“BEAN-TO-CUP” COFFEE MACHINE

Strategic Marketing - “Bean-To-Cup” Coffee Machine Manufacturer





Table of Contents

Introduction3

Task 1: Market selection and final destination country3

Environmental Analysis of Rijo42 coffee3

Political4

Economic4

Social4

Technological4

Legal4

Environmental5

SWOT analysis5

Five Forces Analysis5

The power of buyers6

Threat of new entrants6

The threat of substitutes6

The power of suppliers6

Competitive Rivalry6

Task 2: Marketing mix strategy for the selected products and the destination combination6

Products and Services7

Prices7

Place8

Promotion8

Task 3: Foreign Market Entry Strategy9

Be the First to Enter With New Strategies9

Advertising10

Marketing Distribution Channel10

Direct Export10

Social networking11

Conclusion11

Strategic Marketing - “Bean-To-Cup” Coffee Machine Manufacturer

Introduction

Rijo42 is a renowned brand in the coffee industry. They have the reputation of being the most professional and trusted brand when it comes to customized coffee machine. Established in 1989, Rijo42 adopted a policy to provide the best quality coffee equipment and beans to its customers by partnering with leading equipment manufacturing. Rijo works closely with its suppliers and continuously working with its clients to improve the taste and quality of its products. It is a medium sized company with around sixty employees. The company focuses on providing personalized service to its employees and serves its customers without relying on any telephone service. Rijo42 now considers that it is time to internationalize its brand and to expand its production line by including coffee vending and snack machines. Furthermore, adding juice and smoothie makers into its portfolio (Rice, 2001, 39-66). There are a number of strategies that Rijo42 can use in order to introduce and successful market its products in the global market. Rijo42 is headquartered in Great Bank Road Westhoughton.

Task 1: Market selection and final destination country

For entering the international market, Rijo42 needs to select a country that has particular demand for the type of products and services offered by the company. It needs to enter into a market, where it can develop a competitive advantage and make use of its international experience in the United Kingdom. It is for this purpose that United States offers the best opportunity for Rijo42. Coffee is becoming increasingly popular among the youth however; tea continues to be favorite drink in adults. The increase in popularity of cafes offering specilaity coffee in the United States offers a wonderful opportunity for Rijo42.

Rijo42 can leverage its long term connection with leading equipment manufacturers to offer high quality, customized brewing machines along with superior quality of coffee beans. The range of products and options are going to appeal to the American youth as they prefer having a variety in their drinks. They tend to prefer sweeter beverages like cappuccinos, which have been a trademark of Rijo42 in the United Kingdom. In the midst of the slowdown in sales for the leading coffee makers in the world, many companies have adopted an internationalization strategy to diversify their portfolio. Rijo42 should target the United States market by taking a licensing approach to expand in the country.

Environmental Analysis of Rijo42 coffee

Rijo42 has been catering to the clientele in United Kingdom for a long time, but before entering into the United States, it needs to conduct a thorough market ...