CAN PRODUCTS IN SUPERMARKETS EVER BE TOO CHEAP

Can products in supermarkets ever be too cheap?

Can products in supermarkets ever be too cheap?

Coffee is one of the most popular beverages in the world and it is a product which is strongly connected to our daily life in World. Nowadays the industry has skilled a big step from an early stage to a developed industry due to the coming of appliance harvesting in the mid 1980s and the development of administration schemes to make a high quality of coffee (Drinnan & Peasley, 1998, p. 391).

In addition, World's strong coffee drinking culture has also brought significant growth in World's market. According to the World Coffee Traders Association (2006), there are over one billion cups of coffee consumed in cafés, restaurants and other outlets each year. The benefit of a supply chain management system that supports an exchange system is that the overall supply chain process is streamlined, which results in lowered transaction costs and better prices. Supply chain management in the e-business marketplace varies from traditionally supply chain management in manner ways. Supply chain management is more customer focused in B2C settings. But coffee sales being volatile is never cheap when purchased from super markets. Economic environment includes the factors that affect consumer buying power and spending patterns (Green, A. 2005). This factor of the macroenvironment is important to the World coffee market because the market is depended upon if consumers have the purchasing power to support their desire for the products. World consumption has increased from 0.5 kilogram in 1940 per person to 2.4 kilogram per person 1998 (Green, A. 2005). This statistics display consumers buying power have already gone up harshly over the past 30 years. With an boost in income, buyers are progressively expected to buy higher value goods ...