Company Description and SWOT AnalysisInstitutional AffiliationStudent’s nameCourse Name /SectionProfessor’s nameSubmission Date?Create your revised NAB company name and explain its significance. The revised NAB name is Enervit Water, which offers a variety of water with zero sodium, zero calories, zero fat, zero protein, and two percent calcium daily value. Its ingredients are spring water, potassium sorbate, and added energy shots containing different flavors. Delish water is targeted at consumers who want an extra energy and vitamin boost from water instead of strongly flavored energy drinks. The name “Enervit Water” represents the savoriness and strength of the water due to the energy boost and vitamin content and how it stands out compared to other competing brands. It also suggests that it is tasty and healthy at the same time. Develop your revised company’s Mission Statement and provide a rationale for its components. The revised company’s mission statement is: Enervit Water is a company that seeks to provide an extra energy and vitamin boost to consumers through a wide variety of water products that range from sparkling water, purified water, and flavored water.
Enervit Water comes in handy after a long workout session, a busy day at the office, or just a nice refresher as the day progresses. Consumers get easily bored of medicinal/fruit/herbal-flavored drinks which are often strongly flavored and can add calories (Johnson, 2016). Enervit Water speaks to the average person who is indulged in life’s many activities but requires some vitamin and energy boost. Describe the trends in the non-alcoholic beverage industry, especially the specific type of beverage category you have chosen.
Justify at least three (3) reasons why you have chosen this type of non-alcoholic beverage. Currently, the energy drink industry has recorded a period of sustained growth, with brands pumping out one innovation after another to its customers. It is a trend that bears no signs of abating (Smith, 2012). This is significantly accredited to increased health awareness goading individuals to make healthier choices (Wainwright, 2007). Athletes and sportspersons will also contribute to proposed growth. These are gradually becoming a preferred alternative to sugary juices and carbonated drinks. The reason this non-alcoholic drink was selected is because it provides an alternative to energy drinks which contain added sugars and strong tastes that can be unpleasant to drink.
Additionally, it contains zero fat, zero calories, zero protein, and two percent calcium daily value. Consumers will perceive this drink as a healthy alternative as it looks and tastes like water; the only difference is the light flavor, and vitamin content incorporated into it. Lastly, this NAB has an increasing market segment that can accommodate new entrants. Choose one (1) strategic position from the course text (pp. 142–143) that you believe is the best strategic position for your company. Explain the approach you will use to implement this strategic position in order to distinguish your beverage from other non-alcoholic beverages. Evervit Water’s strategic position is convenience; this is because it will be made available where other energy drinks and water are sold, thus, making it a unique alternative that consumers can easily find. For Enervit Water, this is the best strategic position as the product needs to be easily accessible and readily available for consumers.
Consumers need to distinguish it from other non-alcoholic beverages, and this will be achieved by strategically placing it near energy drinks and bottled water. Enervit Water will offer a reduced fat, calorie, and protein option that provides added benefits compared to plain water. Provide an overview of your company’s distribution channels. Explain the manner in which your product will reach end users. Provide a rationale for your chosen method. The company’s distribution channels will start with local bottling plants distributing to retailers in specified regions. This will also include businesses besides retail stores such as clubs, gyms, and restaurants. This will be beneficial for the company as it will focus its product distribution to larger outlets which will result in increased sales.
Outline at least three (3) types of risks (including any regulatory risks) that your business faces. Describe your company’s plan to mitigate such risk. There are various risks that the company may encounter. One is getting enough outlets to Display the product. This can be mitigated by relationship building with retailers and businesses combined with proper marketing (Power, 2004). Securing a contract with convenience stores or supermarkets (larger retailers) is the best method.
A second risk is many companies continually pump energy drinks and water into the market; therefore, the company will need to heavily invest in marketing so as to capture demand and build brand recognition. The last risk is acquiring water rights for bottling and regulatory alignment with bottling plants. This can be costly and can potentially limit plant location options. Accurately vetting this before settling on plant locations will enable the company to select the best opportunities once various options and their prerequisites have been identified. Develop a SWOT analysis for your NAB Company using the SWOT matrix worksheet in the course text (p. 153 | SWOT: Strengths / Weaknesses / Opportunities / Threats) Strengths• Unique product compared to entrenched competitors like Monster Energy• Cross-category product• Unique design• Bold packaging• RecyclableOpportunities• Growing market• Global expansion• Social media marketing• New flavors that are not existent in the market Weaknesses• Slightly costly• High development costs• New market entrants must compete with existing market leaders• Regulatory changes may be costly to align withThreats• Regulatory Changes• Environmental changes such as drought that may impact the price of inputs• Well-known brands such as Smart Water, Monster Energy, and Red Bull?ReferencesLoulla, Mae Eleftheriou, Smith (2012, May 10).
Retrieved from https://www.campaignlive.co.uk/article/high-times-booming-energy-drinks-sector/1130592PR Newswire.
(2015). “Global energy drinks market 2015-2021.” Retrieved from http://www.prnewswire.com/news-releases/global-energy-drinks-market-2015-2021-insights-market-size-share-growth-trends-analysis-and-forecasts-for-the-61-billion-industry-300137637.html Power, M.
(2004). The risk management of everything. The Journal of Risk Finance, 5(3), 58-65.Wainwright, N. W.
, Surtees, P. G., Welch, A. A.
, Luben, R. N., Khaw, K.
T., ; Bingham, S. A. (2007). Healthy lifestyle choices: could sense of coherence aid health promotion?. Journal of Epidemiology ; Community Health, 61(10), 871-876.Johnson, G.
(2016). Exploring strategy: text and cases. Pearson Education.