Report on Canadian Maple Syrup Company International Business Plan

This report provides a comprehensive analysis of the Canadian Maple Syrup Company's international business plan, focusing on its strategies for exporting maple syrup to England, Ireland, and Scotland. It explores the rationale for selecting international markets, emphasizing supply chain management, customer relationship management, and demand forecasting. The report delves into ethical issues and social responsibilities, including production methods, marketing practices, and fair trade considerations. Furthermore, it examines the company's international infrastructure, methods of market entry (primarily exporting), and the impact of international contracts and trade agreements. The analysis covers terms of trade, payment, and the legal and logistical factors influencing the company's global operations, providing a detailed overview of the challenges and opportunities in the international maple syrup market.

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Contents
Introduction.................................................................................................................................................2
The Rationale for selecting an International market....................................................................................3
Ethical issues and social responsibility........................................................................................................6
International Infrastructure..........................................................................................................................9
Methods of entry into foreign markets.......................................................................................................10
International contracts...............................................................................................................................11
Terms of trade and payment......................................................................................................................12
Conclusion.................................................................................................................................................14
References.................................................................................................................................................15
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Introduction
The purpose of writing this report is to understand about the logistics of the The Canadian Maple
Syrup Company to ship the products from Canada to England, Ireland and Scotland. The The
Canadian Maple Syrup Company is responsible for making the syrup from the Xylem SAP, Red
Maple or black Maple trees. Extracting of maple syrup started from the North American peoples
or European settlers who proposed the production methods for refining syrup processing. Canada
produces approximately 80% of the total maple syrup marketed to the different countries it has
been noted at approximately 7300000 gallons of maple syrup was produced in the year of 2016
the largest producer of maple syrup cube AC produces about 70% of the Global production. This
report is to understand about the competitiveness of the The Canadian maple Syrup Company in
the international market and evaluating the supply chain management strategies of the company.
This report also comprises of the issues related to the marketing of the product in the global
market and how the company can contribute towards the social responsibility for the customers.
Issues related to the transportation methods and the factors influencing the entry of The Canadian
Maple Syrup Company are also addressed in this report. Factors impacting the legal issues and
terms and conditions are also listed in this report to understand the approach to enter into the
international market (AGR).
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The Rationale for selecting an International market
The principle for selecting the The Canadian Maple Syrup Company for the international trading
is the market. It has been analyzed that due to the demand of maple syrup in the international
market, the company started the trading in the Global market. Through this market, the The
Canadian Maple Syrup Company balances the customer requirements by using the supply chain
management. The company approached the loyal customers proactively to fulfill their demand
and match the supply by sending the product to the market with minimum disruptions at the right
place. This helps the maple syrup company to balance their customers and proactively respond to
the anticipated demand of the syrups. This also helps the maple syrup company to increase the
profitability, their loyal customers, and their suppliers. Improving the supply chain management
can also help the company in far reaching conclusions or suggestions. The forecasting for
implementing the effective and efficient demand from the customers is necessary to analyze the
strategic and operational processes that help in improving the market of the The Canadian maple
syrup company. The below figure describes the example of the variability of the demand of the
The Canadian Maple Syrup products in the international market.
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The Canadian Maple Syrup Company continues to use the Global supply chain management and
its structure for the implementation. It has been identified that there are 8 key processes that
helps in the implementation of the supply chain and these are mentioned below with their
description:
1. Customer Relationship Management: - Relationship management helps the The Canadian
maple syrup company to establish the relationship with the customer and developing the
long-term business partnership with them. This also includes the contract as well as
(PSA) Product-Service agreements between the user or customer and the The Canadian
Maple Syrup Company.
2. Customer Service Management: - This helps in managing the Product-Service agreement
and provides an integrated set of information of the customers (Canadian Government).
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3. Demand Management: - This management helps in providing the schema for maintaining
the customer requirements using supply chain capabilities.
