The Product Brand Line Of Maggi Marketing Essay

The fruit reproach Line Of Maggi Marketing Essay recess 1IntroductionIn 1863, Maggi was founded by Julius Michael Johannes Maggi in Switzerland. Julius Maggi developed a flavours recipe to bring added prove to meals. This signified the establishment of the Maggi snitch and its point of intersection line that is convenient crossroads.In 1882, due to his well-known(a) for nutrition-oriented approach, a physician called Dr. Fridolin Schuler and the Swiss Government met up with Julius Maggi and told him ab reveal the problem of the labouring classes who were suffering from malnutrition. After that, he was asked to try for a solution in order to improve the nutritional determine of meals. wherefore, he created the protein found vegetable solid food returns, which were two instant pea soups and an instant bean soup. These two products were quick to be prep ard, easy to be digested and sold in a low wrong. The products were successfully overcame the problem of charr who were l ack of conviction in preparing meals as more and more adult female were working outside. By the turn of the century, the Maggi conjunction also produced contrastive types of products much(prenominal) as bouillon cubes, sauces and flavorings.In 1947, Alimentana S.A., the manufacturer of Maggi seasonings and soups merged with Nestl to form Nestl-Alimentana S.A. Today, MAGGI has been offering soaring quality, convenient, forward-looking, and nutritious products. MAGGI products help us to prepare nutritious and delicious meals. Its bouillons, soups, seasonings and sauces are useful while cooking and add flavour into our food.The product brand line of MAGGICulinary products is the product brand line ofMAGGI. Now, in the stratum of 2013, the products produced by MAGGI basically rat be categorized into four antithetic groups which are noodles, MAGGI flavour world, sauces and light meals. Among all these products, different kinds of flavours were provided so that the occupyrs arouse a variety of choices and select what they want based on personalized demand and favourites.The table below showed all the products produced by MAGGICategoryProducts beans1. MAGGI alive Bowl Instant Noodle2. MAGGI Hot Cup Instant Noodle3. MAGGI 2-Minutes Noodles4. MAGGI Mi-GorengMAGGI flavour world1. MAGGI Stock Cubes2. MAGGI CUKUP RASA3. MAGGI Liquid Stocks4. MAGGI HARI-HARI FAVOURITESSauces1. MAGGI Oyster Sauce2. MAGGI seas hotshotr3. MAGGI Red SauceLight meals1. MAGGI Soup2. MAGGI PorridgeThe MAGGI 2-Minutes Noodles CurryMAGGI 2-Minutes Noodles was first introduced in India by Nestle India Limited in 1982 and act as a securities industry leader in selling instant noodles. Therefore, it becomes a well-known instant noodles brand among all the consumers and many people call noodles as Maggi.MAGGI 2-Minutes Noodles Curry is angiotensin converting enzyme of flavour in the series of MAGGI 2-Minutes Noodles. It is sold in a pack of five. The servings size of each small pac k is 79grams for one serving. The noodle contains 48.6 grams of carbohydrate per serving that provides the energy that we need. It is a convenient product that whoremaster be easily found in any marketplace. The packet boat of this product was changed from time to time. The latest packaging carries the new Protein dari Gandum seal as each pack MAGGI 2-Minute Noodles serves as source of protein from wheat.MAGGI 2-Minutes Noodles Curry Inferior ProductInferior products are the products for which there is a direct relationship between changes in income and its select curve.Based on our understanding, we categorized MAGGI 2-Minutes Noodles Curry is as a inferior product because the purchasing rate of the consumer is basically based on the income of the consumers. When the income of consumers rises, the demand exit be reduced and the amount of buying this product will become less as they will ask to buy a more value based product that riposte high quality. Conversely, the demand of consumers will increase when there is a give in their income.Complement and substitute goods for MAGGI 2-Minutes Noodles CurryComplementary goods are the goods that collectively consumed with MAGGI 2-Minutes Noodles Curry. The complement goods are as followeggssausagesfish balls channelise meatsprawnscarrotstomatoesvegetablesbell pepperscarawaysWhereas, substitute goods are the goods that postulates with MAGGI 2-Minutes Noodles Curry for consumer purchases. The substitute goods are as followSajimee mee flavor flavoured instant noodlesIbumie Mi line up flavoured instant noodlesAdabi curry flavored instant noodlesMamee curry flavoured instant noodlesCintan curry flavoured instant noodlesTesco choice curry flavoured instant noodlesMarket structure of MAGGI 2-Minutes Noodles Curry Monopolistic CompetitionPart 2Comparison of the bell of MAGGI 2-Minutes Noodles Curry with _________________Based on the enquiry found in Tesco, Kampar, Perak, MAGGI 2-Minutes Noodles Curry are sold at the bell of RM4.39.Part 3Advantages and disadvantages for MAGGI company of being noncompetitive contender unwaveringAdvantagesEasy Entry and ExitMonopolistic contest is an easy launching and exit market because this market face low barriers to entry unlike a monopoly market, MAGGI easily encloseed into a monopolistic competition market and bugger off the business because the products produced are not sole control of any early(a) company. Therefore, MAGGI great deal thread the consumes to buy its products as long as they can satisfy the consumers needs. Besides that, while set downing into this market, MAGGI does not face oft problem on government franchises and licenses as well as the patents and procure as the company will not be restricted to enter into this market.Price takesMAGGI has the authority to set the expenditure for its products in order to maximize its r even upue. For example, MAGGI can increase the selling price when they increase the quality of pro ducts to the consumers. The company also can increase the selling price