BSB60407 Advanced Diploma of Management

ASSESSMENT

BSBMGT608A DEVELOP ORGAINSATION MARKETING OBJECTIVES

Submitted by: Gurkirat Singh

ASSESSMENT PART A

ORGANISATIONAL REVIEW COCOA DELIGHT

ORGANISATION REVIEW
Cocoa delight is one of the youngest chocolate manufacturers in the industry
established in 2000. We value creativity and innovation of our youth. Team of
master of chocolatiers has been picked from prestigious schools of
confectionary. We process more than ten types of best Cocoa from different
countries and produce large range of dark chocolates tailored to specific
dietary requirements.

Vision
Our vision is world Class Company within Australia producing large range of
quality chocolate to satisfy under met need in the national market.

Goals/ mission
 Encourage continuous improvement.
 Quality leader in chocolate industry of Australia.
 Trade fairly with local and international suppliers.
 Sustainable behaviour.
 Reduction in ecological foot prints.

Purpose
 Daring and unconventional
 Creativity and innovation have always been our strength and
cornerstone of success.
 For stakeholder we are stewardship and adhering to professional and
moral standards of conduct in all that we do.
 For employee we encourage self-directed teams.
Values
 Fair trade practices at national and international level.
 Sustainability and high quality.
 Combination of innovation creativity and artisan expertise.
 Customer oriented management.
 Expansion and growth.

Strategic targets / directions

 To increase market share and become market leader in 3 years.
 To increase brand reorganisation by marketing.
 To create awareness of health benefits of dark chocolate.
 Provide chocolate of European quality.
 Double digit growth rate for each year.

Situation analysis
Situation analysis of cocoa delightconsist of two parts i. SWOT Analysis

ii. PEST Analysis.

SWOT Analysis

Strength Weakness

 Innovative and creative  Lack of brand awareness.

 Sustainability
 Customer oriented
management
 European quality chocolate
 Range of dark chocolate
 Health benefits of dark
chocolate
 Meets specific dietary
 Customers are not aware of
health benefits.
 Lack of online presence.
 Less male and child customer
base.
 Regional and country side areas
Are not covered.
 Lower market budget.
 requirement
 Easy customer access.
 Lower price.
Opportunities
 Unmet market demand of
specific dietary requirements.
 Use of social media like
Facebook will increase
customer base.
 Develop more loyal customers
and referral.
 Promote Australian based fact.
 Increase market budget.
PEST ANALYSIS
P DISPOSABLE income has reduced due
The government is currently passing
legislation that requires business to
monitor and reduce their waste and
energy useinsignificant penalties are
planned for business that don’t
comply with the new directives
S
COCOA DELIGHT will try to capitalize
on the social trends of consumers
being more conscious, by promoting
health benefits of Dark chocolates and
offer largest range of different
varieties of dark chocolate.
 Less outlets as compared
to competitors.
Threats
 International brands with huge
market budget.
 Narrow advertising campaign.
 Brands wither wider
reorganisation like Green &
black.
 Market down.
E
to rising INTEREST RATES this shortfall
expected to be recovered in the long
term, with wages including expected to
outstrip inflation rates by2%.The
unemployment levels are also increasing
and expected to climb steadily to 6% in
the coming year.
T
Technology development with the
broadband rollout across Australia has
been delayed, although the rollout is
continuing and will be completed in
the next three years. Internet retailing
 options are expanding and most
retailersare taking advantage of this
newtechnology.

LEGAL AND ETHICAL REQUIREMENTS

 Government focuses mostly on the environmental issues of waste

management and energy conservation. According to new law, they have
to find new ways to provide customers with what they want, without
the high electricity usage.
 Government is looking at is having the country of manufacture clearly
states on imported products although at present the government is
allowing the industries to self-regulate rather than pass laws.

CURRENT MARKETING ACTIVITIES AND ITS IMPACT ON THE

ORGANIZATIONAL STRATEGIC DIRECTION

 Change in focus from local supplier to national ones.

 Save money by taking advantage of greater geographic benefit.
 Choosing media with national reach.

Evaluate the effectiveness

PERFORMANCE AGAINST SET OBJECTIVES
 Store growth and sales growth rate are achieved.
 Gross profit margins achieved are 45% against 63% set objectives.
 PR marketing performed better than expectation.
 58% People in target market recognise Cocoa delight brand

CRITICAL SUCCESS FACTORS

 Advertisement using internet ,Tv.
 Creativity and innovation.
  Professional and moral standards of conduct.
 Ability to obtain finest quality of cocoa beans at best price.

