations against this framework.
Opportunities and threats will be generated by evaluating external forces. It will entail collecting information about forces in the marketing environment that will help detect changes that may either produce reward or prevent the company from reaching its objectives. The report will later outline the strategic options and choices, set goals and objectives, develop strategies and game plan with which to reach goals and objectives. A clear conclusion of the way forward and where the company should invest will be given.
To be the preferred and profitable company in making quality and customer made food products that will be desired by all the customers who sought meat to be a special food in their lifestyle.
To bring white meat and other processed meat into the best quality in the market. This will be achieved through innovative and cost effective business practice and mutually beneficial partnerships with employers and suppliers thereby delighting our customers while caring for the community and environment which we operate.
The issues within a firm's environment can be analyzed from two perspectives:
a) Internal Environmental Issues: Potential Strengths and Weaknesses
The key internal factors are firm's basic capabilities limitations and characteristics. Therefore, company profile should access the strength and weaknesses of the company's management, organizational capabilities. A factor is considered strength if it's a distinctive competence or key success factors while weakness is a critical market performance variable that an organization lacks.
DaChan Company has acquired a strong brand name. This has made them attain a competitive advantage over the other competitors in the same industry. This strong brand name has acquired a strong customer relation. They have ensured quality and durable production of their products and maintained a distinctive and high quality packaging.
They have product differentiation through new venture of products. The company has diversified and is operating in three different categories that make them remain buoyant in the market. This has earned them a competitive edge over their competitors in the market.
DaChan Company has a strong distribution channel in most of the towns. They have merged this with knowledgeable sales staffs that attend to customers in a very professional way and have upscale store location. Most of the outlets are based in Japan, USA, London and Taipei. There is good inventory management. This is done both online and using stationeries to assist for backup. Distribution channel has been important because it has assisted in increasing sales in that, potential customers can quickly access the products without much struggle.
Despite its strengths in the market, the company has had some bottlenecks that need to be nailed out. The fact that they do not participate in sales promotions reduces its sales in a bigger way. This reduces the awareness that it might have created if it had participated. The company also is in its maturity stage and from the normal curve; it implies that the company may start to decline in the near future. This will therefore give an opportunity to other competitors in the industry to grow.
b) External Environmental Issues: Opportunities and Threats
The external environment generates the opportunities and threats variables that indicate the positive and negative forces, facing the firm respectively. An appropriate framework that can help in identifying opportunities and threats is by classifying the external environment from the context of the proximity to the firm. The nearer the external environment of aspect, the more control the firm has over it and hence able to proactively deal with. Using this context, the external environment can be classified as;
1) Remote Environment:
This comprises factors that originate beyond and usually irrespective of any single firms operating situation. These include; (PESTEL); Political, Economical, Social- cultural factors, Technological, Ecological and Legal.
These are governmental issues that mostly affect a company that has invested in a particular country.
In India the governmental policies are so intense yet lenient. The company will have an opportunity if they diversify in the market. There is economic liberation in India and this will assist the market to grow very fast compared to other countries (Dean 2000, p. 67). There is also a strong democratic set - up that will favor the market in India. The country has a stable macro - economic policies. This is not so in Italy. The policies of entering the market are so strict.
It will be a rational decision if the company opts to invest in the Indian markets this is because of the opportunities that are in existence and the there are ready customers. The company will be able to break even before one year and this will mean that in the next years, the company will be making profits for the rest financial year if the strategies will be well implemented. A company will only ensure the success of the company if they insist on the implementation of the strategies set. Forming strategies is one thing and implementing the strategies is another thing. Most managers tend to avoid the implementations and this is what really leads to a company's success.