when the input price becomes higher so that they will still suck in a uninterrupted revenue nevertheless not facing a loss. Unlike in the perfect competition market, the consumers powerfulness still choose to buy its products even though the price has been increased as long as the products can satisfy the consumers.Differentiated products will attract buyers to stay faithfulThe secern products of MAGGI will attract more buyers and maintain the period consumers to stay loyal since the products hold in the unique features examine to others. Normally, the consumers will not easily counterchange to another brand when they are attracted by its special characteristic of the products. This will result in a constant revenue since the consumers faculty consume the products continuously for a long period of time if they do not find any substitute that is better than the current consuming products.Disadvantages numerous competitorsSince monopolistic competition market is easy to entry and exit, many companies qualification enter into this market and thus MAGGI has to face many competitors. For example, the competitors for MAGGI are Sajimee, Ibumie, Adabi, Mamee, Cintan and Tesco. The consumers might easily switch to buy the alike(p) type of products from another brands if they speak out it is worth to buy it from other brands rather than from MAGGI. Therefore, MAGGI has to consistently observe the strategies of its competitors so that MAGGI can puzzle suitable action to face the competitor and make its customers to stay loyal.Higher cost and expensesSince MAGGI face a huge total of competitors, it is compulsory for a monopolistic competitor to take suitable strategies to attract more buyers. One of the ways is via publicizing its products. We can see that MAGGI spread abroad its products through television and do many different types of promotion such as buy one get one free, give f ood testing to the customers, give discounts and organise a contest for the consumers and give out something else as prizes. All these advertisement and promotion required a throne of cost and expenses.Need to produce differentiated productsIn order to compete with other close substitutes, MAGGI has to come up with differentiated products, which is the products that have existent or apparent differences with other substitutes. MAGGI must be creative and innovative enough to make their product more distinctive and differentiate their products from other competitors in order to attract more buyers and also maintain its current consumers. MAGGI also has to do certain research and improve its products from time to time to make its products more unique no matter is on the quality, price or packaging.Earn zero-economic profit in long haulUnlike a monopolist, MAGGI will not ingest an economic profit but earn a zero-economic in long-run. In long-run, more and more firms will enter into t his market structure and the some of the current market share of MAGGI might be taken away by those new firms. This shows the decrease in the consumers demand. Therefore MAGGI will do more advertising to recapture the market share. This will results in the increase of the long-run average cost. The decrease of demand and increase of long-run average cost will continues in long-run until MAGGI earns a zero economic-profit.Advantages and disadvantages for a customer of buying a product under monopolistic competition marketAdvantagesMore innovative productIn the monopolistic competition market, there are many competitors and buyers. In order to attract a large scale of customers, the company needs to produce more innovative product continuously so that they can compete with other competitors and survive in the market place. MAGGI as monopolistic competition firm will choose to produce more different flavour of instant noodle instead of just produce one type of noodle because it needs t o fight against massive of competitor forces. Therefore a customer can delight in having different types of MAGGI products and have more choices.Comparable pricesThere are many sellers in the monopolistic competition market. The buyers can compare the prices of the same type of product among different producers so that they could choose to buy the products that offered in an affordable price. For example, consumers can choose every to buy MAGGI instant noodles or other brands of instant noodles like Mamee and Mi Sedaap.Convenience for buyers to know the details of the productSellers in the monopolistic competition tend to create more advertisements to deliver the information about their products to the in the public eye(predicate) and also develop a stronger position in consumers mind. Usually the critical information about the MAGGI products such as the new flavour, price, and places that are unattached to buy the products. The information given will provide convenience for con sumers in the process of choosing and buying the product.DisadvantagesThe price of products might not matched with the quality of productsThe sellers in monopolistic competition market are free to set the price of products. The seller might set a higher price to earn more revenue but they do not produce the products with higher quality. Therefore the consumers are forced to buy the products expensively. For example, if MAGGI might produce the same instant noodles but they raise the price to a higher level. Consequently, the consumers have to buy it at an expensive price but they still enjoy the same quality of instant noodles.Negative impact of advertisingIn monopolistic competition, the sellers spend a lot of money in advertising their products. It is a benefit for the consumers to know more about the product but it also has negative impact on customer supremacy. Customers are exit to be manipulated by the advertisement and about what they want. For example, customers become attra cted over the intuition of differentiation, they believe information in the advertisement and buy the product without compare the price or quality.