Capilano Honey Limited(CZZ) is the largest honey manufacturers in Australia. engaged in packaging and supplying of honey to food manufacturers in Australia and internationally.
Freedom Foods Group Limited (FNP) engaged in sourcing, manufacturing, selling, marketing, and distributing specialty cereal and snacks in Australia and internationally. It offers gluten free, wheat free, nut free, nutritional oat based, low sugar or salt, or highly fortified products,
(a) Description of Company A and B - similarities and differences For service/product: Similarity: the two companies both are food processing and manufacturing, product ideas are advocating healthy natural. They both have different production categories for…show more content…
Periods of high consumer confidence can bring opportunities for new businesses to enter the market, while period of low confidence may force companies to cut costs to maintain profits.
Industry factors (1) Technology: the market is more competitive in response to consumer needs. In order to increasing production efficiency and reducing the cost of sales, a company has to introduce new technology to explore more opportunities to increase profits.
(2) competitive: Market competitiveness is essential for an enterprise, in order to attract more customers, companies must reasonably control the price and the corresponding advertising, this action will increase the business cost in the short term , but it will bring more profits in the future.
Specific factors(czz) (1) season and bee species: Honey production and quality will be affected by seasonal and environmental changes, and sometimes associated with the expertise of the beekeepers,
In extreme weather, honey production will decline, which will lead to the company 's earnings decline.CZZ also put money in training the professional beekeeper.
(2) new products： In order to adapt to market needs, CZZ pays more attention to the new honey product development, which will bring a opportunity to improve the returns for both suppliers and CZZ. On the other hand, the marketing cost associated with new product