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Chapter 3- Sustainable Marketing and the Marketing Process
1) Marketing’s Impact on Individual Customers
a) High prices
P&G’s Nutridelight, launched in the Philippines, did not sell well because it was priced 50 percent above the market price of other powdered drinks.
A great amount of time and effort goes into making fortified drinks ready to sell, therefore their price must help cover that cost. However, by doing so the prices of the drinks to too much for poor people in developing countries.
b) High costs of distribution
a. Coca Cola was faced with trouble with their product Vitango. Vitango is a powder that is mixed with water. However, because of a lack of clean drinking water in Africa the powder is useless. Coca Cola is now working on a ready-to-drink formula.
c) High advertising and promotion costs
a. Although these fortified drinks can help malnutrition in the short run. The real problem is the lack of knowledge about good nutritional habits and the value of vitamins and minerals. Poor people in developing countries need to be educated.
d) Excessive mark-ups
a. P&G priced Nutridelight 50 percent above the market price of powdered drinks in the Philippines.
e) Deceptive practises
a. The Coca Cola and P&G can work with governments to bring positive change. However, because there are organizations are “for-profit”, unlike GAIN, their motives cannot be trusted.
f) High pressure selling
g) Shoddy, harmful, or unsafe products
a. In addition to vitamins and minerals, these fortified drinks also contain large amounts of fat, sugar and salt. These ingredients may reduce iron deficiency, but may also cause obesity.
h) Planned obsolescence
i) Poor service to disadvantaged consumers
2) Marketing’s Impact on Society
a) False Wants and Too Much Materialism
b) Too Few Social Goods
c) Cultural Pollution
3) Yes, Vitango and Nutristar are enlightened marketing efforts. They have been created to cater
1) Marketing’s Impact on Individual Customers
a) High prices
P&G’s Nutridelight, launched in the Philippines, did not sell well because it was priced 50 percent above the market price of other powdered drinks.
A great amount of time and effort goes into making fortified drinks ready to sell, therefore their price must help cover that cost. However, by doing so the prices of the drinks to too much for poor people in developing countries.
b) High costs of distribution
a. Coca Cola was faced with trouble with their product Vitango. Vitango is a powder that is mixed with water. However, because of a lack of clean drinking water in Africa the powder is useless. Coca Cola is now working on a ready-to-drink formula.
c) High advertising and promotion costs
a. Although these fortified drinks can help malnutrition in the short run. The real problem is the lack of knowledge about good nutritional habits and the value of vitamins and minerals. Poor people in developing countries need to be educated.
d) Excessive mark-ups
a. P&G priced Nutridelight 50 percent above the market price of powdered drinks in the Philippines.
e) Deceptive practises
a. The Coca Cola and P&G can work with governments to bring positive change. However, because there are organizations are “for-profit”, unlike GAIN, their motives cannot be trusted.
f) High pressure selling
g) Shoddy, harmful, or unsafe products
a. In addition to vitamins and minerals, these fortified drinks also contain large amounts of fat, sugar and salt. These ingredients may reduce iron deficiency, but may also cause obesity.
h) Planned obsolescence
i) Poor service to disadvantaged consumers
2) Marketing’s Impact on Society
a) False Wants and Too Much Materialism
b) Too Few Social Goods
c) Cultural Pollution
3) Yes, Vitango and Nutristar are enlightened marketing efforts. They have been created to cater