Areas for improvement and lessons learned

 To reduce budget in radio advertisement.
 Social trend of eating chocolate is increasing at a rate greater than
expected.

PART B VIABILITY REPORT

COST AND BENEFITS OF JOINT VENTURE WITH HAIG’S

 Haigh’s sell chocolate at mid ranged prices, so customer could

enjoy greater access to all of the product groups, including the
cheaper range of chocolate.
 Low cost combined media of Haigh’s will help in creating brand
awareness for cocoa delight.
 Haig’s already have knowledge of market in three capital cities.
 Advertisement will be cheaper using Haig’s extensive media.
 Market segments are complimentary rather than competitive.
 Rollout to 100 stores is expected to take in 5-7 years.
 Decrease in disposable income due to increase in interest.

COST AND BENEFIT OF FRANCHISING

 Franchisee will bring capital so provide ready solution to store
manager’s shortage.
 Proven Melbourne stores provide easy marketing and sales.
 100 stores target can be achieved in 3 years.
 Introduction to greater legal issues.
 Greater conflict between local minded business and brand
interests.

B. PEST ANALYSIS: The pest analysis is very helpful for understanding market
growth or decline and such as position .potential and direction for the
businesses analysis is a business measurement tool. Pest is an acronym for
political, economic factors, which are used to assess the market for a business
or organization.
1. POLITICAL: Government is currently passing legislation that requires
business to monitor and reduce their waste and energy use. Significant
penalties are planned for business that doesn’t comply with the new
directives.
2. ECONOMICAL: Disposable income has reduced due to rising interest
rates this shortfall expected to be recovered in the long term, with
wages including expected to outstrip inflation rates by 2%
unemployment levels are also increasing and expected to climb steadily
to 6% in the coming year.

3. SOCIAL: cocoa delights company will try to capitalize on the social

trends of consumers being more health conscious, by promoting the
health benefits of dark chocolates and offer the largest range of dark
chocolate verities and more products.

4. TECHNOLOGY: Technology developments with the broadband rollout

across Australia have been delayed, although the rollout is continuing and will
be completed in the next three years. Internet retailing options are expanding
and most retailers are taking advantage of this new technology.

C. RISK: Risk management is very important to the operations of the cocoa

delight store. The identification assessment and control of allrisks are
important to the successful achievement of the store vision and mission.

RISKIMPACT LIKELIHOOD

Lack of an equivalent High Medium

financial reward can
affect to run new stores.
Haigh’s chocolate is not High Medium
using any advertising
for their store.

New legislation low Medium

Negative impact of
The cocoa delight
Brand and products moderate medium

D. FIT: Strategic management consists of the analysis, decision, and an

organization in order to create and sustain competitive advantage. Using the
franchising option can get some more opportunities. This idea will introduce of
greater legal issues, with each store operating on a separate legal agreement.

IMPACT
After review the Haigh’s chocolate proposal cocoa delight will get
opportunities with organizational goals and capabilities. Using JOINT VENTURE
option with the Haigh’s chocolate they can operate different market segment
within same industries. A joint venture is a business agreement in which the
parties agree to develop, for a finite time, anew entity and new assets by
contributing equity.
PART C VIABILITY REPORT MARKETING OBJECTIVES

Short term objectives

 Managing brand awareness.
 Featuring products from dark decadence range asa first step to sign
loyalty.
 Work closely with joint ventures to advertise brand.

LONG TERM OBJECTIVES

1. Create brand awareness.

 This benchmark to be achieved in every new market.

 Use of Joint venture TV advertising campaign.
 Will cost $1.1 million in each new market, funded byusing money set
aside in provisions.
 Comply withCompetition and consumer act 2010.

2. To increase marketshare of cocoa delight gourmet chocolateby 18% in every

Australian capital city.

 Comply with vision of dominance in market.

 Develop market plan.
 Resources from Halt & Burrows and 5% of turnover will be allocated to
Finance the budget.
 Comply with rules set by ACCC for the market dominant player.

Key performance indicator

 Established markets will allocate 20% advertising budget for brand

awareness.
 30% sales of machine made chocolate will indicate that new markets are
on track to achieve sales target.
 To achieve 18% market share break even target of $3 million should be
achieved.