• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month
Page
  1. 1
    1
  2. 2
    2
  3. 3
    3
  4. 4
    4
  5. 5
    5
  6. 6
    6
  7. 7
    7
  8. 8
    8
  9. 9
    9
  10. 10
    10
  11. 11
    11
  12. 12
    12
  13. 13
    13
  14. 14
    14
  15. 15
    15
  16. 16
    16
  17. 17
    17
  18. 18
    18
  19. 19
    19
  20. 20
    20
  21. 21
    21
  22. 22
    22
  23. 23
    23
  24. 24
    24
  25. 25
    25
  26. 26
    26
  27. 27
    27
  28. 28
    28
  29. 29
    29
  30. 30
    30
  31. 31
    31

Instant noodle- distribution channal in thailand

Extracts from this document...

Introduction

Marketing Channel Strategies Table of Contents Executive Summary.......................................................................................3 Company Background....................................................................................4 Instant Noodle Market Situation.........................................................................5 Economic Analysis on Instant Noodles Market........................................................6 Rank of Instant Noodles...................................................................................6 Sales Volume and Market Share.........................................................................7 Competitor Analysis.......................................................................................8 Marketing Mix........................................................................................9 - 10 Manufacture Power.......................................................................................11 Logistics System....................................................................................12 - 17 SWOT Analysis of Distribution's channel......................................................18 - 19 Effectiveness of Logistics system.................................................................20 - 22 Channel Design......................................................................................23 - 24 Channel Management..............................................................................25 - 26 Integration of Channel with other 3Ps...................................................27 - 28 Recommendation.........................................................................................29 References.........................................................................................30 Excusive Summary Mama is an internationally recognized brand that was established since 1972 and has been the leader in the instant noodle market for several decades. They currently have 10 SKUs, each targeting different, but similar groups of consumers. This paper is based upon the audit of Mama's channel of distribution from a marketing channels perspective. We have clearly stated the market information of Mama in terms of the market, target consumers, competitor analysis, and the marketing mix with our main emphasis on the distribution. We have included the SWOT analysis of Mama's distribution channel and stated its distribution strategies and objectives, design of the channel, and analyzed Mama's ability to reach its targets needs. For cleared understanding a diagram of Mama's distribution channel has been included. Following the analysis of Mama's distribution channel, we have stated how Mama's management team deals with various types of situations such as environmental pressure an conflicts, and have identified the different types of power Mama has with its channel members. Company Background Thai President Foods Public Company Limited was established in 1972 with an initial registered capital of 6 million baht through a joint venture between President Enterprise Co., Ltd. Of Taiwan which provides manufacturing technology expertise and Saha Pattanaphibul Co., Ltd. which responsible for marketing and distribution. The founding objective was to produce instant noodles under the "MAMA" brand. The Company's first Head Offices were located on New Petchburi Road, while the first factory was inaugurated at Nong Khaem District, Bangkok. ...read more.

Middle

centers - Convenience stores - Hotels, restaurants, hospitals and schools - Factories and industrial outlets At this stage, Sahapat will distribution the finished products to the distribution center of big retailers, and distribution center of big restaurant. Then the products will reach to the end-consumers. Sahapat has very good system that can support the distribution of Mama (sahapat, 2007). Sales and Distribution Support System Sahapat has made major investment aimed at developing systems to better support the sales and distribution task. ROS (Remote Ordering System) an on-line computer system to send/retrieve purchase orders from sales representatives across the country to the Head quarters. EDI (Electronic Data Interchange) is used for the modern trade to send-in purchase orders through satellite 24-hours a day, by-passing the manual system and the use of sales representatives to collect orders. ECR (Efficient Consumer Response) is a system in which suppliers, manufacturers, and retailers closely co-operate to improve efficiency in the demand chain and the supply chain. Efficiency will result in cost saving in the operation. Therefore retailers can sell to consumers at a lower price. - Palletization - Electronic fund transfer - Electronic data interchange - Digital product catalogue Space Management/ Category Management are the systems to manage shelf space and to manage product category to maximize sales and profitability (sahapat, 2007). Logistics and Warehousing System Sahapat currently has the most advanced warehousing system in Thailand. It has joined with KRS Corporation Japan, and together they have developed logistic and warehousing system aimed to improve the services by making it quicker and timelier. Most of its components are computerized making their services more efficient, effective, and accurate. At the present Sahapat have a number of warehouses in Bangkok and up-countries enabling it to have large market covering nation-wide (sahapat, 2007). Bench - marked delivery time are: * Day plus zero refers to delivery on the same day the invoice is issued. ...read more.

