Management theory and application Essay Example | Topics and Well Written Essays - 1000 words

Management theory and application - Essay Example Invisible Management is an attempt to approach the subject of leadership in a more theoretically precise and useful way by grounding it in a social constructionist framework. The book is an edited volume consisting of thirteen chapters, eleven of them empirical. It draws on a tradition of scholarship--particularly in sociology, anthropology, social psychology, and neo-Freudian psychology--that emphasizes the role of society in the construction of leadership. To turn these pages is to be reminded again of the critical importance that the classical sociologists, Weber and Simmel, as well as psychologists such as Freud and Erickson, placed on developing a useful theory of leadership, especially one that recognized the social dimensions of leadership as opposed to simplistic hero worship. The book also reminds one of the narrowness of the approach to executive leadership taken by contemporary American scholarship, with its emphasis on social demography and statistical work at the expense of theory development and field data. In many ways, the contributors to this volume are suggesting that the way to go forward in leadership scholarship is to take a step back toward these earlier theoretical and empirical traditions. The first two chapters lay out the books basic theme of the role of social constructionism in leadership studies. My understanding of the argument that links the various chapters is as follows. Leading and following are social processes that are mediated through language and other forms of symbolization.

Drug use laws Essay Example | Topics and Well Written Essays - 750 words

Drug use laws - Essay Example At the same time, the above-mentioned initiative does not touch upon workplace as well as the issue of drug testing, which means employers have an absolute freedom to test their employees, and they choose to use this right (Turner, 2014). Many of the employers decide to test their employees for marijuana and other drugs use for it is what is stated in their legally adopted policies. The main reason why they should do it is that such drug tests guarantee that employees are able to do their work properly and are not impaired while being at their work place. In addition to this, they should continue testing to identify those who abuse drugs, are not able to perform established tasks properly and, consequently, threaten the quality of work of the entire company. What is more, as employers and business groups state, testing for marijuana and other drugs can help create a safer workplace for in many cases safety at a workplace depends on people who are present there (Healy, 2014). In case an emergency situation takes place, there is no guarantee that one who abuses drugs can handle it. Finally, employers should continue to test for marijuana, despite it being legal in order not only to save employees but to be on the safe side when it comes to their businesses. In accordance with Raabe of the Denver Post (2014), â€Å"there seems to be a movement toward more testing. A lot of people are freaked out about the prospects of employees’ legal marijuana use†. In this regards, it is worth mentioning that the number.

History Of The Blue Harbour Brand Marketing Essay

History Of The Blue Harbour Brand Marketing Essay In 1884 Michael Marks, a Russian born Polish refugee opened a stall at Leeds Kirkgate market. Since then, Marks and Spencer was born, opening over 300 stores worldwide and also being the UKs largest clothing retailer. In 1999, online shopping was introduced to their website for customers to enjoy in the comfort of their own home. The internet had just started to become known and more and more people were staring to use it, so Marks and Spencer took this opportunity and set this up at the correct time. In 2000, MS brought out their healthy Count on us range, for the healthier people on diets or who were just watching what they ate. Their 1st Simply food stores opened in Surbiton Twickenham in 2001, selling nothing but healthy food, no home furnishing or clothes like the normal stores. They also launched Per Una a brand of clothing specifically targeting the fashion-conscious women. Shortly after in January 2001, Blue Harbour was introduced, a casual wear brand for males. View form and DB07 another brand of clothing was introduced in 2002, View form for sportswear and DB07 for children designed in collaboration with David Beckham. Mission Statement Marks and Spencers mission statement is broken into 3 parts which include: Vision To be the standard against which others are measured Mission To make aspirational quality accessible to all and Values Quality value, service, innovation and trust. This mission statement has been kept up since the start of making it; MS have worked hard to achieve all these factors. Even though there have been ups and downs during the years they have tried hard and have kept to their word. There are many companies which look up to MS and measure themselves against them, helping their company to improve and gain more customers. Marks and Spencers have been known for their quality value, service, innovation and trust to all their customers who as a company they have stuck to very well. They are continuing to attract new customers as well as keeping their old ones, offering them new and improved products all the time. Objectives Every year MS had many objectives which were to be met, they were not really split into long term and short term but just objectives as a whole for each coming year. In 2001, they had many objectives but their main ones were attracting new customers, developing stronger relationships with their suppliers, aim for market leadership and also to restore the heart of MS, stop non-core and profit losing activities and also to keep an effective balance sheet calling these three sectors their fundamental strengths. In 2002, not only did they want to develop stronger relationships with suppliers but also to build on a unique relationship with their customers. They needed to keep rebuilding on their fundamental strengths, continue to regain market leadership with value, quality and also appeal. It was aimed for MS to open their 1st standalone home store in spring 2003, also to improve every aspect of their company, overcome the competition and continue to attract more customers to their stores. Before 2004, the MS fundamental strengths were changed, which included improving the management team, still ensuring the balance sheet was effective and also delivering impactful but low cost improvements. In 2005, MS only wanted to refocus on their core values in their business which is quality, value, service, innovation and trust. Pestel Analysis In this section a PESTEL analysis will take place and will look at the external factors that impact on Mark and Spencers performance. Political According to the Marks and Spencer website there are constraints on out of town shopping has been but in place by the government. This is causing problems for M and S. This is because it is highly expensive for retail stores to be in the centre of large towns and cities with all the business rates and M and S is not selling enough produce to break even with these extra expenses they have to pay for being in the centre. MS is trying to move some of there stores out of the centres but with constraints it is causing problems for them. The UK not having the Euro is working as a disadvantage to MS in relation to there western European store because MS products are too expensive as there are being sold at UK prices. Economical The UK economy and currency is relatively strong compared to other countries so the strength of the pound is working as a disadvantage to Marks and Spencers in the UK and abroad. (www.bitc.org.uk) Current world events have affected global economies, which may result in fluctuations within the industry. This may lead to unpredictable consumer and supplier behaviours. Sociological Market trends are constantly changing and Mark and Spencers have always struggled to keep up with them. For example, Life style changes have made people more aware of their health, which has resulted in higher demand of quality health care related products. People are concerned with value for money. Consumers are concerned with their image, for example; they must have the latest labels. The population in the UK is ageing and with this, more people have a higher disposable income. Technological Internet shopping has lead to international buying opportunities, which means the consumer has an enormous amount of options when it comes to shopping. This means that the competition has also increased, but Marks and Spencers can use it to their advantage to promote new products and help to show that Marks and Spencers is an up to date company. (www.marksandspencers.com) Environmental MS is restricted to where they can build its stores because of the restrictions on Brown field sites and Green field sites. MS can only build on Brown field sites witch restricts them to having to stay in urban areas with competition. Legal The government is constantly redefining trading laws, which enables Marks and Spencers to trade for longer hours, for example; longer shopping hours on a Thursday. Marks and Spencers must follow advertising laws which are put in place to protect the consumer, but also to promote fair competition between companies. SWOT Analysis The Swot analysis looks at a companys strengths, weakness, opportunities and threats which are likely to have an impact on the companys performance. Strengths Marks and Spencers has been running since 1884 and has a good traditional reputation especially with the older generation. Marks and Spencers is also one of the biggest retailers on the high street having stores in most cities and large towns and with thirty other stores across the globe. (www.marksandspencers.com) The brand name is known in nearly every house hold. Marks and Spencers has a diversity of products such as food, underwear, menswear children wear, women wear and furniture. Weaknesses Fashions are constantly changing and Marks and Spencers has an inability to keep up with changes in the retail market. There are also problems with focusing on the right targets markets in terms of products and customers. (www.bitc.org.uk) Many consumers still feel that Mark and Spencers products are old fashioned and out dated compared to competitors. Even though this is some thing that Marks and Spencers is constantly trying to change. Marks and Spencers is now experiencing poor performance across the globe which has resulted in the pull out of foreign operations. Opportunities Marks and Spencers has the opportunity to collaborate with other companies to widen up product range even more. They could also collaborate with designers to help bring new ideas, and help expand on their furniture and beauty products. Threats There is constant competition from competitors such as John Lewis, Debenhams and Next. And especially from younger clothing competitors such as New Look. Ever changing fashions trends which Marks and Spencers struggle to manage is threatening Marks and Spencers performance. Gap analysis and Ratios A gap analysis involves identifying a gap or weakness in a specific company and looking to bridge that gap in order to meet a target objective as to where the company wants to be. The following quote helps to further identify a gap analysis: Gap analysis, consists of defining the present state, the desired or target state and hence the gap between them. In the later stages of problem solving the aim is to look at ways to bridge the gap defined www. Ifm.eng.cam.ac.uk [January 23] An example from Marks and Spencer is there downfall in the womenswear market, which in 2004 fell 0.6% to a 10.4% share of the market. Competition in womenswear has increased dramatically with women demanding style, quality, outstanding value and real choice. In order for Marks and Spencer to reclaim this market share they set out a clear plan, this involved listening to customers better during store visits, focus groups, better use of market data and keeping a closer eye on tracking trends, tracking competitors and also evaluating there own performance. From a purchasing point of view they looked to strengthen there buying teams, giving clearer responsibilities for design, buying and merchandising. The companies buying strategy changed to buy less, more frequently meaning better ranges and fresher lines of stock. It was also vital that Marks and Spencer didnt miss out on key trends like the previously did in 2003 such as with cardigans. In order to further close that gap Marks and Spencer learnt that they have to cater for particular needs and markets. For instance it is estimated that 42 % of womenswear brought is by women under the height of 5ft 3 inches, Marks and Spencer didnt previously cater for these, often producing large, baggy clothing. Now Marks and Spencer have now produced a petite range in 33 of its stores in order to cater for this market. The three ratios that were decided in order to assess Marks and Spencers financial position were the current ratio, gearing ratio and return on capital employed ratio. Firstly the current ratio can be calculated by dividing current assets by current liabilities, this identifies how far a firm can meet its short term liabilities from its current assets without having to raise finance by borrowing, selling fixed assets or issuing more shares. A ratio less than one for a period of time is a cause for concern; Marks and Spencers did have a healthy current ratio until 2003 but in the last couple of years they have dipped below one causing concern, whereas for example a competitive company such as Next has stayed consistent for the last 3-4 years. Secondly the gearing ratio can be calculated by total borrowings x 100 % and then divided by the capital employed. The ratio shows the proportion of capital employed, which is financed by borrowed funds. The relationship between both, ought to be balanced with shareholders funds significantly larger than the long term liabilities in order to have a health gearing ratio. The higher the gearing ratio, the higher the risk to the company is, as high levels of borrowing represent a significant risk to the company. In 2004 Marks and Spencers was sky high, massively bigger than that of competitors Next. The last ratio analysed was the return on capital employed, this can be calculated by Operating profit x 100% and then divided by capital employed. The ratio is an important indicator of how efficiently the business is being managed. As a rule if a company has a low return on capital employed then it is using its resources inefficiently even if the profit margin is high. In the years 2004-2005 both Marks and Spencers and Nets ROCE have been high indicating a healthy return on capital employed. Five force analysis Porters five forces model (below) can be used to help make an analysis of the competitive environment for a company within a certain industry. In this case, it is Marks and Spencer in the food and clothing industry. Source: Adapted from Porter, M, (1998) Competitive strategy, New York, free press QuickMBA, Strategic Management (1999) states that: The strategic business manager seeking to develop an edge over rival firms can use this model to better understand the industry context in which the firm operates. The threat of new entrants There are a variety of major companies in the market such as Next, Debenhams, Sainsburys and Tesco with regards to selling clothing and food products. These are well known companies which are strong in the market so the threat of new entrants is low. A company such as Marks and Spencer (MS) has a strong brand name which therefore creates a barrier to entry for potential new entrants. Companies would probably experience high start up losses in an attempt to try to promote its products in terms of trying to prise loyal customers away from MS. There is the threat however of company take over where one company buys another one out. Examples include Morrisons taking over Safeway and Walmart taking Asda in bids to try and create better companies without having to build many stores around the country. The government is also keen on new businesses starting up in the market to try to discourage a monopoly situation Bargaining power of suppliers MS has over 2000 direct suppliers where 1500 are for clothing and 500 for its food. Marks and Spencers corporate site online (2005) states: 90% of other products are now sourced overseas. Overseas suppliers provide plenty of choice for MS and also cheaper labour. The market that MS is in also makes it easier for the company to bargain with their suppliers because there are many suppliers which provide clothing and food which are relatively undifferentiated so MS can go to another supplier if they feel there are better suppliers to go to as opposed to their current ones. Bargaining power of buyers There are many clothing and food companies to choose from in terms of the consumer so it is the consumers who can dictate the price by demanding quality products at good prices. Clothing and food are not specific items unlike a Ferrari sports car. Food and clothing are readily available to everyone and so therefore it is important for a company like MS to offer quality goods at right prices in order to compete in a very price orientated market. With a Ferrari sports car, it is a very prestigious item and therefore prices are not as important for Ferrari. MS therefore needs to add value to their products such as the Autograph range of clothing launched in 2000 which The threat of substitute products If a product from a different company is cheaper then consumers may switch to that product. If there are low switching costs e.g. substitute products are much cheaper than MS ones then there could be more consumers switching to the cheaper product. For example, a pair of jeans in MS is  £25 but in Primark the jeans are £6. There are many retail stores selling clothes which are competing with MS and therefore could act as substitute products. To counteract the threat of substitutes, MS must concentrate on ensuring absolute product quality and customer service to keep loyal customers. The intensity of rivalry amongst existing competitors There food and (especially) the clothing market has fierce competition and MS must compete with companies such as Next, Debenhams, Tesco and Sainsburys for selling both their food and clothing products. These companies are all trying to obtain the largest market share possible in the retail sector. Conclusion Overall, MS (Marks and Spencer) have established themselves over 120 years as a well known high street name. The mission statement that has been created by MS, highlights that the company aims to be the standard to which other companies look too in terms of retailing. The objectives highlight on continuously improving the company (objectives in 2005 focused on the core values of the business). The SWOT analysis shows that MS is a very well known company although is poor at keeping up with fashion changes and therefore must be wary of changes and regard them as a threat. The five force analysis shows intense competition within the industry with big companies such as Next and Debenhams selling clothes and Tesco and Asda selling clothes and food. MS must be wary of substitute products with stores such as Matalan and Primark offering these products and also MS must recognise that the customer has high buyer power as they have the choice of many retailers at different prices.

