Marketing Plan Project - Research Paper Example

Marketing Plan Project Table of Contents Current Situation (Microenvironment) 4 Economy  4 Legal  4 Government  4 Technology  5 Ecological  5 Socio cultural  5 Supply Chain  6 2. SWOT Analysis (Mobil Food Cart) 6 External threats  6 External Opportunities  6 Internal Strengths  7 Internal weaknesses  7 Critical success factors in the industry  7 Our sustainable competitive advantage  8 3. Implementation 8 Personnel requirements  8 Responsibilities 8 Incentives training required  8 Financial requirements  8 Information system requirements (Marketing/management)  9 Marketing: (Twitter, face book)  9 Monitoring results and benchmarks  9 Contingencies  9 References 10 1.

Current Situation (Microenvironment) Economy  United Arab Emirates has a diverse, modern and growing retail food market. UAE is a growing economy and many industries like retail food is also getting benefits in different ways from country’s overall growth. Food cart business is also growing in UAE market as a part of retail food industry. The country has many positive economic environmental factors which drive the growth of these types of business. The country has prestigiously achieved highest per capita income in the world.

It is most important positive indicator of this economy which has substantial contribution on market demand. The retail sector keeps growing and modernizing. USA enjoys good return by investing in retail food industry in this country. Therefore, the retail food businesses like Mobil Food Cart enjoy global exposure. Legal  Mobil Food Cart business is categorized under small business. Therefore, it does falls under all legal requirements for a business. As a manufacturer of food product the business has to follow legal policies like quality control report submission in regular basis.

In UAE, the legal policies on food business are very much strict and it must have food licence from local legal authority. Government  The government of UAE is vision centric and regulate the country like management of an organization regulate the business. Government has continues focus on development of all types of industry including food industry. The welcome the multinational food brands especially US brands in this market to enhance the industry standard. As the country highest per capita income, the people generally have high disposable income for spending food and entertainment.

The domestic retail food businesses like Mobile Food Cart also enjoy government’s intervention in this industry as a part of the industry. Technology  Technology has revitalized the retail food industry in UAE along with global market. The multinational firms in retail food industry in this market have introduced use of advanced technology in their businesses. The domestic new businesses like Mobil Food Cart also have access to better technology for production of food fast and it will benefit the business by reducing turnaround time in service of food.

Preservation food needs usage of advanced technology to maintain quality of food. Ecological  Ecology is one important environmental factor of food business. Ecology controls the production and consumption food product in geographic region. UAE import more than 80% food ingredients from foreign countries and therefore, ecology of this region does control the production but it has substantial impact on post consumption stages of food products. Socio cultural  UAE has become the cultural hub of many people from different countries.

It has become business destination for multinational business to operate businesses in many other Middle East countries. Therefore, the people of this country enjoy global cultural exposure especially in the areas of food, clothing and entertainment. A major change in the food habit of people has been identified and it seems likely followers of western food habits. This changing trend in food habit of people is positive micro environmental factor for Mobile Food Cart business. Supply Chain  Supply chain in food industry includes many players or intermediaries.

Supplier of crops, vegetables and fruits are the main players in supply chain of food industry. UAE food market size is $5 billion and US is the major supplier of food products in this market. According government’s report on food industry, 85% of total food ingredients are imported and processed locally for making retail foods. Therefore, foreign suppliers of food ingredients are the main the main players in UAE food supply chain. The local retail food manufacturing companies like Mobil Food Cart do the processing part and market the products basically as street food (Ameinfo, 2012, p.1) 2. SWOT Analysis (Mobil Food Cart) External threats  Emerging hazard in food crop production and food processing are major threats to the company.

Mobile Food Cart is produces confectionary and fast food and from the different food ingredients. But, low priced food ingredients are highly used in this type of businesses and the company also bound to use these to compete in the market in terms of price. This factor reduces the demand of street food. Changing trend in advanced technology used and innovative marketing of large retail food chains reduces the demand of food from street food carts. Rapid urbanization and changing lifestyle are the key reasons for avoiding street food cart by the people.

