MKT600 Marketing: Just Bliss Chocolate - Micro & Macro Analysis in NZ

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Case Study
AI Summary
This marketing case study provides an in-depth analysis of Just Bliss, a chocolate company, as it considers expanding into the New Zealand market. The report examines buyer behavior, detailing the customer decision-making process from problem recognition to post-purchase evaluation. It further investigates the microenvironment, focusing on suppliers, relevant public, marketing intermediaries, and competitors. A comprehensive macro environment analysis covers societal-cultural, political, technological, demographic, natural, and economic factors impacting Just Bliss's potential operations in New Zealand. The study concludes with insights into the challenges and opportunities the company faces in its international expansion endeavor.
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Marketing
10/17/2018
Just Bliss
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Contents
Introduction......................................................................................................................................2
Overview of company......................................................................................................................2
Buyer behaviour...............................................................................................................................3
Microenvironment Analysis............................................................................................................4
Suppliers......................................................................................................................................5
Relevant public............................................................................................................................5
Marketing Intermediaries.............................................................................................................6
Competitors......................................................................................................................................6
Macro environment Analysis...........................................................................................................7
Society- cultural...........................................................................................................................7
Political........................................................................................................................................8
Technological..............................................................................................................................8
Demographic................................................................................................................................8
Natural.........................................................................................................................................9
Economic.....................................................................................................................................9
Conclusion.....................................................................................................................................11
References......................................................................................................................................12
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Introduction
In the 21st century, marketing has drastically evolved and it is considered as the critical
component of the business administration. The aim of the assessment is to apply the knowledge
for developing the effective marketing strategies in which the analyses related to the market
trends will be done which are must for the marketing strategy. The purpose of the report is to
conduct a marketing environmental analysis on the small business. The small business that has
been selected for this task Just Bliss which is a chocolate company. The small business is
looking to expand their business operations in the international market which include New
Zealand.
Overview of the company
Just Bliss chocolates is a boutique chocolatier offering that offers the gourmet chocolate truffles,
chocolate gift with the personalised chocolates to their customers. The company is located in
Adelaide in Rundle Mall. Just Bliss is specialised in hand-made chocolate truffles using the hand
painted cocoa butter with the decorative chocolate transfers (Just Bliss Chocolates, 2018). The
company is operating the business through online mode within Australia only. The company
came into existence in the year 2008 and since the time they are offering a wide range of
chocolate bars, tiles, spoons and others (Just Bliss Chocolates, 2018). The company is increasing
due to which it has decided to expand their business operations with the aim to have an
international presence. The place that has been selected for the expansion in New Zealand as the
country is near to Australia. In New Zealand, place has been selected by the company for
opening their physical stores is Auckland with 1.6 million population.
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Marketing 3
Buyer Behaviour
The customer buying behaviour includes the consumer’s attitudes, preferences, and intentions,
decisions that can influence the purchasing of a product or availing the service in the market
(Kotler, 2015). In marketing, it is must to understand the decision-making process of customers
by the company in the market of New Zealand. There is a set process which is followed by the
customer for selecting the Just Bliss chocolates in the market. This process includes: -
Problem recognition: - In the market, the needs of the customers are changing rapidly
due to which it has become important to determine what exactly the customer is willing
to buy (Bhasin, 2018). In chocolates, there are different options available which include
chocolate candies, homemade chocolate, personalized chocolate and many others.
Information Search: - After analysing the needs, the customer search for the details
related to the product which include the taste, value for money, availability and many
Problem
recognition
Information
Search
Evaluation of
alternatives
Purchase
Post
purchase
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other. In chocolate, the customer also checks for the brands who are offering the same
products that can meet the needs in the market of New Zealand.
Evaluation of alternatives: - The customers then evaluate the alternatives which have
been selected by them for meeting their needs. In chocolates, the customers evaluate the
taste, price, quality and others which helps them to select one brand or alternative from
the different options that are available. Just bliss chocolates offer the wide range of
different products at the store and through online which helps them in attracting the
customers towards the brand (Just Bliss Chocolates, 2018).
