aAnalysis about the case Kellogg Company
In a business marketing case, the key point is you should know what kind of market you developed. Is 1% of an existing huge market or 100% of your new market? Someone definitely is going to choice the first. However, enter into an existing market and occupy a certain share is not easy. Through the case of Kellogg developed Latin America market, we can see, if the company did not solve the real problem, the market what you developed is just a surface of market. The Kellogg Company manufactured and marketed a wide variety of convenience foods, with ready-to-eat cereals topping the list. The company continued to operate successfully with sales in 1990 amounting to $3,215millfiom and products were manufactured in 18 countries and distributed in 130 countries. However, Kellogg also should face intense competition in each of the consumer food areas. So, they research and development objectives were designed to generate new and improved products, of course, the new products were supported through increased budgets. The company had spent heavily and continued to stay at the top of its primary market. Accordingly, they want to seek new market. Among there, Latin America be a target market for the Kellogg. Kellogg the only problem was Latin American did not ear the traditional American-style breakfast. How was Kellogg to create a nutritious breakfast habit among the Brazilians? With J.Walter Thompson who are the Kellogg’s advertising agency help, they disseized to cereal and instill the breakfast habit by advertising within a soap opera. But they found ready-to-eat cereal seems more like a snack than a major part of a complete breakfast, the first advertisement was failed. With more deeply researched they made a second attempt to teach the Brazilians the importance of breakfast. This time was success, the sales increased, they controlled 99.5% of the ready-to-eat cereal market in brazil; however per capital...
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