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Al ain Dairy Strategic Management

   

Added on  2021-04-19

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RUNNING HEAD: Strategic Management 0AL AIN DAIRYStrategic Management
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Strategic Management 1ContentsIntroduction................................................................................................................................2Porter’s five forces.....................................................................................................................2Power of buyers......................................................................................................................2Power of suppliers..................................................................................................................2Threat of substitute products..................................................................................................3Threat of new entrants............................................................................................................3Intensity of rivalry..................................................................................................................3References..................................................................................................................................5
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Strategic Management 2Introduction Al Ain Dairy is the largest dairy in United Arab Emirates (UAE). It was established in 1981. The dairy is the first to launch camel milk ice cream. Milk powder products are also availableby the diary in market. The camelait premium ice cream and camelait milk powder were launched in 2015 and are available in stores across UAE. Fresh, flavoured camel milk and camel milk laban are already sold by Al Ain under a brand named Camelait in UAE. The main market for dairy is White Gulf Cooperation Council (WGCC) for marketing camel milkproducts. The demand for camel milk is increasing due to low in fat, high in calcium and rich source of protein. It is the mission of company to make available local products to customers around the globe. The dairy uses spray drying technology and it is the only company in UAE to use this technology in manufacturing (Wilson, 2017). Spray drying used to produce dry powder from liquid. In this technology liquid is dried with hot gas. In this report porter’s five forces is prepared and applied in Al Ain. Porter’s five forces The dairy industry in UAE is unique and profitable. The industry is continuously expected to grow and experience growth in future. With the increasing health awareness and standard of living, the demand for healthy food is continuously rising. The dairy products have been segmented into milk, laban, yogurt, curd and ice cream. Porter’s five force analysis is an important tool for marketing. It helps to identify and measure Al Ain’s strength and position in the particular business atmosphere (Taleb, 2015). Such framework provides better understanding of Al Ain to it’s management. The Porter’s five force analysis is mainly concerned with five important components and face issues and impending changes in environment. Power of buyersThe buyers like to collect information before delivery of products. There is a communication network in Al Ain which helps to communicate with customers. The dairy prefers fixed pricing method to avoid any chance of bargaining from customers. The bargaining power of customers is low in case of Al Ain dairy farm. The customers do not have many choices due to the monopoly in market. The demand of products is increasing frequently. The purchases also cannot be postponed.
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