Purchase: - The next step is to make the purchase of the product which is selected by the
customers. In the case of chocolate, the customers make the final product when they
select the product that can meet the needs. The purchase of the chocolate depends on the
value, attitude and lifestyle of the customers.
Post-purchase: - The post-purchase is the final step in which the customer check and
evaluate the product after the consumption (Wilson and Gilligan, 2012). Just Bliss
Company ensures that they offer good taste and quality in their products that can meet the
needs of the customers. This help in creating good customer experience and relationship
which makes the customer visit again. This has been done by the company because if the
customers get dissatisfied then they will never make the purchase of a product from the
same brand.
Microenvironment Analysis
Microenvironment includes the factors or elements that directly affect the immediate operations
of the company which include the performance and their decision making (Chernev, 2018). It is
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essential for Just Bliss Company to analyse the microenvironment factors that can affect the
business in the New Zealand market.
Suppliers
Suppliers are one of the major elements that can influence the working of the company. Just
Bliss Chocolates is specialised in the hand-made chocolates which means that they manufacture
the chocolates and then sell it into the market. In the New Zealand market, they need to
coordinate with the suppliers who offered them raw material which is required to them for
conducting the operations. This has been found that there is the presence of a large number of
suppliers in the market of New Zealand. This reflects that there is a low threat of the suppliers in
the market (Wilson and Gilligan, 2012). Though, this has been found that for the different raw
materials that are used by the Just Bliss in manufacturing the chocolate might affect the business
because there are very few suppliers who can meet the needs of the company. This will enhance
their bargaining power over the company. Hence, this can be said that the suppliers keep the
moderate bargaining power on the company in the New Zealand market.
Relevant public
The public over here is the group who has interest and potential to affect the working and
objective of the company (Chand, 2018). This includes the environmentalist, consumer
protection groups and media. Just Bliss Chocolates believes in offering the quality product with
the wide availability which is one of the ways through which the company can create the good
image in front of the public. Along with this, Just Bliss believes that CSR activities in the market
which include protecting the interest of the general public and caring for the employees will help
the brand in creating the good value in the market. Though, the company need to meet all the
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standards related to the food safety which helps them in making a good imprint in front of the
general public.
Marketing Intermediaries
Market intermediaries are either the business house or individual who come to aid the company
in selling, promoting and distributing the products to their customers. In simple words, this
element includes the middlemen (such as wholesalers, retailers and agents), market service
agencies, distribution agencies and financial institutions (Chernev, 2018). Just Bliss Company
will open the stores in the market from which they can offer the services to their customers.
Along with this, they make their products available through the online mode also for which they
hire the distributors. The agencies who distribute the products are available in the market of New
Zealand and due to which they can easily get the distributors. Though, the company deals in
chocolate for which they need the experts who can make the products carefully available because
it gets melt soon which is a threat to the company.
Competitors
The competitors of the company which are present in the New Zealand market include Kako
chocolate, Whittaker’s, Devonport, Bohemein Fresh Chocolate and many others. All these
companies are present in the market New Zealand and performing their business operations. The
major competitor of the company is handmade products, premium chocolate in different flavours
and in different forms which include mini slabs, artisan, destinations, chunks and others
(Whittaker’s, 2018). This chocolate is served mainly to the children with the age group of 5-15
years as they consume more of chocolate. Along with this, the chocolate is available for
customers of different age groups and others.
