Kudler Fine Foods Channel & Pricing Strategy

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KUDLER FOODS CHANNEL AND PRICING STRATEGIES                

 

Kudler Foods Product Offering

Buki Akinola

Wendy Angeles

Teresa De La Boursodiere

Tiffany Lee-Franklin

Sarah Woitalla

Marketing 571

Week Four Learning Team Assignment

University of Phoenix

February 13, 2012

Meraj Khan, Ph.D.

Abstract

Kudler Fine Foods is a grocery store chain domestically located in Italy.  Kudler is known for providing its consumers with above quality gourmet foods, wines, and services (University of Phoenix, 2011).  Currently taking steps to grow global relations, Kudler is working on a plan to launch a new rewards program in France, the program that will provide incentives to shoppers in hopes of creating loyal Kudler customers.  To ensure the success of the French launch, marketing assistance was secured for advice on issues of channeling and pricing strategies, evaluations of governing bodies, economics, innovation, and demographics (Kotler & Keller, 2006).


Kudler Foods, who is quite successful in Italy, would like to market their product in France. The new product, which will be available in both countries, is a frequent shopper rewards program. Kudler Foods does not take going worldwide lightly. A team has been put together to analyze France, and use the information to make a good decision. Kudler will also use the new information to help them design the package to make certain it will be a welcome product to the French.

On the Global Competitive Index (GCI), Italy ranks number 48 on the list of 139 countries (Coleman Ph.D, 2012, p. 153-158). France ranks number 15, which is quite a leap up for Kudler to compete against. The GCI ratings consider many factors such as technological advancement, health, primary education, and goods market efficiency, business sophistication, and innovation (Coleman Ph.D, 2012, p. 153) plus many more. It is the rank of how ready a country is to do business globally.

The capital cities of both countries are similar in population size, have similar land qualities and share borders. The population of Italy is around 61 million and is declining each year by a rate of 0.42 percent ("Italy," 2012, p. 2), approximately. France has a population of around 65.3 million and is growing at a faster rate of about 0.51 percent ("France," 2012, p. 2). France’s growing population and rating factors are only part of the reasons for the expansion there; another consideration is that France has “one of the largest economies in the world” ("France," 2012, p. 1).

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Justification of International Market Buki

Channel and Pricing Strategies

A marketing channel is the middle means between merchandise leaving the producer and meeting its consumer.  Companies use marketing channels to promote, negotiate, finance, position, and shoulder some of the risk of distributing merchandise (Kotler & Keller, 2007).   In the case of Kudler Fine Foods the marketing channel to be implemented for both the Italian domestic stores and the international France rewards program will be a multichannel marketing system strategy of working with vertical wholesalers and other companies.  This is justified as neither Kudler nor its products have the capital or ...

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