As red bull has a broad scope of marketing operations

Info iconThis preview shows page 1. Sign up to view the full content.

View Full Document Right Arrow Icon
This is the end of the preview. Sign up to access the rest of the document.

Unformatted text preview: es focus on the high product price (which could potentially be an advantage, however cheaper substitutes cause it to be a disadvantage) and extreme marketing expenditure. Continuing with opportunities, the case data predicts high growth (86% in the next 5 years), very high global exposure of the brand and the effective use of social media in advertising. Finally, the threats include increasing competition and potential health risks associated with the consumption of energy drinks. Overall, SWOT analysis portrays Red Bull in a positive standing as the strengths and opportunities outweigh weaknesses and threats. The final part of the analysis section utilizes Porter’s generic strategies and the Ishikawa diagram (appendix 2) in order to identify factors relevant to the issue of unprofitability. As Red Bull has a broad scope of marketing operations, yet the beverages are sold at a relatively high price, the firm emphasizes the differentiation approach. It focuses on the advantages of the product and its extreme sports connotation, and it does so through highly innovative marketing campaigns. Furthermore the Ishikawa diagram implies that the two major factors leading to unprofitability of media houses ar...
View Full Document

This note was uploaded on 11/24/2013 for the course COMM 101 taught by Professor Paulcubbonandjeffkroeker during the Fall '12 term at University of British Columbia.

Ask a homework question - tutors are online