MN4001QA Business and Enterprise: Chobani's Business Analysis Report

This report provides an analysis of Chobani, an American yogurt company, focusing on its business strategies and entrepreneurial success. Founded by Hamdi Ulukaya in 2005, Chobani is known for its Greek-style yogurt and has expanded into non-dairy products. The report examines key business functions such as finance, marketing, customer service, human resources, and design, highlighting their roles in Chobani's operations. It also analyzes Chobani's marketing mix, including product, place, price, and promotion, detailing how these elements contribute to the company's competitive edge. The report concludes that a strong understanding of entrepreneurship and effective marketing strategies are crucial for Chobani's continued success and growth in the market. It was prepared in response to the MN4001QA Business and Enterprise assignment.

Business and
Enterprise

Table of Contents
INTRODUCTION ..........................................................................................................................3
MAIN BODY ..................................................................................................................................3
CONCLUSION ...............................................................................................................................5
REFERNCES:..................................................................................................................................7
Books and Journals:....................................................................................................................7
Online:.........................................................................................................................................7

INTRODUCTION
Entrepreneurship is meant by the creation or extraction of value. It refers to a process in
which person or group of persons utilizes a commercial opportunity either by creating a new
product or service or process to the market or by substantially enhancing the current product,
service or process (Baranes, 2020). This procedure is usually established through a new
corporation but may also occur in the existing small company that undergoes a valuable change
in the product or tactic. An entrepreneur is a person who creates and build a new business,
bearing the risks and challenges but also enjoys most of rewards and profits. The entrepreneur is
mainly viewed as a source of new idea, products and services as well as innovator of the
business. Entrepreneurs plays fundamental role in any economy, exploiting the skills and
initiative vital to anticipate the requirements and bringing new ideas to market. Hence, the
entrepreneurship that proves to be successful in order to take risks and challenges of building a
new start-up is rewarded with fame, profits and several growth opportunities, whereas,
entrepreneurship that fails results in less prevalence and losses in the markets.
The company which is chosen to prepare this essay is Chobani Company which is an
American yogurt brand. In 2005, the company was founded by Hamdi Ulukaya, who is a Turkish
Businessman (Frigato and Santos-Arteaga, 2019). The company is well-known for selling thick
and Greek style yogurt in the US. The yogurt of Chobani Company is different from traditional
yogurt which is high in protein. The firm has also expanded business to non-dairy and plant
based products such as oat milk and vegan yogurt. The firm produces a range of Greek yogurt
products, snacks, drinks and condiments and other products with coconut and oat drinks. Overall,
it is reputed as the top-selling Greek yogurt brand in the US and operates as the biggest facility
of yogurt in the entire world.
MAIN BODY
Companies and organisations provide professional products and services to customers or
commercial customers in order to earn profit. They can operate in every sector and have a main
function of focus. Understanding basic business functions is important for the Chobani Company
as it can help to develop the capabilities as a professional (Harper and Parekh, 2021). Business
function is meant by the high level of categorisation of capabilities and processes of organisation
to explain its work. It also ensures the company to run smoothly and does well for its clients,

leaders, employees and shareholders. In case of Chobani, the company has a range of business
functions such as finance and accounting department which oversees the business related
aspects such as accounting, funding, financial oversight, budgets and many more. They also
overlook on the tax payments, invoice customers, file tax returns, distribute employee pay checks
and track paid time-off, conduct audits, record cash flows and handle finance and tax law (Janah,
2019). Sales and marketing, this department of the company focuses on the promotion of brand
to connect with potential clients, investors, sponsors with the objective of building brand
awareness and producing revenue. It also oversees official website development of the company,
search engine optimization, digital and social media advertising and public relations. Customer
service department of Chobani organisation manages the relationship between brand with its
clients. They may handle customer questions, shopping, issues or returns and highly skilled in
conflict management, communication, patient and empathetic. In case of Chobani, with the use
of advanced technologies, customer service representatives can work over the phone, in-person
and through online chat platforms to help their customers. Human Resource Department is the
prime functional area in which employees are recruited, trained, developed, compensated,
maintain relations with them, resolve conflicts and many more. In case of Chobani Company,
HR department often helps other department to get the right talent in their area by identifying the
job posts and number of vacant seats. They recruiting talent, screening applicants, explaining
benefits, hiring employees, handling performance management and so on. Design department
manages the visual aspects of brand strategy, find and design. They focuses on both internal and
external audience such as clients, employees, and generate content for online and print
advertisements, websites, radio and television, billboards, social media as well as mobile apps.
A marketing mix consists several areas of focus as part of a broad marketing plan. It is set
of strategies and actions that an organisation uses to promote its product, service or brand in the
market. It mainly includes four Ps that are price, product, promotion and place. Product, it
represents a product, item or service designed to fulfil the wants and needs of customers. To
effectively advertise a product or service, the company tries to differentiate its product from
competitors' goods and services (Liguori and et.al., 2019). It is vital that product must deliver a
certain level of performance otherwise the best work on other elements of the marketing mix do
not work. In case of Chobani Company, it is specialised in selling yogurt which is high in
protein. It also includes a non-dairy products, vegan products , oat milk, snacks and many more.

