Snack industry in Hong Kong Essay

Reasons for this specific site are because of excellent road links for distribution and particularly customers, a good public transport system and land available for sale suitable for new store.

Most of the products that Kudler Fine Foods sells are perishable. The company is not popular in China and the setting up of the virtual site may not serve to achieve the intended purpose of popularizing the products. This weakness may result in inherent wastage of goods. In addition, the stores and shelves involve a lot of specialization, which results to difficulty in keeping inventory. The idea of setting a virtual site in China may limits faster growth and development of the business (Hopkins, 2004).

"Limited-Service Eating Places in the US" (NAICS 72221 and SIC 5812) is an industry that consist mainly of establishments that provide food service where customers usually order and pay for the items before eating. This industry, which accounts for more than one third of the entire restaurant dining industry, is categorized into three main segments (Bramhall). The first segment is limited service restaurants, which include drive thru and take out facilities. This segment currently has the largest market share. These establishments tend to specialize in limited menu items, such as hamburgers, pizza, sandwiches, and/or chicken (Basham 9). The second segment includes

Suppliers in the industry seek buyers who can move a lot of merchandise in a short period of time. The threat of substitution is a big deal in this industry. Most retail stores carry the same types of products with little differentiation. This makes it difficult for companies in this industry to keep customers coming back. This places an emphasis on the need to build a good reputation with customers.

China’s underdeveloped infrastructure, in particular the land transport system and connection between different forms of transportation, slowed down distribution, increased logistic costs, and finally hindered expansion into rural regions (p.13). As a result of this slow transportation, Wal-Mart’s two distribution centers couldn’t serve the entire country adequately. On the other hand, these distribution centers were significantly underused due to small amount of stores. Consequently, the retailer couldn’t benefit from cost saving through its distribution approach (p.14). Furthermore, communication with the retailer’s 15,000 local suppliers was inefficient and costly due to the lack of an information-technology network (p.14).

Standing in the front of the store, I could smell its fresh and dry air and a mixing of all delicious seasonings that I am familiar. The owner loves to play the newest American music in the store. The shelves groan with foods. On the colorful packaging of them, you could find not only Chinese, Japanese and Korean, but also other languages in the Southeast Asia. Pricing of goods is reasonable even though it is approximately two times expensive than same products in China. Shipping cost is not cheap if producers need to send their goods across the ocean. The majority of goods is under ten dollars since the store is targeting on selling foods. However, I always spend over forty bucks every time I shop here once I buy too

The two main strengths are Wide Geographic presence and Strong Brand Portfolio. For the wide geographic presence, the company markets these products in more than 200 countries and territories and manufactures thousands of food products in plants on six continents. The company operates through five segments which include operating 63 owned and 7 leased principal food processing factories, out of which 15 are owned and 4 are leased in North

keeping units. Each store carried on average about 3000 stock keeping units depending on local

Based on the different market demands, the fresh food items are classic and simple in the U.S. stores. Moreover, the fresh food sale is lower than Seven-Eleven Japan. The U.S. stores need the fresh food item to deliver daily or every two days. Therefore, using the outsourcing food distributors can reduce the production and transportation cost. However, the Japanese customers request the stores to provide the variable fresh foods. More than 50 percent of food items change in the course of a

Market volume for the confectionery industry is flat due to the changing trend in consumption driven by the changing age in distribution of the population. Growth is only driven by price increase at 10%. Distribution / availability and visibility are seen as important elements in influencing the sale due to the nature of its products, impulse items. In addition to this, the bargaining power of the retail trade has been shifting away from the suppliers (i.e. manufacturers like Adams) and is in favor of the

Based on my observations of the grocery stores and knowledge of the market structure, the question is raised, “to what extent does Asian

The Chinese already buy more cars than people in other countries: 13.5 million last year, compared to 11.6 million of Americans. China is on track to become the largest market for luxury goods.

As business becomes increasingly internationalized, it is no surprise that many large retailers have expanded beyond the borders of their own countries. In Hong Kong, which is an international city, many local retailers have expanded abroad, and many retailers operating in the territory come from Europe, North America, Japan, and other East Asian countries. Japanese retailers, in particular, have been very successful in Hong Kong, and Japanese supermarkets are a very important element of food retailing in the territory. Saturation of the home

The Foschini group offers 19 retail brands that cover clothing, footwear, jewellery, sportswear, mobile phones and technology products and home stores. The Foschini group consists of a lot of subsidiaries providing different brands and qualities to the consumers. With this wide variety of brands and quality being offered makes the bargaining power of the supplier low. If so that the supplier providing stock to the one subsidiary is not delivering the desired quality, that subsidiary can change to another subsidiaries supplier that offers the same brands and product.

Today, more than 95% of products sold at 759 Store are imported directly bypassing distributors in Hong Kong.8 Therefore, 759 Store enjoys greater autonomy on deciding the variety of products they sell. 759 Store successfully develops a new market segment providing