Albert Camus The Myth of Sisyphus Essays -- Papers Albert Camus Sisyp

Albert Camus' The Myth of Sisyphus Albert Camus' essay, 'The Myth Of Sisyphus' is an insightful analysis of the classic work, 'The Myth Of Sisyphus'. In some regards Camus' view of Sisyphus can seem quite accurate and in tune with the original text, but based on Camus' interpretation of the justness of Sisyphus' punishment, it is clear that the writer has some different ideas as well. Camus concludes that this punishment does not have the effect the Gods had intended, and ultimately the tragic hero must be seen as being 'happy'. This is his greatest departure from the intent of the original myth wherein the reader is left with the feeling that Sisyphus' punishment can be seen as appropriate and just. As his punishment for repeatedly outwitting the Gods, Sisyphus is forced to roll a great rock up a steep hill only to have it roll back down each time he reaches the top, forever condemned to repeat the process over and over again. It is this punishment that Camus is most focused on, as the topic of Sisyphus? trickery only comes up to give the reader some background on the story. It is unusual however that Camus considers this punishment as an, ?unspeakable penalty in which the whole being is exerted toward accomplishing nothing?, and at the same time assumes that; ?The struggle itself towards the heights is enough to fill a man?s heart.? The gratification that one might find through hard work could certainly be seen as an accomplishment, but it?s hard to see how this pertains to Sisyphus. Camus states that, ?the workman of today works every day in his life at the same tasks?, and that his fate is, ?no less absurd.? If a man whistles while performing his laborious job it is onl y because it is assumed that the fruits... ...l text was meant to represent. Camus states that, ?myths are made for the imagination to breathe life into them?, and he surely takes advantage of this. If it is true that Sisyphus truly owns his fate and is the master of his own ?absurd? universe, then that should be seen as his greatest punishment of all, for it does not amount to very much, and as Camus himself pointed out, ?the rock is still rolling.? Bibliography: Works Cited Bierlein, J.F. ?The Myth Of Sisyphus.? Lives Through Literature A Thematic Anthology (3rd ed.). Helane Levine Keating and Walter Levy. New Jersey: Prentice Hall, 2001. 1042-43. Camus, Albert. ?The Myth Of Sisyphus.? Lives Through Literature A Thematic Anthology (3rd ed.). Helane Levine Keating and Walter Levy. New Jersey: Prentice Hall, 2001. 1044-46.

The Topic In Pakistani Perspective Health And Social Care Essay

Zimmerman reveals that TB was at that place in the mas of the 3000 old ages ago Egypt. Millet et al. , high spots that harmonizing to WHO estimates, in 2010 there were 8.8 million new instances of TB ( TB ) and 1.5 million deceases. As Terbium has been classically associated with poorness, overcrowding and malnutrition. Therefore, low income states and disadvantaged countries, within large metropoliss in developed states, present the highest Terbium incidences and TB mortality rates. On the other manus, diabetes mellitus has reached epidemic proportions worldwide, puting a significant load on health care services. Sullivan and Amor ( 2012 ) reveals that in recent old ages, strong grounds has been gathered to corroborate a nexus between TB and diabetes mellitus. In the first half of the twentieth century there were surveies that show the association between the diabetes and TB. Harmonizing to Ruslami, Aarnoutse, Alisjahbana, Ven and Crevel ( 2010 ) this association was neglected in th e 2nd half of the twentieth century because of the coming of widely available intervention for both diseases. In the last decennaries, with the current planetary growing of diabetes, the nexus between TB and DM is re-emerging. That nexus had been suspected for centuries. Many surveies now show that diabetes may be associated with an increased hazard of developing active TB. and that TB patients who besides have diabetes may hold higher rates of intervention failure and decease. Restrepo et Al. ( 2011 ) says that the part of diabetes to the load of TB may be more conspicuous in states where both diseases are extremely prevailing: Bangladesh, Brazil, China, India, Indonesia, Pakistan, and the Russian Federation are high-burden states and rank among the 10 states with the highest Numberss of diabetes patients and besides classified as high-burden for TB. Pakistan is one of the 4 staying states with endemic infantile paralysis and the 6th highest with load of TB. Search Scheme PubMed, CINHYL information bases, Springer nexus, Google bookman, SAGE diaries are searched. The cardinal footings, hunt engines, retrieved day of the month, filters, hunt strings and consequences found are given in the appendix A. The inclusion exclusion Criteria is discussed in the flow chart of appendix 2. Since the survey is related to the diabetes and TB, therefore the articles are chosen that discuss the relation of the two diseases and the clinical manifestation or the intervention modes of the patients. Aim of the survey This literature reappraisal aimed to find the association between the Diabetes and TB and to research the aggravating factors which indicate hapless TB intervention and diabetes control which lead to hapless results in patient attention. The emerging issues in Pakistan Ali et Al. Z. ( 2011 ) argues that the extensively drug-resistant TB ( XDR-TB ) has emerged as a major public wellness job worldwide. In add-on to this the multidrug-resistant ( MDR ) Mycobacterium TB strains are immune to at least the first-line anti-tuberculosis agents, Rifadin ( RIF ) and INH ( INH ) . says that Terbium remains the 2nd prima cause of decease in the universe and the per centum of multidrug-resistant TB ( MDRTB: resistant to at least INH and Rifadin ) among new TB instances seems to be stable at an estimated 3.4 % , at the same clip as 20 % of antecedently treated instances are MDR-TB Simultaneously Hakeem and Fawwad ( 2010 ) argues that the epidemiology and determiners of diabetes in Pakistan have peculiar combination of hazard factors. Strong cistron and environment interplay along with in-utero scheduling in context of low birth weight and gestational diabetes are the chief subscribers of a high prevalence of type 2 diabetes in Pakistan. The existent load of diabetes is due to its chronic complications taking to increased morbidity and mortality. Viswanathan et al. , ( 2012 ) stress that about tierce of worldaa‚ ¬a„?s population is infected with Mycobacterium TB and about 10 % of them are at hazard of developing active signifier of the disease in their life-time depending upon the interaction of the epidemiological three [ 1,2 ] . Available studies suggest that 95 % of patients with TB live in the low- and middle-income states and more than 70 % of patients with DM besides live in the same states, particularly in South East Asia.Importance of the Topic in Pakistani Perspectivesays that Pakistan ranks fifth among the states with highest load of TB in the universe and contributes to about 63 % of TB load in the Eastern Mediterranean Region. Estimated prevalence and incidence of TB in Pakistan is 310/100 000 and 231/100 000, severally. On the other manus the portions that It is estimated that in 2030, half of the 333 million people populating with diabetes will be from Asia entirely. Pakistan is an Asiatic state surrounding the Arabian Sea with a population of over 176 million as estimated in July 2009 [ 3 ] . The epidemic of diabetes is peculiarly relevant to Pakistan. Surveies from different parts of the state have estimated a prevalence of 6 % in work forces and 3.5 % in adult females populating in urban countries. In another survey Jayawardena et al. , ( 2012 ) reveals that diabetes is 9.3 % in males and 11.1 % in females prevalent in urban population of Pakistan whereas rural males are affected 10.1 % . Body Peoples with a weak immune system, as a consequence of chronic diseases such as diabetes, are at a higher hazard of come oning from latent to active Terbium says that the dominant manifestation of diabetes mellitus is hyperglycaemia which is responsible to prefer the growing, viability and extension of tubercle B. Furthermore, Sen et Al. ( 2009 ) it was thought that the attendant addition in dextrose in the tissues resulted in reduced opposition to infection in situ and besides in impaired fix capacity. Predilection to infection was besides attributed to local tissue acidosis and instability of electrolytes. In add-on to this, Geerlings and Hoepelman ( 1999 ) proposed that neutrophils from people with diabetes had reduced chemotaxis and oxidative killing possible than those of non-diabetic controls, and besides the leukocyte bactericidal activity was reduced in people with diabetes, particularly those with hapless glucose control. Sen et Al. ( 2009 ) says that another cause of increased susceptibleness is due to reduced production of interleukin-1 beta, and tumour mortification factor by the peripheral blood monocytes in patients with TB and co-existent diabetes mellitus. Hussain and Hussain says that the likely cause of increased incidence of pneumonic TB in diabetics could be due to desert in host defences and immune cell maps, with predominately engagement of cell mediated immune response. In diabetics, infection with tubercle B leads to farther change in cytokines, monocyte aa‚ ¬ † macrophages and CD4/CD8 T cell populations. The balance of T lymphocyte bomber sets CD4 and CD8 plays a cardinal function in the transition of host defense mechanism against mycobacterium and has a profound influence on the rate of arrested development of active pneumonic Terbium. Because of these all says that due to these all factors taken together, these surveies strongly back up the hypothesis that DM straight impairs the innate and adaptative immune responses necessary to counter the proliferation of TB. Medicines done a survey and identifies that the patients of the TB and diabetes have the issues of nonadherence, uncontrolled diabetes mellitus, inauspicious drug reactions and single patientaa‚ ¬a„?s medicine related jobs. On of the possible grounds of the hapless gulucose control is discussed by Ruslami, Aarnoutse, Alisjahbana, Ven and Crevel ( 2010 ) and says that the Plasma degrees of several antidiabetic drugs are significantly lower when co-administered with rifampicin. Campbell et Al. ( 2001 ) says that rifampicin is one of the most powerful and wide spectrum antibiotics against bacterial pathogens and is a cardinal constituent of anti-TB therapy.Patients of diabetes and TB have a higher hazard of decease and intervention backslidingIt is highlighted from the surveies that diabetic patient with TB have the poorer intervention results and, have the higher hazard of decease among these patients. Sullivan and Amor ( 2012 ) study that sputum civilizations at the completion of 6 months of TB intervention were 22.2 % positive in the diabetic patients and 6.9 % of those without diabetes. Furthermore it is revealed that the comparative hazard of decease of 1.89 among TB patients with diabetes when compared to non-diabetic patients. Restrepo et al. , ( 2011 ) says that the nexus between these two diseases may go even more meaningful in coming old ages, as the prevalence of fleshiness and diabetes are expected to lift dramatically in the resource-poor countries where TB thrives. research that diabetes increases the hazard of failure, decease and backsliding among patients with TB. Furthermore suggests that there is a demand for increased attending to intervention of TB in people with diabetes. More over to better the quality of attention among the TB patients proving for suspected diabetes, improved glucose control, and increased clinical and curative monitoring.Principles of Management of Co-existent Tuberculosis & A ; Diabetes and Prophylaxis:Niazi and Kalra ( 2012 ) . Proper guidance is critical sing disease class of patients with co-existing DM & A ; TB.Patients with terrible DM along with TB should be started on insulin therapy & A ; one time stabilized, shifted to unwritten hypoglycaemic agents ( OHA ) . Mild Diabetes needs merely OHA. Vigorous & A ; good chemotherapy is indispensable. Adverse effects of drugs need close monitoring. Isoniazid ( INH ) demands particular attending with compulsory disposal of vitamin B6 ( vitamin B6 ) . Patients with co-existant disease may necessitate drawn-out intervention, depending on diabetes control & A ; intervention response.The Amercian thoracic society recommended in 1986, 22 that diabetics, peculiarly ill controlled Insulin Dependent Diabetes Mellitus ( IDDM ) patients, should be given INH prophylaxis. Role of primary chemoprophylaxis and secondary prophylaxis in our community needs to be discussed. Corris, Unwin and Critchley ( 2012 ) . Stevenson, C. , Stevenson, A. R. , Critchey, J. A. , Forouhi, N. , Roglic, G. , Williams, B. G. , et Al. ( 2007 ) . Decision With increasing rates of fleshiness and diabetes worldwide and continued high rates of TB in low-income states, we can anticipate that the figure of persons who have both TB and diabetes mellitus will increase markedly in the coming decennaries. More research in this mostly ignored country would hence be good. The nexus between TB ( TB ) and diabetes mellitus ( DM ) has occupied the centre phase of treatment. Experts have raised concern about the unifying epidemics of TB and diabetes peculiarly in the low to medium income states like India and China that have the highest load of TB in the universe, and are sing the fastest addition in the prevalence of DM. There is good grounds that DM makes a significant part to TB incidence. The immense prevalence of DM in India, may be lending to the increasing prevalence of TB. This reappraisal looks at the nexus between these two meeting epidemics. We discuss the epidemiology, clinical characteristics, microbiology and radiology, and direction and intervention results of patients with TB and diabetes mellitus.

