The United Kingdom Beverage Market Essay -- Business and Management St

The join Kingdom beverage marketplaceINTRODUCTIONArmstrong Corporation is a pabulum products manufacturing keep conjunction, withproducts which include ready-to-eat cereals, frozen pies, snack itemsand carbonated drinks. Funky-Cola is the flagship brand of thecarbonated beverage division. Our company has decided to introduceFunky-Cola to the United Kingdom beverage market. In this paper, themarket potential and opportunities of the country would beinvestigated in order to endorse our decision to enter into the UKmarket.Funky-Cola has been doing very well in our Malaysian market. Ourcompanys sales in the form 2003 amounted to over RM2 billion, withFunky-Cola contributing 25% of the over all in all revenues. Because of thisstrong performance, our company believes that Funky-Cola has thepotential to be successful in a foreign country. We have pooledtogether our companys resources to lead a thorough research on the UKmarket and the R&D department is working towards extending ou r productline in order to alter to the countrys market.With our successful past performances, we believe that our company has comme il faut resources, in terms of capital and managerial expertise, toform a exclusively owned subsidiary company in UK. This subsidiary companywould in the first place produce Funky-Cola for the UK market. COUNTRY ATTRACTIVENESSOur company chose to enter the UK market because of its potentials andopportunities. harmonize to a research, the market for the drinksbought by Britons is worth an estimated 51.85 billion in the year2004, which makes UK the worlds tenth biggest cola market. Theresearch also revealed that 7.2% of all consumers spending are spenton purchasing drinks and Britons drink cxxx cans of soft drinks or43litres per year. However, Britons are moving towards consuming different cast ofdrinks, such as squashes, diet colas, energy drinks, tea and soforth. thither is also a new breed of health conscious potent consumersin the UK. This was du e to the increased focus on obesity by thegovernment and media. Therefore, Britons have decreased the frequencyof consuming cola drinks. Our company sees this as an opportunity torevive the cola market by producing league drinks which combines thetraditional cola with the new preferred drinks of Britons. This wouldsatisfy the UK consumers need to hindrance healthy, and at the same time,continue to enjoy the great taste ... ...cost specialisationstrategy. From research, the standard cola toll in retail outletsare as followa) 330ml can - 0.39 Our price - 0.30b) 2litre bottle - 1.32 Our price - 1.25c) 1.25litre bottle - 1.09 Our price - 1.00REFERENCESRed Bulls Place in the UK easy Drinks Markethttp//www.bized.ac.uk/compfact/redbull/redbull11.htmBBC News BusinessCola Sales Set to Lose scintillatehttp//news.bbc.co.uk/1/hi/business/3121690.stmCoca-Cola Britain Using Market Research to demote Product Rangehttp//www.thetimes100.co.uk/case_study.php?cID=3&csID=108&pID=1Diet Soft Dr ink Battle Heating Up in UKhttp//www.beverageworld.com/beverageworld/index.jspDrinks Market UK Beverage Market Research from Key Notehttp//www.just-drinks.com/store/products_detail.asp?art=32671&lk=rotw_archBirmingham Wikipedia, the vindicate Encyclopediahttp//en.wikipedia.org/wiki/BirminghamUnited Kingdom Wikipedia, the Free Encyclopediahttp//en.wikipedia.org/wiki/United_KingdomWest Midlands Directory of Health, Sports, seaworthiness & Leisure Clubshttp//www.health-club.net/w-midlands.htmSainsbury to You Price Checkhttp//www.sainsburystoyou.com/index.jsp?bmUID=1115818459144