Along with these external threats, there are also many opportunities in the business in this market (DIFSC, 2007, p.5). External Opportunities  The international food businesses has increase the demand of specialised electronic food processing systems and this factor has increased the availability of these machines even in lower price. This is major opportunity for small food businesses like Mobil Food Cart. There are many private businesses that offer training for small food businesses in the areas of technology used food production process and they also provide certificate for this.

This business also can get global exposure in terms of new recipe from the international brands present in this market (TDAP, 2012, p.5). Internal Strengths  Mobil Food Cart is a small mobile food business which offers fast foods to the people on the go i.e. on the street. Therefore, initial capital and operational cost are very low. This is strength of the company due lower risk of high investment. It is mobile food shop which can move to different areas based on crowdedness of area and demand of food.

Inventory level of food ingredients is very low which leads to fresh food of higher demand. Due to mobility facility his business does not has fixed cost like rent of shop therefore, liability is lower. Internal weaknesses  Changing trend in people lifestyle and food habits of the people of this country decreases the demand of street food from this kind of small food businesses. This business only depends on the individual customers and cannot supply large quantity institutional buyers due low capacity of production.

Therefore, economy of scale is low. Critical success factors in the industry  Annual growth rate of retail food market has been 10% to 15% in since past several years. 85% of total consumed food in this market is manufacture locally. Increasing consumption power of people is another is the growing opportunity and retail food industry has been successful grab this opportunity (USDA, 2009, p.2). Our sustainable competitive advantage  As a small food business, Mobil Food Cart can offer quality fresh food in lower price than restaurants.

This is the key demand driver for this business as its target customers are young generation and the people with lower and middle level of income. 3. Implementation Personnel requirements  Mobil Food Cart is a small food business. Therefore, it does not need many workers. One manager cum cashier and few workers including a cook, a cleaner will be enough to run this business. Responsibilities As a food manufacturing and selling business, the company need to focus on the quality and hygiene factor of food product.

It also has responsibility to manage solid waste for recycle for being environment positive business. Incentives training required  As a small company with very few people, it does not have human resources personal. Therefore, it needs training for implementing incentive based payment to its workers. Financial requirements  As a small food business, the company does not need much capital. It will hire rented mobile van and purchase cooking utensils and necessary machines. This business needs start up capital of approximately $1000.

Information system requirements (Marketing/management)  It needs one computer systems and internet connection for online promotion and printing receipt. Marketing: (Twitter, face book)  This food cart can conduct marketing or promotion through face book page and can share location and new products through twit and sharing through the face book page (Bloomberg Businessweek, 2012, p.1). Monitoring results and benchmarks  Manager of this business can monitor the business performance by evaluating quarterly growth of sales and operating cost.

Contingencies  The company change food offerings easily according the seasonal demand of food or new recipe with higher demand. It also can easily change the location of business. References Ameinfo. 2012. Middle Easts retail food sector undergoing major consolidation. Retrieved from http://www.ameinfo.com/249433.html. Blomberg Businessweek. 2012. One Startups Free Food Truck Fridays Experiment. Retrieved from http://www.businessweek.com/articles/2012-07-31/one-startups-free-food-truck-fridays-experiment. DIFSC. 2007.

Food Safety Conference 2007. Retrieved from http://www.foodsafetydubai.com/prevconf/files/DIFSC01.pdf. TDAP. 2012. Agri-Food Sector Profile United Arab Emirates. Retrieved from http://www.tdap.gov.pk/doc_reports/TDAP_Report_on_Agro_Food_sector_in_UAE.pdf. USDA. 2009. UAE Retail Food Sector Report 2009. Retrieved from http://gain.fas.usda.gov/Recent%20GAIN%20Publications/RETAIL%20FOOD%20SECTOR_Dubai_United%20Arab%20Emirates_12-27-2009.pdf.