Adult essay

Introduction There are some people who graduate from high school and go directly to work, and there are others who go directly to college after high school. Jack was one of many people that went directly to work after high school. He felt like going to school was a waste of time. After working in the factory for four years he was promoted to a manager. Jack felt like he was on top of the world. Ten years after being promoted, he learned that the factory was about to close down. Now Jack was about to lose everything†¦ his job, his house, and his car.What would he to do now. Jack is not the only person to have lost his job. Many people every day lose their job and have no idea what to do next. They may lose their job due to the business closing down because of bankruptcy, or because the job is relocating overseas. There are also some people who simply just want a change of employment as well as career path. There are many of people going to college for their own personal reasons. They may have been fired, laid off, or just wanted to do something other than what they were already doing career wise.Adults who receive more life experience before going to college are known as adult learners. Most adult learners find it hard to adjust to college classes, after having been in the working environment! Kenner and Weinerman explains that working before college may affect a student’s critical foundations. While dealing with adult learners, an instructor may have a harder time planning assignments for adult learners. The college instructor may need to receive knowledge about their adult learning students’ background to understand how to assign their assignment.Also by knowing the background of the adult learner, the instructor can better know which persons might need extra help and which students may not. People can have fun while learning. Some people can learn different and new things about life through skills learned, as well as used when playing video games. It had been shown that people have learned just by playing games. Learning from playing video games can increase a person actives and engagement. â€Å"One of the advantages of using certain types of computer game in education is their ability, for many learners, to engender engagement and motivation, which contributes to effective learning.Adult Learning Kenner’s and Weinerman’s report says organizational development is necessary to help an employee gain more knowledge in their job field. They both say that Knowles discussed the four different stages of adult learning. The four stages are: †¢A. self directed, taking responsibility for their own actions, and resisting having information arbitrarily imposed on them. †¢B. an extensive depth of experience, which serves as a critical component in the foundation of their self identity. †¢C. being ready to learn.As most adult learners return to college voluntarily, they are likely to actively engage i n the learning process. †¢D. being task motivated. Adult students returning to college attend for a specific goal and the primary component of their motivational drive tends to be internal† (Knowles, 1984). The veterans have it harder than other adult learners. Veterans who may have been in active duty during war time have seen more things than the average person has seen. Most veterans can’t separate the difference from military life, school life, and life in general, after they’ve been in active duty in the military.Tacit theory, informal theory, and formal theory, are three of the ways that a person can design their own learning, stated by Schraw and Moshman (1995). The in classroom studies is a form of tacit and in formal theory. As of formal theory, the method of study is very hardly use of study, from the article of Kenner and Weinerman (Spring 2011). Game Engagement Theory It been said that video games can help a person in the learning experience in l ife. Researchers and practitioners in the field of game-based learning often assume that computer games are intrinsically motivational for most, if not all, people (e. . , Oblinger, 2004; Prensky, 2001). The U. K. is planning to make learning fun by using the video games from the report of Whitton. â€Å"The factors that the theory describes are the following: †¢1. A challenge that requires skill to achieve with an attainable goal and know rules †¢2. Complete absorption in the activity †¢3. Clear goals †¢4. Immediate feedback †¢5. Concentration on the task in hand †¢6. A sense of control, lacking the sense of worry about losing control †¢7. Loss of self-consciousness †¢8. Transformation of time† (Whitton 2011).There are two types of theories dealing with a basic model of learning games. The two theories are flow theories and the theory of androgogy. Flow theories are a part of the component. It types of engagement that can be engage in a level of the state of flow, from Csikszentmihalyi (1992). The means of having a different style of learn of a younger learner is known as the theory of androgogy. Conclusion In conclusion, adult learners have a hard time get back into, as well as adjusting to, the school environment than the traditional college students.When a person has been working numerous years and then decides to return to the school environment, it often is more difficult to adjust to forming a new train of thought. An adult learner may get so used to doing the things a certain way while in the working environment that they lose the ability for critical thinking. Learning can be fun sometimes. A person can learn also from playing video games. Some people may learn one thing while others learn something completely different from the same video game. Reflection I am an adult learner and can relate to what has been posted as well as what I have read.At times it is hard for me to get all my assignment in on time , but I am trying the best that I can. Sometimes it’s hard for me to understand what the instructor is asking me to do and what is required in the assignment for the week. Its major articles in my life they will have me pull from my studies. Things like working (need to make money to pay bills and to survive), family (need to give and receive family support in life), and other personally business. Life from adult living is hard, but to add going to school is harder on somebody like me.With the time I have in my life, I don’t have the time to sit in a classroom setting so I went a different route and taking online classing. I do agree that some things can be learned by games and some things can’t. It shows the basics about how life can or can’t be and how life should or shouldn’t be. Over all learning can be fun at times even that it may be applied to video games. REFERENCES Cari Kenner and Jason Weinerman (Spring 2011). Adult Learning Theory: appli cations to non-traditional college students. www. crla. net Nicola Whitton1 (2011). Game Engagement Theory and Adult Learning. www. sagepub. com/journalsPermissions. nav

