Case Study - Just US Example | Topics and Well Written Essays - 1250 words

- Just US - Case Study Example Kicking Horse has planned to open 100% fair trade cafes in Nova Scotia to create further challenge for Just US. The company is dependent on grocery stores to sell their product despite being a strategic business unit. Retailers decide how they want to present product line offered by the company to customers hence the company has limited control over retail channel sales volume. Juliet suggested that the company should invest 7% of annual sales revenue in marketing activities rather than pre decided $20,000 for 2009. The company is following age old advertising channel complemented with news paper, magazine, boards, seasonal point of purchase advertising, CEDIF meeting and website in comparison to integrated marketing communication (for example digital marketing synchronized with other four elements of IMC) followed by competitors (Kitchen 114). The company needs to revamp existing marketing communication program in order to sustain in the competition. The company is operating with fo ur outlets whereas annual sales volume is growing at a rate of at not so attractive rate. The company needs to increase existing product line (all total eight types of offering) in order to attract more customers. Analysis of the Current Situation Competitors Main competitor for the company is Kicking Horse. Starbucks is also planning to enter fair trade coffee market while Loblaws (super market chain) is also challenging Just Us in fair trade coffee market. In accordance to the case study Kicking Horse is one of the major forces in Canadian coffee market. Kicking Horse is promoting coffee products with local name and they are also taking help of e-commerce to increase brand equity among customers. E-Commerce gave the opportunity to the company to expand business outside Canada while Just US is still operating in local market. PEST Political Government of the country influences the business in large extent in terms of providing certificate recognition for fair trade and other interv ening in import process. Economic It is evident from the case that country is under threat of recession hence premium pricing policy might not work for Just US to sell products to low income group people. Social Majority of the coffee lovers in the country gives importance on overall experience rather than enjoying only taste of coffee. Technology Competitors for the company are already using digital marketing to promote their product and introduction of web 2.0 is the next big thing to promote coffee brand. Porter’s Five Forces Threat of New Entrant Market entry barrier to enter fair trade coffee business is low and the business is also very attractive to earn revenue for new