4. Order Fulfillment: - The The Canadian maple syrup company fulfills all the orders of the
customers and use all the activities required to define the requirements of the customer
and the network which need to be followed for the Logistic purpose.
5. Manufacturing flow management: - This includes the requirements which are necessary
for the movement of Maple Syrup products from the manufacturing plant and then
implementing it to manage the flexibility and the supply chain management.
6. Supplier Relationship Management: - This provides the structure of the relationship
between the suppliers and helps in analyzing the management of the Product-Service
agreement between the The Canadian maple syrup company and its suppliers.
7. Product development and commercialization: - This helps in providing the schema for
developing and launching new product to the market, keeping in mind, the customer
demand and then sending them to the suppliers for the distribution.
8. Returns Management: - This includes all the processes or operations related to the reverse
Logistics, returns avoidance, gate keeping, etc. for building the customer loyalty
(Croxton, Lambert and García-Dastugue).
It has been analyzed that The Canadian Maple Syrup Company produces approx 68 million
pounds of the maple syrup and export approximately to the 50 countries. The below table shows
the statistics of the The Canadian maple syrup company export to the international market up to
the year 2010.
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This demand Management process helps in envisaging the demand of the customers and
analyzing on how the demand can be fulfilled using the capabilities of the supply chain
management. For this process, the The Canadian maple syrup company should understand the
need of the customers and analyze the capabilities of the manufacturing and the network of the
supply chain. The information for the CRM is also required to accomplish this demand after the
evaluation the supply Company can set the goals and objectives to increase the demand by
remaining cost effective.
Ethical issues and social responsibility
The various ethical issues related to the The Canadian maple syrup industry include the
following factors:
 Principles: - The production of the syrup must be considered as an ongoing activity.
Overboard should not affect the health of the person in particular leading to the obesity
or other health problems. This syrup must be taken in a limited quantity and an
individual must follow the balanced diet because of the ingredients used in making the
syrup like sugar, salt, fats, etc. There should be awareness programs for the individuals
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so that they can follow the healthy balanced diet (Methodist). The relationship between
the retailers, consumer, suppliers, and producers must be analyzed properly. The society
must also take special steps to create an event for making the people aware about the
health.
 Exposure: - There must be proper areas of concern so that manufacturers, distributors,
marketers of the syrup who should consider it as an ethical matter. To make the The
Canadian maple syrup industry included in the CFB portfolios, it is necessary to provide
a level of exposure that must result in a company’s exposure. This approach totally
depends upon the circumstances on which the strategy has been applied to the The
Canadian maple syrup and the condition in which syrup is being taken by the individual
(Cilliberti and Scozzi).
 Methods of Production and distribution: - There are different number of issues with
Maple Syrup Company because of the methods of production and distribution used by
the company. The package syrup should be clearly hygiene considering health and safety
procedures, precautions and quality control as their great importance. The issues which
need to be considered are the factors which are as follows, but not limited to the, use of
child labor or illegal immigrants, the action must be taken as per the International Labor
Organization (ILO) standards, improper use of pesticides on Maple trees, misuse of the
water resources, environmental damage to the land, or the soil, thereby, affecting the
natural environment, growing modified crops, etc.
 Marketing Issues: - This is a major concern to the syrup industry. So the areas must be
identified to figure out the issues. The various areas of difficulties are, increasing obesity
through marketing campaigns, over-Packaging of the syrups, using the aggressive
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marketing campaigns or strategies which may harm the health of an individual,
practicing inappropriate marketing campaigns, misleading via wrong information,
inappropriate sponsorships, negotiating with the consumer and the usage of vending
machine which may harm the health of the individual (Enevoldson).
 Fair Trade and trade justice Issues: - If there is an increase in an interest of the
employers, owners, customers, clients, suppliers, therefore providing a fairly traded
product to fair price to the producers in the countries which are well developed and can
get a positive contribution from the society, making the prices down for the consumers
may be ethically not appropriate if it is using the unethical marketing strategies.