It is famous for its product especially Greek-style yogurt. It facilitates in varieties of flavour such
as peach, vanilla, strawberry and blueberry (Roffia and et.al., 2021). Place, refers to the point of
selling the item or service. In the business industry, identifying the point of sale and making it
easier for them is the main of place strategy. The company uses both platforms online and offline
so that their customer can enjoy the delicious taste of yogurt. Also, it provides its products at
world-wide level. Price, it reflects the strategy that a customer is ready to pay for the product
and services offered by the company. Marketing experts of Chobani Company need to ascertain
the costs related to R&D, marketing, manufacturing and distribution. It is found that the price of
the Greek-style yogurt is higher than its competitor products, but they set the price as per the
quality of their product as it is high in protein that is liked and consumed by the customers as
well. Promotion, it refers to the activities that is undertaken by the brand to make the product,
service or process familiar to the customer and trade. It consists advertising, press, word of
mouth, commissions, incentives and many more (Meor Hamdan, 2019). The Chobani Company
uses multi-channel marketing campaign to link with young yogurt enthusiasts. They uses
Spotify, Instagram, broadcast TV so that their customers will be well-aware of the offered
services (Chobani’s Complete Marketing Strategy, 2020). Chobani exploits Spotify to reach the
maximum customers through audio advertisements, using Instagram stories and games helps to
keep the name of the brand in the top of the mind of customers. Hence, all the four elements of
marketing mix are inter-related with each other (Park, 2020). It is essential for the company to
examine the effectiveness of each factor as one can affect the another factor.
CONCLUSION
It is concluded from the above discussion is that Entrepreneurship plays a fundamental
role in the economy. Having a good knowledge of entrepreneurship determines the success and
failure of the company. Entrepreneurs creates and bring new ideas to product, services or process
related with their business in order to generate a significant amount of profit that simultaneously
helps the growth of economy. Enterprise can be small, medium and larger and have distinct
nature and features of the business. One must analyse such things before establishing new
business. They also tend to bear risks and challenges from their establishment and enjoys most of
the rewards from commercial opportunities. The essay is based on the Chobani Company which
is famous American Company specialised in offering Greek-style yogurt to its customers. It also
sells other products such as snacks, oat milk, non-dairy items, vegan items that are liked by the

customers. It delivers a tough competition in the market due to its unique taste of yogurt. The
essay is mentioned with two concepts of functional areas of business and marketing mix.
Functional areas of business such as finance, human resource, design, customer service and
many more needs to be considered by the entrepreneur so that business will operate properly.
Marketing mix involves four P's such as price, product, place and promotion. All elements are
inter-related with each other. It is important for the entrepreneur to determine the effectiveness of
each marketing strategies to achieve the competitive edge in the market.

REFERNCES:
Books and Journals:
Baranes, A. I., 2020. Intangible Assets and the Financialized Business Enterprise: A Veblen-
Commons Approach. Journal of Economic Issues, 54(3), pp.692-709.
Frigato, P. and Santos-Arteaga, F. J., 2019. The Dark Places of Business Enterprise: Reinstating
Social Costs in Institutional Economics. Routledge.
Harper, M. and Parekh, N., 2021. Social Enterprise: Cases and Analysis for Understanding
Social Business. Routledge.
Janah, L., 2019. Social enterprise for impact: Rethinking old models of charity and business.
In Perspectives on Impact (pp. 202-212). Routledge.
Liguori, E. and et.al., 2019. Under-researched domains in entrepreneurship and enterprise
education: primary school, community colleges and vocational education and training
programs. Journal of Small Business and Enterprise Development.
Meor Hamdan, N. A., 2019. Fundamentals of Entrepreneurship ENT300 Business Plan Report
Business Name: PS Enterprise.
Park, J., 2020, November. SMALL ENTERPRISE OWNERS’/MANAGERS’CSR DECISION
TOWARD LOCAL COMMUNITY: PERSONAL, SOCIAL AND BUSINESS
CONSIDERATIONS. In 2020 Global Marketing Conference at Seoul (pp. 1271-1277).
Roffia, P. and et.al., 2021. Operationally defining family SMEs: a critical review. Journal of
Small Business and Enterprise Development.
Online:
Chobani’s Complete Marketing Strategy, 2020. [Online] Available Through:
<https://www.gartner.com/en/marketing/insights/daily-insights/chobanis-complete-
marketing-strategy>