Article Analysis for ECO/365
Article Analysis Paper
Article Analysis Paper
According to the National Coffee Drinking Trends market research study, 83% of the U.S. adult population now drinks coffee (National Coffee Association USA, 2013). Coffee is now a $30 billion-a-year national industry (“Coffee Grinds Fuel for the Nation,” 2013). This paper will address the analysis for the basis for the trends in consumption patterns of coffee.
What is the utility derived from coffee?
The utility derived from the product coffee is one that seems to be satisfying a large majority of consumers. Since 2012 coffee assumption has increased 5% showing that more Americans are consuming coffee (National Coffee Association USA, 2013). Daily consumption is very strong and seems to remain steady at 63% and those that consume it at least once a week has slightly increased to 75% (Prepared Food Network, 2013).
Market and Equilibrium
Traditional coffee has dropped in its consumption now at 49% from 56% in 2012 as gourmet coffee has become more desired posting in strong numbers in recent studies (Prepared Food Networks, 2013). In 2012, gourmet coffee consumption moved from 37% to 46% (Vending Marketwatch.com, 2013). Overall, there is an average of three cups a day per person or a 587 million cups (“Coffee Grinds Fuel for the Nation,”2013). Coffee has become an important part of America’s daily need just as much as other necessities.
Coffee has become such a demand for many Americans that home-brewing gadgets have become more popular. The world is purchasing cheaper coffee blends (“Coffee Demands Shift Down-Market,” 2013). More Americans are bringing the coffee shop experience home with them. This year alone, the single-cup segment has increased to 12% (National Coffee Association USA, 2013). According to the National Coffee Drinking Trends show that the U.S. population now drinks single-cup formats at 13% compared to 4% in 2010 while drip coffee maker use has dropped to 37% from 43%
Article Analysis Paper
According to the National Coffee Drinking Trends market research study, 83% of the U.S. adult population now drinks coffee (National Coffee Association USA, 2013). Coffee is now a $30 billion-a-year national industry (“Coffee Grinds Fuel for the Nation,” 2013). This paper will address the analysis for the basis for the trends in consumption patterns of coffee.
What is the utility derived from coffee?
The utility derived from the product coffee is one that seems to be satisfying a large majority of consumers. Since 2012 coffee assumption has increased 5% showing that more Americans are consuming coffee (National Coffee Association USA, 2013). Daily consumption is very strong and seems to remain steady at 63% and those that consume it at least once a week has slightly increased to 75% (Prepared Food Network, 2013).
Market and Equilibrium
Traditional coffee has dropped in its consumption now at 49% from 56% in 2012 as gourmet coffee has become more desired posting in strong numbers in recent studies (Prepared Food Networks, 2013). In 2012, gourmet coffee consumption moved from 37% to 46% (Vending Marketwatch.com, 2013). Overall, there is an average of three cups a day per person or a 587 million cups (“Coffee Grinds Fuel for the Nation,”2013). Coffee has become an important part of America’s daily need just as much as other necessities.
Coffee has become such a demand for many Americans that home-brewing gadgets have become more popular. The world is purchasing cheaper coffee blends (“Coffee Demands Shift Down-Market,” 2013). More Americans are bringing the coffee shop experience home with them. This year alone, the single-cup segment has increased to 12% (National Coffee Association USA, 2013). According to the National Coffee Drinking Trends show that the U.S. population now drinks single-cup formats at 13% compared to 4% in 2010 while drip coffee maker use has dropped to 37% from 43%
References: Coffee Demands Shifts Down-Market. (2013, February). The Wall Street Journal. Retrieved from http://online.wsj.com/article/SB10001424127887324906004578290081981687700.html Coffee Grinds Fuel for the Nation. (2013, April). USA Today, (). Retrieved from http://www.usatoday.com/story/money/business/2013/04/09/coffee-mania/2069335/ Colander, D. C. (2010).Economics (8th Ed.). New York, NY: McGraw-Hill. National Coffee Association USA. (2013). Retrieved from http://www.ncausa.org/i4a/pages/index.cfm?pageid=731 Prepared Foods Network. (2013). Retrieved from http://www.preparedfoods.com/articles/print/112495-coffee-consumption-habits Vending MarketWatch.com. (2013). Retrieved from http://www.vendingmarketwatch.com/news/10746381/us-coffee-consumption-continues-to-rise-single-cup-use-grows