Vegetation Sampling

Vegetation Sampling Abstract Previous studies have revealed quite an interesting phenomenon that occurs in the semi arid lands in western United States. Sagebrush steppe (Artemisia tridentata) is a foundation plant in the Great basin of USA (Inouye 606). This species is ill adapted to the environment is usually vulnerable to environmental effects such as wild fires and other human activities. The destruction of this species often leads to alteration in the ecosystem thus facilitating the proliferation of exotic species.Advertising We will write a custom research paper sample on Vegetation Sampling Barton Road specifically for you for only $16.05 $11/page Learn More This study sought to determine how the removal of herbs and increase in nitrogen affects the abundance herbaceous vegetation. The study was carried out in a designated area that had earlier been divided into different plots that were subjected to different treatments as follows; low nitrogen, high nitrogen, no sage brush and a control plot whose conditions were not altered. The results indicate that the removal of brush and increase in nitrogen deposition leads to increased herbaceous vegetation. Introduction Sagebrush steppe is traditionally associated with western United States (Bechtold and Inouye 74). However, change in the vegetation in those areas has been influence by growing of crops and grazing activities. In addition, the presence and movement of domestic livestock has increased the spread of plant species that were introduced to this area (Inouye 606). Cheatgrass (Bromus tectorium) is one of the annual grass species that were introduced and has now spread to vast areas of the intermountain west (Baker 179). This annual grass species spreads easily because of its ability to complete its â€Å"vegetative growth stage early in the summer, leaving behind dry materials that burn easily† (Baker 179, par. 2). Thus cheatgrass is significantly associated with the cases of wildfires as its litter provides fuel for the wildfires. Several species of shrubs that are found in the sage brush steppe communities and more specifically sagebrush (Artemisia Tridentata) are ill adapted to fire breakouts (Inouye 607 ). Usually after wildfire incidences, sagebrush often disappears leaving behind a plant community that is predominantly composed of herbaceous species (Inouye 607). Studies have indicated that in various plant communities there is always one or a few species that have more access to water or nutrient cycling compared to other species (Rein and Berendse 64). This species of plants are often referred to as foundation species. Some studies have assessed how the foundation species interfere with other plant species in the community (Prevey, Germino and Huntly 39). It is usually observed that if the foundation species is removed from a given ecosystem then more nutrients are made available to the other species. The increase in resource availability has been implicated as a mechanism for the invasion and persistence of the exotic species (Prevey, Germino and Huntly 39). The sagebrush (Artemisia tridentanta) is foundation plant is found in the â€Å"shrub steppe, cold-desert ecosystems of the Great Basin, USA† (Prevey, Germino and Huntly 39, par. 3).Advertising Looking for research paper on ecology? Let's see if we can help you! Get your first paper with 15% OFF Learn More Wildfires and other effects that result directly from human activities have cleared vast traditional habitats of this foundation species. This has caused the exotic herbs to increase in those areas. In direct evidence has suggested that incidences of extensive wildfires may have occurred at intervals of between 30 to longer than 200 years in the sagebrush steppe before the arrival of European settlers (Baker 179). Currently, outbreaks of wildfires occur more frequently at intervals of approximately five years. Human activities have also impacted ne gatively on vegetation cover through increased nitrogen output. This nitrogen mostly results from industrial processes such as the burning of fossil fuels, have released large amounts of nitrogen into the atmosphere (Inouye 607). Normally, nitrogen is often a restraining resource in most terrestrial plant communities that includes those found in arid land (Inouye 607). An increase in the output of nitrogen may lead to an increase in â€Å"plant biomass, shifts in the relative abundance of plant species, changes in plant species richness and it may result in a prolonged period during which annual species dominate disturbed sage-steppe vegetation† (Baker 180, par.4). Rothamsted Experimental station that is located in the UK has for a long time conducted researches on nitrogen cycling in the Ecosystems. Recent data from the station indicate that there is a larger concentration of nitrogen in the atmosphere during winter as compared to summer. This is attributed to the use of cen tral heating systems and to the variations in the direction of wind. This study sought to identify how the removal of shrubs influences the abundance of herbaceous vegetation and the community structure of a sagebrush steppe community. It also sought to determine what changes may occur in the sagebrush steppe community under the influence of increase deposition of nitrogen. Thus the study was carried out in a designated area that was divided into different plots subject to different treatments. This was both a field and lab exercise in which a relationship was to be drawn between the treatment and the effect observed on the plants. Hypothesis Null hypothesis: The removal of shrubs and increase in nitrogen deposition increases the abundance of herbaceous vegetation.Advertising We will write a custom research paper sample on Vegetation Sampling Barton Road specifically for you for only $16.05 $11/page Learn More Alternative Hypothesis: The removal of shrubs and increase in nitrogen deposition does not increase the abundance of herbaceous vegetation Methods Study area The study was carried out on a designated area on Barton road. The area had previously been divided into thirteen plots which were fenced to minimize human and other forms of interference. The study site is located in Bannock county, area that is semi arid with cold winters, moist springs, and warm dry summers. The study area was used as a grazing ground prior to 1990 and was acquired for research purposes n 1996. The area is dominated the Shrub Artemisia tridentata which is mainly responsible for the sagebrush-steppe ecosystem. Experimental design The study site was previously divided into 13 plots and four treatments assigned randomly to the plots. Control (no treatment) plots # 1,5,7 and 11( N=4) Shrub removal. Plots # 4,9 and 13 (N=3) Low nitrogen addition (6Kg/ha/yr). Plots number 2,8 and 12 (N=3) High nitrogen (12 Kg/ha/yr) plots # 3, 6 and 10 (N=3) The plots used in this experiment measured 20 by 20 meters. Field procedures The Tragopogon dubius plants were located in the plots. The maximum height for each flowering stock was measured by a meter ruler and recorded for all the flowering plants plus the number of flowering heads that were present. Any other thing that is unusual and by be relevant to the study was also recorded. For instance, the presence of aphids, whether the plant has been browsed by any herbivore and the appearance of any disease condition. In the same plots that Tragopogon was sampled, the above ground herbaceous biomass was sampled. Two suitable clipping areas were identified on each plot and a pair of scissors used to cut at ground level all herbaceous (no-woody) plant material that was rooted inside the clipping area. Plants that had their roots outside the clipping frame were not clipped. Four sampling sections measuring 1 by 12 meters were created on the outer part of each plot leaving the center intact. The clippin g strips measured 15 x 100 cm and the grass and forbs that had their roots located inside the strip were clipped off at the ground level. Shrubs, mosses, cacti or lichens were not clipped. The grass was then placed in one bag and forbs in the other and then labeled appropriately with the following information; date, plot #, group members and the type of plants. The bags were then transported to the lab, the plants sorted out, the weights measured using a scale and the results recorded in grams. Results The results for the different parameters were measured and tabulated as follows. The results forbs biomass and number of tragopogon plants from same plot were entered in one table as shown. Table 1: Control plots Plot Number # of tragopogon plants Average forb biomass 1 97 0 5 71 0.253 7 79 1.23 11 40 0.04 Average 71.75 0.38075 Table 2: Low Nitrogen PlotsAdvertising Looking for research paper on ecology? Let's see if we can help you! Get your first paper with 15% OFF Learn More Plot Number # of tragopogon plants Average forb biomass 2 39 0 8 51 0.472 12 282 2.86 Average 124 1.111 Table 3: High nitrogen plots PlotNumber # of tragopogon plants Average forb biomass 4 632 3.003 9 399 1.825 13 751 3.048 Average 594 2.625 Table4: No brush plots Plot Number # of tragopogon plants Average forb biomass 3 115 0.243 6 120 0.851 10 102 0.47 Average 112.333 0.521 A bar graph showing the average number of Tragopogon plants in the different plots that received different treatments. A bar graph showing the average levels of forbs biomass in the different plots that received different treatments Height of stalks and the Number of flowering heads The tragopogon stalk height and the number of flowering heads were measured randomly in one section of the different plots and the results tabulated in a table that is not shown due to its length. The data was subjected to statistical analysis to determine whether the height of the stalks influenced the number of flowering heads. According to the p-value there is a significant linear relationship between the number of flowering heads and plant height. R2=0.113915, p value= 3.74E-10, slope= 0.029369, n=327. As plant height increases the number of flowering heads increases due to the increasing regression line. The association between the numbering of flowering heads and plant height is weak based on the multiple R value of 0.338. Only 11% of the variation in the number of flowering heads is explained by plant height. Discussion The results obtained from the above study indicate that indeed the nitrogen deposition and shrub removal have led to the increase in the abundance of herbaceous vegetation. The results showed that forbs clipped from plots that had low nitrogen tended to have lower biomass values as compared to those from plots that had high nitrogen. The number of tragopogon plants is also higher in plots that were treated with high nitrogen as compared to tho se with low nitrogen. This shows the increased nitrogen deposition as a direct result of human activities such as industrial processes is partly responsible for the increase in herbaceous vegetation. Plots that had no brush also indicated higher number of tragopogon plants compared to those whose sagebrush was left intact. For instance, the control plots had an average of 71 tragopogon plants while those with no brush had an average of 112 tragopogon plants. This shows that the removal of brush, which is a foundation plant, altered the ecosystem and thus making more nutrients to be available for the tragopogon. The removal of sagebrush (Artemisia tridentata) and increase in nitrogen deposition are phenomena that occur together and thus can be used to explain the colonization of traditional sagebrush steppe areas with exotic herbs. Measurement of stalk lengths versus the number of flowering heads showed that the increase in plant height leads to an increase in the number of flowering heads. The reason may be that a plant with a long stalk has an advantage over others in terms of access to light for food manufacture. In this study it was revealed that there was more vegetation abundance in the plots that had high nitrogen rates. This reiterates the claim that increased nitrogen deposition resulting from human activities actually affects the ecosystems. Increased human activities have modified the nitrogen cycle through increased fixation by legumes, by energy and fertilizer production, and by the mobilization of nitrogen from long –term storage pools (Rein and Berendse 65). The extra reactive nitrogen is readily transported through the environment, and there is increasing evidence that ecosystems are changing due to eutrophication and acidification (Baker 179). Baker, William. Fire and restoration of sage ecosystems. Wildl Soc Bulletin (2006): 34:177-185. Web. Bechtold, Harry and Richard Inouye. Distribution of carbon and nitrogen after six years of nitr ogen addition and shrub removal. J Arid Environ (2007): 71:122 – 132. 7th December 2010. Inouye, Richard. Effects of Shrub removal and nitrogen addition on soil moisture in sagebrush. Journal of Arid Environments (2006): 65: 604-618. 7th December 2010. Prevey, Janet, et al. Exotic plants increase and native plants decrease with loss of foundation species in sagebrush steppe. Plant Ecol (2010): 207:39–51. 7th  December 2010. Rein, Aerts and Frank Berendse. The effects of Increased Nutrient Availability on Vegetation Dynamics in Wet Heathlands . Vegetation (1998): 1: 63-76. Print.

