Attached is assignment two for reference With this assignment, you will address some of the basic areas within a marketing plan and help to refine your strategies for creating a successful business.Using the business from Assignment 2, write a three to four (3-4) page paper in which you:Identify its primary target market.Specify three (3) methods you will use to research customer needs and wants.Describe the marketing mix: a) product, b) pricing strategy, c) promotion, and d) placement/distribution.Create a one-year advertising budget and plan that incorporates the use of various advertising media and publicity.Include at least two (2) references outside the textbook
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Running head: BUSINESS POTENTIAL
May 10, 2019
Industry and Market Feasibility
The energy drinks in the market bring about the possibility of increasing the person’s
alertness in particular areas such as the brain. They also get to perform some activities faster as
there muscles at this specific point will be more flexible. It, however, has a lot of caffeine in
most of the ingredients in the drinks available in the market. The most common ingredient s, in
this case, being Caffeine; however there are those who include things like Guarana or the
Taurine (Siegel et al., 2013). There are those who include a lot of sugar in their products, and
water is also a common feature. There are those who choose to explore the market using other
products that they bring in the issue of organic natural fruity tastes to the market on the same
products that are a deviation from the typical feature seen in the market.
The major competitors in the market for Energy Rain include the Red bull and the
monster brand from (Coca-Cola Stephens et al., 2014). The competitors in the market avail the
product to consumer focusing on the quality and the prices to claim a market share. There are
those who still include sugar and caffeine in their products as that is there original taste and there
are those who are exploring other avenues. Energy Rain, on the other hand, will have organic
products hence that will serve as its quality trade market. The different strategy that they will use
in this case will be the fact that there will be low prices on their products. That way it will be
easy to capture a market share in a competitive environment. There are low barriers to entry in
this market too, but one has to have a lot of capital to get established.
The market for this product is bound to grow into the future as the people increase their
demand. The people have turned to the energy drinks as the generation stay up for longer hours.
They also get involved in major activities on the market; hence they need the energy to keep on
going. The older generation finds remedies in the drinks as they get help in terms of sleep and
energy to go by their daily routines. The working mothers require a lot of energy because they
have this possibility of not having double jobs and they would want to accomplish the same at
the same time.
Product or Service Feasibility
The product gets availed in segmented markets according to the wants of the individuals
around. They also have a target market; therefore the products from the established companies
are differentiated to fit the desires of the targeted groups. They are companies like Coca-Cola
have a good supply chain. That is they have a proper distribution channel that helps them to get
the products to different parts of the world. They bring in quality products that the consumers
have accepted and consume daily.
The Energy rain on this perspective will have to establish a distribution channel that will
help in terms of getting the products to the market. It will also get the products to the different
destinations around America on time as they need to be there for purchase purposes. There will
be researched on the health status of the consumers and use the health implication to the
marketing of Energy Rain. That is because it will go into the market with the promise of
delivering health products with no side effects.
The competitors in the market have a well-established brand. They also have the finical
capabilities as they have been in the market for a long period. They can finance their venture
anytime if they want to go into another market any time they get the opportunity to do so.
Therefore, they can bring in competition in terms of promotions as well as advertisement and
price cuts because they can afford to do the same.
The financial institution, in this case, will finance the company when they have an
established and defined income. That is due to the financial obligations that come with the loans.
If the company ever desires to get any financing at this stage, it will depend on the investors who
will help in providing cash for a particular project. They will also help in the process of getting
money to the firm with a promise to pay when the company gets productive. That way they will
not get any financial obligations of paying interest at a short time. They will also get to spend on
investors when they get profits and the pay as returns will also vary depending on how they
perform too. That will help the company to stabilize as they go by there operations.
The business has many opportunities; thus Energy rain entrepreneurs are ready to have
the same company in the market. There are a lot of people who would also like to join the
market; therefore, they provide investors readily for the venture. Additionally, they will have
people who will help deliver the products to the market as they like success; hence their
commitment to the investment as they go by their businesses. The environment is competitive,
but with the research, at the moment the company will be in a position to meet every challenge
they face daily. Additionally, networking the market is easy as the company will have experts
who would help carve out a market share for the same company (Breda et al., 2014). The
company will also have the latest technology as it a new company in the market; hence they have
the advantage of producing more quality products massively. There is available labor in this
market; they, therefore, have a chance to work for the company producing the best as predicted
by the level of information and education plus experience all may have. The company will
provide the training in areas that they will not get the right experts; they will support the talent
available at the same time develop them for the operations of the company.
Based on your assessment, does the business idea need to be modified, changed
significantly, or abandoned?
The business has a future in this market that is based on the growth the market will
experience and is experiencing at the moment. There is a promising future as there is a
possibility of profits in this place. The consumers also would embrace the Energy rain product
because they have a healthy ingredient in them that will not bring in side effects that would harm
them as the consumers.
It, however, has challenges that will require a lot of thinking. There will be a need for
getting new suppliers, as well as, distributors to get the products to the market. There is a need to
create a collaborative front with people in the same market to help them navigate through the
market’s demands and the knowledge they need to acquire overall. Like any business, the people
in the organization will work towards getting the goals of the company working for all.
Breda, J. J., Whiting, S. H., Encarnação, R., Norberg, S., Jones, R., Reinap, M., & Jewell, J.
(2014). Energy drink consumption in Europe: a review of the risks, adverse health
effects, and policy options to respond. Frontiers in public health, 2, 134.
Siegel, M., DeJong, W., Naimi, T. S., Fortunato, E. K., Albers, A. B., Heeren, T., … & King, C.
(2013). Brand‐specific consumption of alcohol among underage youth in the United
States. Alcoholism: Clinical and Experimental Research, 37(7), 1195-1203.
Stephens, M. B., Attipoe, S., Jones, D., Ledford, C. J., & Deuster, P. A. (2014). Energy drink and
energy shot use in the military. Nutrition reviews, 72(suppl_1), 72-77.
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