Krispy Kreme Case Study Introduction Questions that have derived from Krispy Kreme doughnuts as of 2005 were far and wide. Some analysts and investors wondered if the company was a healthy company. Some wondered if it would grow to become as popular as Starbucks. And many more were wondering, why investors were jumping ship from this “popular doughnut maker?†Business Description Krispy Kreme is a chain of doughnut stores. Krispy Kreme sells doughnuts that are best known for their glazed flavor.
“Over the past few decades, the food and home environments have changed tremendously. Environmental influences that affect eating behaviors include the changing nature of the food supply; increased reliance on foods consumed away from home; food advertising, marketing, and promotion; and food prices” (St-Onge, Keller, & Heymefield, 2013). Obese children are affecting the world of microeconomics. Microeconomics is solely dependent on how much and what is consumed by individuals. With many children experiencing obesity, the economy markets are affected because the way children are forced to change the way they eat.
Medium High: This product is not only popular with mothers, but is a low cost, high protein food for those that are limited in income Cash Cow Continue to develop new flavors and product packaging to match today’s busy lifestyles and variety needs, such as almond butter. Positioning for Jif Peanut Butter Jif Peanut Butter can be categorized on the Boston Consulting Group’s matrix as a “cash cow”. Since J.M. Smucker, Co. acquired the Jif brand in 2002 from Proctor & Gamble, they have reinvested profits and more than doubled its market share size based upon an increase in consumer demand. Peanut butter is a highly nutritious, relatively low cost food.
Frequent consumption of these high calorie low nutrient foods may lead to serious weight gain (FRAC). In order to aid in the prevention of obesity and also keep the industry in business, many large corporations have been working to cut calories out of the products consumed by the public. Twenty three major food and beverage companies including Coca-Cola, Kraft, Nestle, and Subway have signed up to remove five million calories daily from the national diet, through reformulation of the product and fresh marketing techniques (Hegarty). These companies initiative to aide in the prevention of obesity has won them praise of many and will lead to further growth within the industry. It is hoped that many other large food corporations will also put forth the effort to aide in diminishing
Even though the Brita products are a bit more expensive, people are willing to pay at that price for greater tasted water. Since Clorox is so successful, they have a significantly large marketing and R&D budget and that is where Clorox’s advantage is against their competitors. Clorox can further use this advantage. For example, Clorox can increase their advertisement either on TV or radio to attract new customers and to gain brand recognition. Clorox can also put more efforts on designing new
* How easy is it in overcoming the countries cultural and/or language barriers * Is Krispy Kreme able to expand into a particular country and still remain profitable? * Do the consumers in the country have enough disposable income to ensure Krispy Kreme's profitability? 2. Visit their website and critique their approach to marketing their franchises. Also, visit Dunkin' Donuts' website.
With this high proportion of overweight people, it is no surprise that by the year 2005, obesity will surpass smoking and become the nation’s leading cause of preventable deaths ("More Dieters...," 2004). After this statement was announced to the public, health activists pounced at this like a starving man at a buffet. Recently, Americans have been bombarded with products and programs that promise weight loss. One diet that has swept the nation with rapid weight loss results is the low carbohydrate diet. Low carbohydrate diets are receiving the attention of many people through the over-sensationalism of the diet through the media, low-carbohydrate books, promotion from fitness centers and health clubs, and by many restaurants (Bilsbourough, n.d).
From this, Kellogg’s will receive a rough idea of consumers’ level of disposable income therefore helping them in deciding the prices of their new products. If prices are set appropriately for their target consumers’ and are able to afford it, Kellogg’s will experience an increase in customers buying their new cereal, expanding their customer base. More customers would mean greater profits and sales revenue coming into
Lameec Gerald We live in a time where overweight and obesity is the 2nd most cause of preventable deaths in America. (“The Most Preventable Causes of Death in the U.S”) The way to prevent these deaths are exercising and eating healthy . However Approximately 1 out of 2 Americans are low income or poor according to the census bureau. ( WASHINGTON AP) Food prices are continuously rising, especially healthy food. How can the average American be healthy when they can't afford healthy food and if they can how do they what is healthy .
Case summary for 2-7 McDonald’s and Obesity Summary Obesity among children is increasing rapidly not only in the United States but throughout the nations around the globe. The problem of childhood obesity is imputed to the marketers. Majority of the affected parties believed that the fast-food chains were part of this health crisis and even thought that the advertisements made by these companies were also to be blamed. McDonalds struggle towards improving its image as it relates to obesity trends rising globally. The highest percent of obesity worldwide is amongst children.