Zespri
Key issue
Zespri as the leader in kiwifruit market has advantage to seize market share both in emerging markets and existing markets. So far, Zespri presents good state of development. Based on this, its CEO has confidence to raise its export profits to NZ$3 billion by 2025. The major issue is whether the company can achieve this goal by using its current strategies or it needs to improve its performance in order to achieve it future goal which is increase its export earnings to NZ$3 billion by 2025.
Internal analysis( VRINE analysis)
Valuable
Rarity
Inimitable
Non-
substitutability
Exploitability
Green Kiwifruit
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×
×
×
√
Gold Kiwifruit
√
√
√
×
√
Market strategy
√
√
×
√
√
Innovation Investment
√
√
×
×
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Valuable: As the marketing leader of kiwifruit, Zespri was highly valuable in these four areas. With its strict split area, quality control system and innovation investment, both green and gold kiwifruits were more competitive than the other companies. The grower-owned strategy established perfect relationship with suppliers. The unique market strategy also made contribution to Zespri to build premium brand. In addition, high cost of innovation investment helped Zespri to cultivate better variety of kiwifruit to maintain their marketing shares.
Rarity: The green kiwifruit was not rarity but the gold kiwifruit was rarity, the gold kiwifruit had better taste and Zespri was still cultivating this variety. The market strategy is rarity, Zespri distinguish New Zealand kiwifruit from the other countries. Zespri established its unique product and supply system. In the area of innovation investment, the most important part of Zespri cultivation was focused on supplying gold kiwifruit all the year.
Inimitable and Non-substitutability: The green kiwifruit was inimitable and non-substitutability. The gold kiwifruit was patented so it could not be inimitable. However, the other countries may cultivate another variety of kiwifruit to compete with gold kiwifruit. The
Zespri as the leader in kiwifruit market has advantage to seize market share both in emerging markets and existing markets. So far, Zespri presents good state of development. Based on this, its CEO has confidence to raise its export profits to NZ$3 billion by 2025. The major issue is whether the company can achieve this goal by using its current strategies or it needs to improve its performance in order to achieve it future goal which is increase its export earnings to NZ$3 billion by 2025.
Internal analysis( VRINE analysis)
Valuable
Rarity
Inimitable
Non-
substitutability
Exploitability
Green Kiwifruit
√
×
×
×
√
Gold Kiwifruit
√
√
√
×
√
Market strategy
√
√
×
√
√
Innovation Investment
√
√
×
×
√
Valuable: As the marketing leader of kiwifruit, Zespri was highly valuable in these four areas. With its strict split area, quality control system and innovation investment, both green and gold kiwifruits were more competitive than the other companies. The grower-owned strategy established perfect relationship with suppliers. The unique market strategy also made contribution to Zespri to build premium brand. In addition, high cost of innovation investment helped Zespri to cultivate better variety of kiwifruit to maintain their marketing shares.
Rarity: The green kiwifruit was not rarity but the gold kiwifruit was rarity, the gold kiwifruit had better taste and Zespri was still cultivating this variety. The market strategy is rarity, Zespri distinguish New Zealand kiwifruit from the other countries. Zespri established its unique product and supply system. In the area of innovation investment, the most important part of Zespri cultivation was focused on supplying gold kiwifruit all the year.
Inimitable and Non-substitutability: The green kiwifruit was inimitable and non-substitutability. The gold kiwifruit was patented so it could not be inimitable. However, the other countries may cultivate another variety of kiwifruit to compete with gold kiwifruit. The