Chobani Competitive Advantage

Topics: Innovation, Yoghurt, Milk Pages: 2 (615 words) Published: April 29, 2014
Winifred Ode Afrane
Professor Germaine Albuquerque
Business 201, Section 002
February 3rd, 2014
Assignment 1
Hamdi Ulukaya the founder of Chobani said when he loved yogurt, the thick kind and that was what he was eating when growing up in Turkey where his mum made it from their family's dairy farm but when he moved to the United States, he found the American yogurt was too sugary and watery so he made some at home himself. He one day came across an advertising yogurt factory for sale in his mail which was a junk mail and decided to even tho he didn't have enough money to buy and re innovate the factory but bought the factory and used the competitive advantage of managing a business to make Chobani a successful.

Hamdi Ulukaya innovated a Greek yogurt in America because the America yogurt was watery and sugary and also wanted to bring something new into the production of yogurt industry by obtaining loan from the bank to finance it and immediately hired a master yogurt maker from Turkey and hired four employees from the factory he bought , Kraft. They made private-label American-style yogurt as a contract manufacturer to finance which is also part of innovating to bring in revenue.

Quality of the Chobani yogurt was also one competitive advantage Hamdi Ulukaya took into advantage by hiring a master yogurt maker from Turkey to make the yogurt. The company spent two years two years perfecting their recipe and worked hard to get the packaging right by getting the Europe container which a wider and squatter because the American yogurt containers were having narrow openings.

Service, by the late 2007, they were ready to provide services by stalking the yogurt in to the market and firstly decided to put the yogurt in the mainstream grocery than put it into the specialty stores and also stocked them in the dairy aisle together with other yogurts. They also negotiated with retailers to pay off the slotting fees over time as the yogurt was sold.

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