Breakfast Food Industry in Canada
Nature of breakfast food industry in Canada
The nature of the breakfast food in this Canadian industry is based on ecological awareness they do depend on organic food. They stress on ecological farming process which is environmentally friendly and very nutritious. Besides that, the breakfast is also served from a mixture of fresh fruits and vegetables which comprise a vegetarian diet and no animal proteins are included in the menu. The presentation of this food is quite appealing and would be well placed in the market under favorable competitive circumstances. The fruits and corn are the main ingredients for this breakfast and are mixed on a ratio of 50 percent. There is an exceptional blending of the fruits and corn which makes it quite a unique product for breakfast lovers.
Jordans Muesly Company
The external environment
The company is bound to record rapid growth due to the favorable and enabling competitive environment that operates under a very vibrant economy whose year-to-year GDP is on a high scale. The new market for ecologically friendly farm foods has made it possible for this company to realize a high level of competitive advantage in the industry. This has resulted from the sensitivity on effects of artificial foods as is opposed to friendly organic farming produce.
The internal environment
The Jordans Muesli company is situated in one of the major cities in Canada. It has well developed facilities, complete with the state of the art technology and comfortable accommodation so that all the visitors in the area are assured of their stability and security. Availability of dedicated and well-motivated staffs within the organization who are employed on both a full time and part time basis is another accolade for this food company.
Building the ecological food breakfast brand of Muesli is an important concept; getting the attention of stakeholders to gather resources required to sustain the course of building the world class reputable company that serves its customers well is important too; reaching out to all members of the public through marketing and advertisements given the cost profile of the company; identifying areas, resources and ways to engage in continued better business practices and responsibility to serving good food to the public who are sensitive to their needs; and identifying the viable market growth even in times of low season.
The strategy they are to use to sell Jordans Muesly in Canada
The position of a firm within an industry determines whether it is generating profits that are below or above the industry average. Two types of competitive advantage have been identified; which a firm can adapt: cost leadership and differentiation. These are combines with the scope of activities that the firm intends to undertake in order to achieve them, to generate three competitive strategies for maintaining above average performance in an industry. The competitive strategies are: Cost leadership; Differentiation; Focus- (a) cost focus (b) differentiation focus.
Cost leadership is adapted by a firm intends to maintain low production costs in the industry through, for instance, pursuing economies of scale, proprietary technology, preferential access to raw materials, etc. differentiation is for a firm that seeks to be unique in an industry along some dimensions that that is valued by a wide range of clientele, which uniqueness is paid for by a premium. With focus the firm chooses a narrow competitive scope and it has two dimensions: a cost focus that seeks a cost advantage in a target segment and a differentiation focus that seeks differentiation in a target segment.
The Jordans Muesly is offering high quality ecological breakfast of fruits and corn, and good services that would require charging premium fees compared to the other food companies. The applicable strategy here therefore is differentiation of the food as compared to other players.
In order to implement the strategy successfully the Jordans Muesly needs to effectively manage these six aspects: prepare a clear action plan with all the relevant activities arranged chronologically, ensure the organization structure can support implementation, ensure adequacy of the human resource both in numbers and capacity, seek the necessary budgetary allocation and obtain linkage by making sure that all the departments within the organization are steering in the same direction.
Strategy is about positioning oneself to win a war or a contest. The business environment has become a battle field or a race track. The starting point is to examine the value chain. This is an analysis of the activities through which a firm creates a competitive advantage in it must model the organization as a chain of values. The food company under study above, is bound to implement the discussed strategy of differentiation so that it can gain a competitive advantage against the other players in the market.