Conclusion

If any flavor doesn't boost up the sales which mean that the company has to pay a lot of money for its SKU in order to put the product on the shelf. The company should consider this very carefully because if the firm can reduce this kind of cost, it would be very effective for company to safe and spend it on other area of marketing mix such as promotion. In country side, normally customer would buy the traditional flavors which are "Tom yam Kung" and "Moo Sub". This is because the company produced bigger size of a package and sell at slightly higher price of these two flavors. Therefore the company should reduced the flavors that available in the market because its waste the cost of SKUs in the retailers. The second thing is that, as the oil has increased and all raw material and resources increase their price. The cost of raw material that Mama has to use increasing, but the company cannot increase the price that sell to end-consumers because it is the law and regulation that if Mama want to increase their prices, they have to pass the consideration and agree from the government because this kind of product is consuming products and people are sensitive to the price. The consumers of Mama are from the poor people to rich people, so if the Mama increases the price, it will have to effect to all people. Then, Mama has to absorb the price by them until they can make the agreement with the government and the government allows them to increase it. All in all, the increasing the price of Mama is so difficult and has to pass many law and regulation, so it may be the main problem right now that Mama faces. By this problem, if the price of Mama actually increases, the thing that Mama should do is to help the retailers by promoting and push more marketing campaigns in order to help stimulate sales, and make end-customers familiar with the price and consume it the same as usual. ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our University Degree Marketing section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related University Degree Marketing essays

  1. Greggs plc intend to expand their operations into international markets in order to satisfy ...

    Without a belief and understanding in the Greggs proposition and its operations, they will not be communicated effectively either to employees and consumers; and maintained once the UK management team returns home. All employees will report to the German Store manager who will, in turn, report to the UK head office.

  2. Company Background - Elken.

    With the various business and IS/IT strategies, Elken has successfully gained some competitive advantages. One of the significant successes is building the long term customer relationship. This is achieved through the after-sales services and the computerized customers' databases maintenance strategies.

  1. Chapter Notes on Marketing Management by Philip Kotler 10th Edition

    Selling: approaching, presenting, answering objections and closing sales * Servicing: providing different services - consultation, technical assistance, arranging finance, expediting deliveries * Information gathering: market research and intelligent work * Allocating: deciding which customer will get scarce products during shortages Other roles the sales person needs to do - allocating

  2. Blue Nile pestel analysis. Blue Nile is a publicly traded company. The company was ...

    Second is the buyer's willingness to substitute this product. Are they brand or company loyal? The next aspect is the most decisive when it comes to actually substituting products and that is the relative price and performance of substitutes. Is the substitute cheaper and does it do a better job?

  1. The Body Shop and the successes and failures of their strategy - Executive summary

    Community Trade & Suppliers The Body Shop started making it a customary practice to source its ingredients and other raw materials from communities in need in the late eighties. The programme is called Trade Not Aid (Community Trade). Presently, the programme provides direct and indirect employment for over 1000 people

  2. Starbucks Complete Analysis

    Capital Requirements 1. Low- To open only one specialty coffee retailer the capital requirements are low because the major cost include real estate and coffee-related equipment. 2. McDonalds and Dunkin Donuts were able to add specialty coffee to their existing services to enter the specialty coffee market because of the relatively low cost to enter the industry.

  1. Marketing analysis of Aquafresh tooth paste

    The inflation rate also dropped from 4.6% to 3% in 2014 that has negative impact on the market of the consumer as the cost of the raw materials and the supply chain is unstable (Key note, 2014). * Social and cultural environment: The productivity of the company is influenced greatly

  2. PROJECT ON MARKETING STRATEGIES OF BPL COLOR TELEVISION

    into BPL Galleries that stock and display only and all BPL products. The main objective of the BPL Galleries is to show the public the width of BPL?s product range, build corporate image and sales. The second level of BPL?s range strategy is most obvious in the Rs1,000 crore audio market.

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work