Marketing Strategy of Bionade Essay Example

Marketing Strategy of Bionade Essay Example Marketing Strategy of Bionade Paper Marketing Strategy of Bionade Paper 1994). It is based on the results of the marketing environment audit (appendix 3. 1). 3. 1 Macro environment The political and legal situation (appendix, chapter 2. . 1. 1) in the domestic market is determined by the new recycling regulations of the German government. Packaging gets an important role for this industry. The new regulations do not have such a big influence for Bionade, because the main sale is doing by glass bottles. They are reusable packaging since a long time. Manufacturers, Distributors and Customers are used to it. Additionally the â€Å"green† positioning and image of Bioande supports a system that protects the environment. The European Union agricultural department focus more and more on a further support of organic farming, which is positive for Bionade. The international political and legal situation depends on the country. The patent on process, technology and brand is valid in all international markets except of the US and China. China has not such a law. Therefore a market entrance in this country would bring further more risks in kind of copying. The political uncertainty in the developing countries (eastern countries) has to keep in mind by an international expansion. The current economic situation (appendix chapter 2. 1. 1. 2) in the domestic market is characterised by a small growth and economic uncertainty, a high unemployment rate and regressive consumer spending. The developed countries are determined by saturation and maturity. Additionally declined birth rates and an aging population influence the target audiences of the companies. Consumer patterns are determined by a current â€Å"Fast-Paced- Lifestyle† by smaller households. The current health and wellness trend is a further positive 5 opportunity for Bionade. People attach more importance on food and their ingredients (appendix, chapter 2. 1. 1. 3). The technological situation (appendix chapter 2. 1. 1. 4) in the producing process is leaded by Bionade. Distribution channels are influenced by a higher using rate of the internet. Convenience products like Bionade are not the main E-commerce products, therefore ecommerce as a new retail channel is not focussed yet. 3. 2 Markets The soft drink market grows over the last years in all segments. The forecast for 2007 is a trade off volume of 79. 339, 98 million litres in Western Europe. Germany is the main market for soft drinks in Western Europe. 22. 61 % of soft drink volume is done in Germany in 2005. Out of a world wide view North America and Western Europe are the most important markets. The Asian regions are the future markets because of the high potential in economic developing. In the developed countries functional and wellness drinks are the growing products. The current wellness and health trend is supported by many food scandals over the last two years. Today not only traditional organic food customers choose a healthy drink. The market is changing. Younger people are paying more attention on organic food. Some of them are interested in the health aspect for others it is the value of money and time they associate with a drink like Bionade. The main distribution channels in the soft drink market are supermarkets/ hypermarkets. The sales with organic food products in the German supermarkets increased 2005 up to 10%. There is a trend on concentration in the wholesale and retail level at time. Metro in Germany, Carrefour in France and Tesco in the UK are the main players on retail level. High listing prices as well as smaller portfolios make it difficult for organisations without big financial resources to be presented in their shops (appendix chapter 2. 1. 2. 2). Bionade could get over these rules in Germany, because of the high demand of the product, but this must not apply accordingly for all countries. . 3 Competition In the special market of Bionade there are no direct competitors. The main indirect competitors are the big soft drink companies like Coca Cola Company, Pepsi, Nestle and Danone. They 6 do not have a similar product. There power on the distribution level, their broad brand and product portfolio, their international presence and their financial resources are the main competitive advantages. B ut the last year Coca Cola Co. lost market share in Western Europe. More and more smaller brands enter in the market. Discounter brands are growing. Additionally there are three smaller brands: â€Å"Sinalco† a German traditional lemonade brand, â€Å"Almdudler†, an Austrian herb lemonade and â€Å"Carpe diem† a functional wellness drink distributed by Red Bull. â€Å"Almdudler† is a local Austrian brand. It is not used in Germany. Sinalco is no organic drink. Carpe diem is not well promoted in the German market. The turnover would be less than the Bionade ones1. The positioning as a refreshment drink with value added healthy ingredients is similar to Bionade (Carpe diem, 2006). In the organic market segment in Germany the Voekle GmbH came out with â€Å"Voekles Bio lemonade†. It is also sold in a glass bottle, but by a higher price. The main risks for Bionade are new market entrees (appendix chapter 2. 1. 2. 3). 4 SWOT Analysis The following picture shows the main strengths, weaknesses, opportunities and threats in an overview as a result of the marketing audit (appendix, main chapters 2. 1 and 2. 2): 1 There are no financial data of this company for the German market available. It is based on the experiences of the author. 7 Figure 1: SWOT Analysis Bionade Source: According to Kotler Keller (2006), p. 55. 5 Marketing objectives Out of the marketing audit and the SWOT analysis the following marketing objectives could be defined. This includes the strategic thrust and the strategic objectives (Dibb et al. , 1994). 5. 1 Strategic thrust The â€Å"Ansoff? s Product-Market Expansion Grid† (1956) is used to underline the strategy thrust of the company. 8 Figure 2: Strategic thrust options Source: Ansoff, I. (1956), â€Å"Strategies for Diversification†. Bionade embarks on a market penetration strategy to get a higher market share in the current market. Additionally an expansion strategy is planned by a country diversification. There is already research on a product development. They want to come out with it by 2010. The company focuses on taping the full potential of the current market. At time Bionade is more seen as a niche product, but it targets to a broad range of customers. Therefore the strategy will follow a mass market strategy (Ayal Zif, 1979; Kotler Keller, 2006). 5. 2 Strategic marketing objectives Out of the corporate objectives the following marketing objectives are defined1: Keep hold of the marketing leader position in the organic beverage sector, by starting marketing campaigns in the middle of 2007. ? Increase the marketing budget up to 8 % of turnover Increase sales up to 99 million litres in 2010. Increase market share over the next five years up to 0. 36 % in the German soft drink market and 0. 11 % in Western Europe. 1 They are defined by the author. The company do not publics any financial or marketing related objectives and planning data. 9 Figure 3: Planning data of Bionade Gm bH and Bionade International until 20101 2005 2006 2007 2008 2009 2010 Market share Bionade West. Europe 0,01% 0,02% 0,04% 0,08% 0,10% 0,11% Volumen West. Europe Soft drink market (mil. l. ) 75. 703,42 77. 77,46 79. 339,98 81. 223,31 83. 041,22 84. 906,57 Market share Bionade Germany 0,04% 0,09% 0,14% 0,28% 0,31% 0,36% Volumen Germany Soft drink market (mil. l. ) 17. 123,08 17. 343,86 17. 564,18 17. 862,59 18. 092,14 18. 333,52 Volume Bionade total (mil. l. ) 8,25 16,50 33,00 66,00 82,50 99,00 Volume Bionade Rest of the World (mil. l. ) 0,00 0,00 0,00 1,65 3,30 5,94 Volume Bionade West. Europe (NO GER) (mil. l. ) 0,83 0,99 8,25 14,85 23,10 27,06 Volume Bionade Germany (mil. l. ) 7,43 15,51 24,75 49,50 56,10 66,00 Volume Bionade total in million bottles 25 50 100 200 250 300 Bionade Planning Data 2005-2010 Source: Bioande press overview (2006) and Euromonitor International (2005) Diversification in international market from 20072. o Western Europe (UK, France, Italy, Spain by 2007) o Eastern Europe (Poland, Ukraine in 2008 as test markets) o Asian pacific (Australia and New Zealand, in 2008; Japan, China and India after 2010, depends on the capacity) o North and South America, Africa are planned after 2010 Develop of a new product until 2010. 1 The cursive numbers are valued by the author. There are no official planning sales, profit and cost data available, except of an official press review, presented in the internet. This marketing plan does not examine the market entrance outside of Europe in detail. The current production situation do not allows a world wide sale of Bionade. 10 The main strategy is to increase brand awareness. Therefore the company starts an integrated marketing campaign, which allows a higher budget then the years before. The next chapters present the planned s trategy and marketing mix in detail. Therefore the following marketing budget is defined: Figure 4: Marketing Budget planning 2005 2006 2007 2008 2009 2010 Turnover (price: 0,40 â‚ ¬) 10. 000. 000 20. 000. 000 40. 000. 000 80. 000. 000 100. 000. 000 120. 000. 000 Marketing Budget 8% of turnover from 2007) 7. 000 9. 000 32. 000 64. 000 80. 000 96. 000 Germany (70%) 6. 000 8. 000 22. 400 44. 800 56. 000 67. 200 International Markets (30%) 1. 000 1. 000 9. 600 19. 200 24. 000 28. 800 Source: Defined by the author The marketing strategy and mix is determined by the small budget. The planning data define the budget and the spreading out of the current situation. It is important that the organisation measure effectiveness and efficiency, especially after the first year. It could be necessary that the amount of the budget as well as the planned percentage for the international markets has to be redefined. Additionally a specific budget for every country will be fixed. 6 Core strategy 6. 1 Target Markets Bionade is a product for a broad range of customers. For the national market and the main European markets people all ages, categorised by the following groups are defined as the target audience: Traditional organic food users with a conservative lifestyle. Mostly women older ages (40-60 years), well educated, higher income and active interest in healthy food. They mainly use organic and health food stores to buy their products. Younger adults with a trendy and hip lifestyle, mostly 18-35 years old. They are characterised by â€Å"on the street consumption†, time pressure and fast lifestyle and an 11 increased interest in healthy food. Consumption reasons could be additionally dietary need, allergies or other diseases. They mainly use supermarkets, beverage retailer, convenience stores and beverage vending machines for buying. Also company canteens and university caterers are distribution channels to get through to them. The whole gastronomy sector especially clubs and bars in the main cities are other points of consumption. Sportive people all ages with a higher need on minerals and vitamins. The consumption time and place are mainly during doing exercises, after it or during the breaks. This could be outside (Skiing, hiking, etc. ) or inside (fitness, soccer, basketball,etc. ). Fitness stores as well as the gastronomy sector in skiing and hiking areas are the main places of consumption. Children and Teenagers (6-18), especially with weight problems. They are using lemonade because of the sweet taste. Especially for the younger children their parents have an important part in the purchase process. School caterers are a special retail channel to get through to this group. Additionally convenience stores, supermarkets and beverage retailer are used by them or their parents. To get into the international markets a contract with an independent local beverage wholesaler is planned. It is the same strategy the organisation did for the current international markets (Netherlands, Austria, etc. ). It is important because they know the market specifics, the drinking consumption and cultural differences as well as the retail sector. If the product performed well and the sales volume increase over 5 million litre per year per country an own sales office in this country is planned. It will be responsible especially for the marketing, the distribution and the communication to be closer to the market. For a market entrance in the Asian Pacific and the eastern countries as well as later in the American and African continents an own sales office is necessary to be closer to the market. First the Coca Cola distribution cooperation will be used to get into the markets. 6. 2 Competitor advantages and objectives Porter (1990) defined five generic competitive strategies, the following figure shows in an overview: 12 Figure 5: Generic competitive strategies Source: Porter (1990), â€Å"The Competitive Advantage of Nations†, p. 9. Bionade is the only fermented lemonade on the market. The technology is not copied over the last 10 years. The high credibility and the clear positioning of the brand by a small portfolio and a high quality product are the main competitor advantages. The company focused on differentiation by a broad target audience. The main aim is to inc rease market share and brand awareness protecting their current market leadership in the organic beverage segment. Get into the whole soft drink market, out of the market niche strategy into a mass market strategy is the long time goal. The company will use the credibility and the uniqueness of the brand with the high quality of the product to protect differentiation. It is no acquisition or fusion with one of the established soft drink companies planned. 6. 3 Brand positioning The brand Bionade is a manufacturer brand. Bionade is presented in the market with four different flavours as a line extension under the one parent brand Bionade in only two different package sizes. Bionade will be positioned as a unique and healthy drink for everybody. They will achieve this positioning by a clear and differentiated branding strategy with using the following brand attitudes: 3 Figure 6: Brand attitudes of BIONADE Source: Bionade (2006), â€Å"The product†. The uniqueness and innovation will be presented by the different packing and a further support of the own research for a new product. Quality standards are guaranteed by the origin producing process and place. These underlie additionally their credibility. The value added ingredients are the health and wellness characteristics. The further support of local organic farming presents the social responsibility of the organisation (Aaker, 1996). 