concept of market penetration and diversification. As US market is new for the business of Zespri and it is done to increase its sale in the new market. Backward and Forward Integration Forward integration deals with the strategy of the business that involves vertical integration. This includes the business activities that are meant to expand and control the distribution of company products. Backward Integration involves purchase and merger with the chain supply and companies follow background integration in order to improve the efficiency and save the cost. Zespri see to it that there is proper forward integration so that there should be control of distributors. 3.3 Recommendations 3.3.1 Selected strategic options The organisation is required to utilise latest version of software such as Cloud facility. It can help origination in monitoring their production process. 3.3.2 Target customer profile The target customer profile of Zespri currently comprises of the Japanese market, Taiwan, UK, and Korea. According to Travers (2013), high growth rate of US economy can help Zespri groups in increasing their sale. 3.3.3 Generic strategy classification Management of Zespri has to improve the company's product sales by: ● Lowering the price of their manufactured products, this will help the company to attract more customers globally. ● Improving promotional strategies and advertisements, this can result in elevation of sales. 3.3.4 Improved value chain activities
27 Value chain activities can be improved by following ways: ● Quality of the manufactured goods should be kept high. ● The logistics service of the company needs to be kept updated and facilitated with the latest technology. 3.3.5 Five forces justification 220.127.116.11 Threat of rivalry Major two competitors are from, the Curio in Chile and Apofruit in Italy. 18.104.22.168.1 Justification As these three companies belong to same industry, hence global food retail and processing market expert’s notable competitive pressure on these companies, resulting is intense competitive rivalry. As per analysis above: ● Zespri would be able to overcome the threat of new substitutes ● It would even allow this organisation to overcome its bargaining powers with suppliers. 22.214.171.124.2 New competitive advantage Zespri can build the strongest brand reputation in the USA and be known at the best kiwifruit, giving it a sustainable competitive advantage. Backward and forward integration Zespri adopts strategies based on marketing to satisfy local customs. 4. Stakeholder communication and management 4.1 Vision The management of Zespri Company holds a vision to be got acknowledged in all over the world to be Kiwifruit main manufacture. 4.2 Mission The mission can be highlighted as follows: ● Building up customer relationships and suppliers for growth of business ● Having proper commitments to customers ● Incorporating innovations and new technologies for better quality of products
28 4.3 Identifying stakeholder 4.3.1 Capital Market Current and past Kiwifruit growers that are 2150 to be precise own Zespri. That consists of the board of directors who are headed by Peter McBride. They review the current profit level of the
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