Spain is the principal olive oil manufacturer in the world. Therefore, the companies producing olive oil in Spain will diversify their markets by exploiting market opportunities. Over the past 20 years, there has been an augment in olive oil consumption in United Kingdom where in 2010; half of the households were consuming olive oil. United Kingdom is the main importer of olive oil in the world (Food & Drink Innovation Network 2010, p. 1). The company will, therefore, expand its market by selling olive oil surplus in United Kingdom. The other objective of the company will be to increase the awareness of its olive oil brands among customers in United Kingdom. United Kingdom is the largest consumer of olive oil in Europe. There are various uses of olive oil as a salads condiment or a cooking ingredient (Harwood & Aparicio 2000, p. 15). The company will seek to inform olive oil consumers concerning the various dietary benefits and outstanding culinary traits of consuming olive oil. The company has to inform consumers about their product, first whether it is extra virgin olive oil, which is utilized principally for dressing salads, for preparing sauces and as a dip for bread. Mixed oil and olive oil are utilized for cooking and preparing tender sauces. Assessment of the Market Over the last twenty years, the consumption of olive oil in the United Kingdom has been increasing constantly. From 1990 to 2009, the United Kingdom share of the global consumption of olive oil increased from 1.9% to 2.9%. All the quantity of olive oil consumed in the United Kingdom is imported. Spain is the leading exporter of olive oil in the United Kingdom. In 2009, half of the United Kingdom households were...
This paper stresses that the company has to assess the size of the potential market, the type and level of competition, promotional variations, price, product variations and barriers to trade. The company has also to analyze the cost effectiveness of various modes of transport. The company has to identify marketing objectives, marketing strategies and marketing budget of this market. The company has also to identify the potential customers of olive oil in United Kingdom, identify the critical issues and develop a system of monitoring and evaluating the marketing activities.
This essay makes a conclusion that while preparing an initial market plan, the company first identifies the target market. The company will then conduct a market analysis to evaluate the viability of the market. Secondly, the company set objectives it seeks to achieve in the new market. The analysis of the company comprises of the assessment of the market environment. The assessment will identify the prevailing economic conditions, challenges and the level of competition. The company decides the best marketing mix for its products. The company will offer a broad variety of products with different brand names, which will attract new customers. The company will adopt advertising activities, which will persuade consumers to buy its products. The pricing strategy of the company will influence the amount of sales in the target market. The company has to develop distribution channels, which will deliver products to the target customers.