7 Marketing Mix Decision Based of the branding strategy and out of the strategic marketing objectives he following marketing mix is developed. It is differentiated in the product, promotion, price and distribution strategy (Kotler Keller, 2006, p. 65). 7. 1 Product Strategy The organisation has only one product line. The product is identifies as a â€Å"Star† product according to the BCG Product Portfolio Analysis (appendix, chapter: 2. 6. 1). It performs well. Therefore less promotion activities on this product were done in the past. The growing competition and the risk of me too products are reasons to start promotion activities. The market position should be expanded by increase brand awareness. Additionally over a new packaging the product line will be expand. The differentiate design of the glass bottle is useful for the gastronomy sector, but not practicable for sportive exercise as 14 well as for the â€Å"on the street use†. The 1l PET bottles are too big. Therefore the company will come out with an extra packaging format of 0,33 l and 0,5 l PET bottles. It is an easy to carry size and material and makes it an available and portable drink for everybody to every time. It is important to hold the unique design. The new PET bottles should not be sold in the gastronomy sector to keep Bionades unique positioning in hold. Currently the company invest in researching to come out with a new product in ca. 2010 for the market. It will be innovative. 7. 2 Promotion Strategy The marketing campaign objective is built up brand awareness and increase the need for the product by the population. The promotion strategy focuses on a pull strategy directly to the customer to achieve brand awareness. Customers will be promoted by a information based message. Information about the products and the value added ingredients will achieve credibility. The small marketing budget determines the promotion activities. First they will be local as well as in the main cities. The first marketing campaign focuses the domestic market. The following tools and actions are defined: Promotion tool Action Implementation % of marketing budget Advertising Placates (outside and in schools, universities, bars and clubs) and local radio spots Internet ads (mailing sites like hotmail, gmx, etc. ) Print ads in magazines (fashion magazines for women) 05/ 2007 40% 15 Promotion tool Action Implementation % of marketing budget Sales promotion Free samples in universities, schools, fitness studios and on company events 02/20071 30% Sponsorships/ Events Sponsoring of local sport events like marathons, beach volleyball competitions (summer) and skiing and snowboarding events (winter) Sponsoring of local music festivals and concerts 05/ 2007 25% Direct Marketing Establish database of customer, especially the organic food users to send mailings from 2008 Start establish database from 01/ 2007 5% Public Relations no PR planned, because of the good publicity and the small marketing budget Placates and radio ads are used to get to the mass market. Print ads in fashion magazines are useful to promote the product for the younger adult women. They are often more interested in a non alcohol drinking alternatives in the evenings then men are. Sponsoring of local music festivals is used to get closer to the teenager and younger adults. Sponsoring of sports events like local running marathons and soccer events as well as beach volleyball competitions in the summer are planned to increase brand awareness in the trendy and hip scenery of younger adults as well as them with sportive interests. A database will be established to build up a intensive relationship with the customer. The healthy food user are the 1 This is already done by the company. Therefore it will starts in the beginning of the new year. 16 focused group that are promoted by special mailings with information about the organic food sector. The marketing budget for the international markets is 30 %. The domestic market is focussed. In 2009 the marketing department has to redefine the budget and the necessary marketing tools for the international markets in relation to their sales increase. 7. 3 Price Strategy Plan is a price increase of 10 Cent on retail level in 2007. The current retail price of around 0,50 â‚ ¬/ 0,33 l bottle is compared to other soft drinks to low. The quality of the product allows a higher pricing. Totally the price should be adapted to the main soft drink carbonates brands of Coca Cola Company and the other main players in the soft drink market (Appendix, chapter 2. 1. 2). The pricing strategy follows a mass strategy. In future the pricing strategy has to be adapted at inflation effects. The pricing strategy in Western Europe follows the same in Germany. For the other international countries the pricing has to be adapted to the local market pricing of soft drinks. 7. 4 Distribution Strategy The distribution strategy is a mass market strategy. Currently all traditional retail channels in the domestic market are selling the product. For the other western European countries the same mass distribution strategy is planned. The distribution by Coca Cola Company is used for the market entrance in theses countries, especially for supply the traditional retail sector, which will be the main future channel for the organisation. Key customers like Ikea are supplied directly by the company. There international presence will be used additionally to get into new international markets. 8 Organisation and Implementation The marketing strategy is implemented by the marketing department in cooperation with a marketing agency. The current human resources in the marketing department have to be proven. Probably one full time person should be recruited. Additionally internal marketing for this marketing strategy is important to have â€Å"everybody in the same direction† and to increase understanding for the higher amount of the marketing budget. The small size of this 17 organisation makes communication easier because of shorter decision and communication ways. On the other hand there is potential of intra conflicts regarding the small budgets. 9 Control The purpose of the marketing promotion action plan (chapter 7. 2) and the efined marketing objectives (Chapter 2. 3, especially figure 3) is the guideline for the organisation. Sales planning, revenues and costs are presented monthly and annually, the expenses are presented monthly and annually. Market share should be controlled regarding the plan based on the results of Euromonitor international. A market research database will be implemented that in cludes all these data. Especially regarding the missing experience in advertising the company will control the planned tools in kind of their efficiency. Key data will be defined to measure the marketing campaigns. Customer surveys could be used for it. 8 II Appendix: Marketing Audit 1 Introduction This marketing audit consists of six areas (Dibbs et al. , 1994; Kotler, 1988): The marketing environment audit consists of an analysis of the current macro- and task environmental forces for the Bionade GmbH. The marketing strategy audit presents an analysis of the current marketing strategy, the culture of the organisation, the marketing goals and objectives, strengths and weaknesses, opportunity and threats (SWOT) of it. The marketing organisation audit includes an analysis of the formal structure, the functional and the interface efficiency of the firm. ? The marketing systems audit consists of an analysis of the current marketing information planning and control system the Bionade GmbH uses. The marketing productivity audit includes an analysis of the profitability of the product and the whole company Bionade as well as a cost-effectiveness analysis. The marketing functions audit consists of an analysis of the current marketing mix. Products, distribution, advertising, promotion and the current sales force will be analysed. The following chapter present the different parts in detail. 19 2 Market Audit 2. Marketing Environment Audit 2. 1. 1 Macro Environment The analysis of the macro environment is based on the P. E. S. T model (Chartered Institute of Marketing, 2004) Macro environment Source: Chartered Institute of Marketing (2004) 2. 1. 1. 1 Political and legal forces The domestic market is influenced by the high level of recycling and waste recovery. There is a deposit of 0,25 â‚ ¬ on a bottle of Bionade. The German government implemented a deposit (0,25 â‚ ¬ for 1,5 l packages; 0,50â‚ ¬ on = 1,5l packages) on non-refillable plastic bottles and cans in January 2003. This â€Å"Dosenpfand† forces customer to take their empty package back to the retailer where they get their deposit back. It includes all types of packages like cans, glass and plastic bottles except of paper based ones. Fruit juice, diet drinks, wine, champagne and spirits are free of the deposit. The time the law came out the retailer were not prepared for it. There were no national solution or system built up to handle with this amount of plastic packages. Retailer did not believe in the law until January 2003. Customers were confused. Millions of losses were proposed. In 2004 the volume sales of carbonates in Germany were going down by about 5% because of the effects of the new depositing system. In May 2006 the government complement the law by including all non-carbonate soft drinks like functional drinks, RTD teas and coffees. Only 100% fruit juices are not included. The recycling and deposit system also has new regulations. 20 Every retailer has to accept empty packages and send them back out of the same material they are selling. This regulation brings out package decisions as an important issue for the whole soft drink industry. At time manufactures and retailers are confused. There is no clear meaning if PET or cans are probably the best main package format for the future. One third of German customers support already this system. Supposable it is more a temporary effect (Euromonitor International, 2006, p. 2-8). Bionade is an organic drink. It has the official â€Å"Bio† sign from the organic food board of control of the European community. The agriculture department of the European Union support the sales and the cultivation of organic food. The further east enlargement would facilitate a market entrance in these countries. Regarding a global expenditure the political forces depends on the country. A market entrance in the fast development countries has a high risk potential of political uncertainty. The US government started with an organic food standard label in 2002 (Euromonitor International, 2006, p. 7). A market entrance would bring along to gain this certification for Bionade. Only with this â€Å"local† label they could increase and sell the same high quality image they already have. In addition the US government relaxes laws to the food manufacturer regarding health issues. Now they allow presenting the positive effect on nutrition, health, etc. n their labels. In addition the negative image Coca Cola, Pepsi, etc. have regarding the further development of health and nutrition problems of the Americans would give an option for a successful market entrance. All in all the political forces are all supporting a further production and distribution of Bionade. Regarding the legal issues in an international context the patent law is not valid for the US and the Chinese market. The US patent privilege is too expensive (Lange Lange, 2006). China has no existing law in the field of patents on brands/ ideas or technologies. Regarding a long time view a US guaranty on brand and process would be necessary. The Chinese market has to react on the actual existing legal problems of copying brands. In future probably international regulations would come out (Euromonitor International, 2005). 21 2. 1. 1. 2 Economic forces The domestic market is clouded by a low economic growth and a cautious consumer spending behaviour. A high unemployment quote and the economic uncertainty are reasons of higher savings attitudes of the German population. In addition the developed markets are characterized by saturation and maturity. But anyway Western Europe has one of the highest average life standard and income in the world. Germany with an average income of 2. 254â‚ ¬/ month (without tax) and an economic performance growth († Bruttoinlandsprodukt†) of + 0. 9% from 2004 to 2005 it is one of the main consumer markets (Federal finance office Germany, 2005). For a further increase of sales the value added of products gets more important. The healthy positioning of Bionade should be focused. Out of a global perspective the Asian as well as the eastern countries of Europe are the fast growing markets. But the current income and price level in these countries are far below the western European one. 2. 1. 1. 