 Environment: - This should include the awareness regarding the problems created by the
waste products, following the policies that support biodiversity, avoiding the bad
practices, writing down the clear policies to limit the quantity of intake per day by an
individual (Kerry Logistics).
The steps which can be taken to be a good citizen in the community social responsible the
company practice social Logistic social responsibility that which is considered as the socially
responsible management of the supply chain considered and data cross functional.
The Canadian maple syrup company areas which should be covered are purchasing social
responsibility sustainable packaging reverse logistics sustainable transportation and sustainable
warehousing these practices must be used in proper way.
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International Infrastructure
The Quebec, is the largest producer largest of maple syrup holding approximately 90.83
percentage of shares in comparison to the production of maple syrup in the US with
approximately 3 million gallons of volume. Maple trees, including the sugar Maple and the black
Maple, Maple trees and the red maple are the common species from where the syrup is expected.
The Manitoba Maple, big leaf Maple and the Silver Maple are the other sources from which the
syrups are extracted (Sheela). There are various flavors like Malta, strawberry, furanone of the
maple syrup, maple syrup is also used for the topping of various products of Bakery such as
pancakes, cakes, French toast, Waffles, bread rolls, etc. Further, the maple syrup marketed to the
international countries using the market segmentation. The market segmentation of the maple
syrup is based on the raw materials, distribution channels, regions, applications, etc. The maple
syrup segmented market analyzed on the basis of distribution channel such as retail stores,
supermarkets, online stores, etc. This may also help the The Canadian maple syrup company to
increase the revenue and turnover over the end of the year (ISSUU).
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Methods of entry into foreign markets
There are 5 modes to enter into the foreign markets, which are listed as exporting, ownership,
licensing, joint ventures, and export processing zones. The Canadian Maple Syrup Company
uses the exporting method to enter into to foreign market (Morello). The exporting method
allows the The Canadian Maple syrup company to distribute the syrup and other alternative
products into the foreign markets without any risk due to the low cost of implementation. Also,
the level of risk associated with the exporting methods to trade in the foreign countries is also
low for the business owners. Exporting method is one of the basic foreign market entry strategies
for small businesses all around the world. This strategy or method eliminates the cost for
repackaging, marketing in the industry infrastructure development. Thus, the company can invest
on the other trading charges like those of transportation cost, tariffs, governments, etc.
Competition in the global market and local customers and their demands exporting the goods in
the Europe or in the Global market allowed to company to sell and enhance the sale in the
existing international market (Team).
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International contracts
This is to scrutinize the impact of trade agreements into the Canadian Maple syrup company and
how the method applied impact the legal issues to enter the international market. To support the
flow of goods, services, labor, the comprehensive economic and trade agreement has been
announced by the Canada and the European Union which helps in reducing the tariff and non
technical barriers. There are a number of sectors which helps in bringing the opportunities to beat
the foreign competitions. In the year 2012, Canada has been ranked as 12th in trading partners
with European countries which was also led by the US, China, and Russia (Heneghan). As per
the Federal government, the market is estimated at approximately dollar 2.5 trillion with is equal
to 18% for business services. It has been noted that the results of the agreements are to make
from and economic perspectives. Further, the impact also varies across different countries
depending upon how the company adjusts to change by changing the trade environment. Also, all
temporary foreign workers as per the CETA will include the professional so that the highly
skilled professionals, or employees can work in the countries like in European countries and
Canada. After analyzing the sectoral analysis, it has been noted that the overall net profit for the
Canadian economy depends upon how the company add up the changing environment
(MarketResearch). The syrups exported by the The Canadian Apple industry are considered as
approximately 9000 tariff lines. Vice versa of this would be the importance of the products of the
Canada at the lowest prices. It has been noted that after enhancing the channels for trade with the
European Union, the GDP of world in the year 2012 has been counted to 19. 5%, which
alternatively, provided the net benefit to the Canada for the long term (Cooper). The trade with
the European Union as a share of Canada GDP is as shown in figure:
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