Danone Case Study

Marketing research is very important component of a business used to identify and define the opportunities and problems that they will encounter on the market. The aim

IntroductionMy name is Kevin Chen and I am a senior consultant of the Boston Consulting firm. Per the request of the A/S Dansk Minox, a food products manufacturer, I am preparing this analysis to identify the existing problems within the business of A/S Dansk Minox and provide possible recommendations. As a consultant, I will present the analysis without bias and for the best benefits of A/S Dansk Minox. In the following analysis, I am going to answer the following question: Should A/S Dansk Minox bring the new product, complete meal, to the market?Company backgroundThis case is set in Denmark in 1967 when the "boom" in consumer food products was just beginning more working mothers, more disposable income, more choices in convenience food

In 1990, there were over 9300 dairy farms in Ontario housing almost 450,000 cows. The farm-gate value of milk produced exceeded 1.3 billion dollars. At the retail level, dairy product sales in Ontario exceeded 4 billion dollars. The number of dairy herds in Ontario on a milk-testing program had declined from about 7100 in 1985 to 6000 in 1990. Moreover, a continued decrease was projected.

     Nineteenth-century Ireland was the most densely populated country in Europe: in 1800, its population was 4.5 million, and by 1841, it had risen to eight million (Kinealy 15). Yet much of this population existed in condition of sorrow and misery lay in the dependence of the peasantry on just one staple crop, the potato; in western countries like Mayo and Galway, nine-tenths of the people ate nothing else (MacManus 602). Here was a disaster waiting to happen, made worst by the rapid rise in population in the first half of the century which forced the peasants to subsist on smaller plots of land (O Grada, The Great Irish Famine 63).

products (Morin, 1990). In 1979, 6.9 million kilolitres of milk were sold in Canada. Thirty-

This initial setback with dairy products drove Danone to copy in China the alliance strategy used with great success to expand into Italy and Spain in the 1980s. Danone decided to capitalize successful local businesses rather than build its own businesses from scratch, resulting in a strong focus on joint ventures and acquisitions. Unlike most multinationals, Danone gave these acquired local businesses a great deal of autonomy. The joint ventures and acquired firms continued to sell their products under their own brands. Until late 2002, 80 per cent of Danone’s sales in China were under local brands. Furthermore, Danone let the former executives run the businesses and didn’t get involved much in daily operations. In fact, Danone functioned more like a capital investor, linking its joint ventures through capital investment rather than joint products. This expansion strategy in China worked very well. In 2001, Danone had become one of the largest food concerns in China, with $1.2 billion in sales, more than 50 plants and around 25,000 employees.14 Accounting for 9 per cent of Danone’s international sales in 2003, China became Danone’s third largest

Marketing research is the method/methods that connect the clients, buyers and users to the marketer through data found from research to find and outline marketing opportunities and dilemmas. The general aim of marketing research is to recognize and evaluate how altering the marketing mix which is comprised of 4 features: product, price, promotion and place, influences customer behaviour.

According to The History of Danone (2009), Isaac Carasso was inspired by the research of Elie Metchnikof, and in 1919 he began using ferments from the Pasteur Institute to manufacture yogurts to sell on prescription to pharmacies in Barcelona, Spain. Carasso began this work, because he saw an opportunity to help the number of children suffering from intestinal disorders, due the lack of healthy nutrition following the First World War. By 1929, Daniel Carasso, Isaac’s son, continued to grow the company by launching the company Danone in Paris. Business for Danone continued to prosper in Paris until 1941, when Daniel

Marketing has become more and more important, especially as the purposes of marketing expanded into performing marketing researches. Through marketing researches, it is asserted that marketing starts with a real customer need. Classic marketing, has, nonetheless, focused on making the need that will draw customers, and this stresses the advertising power of marketing (Woodall 2007, p.1284). This is also called the sales concept of marketing (Woodall 2007, p.1285). An example is how advertising lures people into buying a brand, because of the

Danone felt that the U.S. was an emerging market for yogurt and hence, Dannon focused its marketing strategy on increasing the yogurt consumption and expanding the category. Dannon had to follow Danone and maintain a strong commitment to CSR. At Danone, local decision making and was trusted and encouraged. Also, Dannon had a responsibility to its parent company and was accountable for a set of deliverables and data for reporting purposes. It believed in collaborative decision making and therefore major strategy

Canada 's dairy sector operates under a supply management system based on planned domestic production, supervised pricing and strict controls on dairy product imports. The system was adopted for industrial milk in the early 1970s to address the unstable prices, uncertain supplies and fluctuating producers and processor revenues which were common in the 1950s and 1960s. By enforcing this system, farmers attempt to strike the most accurate balance between supply and demand of dairy products (Canadian Dairy Commission, 2010).

“To bring smiles to families everywhere through the pleasure if its products made with dairy

“Unquestionably the EU now exerts the most important and effective influence on both British and Irish environmental policy and politics (McGowan, 1999: 175).” The European Union has developed itself into one of the world leaders in relation to environmental standards and its ability to apply legislation to its member states. Both, at present and in the past, challenges and opportunities have been encountered, and will continue to be encountered into the future. Indeed, Europe now directly impacts on food producers and manufacturers through the implementation of various policies such as the Nitrates Directive and issues surrounding Climate Change - both of which are the dealt with in this paper respectively. Through these and other

It has a great operation chain to support its operation around the world. From the research centers which mostly locate in European countries like France and Netherlands, the research center of DANONE in the business cluster of Paris-Saclay, is the one of the big research nutrition facility of DANONE and have been playing as vital role to participate in the innovation project as part as the research and development division. Moreover, the benefit from the acquisitions of other food companies initially took the shape of research potential as DANONE penetrate deeply through food technology innovation and it could be the part of the product development of DANONE. For the sourcing of raw material, DANONE has also invested to build standard value to deal with local supplier as partnerships. In some countries that DANONE has the huge market share, raw material from suppliers are not enough for the operating production. Vertical integration is option of strategy. DANONE invest into agricultural farming to be own supplier and eliminate the bargain power of supplier. This can help DANONE to save millions of money and security of raw material for sustainable production. Moving to Processing Factory, DANONE equip the own factories with most advance technology machine that can produce the product with high productivity. This can be the critical resource

The RTE cereal industry has been a highly profitable business. The Big Three gained the first mover advantage since the 19th century, and most of the market share. The rivalry among competing firms was low because the industry was highly concentrated. However, as the increasing sales of small private labels grow fast, the degree of rivalry would increase later. The barrier to entry was high because of the Big Three deterred the new entry firms by taking steps to make the industry unprofitable for the new firms. Whereas, the level