3 Social forces The developed countries are characterised by declined birth rates and an ageing population (Euromonitor International, 2005, p. 3). In future the â€Å"over 50’s† are an important segment of consumers. The main user group of carbonates are teenagers and younger people. But Bionade targets to all ages of people. The mineral ingredients (magnesium and calcium) and the low sugar level by fewer calories make it a drink for† everybody†. There is also a trend of urbanisation and smaller household sizes. The increased number of single households as well as the â€Å"fast-paced† lifestyle provides a single-serve packaging that is portable (Euromonitor International, 2005, p. 4). Consumption â€Å"on the go† as well as using stylish but robust products are characterized the market at present. Bionade is only served in small glass bottles with a crown cap, as a beer bottle. One the one hand it is stylish for the consumptions in bars or cafes. On the other hand for a normal day use it is not useful and practicable. Easier handling is guaranteed by smaller size PET bottles. Bionade only offers the product in a 1 liter size (Bionade, 2006). Already carbonates are the most consumed drink in the soft drink market with an off trade volume of sales of 140 million litres in 2004. But Euromonitor International (2005) assumes that the off trade volume of bottled water overtakes the carbonates volume in 2006. Sugar over22 laden carbonates are not the preferred drinks any more. The increased sales volume of Bionade over the last years authenticates the current health and wellness trend in consumption patterns. The trend of consumer behaviour in the whole food industry is more and more focused on organic and healthy food and beverages. Regarding drinking patters there is a trend of functional and flavoured variants of water as well as a further use of healthy drinks or new tea variants. Customers are setting more and more a high value on organic farming, saving the environment and anti-globalization. The industrial food production is affected by a negative image because of many food scandals over the last years. All these forces support the organisation’s business. In addition the growth of volume in most of the German soft drink segments is done by private labels (Euromonitor International, 2005, p. 99ff). Bionade as a small company benefited of these trends over the last years as it suppose to do in future. Regarding a global perspective the US market follows the same organic food trend which is seen in Western Europe. The cumulative amount of overweight people, especially children, let mount the consumption of low calorie drinks as the main carbonate product. 2. 1. 1. 4 Technological forces At present Bionade is the company with the most develop techniques producing soft drinks. Normally soft drinks are mixed drinks with a lot of sugar. Bionade is a fermented drink. (Bionade, 2006). At present there are no substitutes for this product. The current patent on the process and the brand protects the company for me-too products. The current trends would further support a development and outcome of healthy and functional drinks. Regarding an international growth, particularly in the developing countries, there is a risk of copying, because of unclear guidelines and laws in international cases. 2. 1. 2 Task Environment 2. 1. 2. 1 Market segments Official Bionade operates in the market for soft drinks, as a non-coke carbonate and as a functional drink. In reality it has an own small niece market segment for organic soft drinks. Kowalsky describes his drink as a â€Å"( ) global public beverage based on organic ingredients† 23 (Anon 2006a). It is a drink for everybody. Out of a product based view Bionade targets the following main consumer groups: 1. A healthy diet drink for older customers (Organic food users) 2. A beer, non alcohol alternative for teenagers and trendy and life- style focused adults 3. A functional sport drink for fitness and sportive people 4. A children drink 1. As an organic drink, firstly Bionade was only sold in special organic food stores. The target segment using these stores is characterized by older, often feminine customers. They often live beyond the main cities. Their interests are â€Å"green†: Saving the environment and anti globalization are the main themes. Their lifestyle is not much influenced by actual trends. Mostly they have a higher income. They emphasise on quality of food, the process and the origin of the product. Bionade could focus more the healthy added value for this market segment to increase the consumption beyond the main cities. 2. The product obtains popularity since it arrives in the media scene of Hamburg. From there it runs through all main cities in Germany, Switzerland, Austria and the Netherlands. Today Bionade is more used by the trendy and hip segment of younger adults and teenagers. They are mostly single households with a high level of income. Their attitudes are following the actual trends. Especially in the media branch Bionade is already a cult. In addition it is an alternative drink at the evenings in bars, clubs or at the daytime in cafes. For this market segment at present it is more popular as a bar drink than as a beverage for taking home. There is a potential to increase the sales by a further using of Bionade as a standard drink at home. 3. Bionade is in addition a functional drink because of the mineral ingredients. In this time it is not main used and popular as a sportive drink. It is sold in fitness studios but not area-wide. 4. Because of the organic ingredients, but sweet flavours parents buy it for their children (Bionade, 2006; Anon 2006b; Anon 2006a). In addition the market segments are limited by geographical criteria (Germany, Netherlands, Austria and Switzerland) (Bionade, 2006). This gives an opportunity on a further growth by international expansion. In the following part current situation and potential of the soft drink market is analysed. 24 2. 1. 2. 2 Market development BIONADE GmbH is located in the soft-drink1 market. It belongs to the carbonates (non carbonate soft drink) as well as to the functional drinks or sport drinks. It is a national germane product. At present the company focuses the domestic market as well as the neighbouring markets Austria, Switzerland and Netherlands. The further tablet shows the trade volume for soft drinks in Western Europe in an overview for the current sales regions of Bionade: Soft Drink Market Western Europe: YEAR 2003 2004 2005 2006 2007 2008 2009 2010 Total region 73,902. 23 74,248. 22 75,703. 42 77,477. 46 79,339. 98 81,223. 31 83,041. 22 84,906. 57 Germany 16,785. 53 16,848,79 17,123. 8 17,343. 86 17,564. 18 17,862. 59 18,092. 14 18,333. 52 Switzerland 1,265. 17 1,354. 43 1,416. 02 1,470. 53 1,522. 12 1,571. 30 1,616. 42 1,661. 62 Austria 1,625. 18 1,547. 14 1,527. 16 1,550. 44 1,573. 78 1,577. 69 1,577. 88 1,579. 21 Netherlands 2,070. 45 2,134. 43 2,182. 75 2,239. 41 2,281. 10 2,318. 39 2,352. 35 2,381. 80 Soft drinks off trade Volume in Western Europe (in mn litres) Source: Euromonitor International 2005, â€Å"Soft drink market history and forecast†, p. 99ff. The soft drink market of Western Europe increases over the last years with an off trade volume of 75. 703, 42 million litres (2005). The market is forecast to reach nearly 85. 000 million litres in 2010. Except of Austria all distribution markets are following the same trend. The Austrian market volume declined from 2003 to 2005. But the forecast is already positive. The domestic market Germany is the main market in Western Europe by an off trade volume of 22. 61%. The global soft drink market follows the same trends as in Western Europe. In 2004 it amounted to a total sales volume of 344 billion litres. The US is the largest national market with over 21% of global off-trade volume sales (2004). The developing market is the Asian pacific region. China presents the fastest growth. The volume increases of 16% from 2003 to 2004. The following table shows the sales development of the global soft drink market by region: 1 Soft drink comprises carbonates, fruit juice, bottled water, functional drinks, RTD tea, RTD coffee and Asian speciality drinks (Euromonitor International (2005), category definition, p. 186f) 25 Regional Sales of Soft Drinks 1999-20041 Source: Euromonitor International (2005), â€Å"Global market for Soft drinks†, p. 103. The global off-trade soft drink market is forecast to amount a volume of 440 billion litres in 2009. The fast developing countries should be focused. The comments above show a still growing soft drink market in all regions of the world. Even if Bionade has already potential to increase the sales volume in the present markets, a further penetration of the whole European market is recommended (e. g. by a market entrance in other main European countries like France, Spain or UK as well as the eastern part of Europe). In addition Bionade is not presented in the largest soft drink market the US as well as in the fast developing countries like e. g. China or India. Out of a global perspective this are the main markets for the future. . 1. 2. 3 Competitors, Distributors and Dealers, Suppliers In the following part the main competitive threats of Bionade are analysed. Therefore the model of Porter (1985) is used. 1 Size of the bubble denotes retail sales 2004 (US$ million) 26 Five Forces Determining Segment Structural Attractiveness Source: Porter (1985), â€Å"Competitive Advantage†, p. 225. Bionade opens a market niche of with their market segment of organic soft drinks. Regarding this market segment it has a unique selling proposition. Presently there are no new entrants, but there is a high risk that the market niche would be attacked. The patent on the producing process and the label is a kind of guarantee, but new innovations or product launches of the established brands and products could be potential entrants in the next years. The market for functional and healthy drinks is growing. There are no direct substitutes for Bionade as an organic drink, but there are kinds of different functional and healthy drink brands already on the market, which could be indirectly substitutes. Therefore it is additionally necessary to analyse the competitor structure out of the whole market for soft drinks. Competitors Regarding the whole soft drink market there is a high level of competition. Out of an industry concept of competition (Kotler Keller, 2006) the soft drink market could be nearly characterised as a differentiated oligopoly. There industry is determined by a small number of 27 companies like CocaCola, Pepsi, Orangina-Schweppes and Nestle. The following table makes it clear which power only a few companies already have in this market. Major Players in the global soft drink market Company 2000 2001 2002 2003 2004 Coca-Cola Co, The 24,9 24,5 24,3 23,6 23,3 PepsiCo Inc 12,5 13,2 13,1 12,8 12,7 Danone, Groupe 3,9 4,3 4,8 5,4 5,7 Nestle SA 3,6 3,7 3,9 4,1 4,1 Cadbury Schweppes Plc 3,3 3,3 3,2 2,9 2,8 % off-trade volume of the world Source: Euromonitor International (2005), â€Å"The world market for soft drinks†, p. 158f. The CocaCola GmbH, with a market share of about 20. 2% in Germany and 23. 4% in the world in 2004 is an important player in this market. But the Market share of the big players is declined. The last years the Volume sales growth is done by small private labels. Only Nestle and Danone could increase their global market share. They focussed on healthy and wellness drinks, particularly in the water segment over the last year. Regarding the Western Europe the market shares are nearly the same. The following table shows the three main companies in volume for every different soft drink segment which are direct or indirect substitutes for Bionade. Major Players in the soft drink market1 in Western Europe Rang1 Rang 2 Rang 3 Carbonates Coca-Cola Co, The PepsiCo Inc Cadbury Schweppes Plc Fruit Juice Eckes-Granini PepsiCo Inc Coca-Cola Co, The Bottled Water Nestle SA Danone, Groupe Castle Group Functional drinks GlaxoSmithKline Plc Coca-Cola Co, The Red Bull GmbH RTD Tea Unilever Group Nestle SA Pfanner Getranke GmbH, Hermann Ranking by Major Players Soft Drink Market Western Europe 2004 Volume Sales Source: Euromonitor International (2005), â€Å"The world market for soft drinks†, p. 160ff. Bionade is a substitude of the well established carbonates from them like Zero- Coke, Diet- Fanta, Diet-Pepsi or Orangina. In addition the flavoured and functional water of Gerolsteiner 1 The soft drink market includes additionally Concentrates, RTD Coffee and Asian Speciality Drinks. 28 Brunnen, Nestle Waters or Danone Waters targets mainly the same group of people. A range of different functional and healthy wellness drinks from the big players as well as from small private labels or discounters are presented in the soft market. For Bionade the current position would probably not the same in the next years. After a failed acquisition offer by the Coca Cola Company Bionade is already recognized as a competitor for these companies. Therefore they would use their power and largeness to increase their market share. New innovations and product launches would be used to get into the market niche of Bionade. The following part shows the two main competitors Coca Cola Company and Nestle SA in detail. The other competitors dispose of similar strengths and weaknesses. Therefore a detailed view is not presented. Coca Cola Company in detail (Coca Cola Company, 2006): Coca Cola Company is originally based in the US. Popular of the main Brand â€Å"Coca Cola† the company sells already around 400 different Brands in the beverage market around the world. Product examples in the soft drink market: Carbonate Market: Coca Cola, Fanta, Sprite in â€Å"Zero† Version, â€Å"Diet† Version, with different flavours, etc. Functional drinks: POWERade Bottled water: Bonaqua with different flavours like apple, lemon, etc. RTD Tea: The Wellness Main strategy: Market penetration in the developing countries Growth market share in the bottled water market (it is currently the smallest market for Coca Cola) New product launches and innovations with low calories and health and wellness drinks in the developed countries 29 Strengths: Major player in all market segments of the soft drink market, particvcularly in the carbonate market Financial resources Strong branding Established products and well known High influence on distribution level Weaknesses: No direct competition product in the organic carbonate segment of Bionade No strong brands in the healthy and wellness segment Failed acquisition of the company Bionade, no knowledge on process technology Negative image and declined trend in the segment of high sugar carbonates like CocaCola and Fanta, etc. Negative trend on the big names, trend to small ones (anti globalization) in the developed countries Nestle SA in detail (Nestle SA, 2006): Nestle SA is French concern, which sells products and brands around the whole food market. Chocolate products, baby products, breakfast cereals, ice cream, dairy products, pet care, prepared food, beverages and bottled water. They offer the beverages by a healthy and active communication, but there products like Nescafe or Nesquik are not main competition products to Bionade. The main competition products are in the bottled water segment. Product examples in the soft drink market: Bottled water: Nestle Pure Life, Nestle Aquarel, Vittel (with different flavours), San Pelligrino, RTD tea: Nestea without sugar, 30 Main strategy: Market penetration in the developing countries Growth market share in the bottled water market by acquisitions Strengths: Major player in the market segment of bottled water in Western Europe Strong branding Broadly based portfolio of products and brands in the whole food sector High influence on distribution level Weaknesses: No direct competition product in the organic carbonate segment of Bionade Strong branding in the RTD Coffee segment (Nescafe), not in the wellness segment Soft drink market is not the main competence Negative trend on the big names, trend to small ones (anti globalization) in the developed countries Out of a market view there are additionally some smaller brands, which are closed to the Bionade brand: â€Å"Sinalco† (Beverage group Hoevelmann, Duisburg, Germany) as an old traditional small German lemonade brand. â€Å"Almdudler† (Almdudler-Limonade A. S. Klein GmbH Co. KG, Austria) is a local austria herb lemonade (the light version is without sugar). â€Å"Carpe Diem† Kefir, Kombucha or Gingko (Sock Vital GmbH Austria, member of the Red Bull Company) is a healthy/ wellness function drink out of nature ingredients. 