What Can Threaten a Product

Abstract

This paper will give you an idea on the identification of opportunities and what can threaten a product. A market manager needs to have a better understanding on what is going on with their product-the threats and the opportunities that can affect their product.

Overcoming any obstacles such as threats will have an impact on having a successful product or watching it fail and if you are trying to introduce it to the consumers you do not want that. (Developing Successful Marketing and Organizational Strategies, 2011).

The Chocolate Industry

Introduction

In any industry even chocolate there are market forces that needs to be addressed and the three that are going too addressed will be: price, cost of transportation, and the competition. By examining these forces it will give us a better understanding on what to expect and how to deal with it.

Market Force 1: Cocoa Prices

Cocoa prices will have an effect on making this product fairly priced in the competition market. The rise in the economy will need to be taken in account because pricing is important and it will appeal to the target markets. If industries buy a lower priced cocoa it will have an effect on being in competitions with other companies. (INDUSTRY PROFILE: Candy Manufacturing, 2012)

Market Force 2: Transportation

Transportation plays a major part in pricing. Fuel prices are on the rise, there will have to be adjustments made to make sure that the product arrives on time and is in good condition and if the product does not arrive in time or good condition could have an impact on how well the product will sell. (INDUSTRY PROFILE, Candy Manufacturing, 2012)

Market Force 3: Market Competition

Market competition is very important. Prices have to be reasonable and shelf live is very important, so to keep in competition with the competitors placement is very important because it is the key in attracting buyers. (INDUSTRY PROFILE: Candy Manufacturing, 2012)

Strategies to Overcome the Threats

With the economy as it is today, there could be a boost for items like chocolate, so companies want to capitalize on this less expensive mood enhancer and sweet sensation. There are many competitors, not all of the competitors are new and not getting a positive spin. If there were new flavors, and maybe adding things for healthy diets or maybe other attractions might be helpful. Transportation needs to be looked at closely and to do so keep updates on the cost and rates to help keep prices low or in competitive range. (INDUSTRY PROFILE: Candy Manufacturing, 2012)

Strategies to Capitalize