BUS 599 Strategic Management

Task in BUS 599 Strategic Management

The name of the non-alcoholic company is “Elite South”. The reason of selecting this name is that “Elite” means a group that is superior in terms of ability or qualities and in Southern part of United States consumption of soft drink is in highest quantity. This company produces non-alcoholic energy drinks for people. BUS 599 Strategic Management

The mission of this company is to provide best quality soft drink to its customers which can provide them refreshment. Company wants to keep its customers happy and satisfied. There are different components of mission of the company such as market, Self- concept, Concern of survival and public image. All these are main components of the organisation as it is a new company and for them market and its components are essential factors.

There are five major trends NAB companies are focusing on such as Functionality, Fermented drinks, Personalisation, Alcohol free alternatives, and Sustainability. All these trends are having some significance which is helping NAB companies to focus on their customers. 

Since there is a raise in beverage industry many new products has been launched every-day which has several benefits which are focusing on such as stress reliever, immune system, health and beauty all these features helps in maintaining functionality. Fermented drinks also have several health benefits such as it helps in digestion, it is probiotic rich and it also helps in boosting immune. Personalisation is the important aspect as every company has to launch new and personalised product in the market to attract target customers. It is not necessary that every individual consumes alcohol so there is requirement of an alternative and NAB is the alternative. Companies should avoid using products which can harm environment because today consumers are aware about the environmental pollution and they have started avoiding products which can harm environment (Burrell, 2019).

Rapid growth is analysed in Non-alcoholic industry in United States. According to a research NAB industry is growing 1.2% annually and revenue of US$248,552 m is generated in 2020 and market is expecting a high growth in 2020-2023. An average per capital consumption stands at 220.3 litres in 2020 (Esser, Clayton, & Brewer, 2017).

Root beer is made up of different types of herbs, roots, berries and barks. This can also be considered as medical beverage. And there is an immense growth which is analysed in the market.

Craft, A and W Restaurants, Seagram are some of the top manufacturers of root beer and since in past there is a high growth observed in the consumption of Root beer it is expected that in future consumption will increase at a high rate and by 2025 root beer will be available in many countries such as China, Japan, India, Southeast Asia (Market Watch , 2019).

Shelf-Space: Shelf space is available for non – alcoholic beverages as they have to replace alcoholic beverages. Social media plays an important role in this because with proper advertising of the product and usage target audience can be influenced. Today everyone is aware about their health and by showing important health benefits of the product market can be created for NAB (R, 2018).

By choosing creative design, developing   unique service model and promoting   highly specific expertise product can be differentiated from other existing product in the market. As today people are concerns about environmental factors so by environmental friendly packing or creative packing people can be influenced to buy new product. Differentiating can also be done by developing a unique delivery model. Root beer can also be promoted by specifying its expertise healthcare benefits to the people. Since it is made up of different herbs and barks it can also be used as medical beverage. And since root beer can be used by many other substances to increase their taste it can easily replace alcoholic drinks or it can be a best replacement for alcoholic drinks (Gabriel, 2015).

This product will be directly available to customers i.e. online selling is being used to sell this product. Consumers can have this product by monthly subscription or they can buy according to their requirement.  Online distribution channel is being used because it will save intermediates cost and this product can be buy at lower rate than other existing product. This product will be directly delivered at the doorstep of the customer by using courier facility or by company’s delivery person. Production of this product will be done after analysing the need of the product and in future a stock will be maintained after analysing the trend. Delivery will be directly done from warehouse. Warehouse of the company will be placed on different locations of the country for creating awareness about the product and this will also ensure fastest delivery.

Government have some rules and regulations. It is very important to mention ingredients of a product on its label. And to prevent this risk company will mention all its ingredients which are used on its label (Kregiel, 2014).

Today everyone is aware about protecting environment and for this certain steps is taken by governments such as recycling of packaged material, environmental friendly packing and many others. Company can take step to prevent this risk by using environmental packing material.

This risk is involved at a high rate because public health is the major concern. For preventing this risk company should mention product expiry date on the top of label and with bold letters so that consumers can be aware and company should also aware people about this fact (Roemer & Stockwell).
BUS 599 Strategic Management