MKG721 The Bottled Water Market
Supply chain strategy Describe the Relatively new product that is faced with potential growth opportunities in liquir market Functional packaging and convenience: cold beer to go or re-usable packaging.
Answer:
The bottled water market (soft drink) has been experiencing a great development in the market making which has attracted most of the investors.Bottled water is non-alcoholic beverage. Examples of non-alcoholic beverages include; soft drinks, juice, coffee etc. (Yuan, 2013 p.1-8).To determine the strength and weaknesses in bottled water markets various analyzing method can be used such as SWOT analysis and porter's forces.
In this report, swot analysis is implemented to obtain the strengths and weaknesses of bottled water markets. The report discusses the supply chain of the bottled water (soft drinks) by expressing the advantages and challenges faced in the market.The report also recommends the action need to improve markets of the product (Yuan, 2013 p.1-8).
Soft drinks market (bottled water) has obtained great celebrity in Australia with the rate expected to improve by 3.3% on annual basis.Australia obtains 14.4% of its revenue from so drinks markets (bottled water). Australia bottled water markets involve the following major companies; Evian, Mountain Franklin, Frantelle, Peat ridge and others.
The consumers hold the driving power of the market. To absorb the competition power every company is upgrading on the technology and quality on the services as a way of attracting more consumers.The above graph shows the consumption of soft drinks from major companies in Australia.Mountain Franklin as shown it holds the biggest percentage in consumption level.
This is due to investment and experience the company has in the market over the competitors.From the graph it is observed that Australia is among the top countries where water consumption rate is high.This is one of the major reason why the bottled market recorded as the best in soft drinks market.When the level of the consumption is high ,the market environment is highly profitable.
with such observation the companies should make their supply chain more effective so as to take advantage of the consumption rate.From the graph it is showed that the rate of market sales of bottled water have been experiencing a positive growth.During 2017 the sales growth rate was within 3.5% an in 2018 (current year) the rate is within 4.5%
The whole supply chain of bottled water can be said to be profitable to the investors and the government ncome.Before a product of soft drinks (bottled water) reaches the consumers it goes through various processes. A source of raw material is identified.The raw material of the bottled water product is row water from rivers, dams and wells .
The packaging of the soft drink is determined where bottles are widely used.After everything is ready manufacturing process of the product is undertaken.The manufactured product is distributed to the retailers who then supply the product to the consumers for consumption.
Conclusion
The supply chain determines the market growth of the bottled water.To achieve high profits and development in the market proper strategies need to be formulated and researched before a supply is made.This helps the supplier determines his/her strengths and weaknesses and where necessary decide the best remedy.
Recommendation
In marketing, all the organization and individuals involved have both strengths and weaknesses which influences the marketing condition.For marketers to obtain their goals in marketing they should balance both their strengths and weaknesses.In most of the strengths of the case should always reduce the weaknesses.Both the skilled and the unskilled individual should be grouped together .this will improve the skill level of the unskilled personnel.
This will boost the labor provision in the supply chain.The bottled water companies should be located in a region where the accessibility of the raw materials is cheap to reduce the supply chain cost.
References
Cohen, S. and Roussel, J., 2013. Strategic Supply Chain Management: The Five Core Disciplines for Top Performance, Second Editon. McGraw-Hill.pp.50
Flynn, B.B., Huo, B. and Zhao, X., 2010. The impact of supply chain integration on performance: A contingency and configuration approach. Journal of operations management, 28(1), pp.58-71.
Van Weele, A.J., 2010. Purchasing & supply chain management: analysis, strategy, planning and practice. Cengage Learning EMEA.pp.67
Sarkis, J., Zhu, Q. and Lai, K.H., 2011. An organizational theoretic review of green supply chain management literature. International Journal of Production Economics, 130(1), pp.1-15.
Helms, M.M. and Nixon, J., 2010. Exploring SWOT analysis–where are we now? A review of academic research from the last decade. Journal of strategy and management, 3(3), pp.215-251.
Amin, S.H., Razmi, J. and Zhang, G., 2011. Supplier selection and order allocation based on fuzzy SWOT analysis and fuzzy linear programming. Expert Systems with Applications, 38(1), pp.334-342.
Ebonzo, A.D.M. and Liu, X., 2013. The use of axiomatic fuzzy set theory in AHP and TOPSIS methodology to determine strategies priorities by SWOT analysis. Quality & Quantity, 47(5), pp.2671-2685.
Yuan, H., 2013. A SWOT analysis of successful construction waste management. Journal of Cleaner Production, 39, pp.1-
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