The paper "Environmental Analysis: Juice and Java" is a perfect example of a marketing case study. Juice & Java is a company located in Aventura, Miami Beach (Florida) that sells food, beverages and drinks. The company intends to enter the New Zealand market but after undertaking feasibility studies. The company is in the process of understanding the macro-environment of New Zealand before making reconnaissance missions and actual entry. Besides, the company is also assessing and analyzing its internal environment for its strengths and weaknesses as well as opportunities and threats from the new environment.
To analyze the external environment, the paper will use the PESTLE tool while SWOT analysis will be used to analyze the company’ s internal environment. The study includes investigating the internal and external environment of Juice & Java using some of the known environmental analytic techniques. PESTLE Analysis A politico-legal environment of New Zealand New Zealand is regulated by food legislations through Acts, Regulations and Notices. Food safety responsibilities are governed by the Wine Act 2003, the Animal Products Act 1999 and Food Act of 1981. The New Zealand government regulates the standards and risks posed by wines in the local and domestic markets.
Ministry of primary industries is currently working on improving food standards especially relating to seafood. The country embraces parliamentary democracy and respect for personal property and intellectual property rights. The US already has a working agreement called the Trans-Pacific Partnership (TPP) while withholding tax rates have been lowered to make it cheaper for businesses to operate. Tax regulations follow the OECD model tax treaty between the US and New Zealand affected in 2011 and provide relief on double taxation to residents of member countries. In February 2014, the New Zealand Food safety minister proposed a number of provisions in food legislation and issues affecting advertisement of food in the news.
The bill before the house inquires on the ‘ Whey Protein Concentrate Contamination Incident’ and is being debated by the Green party and labor party among others. It also sought the removal of sugar in the baby diet by 50 percent in carbonated drinks. A new Food Act 2014 also provides provisions on recalling products and managing food safety incidences.
It also affects the laws on advertising to children and over-advertising at the expense of the other players in the food and beverage industry. Elements of food and beverage ecosystem work together in the country, a reason for being trusted. Consequently, the country has generated laws and stable regulations on bio-security and sustainable production. In regulating and controlling food-related risks, the government of New Zealand has proposed a national program to contain residues and contaminants in the form of Regulated Control Schemes (RCSs). The local authorities in Wellington and Auckland issue business permit to local business depending on the sector.
Common legal requirements are the acquisition of operating permits, payment of taxes and compliance to state regulations on the standards of education and quality. Economic environment New Zealand has a GDP of $230 billion with leading sectors being extractive industries such as timber, gold, whaling and flax. Human development index is about 0.91 which shows that provision and access to social amenities is unrestricted. Social and economic inequalities are also low showed by a Gini coefficient of 36.2 (medium) (Garden and Stoll, 14).
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