31 â€Å"Carpe diem† is the main substitute or closed product to Bionade in time. The positioning and branding is similar to Bionade. It is distributed by Red Bull Company (Energy drink) in Germany, Africa, USA and Australia pacific, but the Red Bull brand is completely separately sold and branded. No customer knows the connection. Even if â€Å"Carpe diem† targets mainly the same audience and has a similar positioning the Austrian brand is not popular in the German beverage market. There are no main advertising campaigns on this brand (Carpe diem, 2006). In the organic market segment in Germany the Voekle GmbH came out with â€Å"Voekles Bio lemonade†. It is sold in glass bottles, but with a higher price (0,89 cent/bottle) (Annon, 2006d). There are several organic beverages from other companies like Beutelsbacher and Perger. Their products are distributed over organic food stores. They all only target the organic healthy food users. They did not entrance and at time they are not focusing traditional distribution channels of soft drinks (Lange Lange 2006)). In addition to the main competitors shown above the German soft drink market is also influenced by the further growth of private labels of the discounters (Lidl, Aldi). They offer drinks in the wellness and functional segment to a less price. At time Bionade could offer a higher price because of the â€Å"BIO† label and the unique selling proposition (Oekotest, 2006). But there is already a high price pressure by the discounter labels presented. In conclusion for the future it is important to retain the leadership in this market niche. The competitors are strong because of their power over the whole distribution process, the financial strengths and the broad portfolio of brands they have. The market is determined by these global players. Additionally there a several small companies and brands already in the wellness drink market and the number of participants would increase. Suppliers At present there are no main risks from suppliers visible. Bionade draws their ingredients only from organic farming, preferential from the local area. It is a small market of suppliers. The time the company started their business they needed 2-3 tonnes of elder for production. Today they need about 120 tonnes. 10 farmers are working for the company today. The number would increase. One problem could be that the potential of growth is possibly not as fast as the company needed. 2 Distributors and Dealers In Germany Bionade is primarily distributed by restaurant, bars, nightclubs, hotels and supermarkets/ hypermarkets and independent food stores. In addition convenience stores (petrol stations), department stores and cash and carry warehouses already have this product in their assortment. Company canteens of Daimler Chrysler, RTL, Commer zbank, etc. offer the drink to their employees as well as schools. Beverage vending machines are used in the non store retail sector. The time the company started Bionade was main sold over health food stores, beverage wholesalers and retailers and the gastronomy. Since 2004 the CCE AG (Distribution Company of Coca Cola Company) has the distribution rights of Bionade. With this cooperation Bionade went trough the country. Already all traditional retailers like Metro, Rewe, Ikea or Edeka ordered this product. Bionade bypassed even the â€Å"listing price†, which is normally paid to get into an assortment of a retailer. The strong sales growth let to supply squeezes in some time. Therefore at present there are no essential buyer forces. The company is not fast enough to meet the demand of their product. International markets (Austria, Belgium, Switzerland and Netherlands) are distributed by defined wholesale companies: STIEGL Getranke Service GmbH Co. KG (Austria) VHC Hocras Bussum (Netherlands) THATS iT! AG (Switzerland) Wholesalers are well established in this market segment. Especially for the smaller retailer, like convenience stores (except of the big brand petrol stations like for example BP) wholesaler are necessary to reduce costs and expanse service. Warehousing, inventory management, customer service, transportation issues and less coordination and administration work are main advantages for wholesaler. For a further international growth the distribution without wholesalers would be effective for the big supermarkets and department stores. At present Bionade has no direct competitor. It has already a high power regarding the distribution level. In a long term perspective the distribution segment is one of the most important issues Bionade has to look at. In the Western European soft drink market 33 supermarkets are the most used sales channel, followed by convenience stores and independent food stores. A direct selling is an opportunity but because of the product characteristics and the buying behaviour it should not be focused. Therefore in future Bionade needs the retail and wholesale level to sale their lemonade. Even if the main thirst is satisfied the power of Bionade is less. The supermarket segment is determined by a high grade of concentration. Companies like Metro, Carrefour, Wal-Mart or Tesco are the main organisations in the western European supermarket segment. Competition and pressure in placing and promoting products in their stores is grand. Big competitors like Coca Cola Co. and Nestle are well established and already presented with a range of products and brands. It makes it difficult for smaller organisation to promote their products in the same way the big companies do. It is the same for the gastronomy segment and franchising companies. Bars, nightclubs and restaurants are partly determined in selling products by special contracts with the beverage industry. The contract with the distribution company of Coca Cola was important to guarantee a further sales growth of Bionade. It is a risk to have no own logistic and distribution system, but compare to the shown issues and the size of the company the current solution is the best one. Regarding an international expansion the distribution network of Coca Cola Company could help to entrance effectively and successfully in new market areas (Anon, 2006b; Lange ; Lange, 2006; Bionade, 2006). Facilitators and marketing firms The fast growth of sales redounds to built up a new factory hall over the last two years. The warehouse facilities of Bionade are currently five tanks with a total volume of 130. 000 litres). Bionade needs only four days in production, compared to beer which has to mount about four to five weeks. Big warehousing facilities are not very important in this time. Since 2004 the CCE AG (The distribution company of Coca Cola) is responsible for the whole logistic. Therefore an own transport system for a small company like Bionade would not be as effective and successful as the well established system of Coca Cola already is. The financial resources of Bionade are small compared to the big global competitors. The time before Bionade the company nearly went broke. The investment of 1,5 million â‚ ¬ to invent Bionade are no financial risk anymore, because of the positive sales growth over the last years. Current facilities could be used from the old beer brewery. New financial resources were used 34 to expand the capacity. There is already a high risk, because of the young age of the product and brand. Bionade has to survive in the market over a couple of years to get a better rating. The advertising agency performance could not be measured. Bionade already started to think about an advertising campaign in the next year. Currently the marketing department is working with â€Å"Bluhm and Kuvert† a marketing agency from Frankfurt, Germany, which is closed to the location of the company. They designed the bottle and support the development for the small marketing activities like flyers, â€Å"table information† or â€Å"vending helps†. Because of the less budget there were no main marketing activities by this company. For the first marketing campaign probably a bigger and more established marketing agency will be necessary (Bionade, 2006; Anon 2006d, Orth, 2006). Publics The company has a good standing and image in the public because it is small and innovative. The local area is supported by Bionade by offering new work centres as well as a further increase of the local organic farming. The dependence of the locals increased over the years. This could be a opportunity problem for Bionade in future (Kallenbach, 2006). 2. 2 Marketing Strategy Audit 2. 2. 1 SWOT Analysis Out of the comments above the SOWT analysis shows the strengths, weaknesses, opportunities and threats for the company. It is presented in the main part, chapter: 4 as a summary out of the comments above. 2. 2. 2 Business Mission There is no official business mission available for the author. Therefore the following comments are based on secondary data and information. The business mission sounds attainable. It is more social focused. Out of the current trend of social marketing, Bionade takes this into the mission of the business. Bionade invests in organic farming that save the environment, improve the situation of the locals and a new healthy alternative for the population. 35 2. 2. 3 Current Business Objectives and Goals The current business objectives are: Sales 2006: 60 million bottles in Germany, 3 million bottles international Turnover 2006:1 21 million EURO in the domestic market and 1,05 million in the international market2 Support local organic farmers up to 10 in 2007 producing for the company Improve brand awareness in the domestic market International market entrances in 2007 Start running the new factory in the springtime of 2007 Keep at credibility in all internal and external activities Increase marketing activities in 2007 These business objectives are not specific. A detailed sales and budget planning should be defined. 2. 2. 4 Current Marketing Strategy The current marketing strategy is based on a clear positioning of the brand Bionade as a new innovative healthy drink. The branding is clear defined and differentiates the product by package and bottle design. The origin of the product the completely organic process in production as well as the local social issues the companies target is additionally presented by there internet presence. Brand credibility is the main characteristic. The marketing strategy focuses at present on a mouth to mouth process. Free samples for universities, company events and bars and nightclubs, combined with placates, table information paper and stickers are the current marketing activities to improve the brand awareness and therefore the sales. There are no more marketing activities at time. The budget 1 Valuated by the author by a manufacturer price of 0,35 â‚ ¬ per 0,33 bottle. 1l bottles are not included. There are less sold. 2 The price level in the current international markets is similar. The same manufacturer price is used. 36 for marketing is small1. The ideas of increasing marketing activities in 2007 are not formulated in a whole and an integrated strategy approach. Because of less marketing activities the company currently presented the author comes to the assumption that they have no clear marketing strategy with defined marketing actions. Even if at time marketing activities are not required to increase sales in the next years Out of a long time view and to be prepared regarding changing consumer’s behaviours marketing activities are necessary. Therefore the company has to increase their marketing budget. The marketing resources should be allocated to the product and brand. 2. 3 Marketing Organisation Audit Today Peter Kowalsky is doing the daily business as an associate partner and executive director of the BIONADE GmbH. He is one son of Sigrid Peter Leipold. The other son, the master brewer Stephan Kowalsky, is also associate partner and is doing the operation management. The family business has today about 60 employees. They have a marketing manager (Bionade, 2006). There are no information about the size and the internal organisational structure available. The marketing department would be small because of less marketing activities and the small portfolio of only one product. The main employees would be working in the production. The small size allows a more informal structure approach in organisations. Information ways are often shorter; communication is easier than in big companies. The marketing manager would be closed to the managing director. The interface efficiency could be measured out of this external perspective. The author supposed that the marketing manager has to explain further marketing activities and spending. Speciality in a time the business is running so well. 2. 4 Marketing Systems Audit The author supposed that there is no established marketing information system. For an effective marketing relationship management as well as a further increase of the communication management with the customers a marketing information system is necessary. Market research 1 There is no information available about the current marketing budget. 7 is the basic for a successful and effective customer related marketing strategy and mix. This includes the development of a marketing planning and control system to measure future actions. Even if the business is small the planning of sales and forecast is important. Data and numbers have to be available through all functions. A system solution has to be standard. Additionally the mea surement of the market needs well based sources to come out with realistic objectives and plann