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Macro Environment Analysis
The macro environment is the uncontrollable factors that can affect the decisions of organisation
and affect the performance and strategies (David, 2011). In the New Zealand market, it is must
for the Just Bliss to analyse the factors that can affect their operations. The analysis related to
these factors is given below: -
(Source: Ahmed, 2014)
Society- cultural
The social and cultural element is important to be considered by companies while operating their
business. This element includes living styles, heritage, religion and many others which can affect
the working of business (Ahmed, 2014). Just Bliss Chocolates might get affected due to the
social shift in the preference and choices of the customers in their lifestyle. This has been found
that with the rise in the education level the people are becoming more conscious of their health
due to which they don't consume things that increase their weight and affect their diet. Chocolate
can be of different types but the sales of the company for which are sweet can reduce in the
market because it contains sugar which leads to the problem of obesity in the people. This might
make the consumer stricter for their children towards the chocolate. Though the sales of the dark
chocolate might increase though most of the targeted people don't like the taste of same. This is
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the leading threat for the company in the market. Along with this, the people in the country are
loyal towards the other brands which might affect the sales of Just Bliss.
Political
The political factors majorly include the influence of the rules and regulations on the business
(Armstrong, Adam, Denize and Kotler, 2014). Just Bliss Company is entering into the market as
a physical store in the market which reflects that there is a need for the permission of the
government for operating the business. The analysis reflects that terms of Australia and New
Zealand government are good enough due to which they can easily get permission. The mode of
entry needs to be selected by the company for entering into the market as according to that they
will take the permission from the government. This has been found that Licensing will be an
effective option for the company for which they need to take permission. Though they need to
pay the huge amount in the same and along with this, they need to meet the legal obligation. The
change in the rules and regulations might affect the company and their operations.
Technological
The technology is evolving rapidly in the changing environment which affects the business
operations (Dawson, 2014). The technology is not bringing the changes in the infrastructure but
it is also making the changes in the manufacturing of the products. The adoption of the
technology by the competitors will directly affect the sales of the Just Bliss in New Zealand
which is one of the biggest threats for the company.
Demographic
The demographic factors refer to as studying the human population in terms of the location, age,
size, occupation and many others. The population of the New Zealand country is estimated as
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4,510,327. Talking about the age structure of the country, the people with the age of 0-14 years
are 19.69% of the population and people with 15-24 years are 13.35% of the population and the
highest proportion of the population is at the age of 25-54 years that is equal to 39.82% (CIA
World Factbook, 2018). This demographic age structure can affect the working of the company
as the people with the age of 25-54 years consume the chocolate very rarely. In addition, the
children who consume the chocolate are only 19.69% of the population. This reflects that the
sales of the company will reduce because the demographic data shows that there are very few
people who can consume the products. Though, there is an opportunity that the company can
target the other market.
Natural
Natural factors include the natural resources that are considered as vital inputs by the marketers
(Hollensen, 2015). In chocolate manufacturing, there is a need of the different products that are
grown on trees and on the ground. The manufacturing of the chocolate includes the use of the
natural resources which might affect the environment. Along with this, in the production process,
there can be wastage of the products which is must to be reduced by the company. In New
Zealand, Just Bliss company need to follow the regulations related to environmental
sustainability and protection.
Economic
The economic factors that can affect the operations of the business include the purchasing power
of the customers. Just Bliss Company will get the benefit of the economic factors because GDP
of the country is improving. GDP which was registered was 40 546 US $ per capita and the
growth which is projected in the year 2018 is 3% (OECD, 2018). This reflects that there will be a
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rise in the purchasing power of the customers which is a benefit for the company because they
will be able to earn the revenue in the market of New Zealand.
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Conclusion
In the end, it can be concluded that the report aim is fulfilled which was to analyse the marketing
environment of the business. The analyses have been done with the help of the
microenvironment and macro environment which is considered as the key that helps in
understanding the positive impact of national or international factors and external with local
factors on small business. These factors tend to be the external factors of business which brings
the changes in the decision making of the company and affect the marketing strategies of the
business. The analysis reflects numerous threats and opportunities that might be faced by Just
Bliss in the New Zealand market. Further, the buying behaviour of the customers is explained
that might work as a huddle for the company. The external factor also includes the analysis of the
competitors that can lead to the issues for the company which are discussed.
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