Assignment #1

COMPANY DESCRIPTION AND SWOT ANALYSIS 3

Create your revised NAB company name and explain its significance

The name of my company is Sidiana Wines Ltd. The importance of the beverage offered my company is the exquisite tastes and/ or flavors that cannot be found in any other wine. It also serves those individuals that no longer indulge themselves in beverages that contain high alcohol content. The major products produced and distributed by the company will be red and white wines. The main market for the company’s products will be clubs, restaurants, and lounges.

Revised Mission Statement

Revised Mission Statement: Provide the best authentic and inviting wines in the market for healthy lifestyles.

At Sidiana Wines Ltd. Co, our mission is to link up with other people, mostly those individuals that are serious about living an organic lifestyle, consuming foods that are produced organically, and stay away from foods that are genetically produced and modified, take care of their bodies by exercising regularly, and love nature.

A lot of healthy people normally consume a glass of wine after their meals. This has been researched and found to be very healthy (Nordqvist, 2016). Moreover, medical researchers recommend people to drink about a glass of wine after their meals (Edwards, 2013).

At Sidiana Wines Ltd, our man desire is for people to understand and apprehend that they can now have the best and the most acclaimed organic wines. We would like to encourage most of them to look for and drink wines that are processed from organic grapes that are certified by regulatory bodies, scientists and medical researchers. Such wines should be bottled at the source. They should have logos or certification marks from certification agencies.

The company aims to seek for the best high quality products in the market, which will enhance the enjoyment of the company’s products. The company also aims to maintain a high level of professionalism in producing and selling the wines.

The trends in the non-alcoholic beverage industry

The use of non-alcoholic drinks is increasingly becoming popular worldwide. This is due to the fact that many people are becoming health conscious and decide to take healthy decisions on what they consume (Bailey, 2014). Many, especially alcoholic individuals, are becoming aware of the potential dangers of alcohol consumption. They are also indirectly influenced by the worldwide campaign against alcohol consumption. Wines do not leave hangovers as alcoholic beverages do. Therefore, the choice of wine as the product to be produced was also influenced by this.

Strategic position for the beverages

The most suitable strategy for the product offered by Sidiana Wines Ltd is the differentiation strategy. By using this strategy, the products produced by the company will be distinct from other products in the market. This strategy will be backed up by the wide selection of authentic and exquisite flavors offered by the wines, and the unique and attractive bottling and packaging of the products.

Overview of company’s distribution channels.

Products from Sidiana Wines Ltd will be distributed to consumers and customers through the direct-store-delivery channel. This direct-store-delivery will be operated by the company’s bottlers and distributors. They will deliver the beverages directly to beverage retail stores. At the retail stores, the products will be merchandised by Sidiana Wines Ltd bottlers and employees. This distribution channel helps the company to carry out trade with maximum visibility and appeal to the consumers and customers. This distribution channel tends to work well for companies that have products that are mostly often restocked (Wulfraat, 2016). Moreover, the distribution method tends to promote in-house or in-store promotion and merchandising.

Types of risks

The first risk that the company might face is legal constraints. This risk may limit the number of opportunities for the company to indulge in innovation in sales. This risk has a very high impact on the business. The company will mitigate this risk by ensuring that they abide by all the legal requirements put in place on the producing and distribution of wines in the market, this is on both local and international markets.

Another risk that may face Sidiana Wines Ltd is the risk of failing to get enough farm produce during the low farming seasons. This risk is very crucial and should be taken into consideration as the farming industry has its lows and downs. Adverse weather conditions can affect the growth of the plants. To mitigate this, the company will have various raw materials suppliers. Moreover, the company will also secure a land where they can put up a greenhouse that will be used to plant all seasonal wine fruits to ensure that the company does not lack supplies to produce their products.

The third risk that the company can face is unfair competition. This means that the company faces competitors that will copy their products. To avoid this, the company will have to patent its formulas that they use to come up with their products. Patenting of Sidiana Wines Ltd beverage drinks will provide leverage for them if ever they face unfair competitive strategies from other companies.

SWOT Analysis

Strengths

Sidiana Wines Ltd has great financial stability. This allows the firm to meet its costs and maintain their brand in the market. The authentic and unique products that the company produces incur lots of profit for the company. Moreover, the company has various funders.

Weakness

The company’s weakness is that not all the products it produces are well known. Most of them lack popularity. This weakness should be checked. The company can advertise such products more.

Opportunities

The company has the opportunity of advertising its products well to the market. The market will get to know most of its products more. This will in turn generate more profits for the company.

Threats

The company faces the threat of unfair competition from other competitors in the market. Such unfair competition includes unfair copying of the product mixes and flavors.

References

Bailey, S. (2014, November 20). A guide to the non-alcoholic beverage industry. Retrieved from http://marketrealist.com/2014/11/guide-non-alcoholic-beverage-industry/

Edwards, T. (2013, November 23). Alcohol is good for your health: Leading science writer claims tipple can prevent cancer and may help improve your sex life. Retrieved from http://www.dailymail.co.uk/health/article-2512175/Alcohol-good-health-Leading-science-writer-claims-tipple-prevent-cancer-help-improve-sex-life.html

Nordqvist, C. (2016, April 7). Wine: Health Benefits and Health Risks. Retrieved from http://www.medicalnewstoday.com/articles/265635.php

Wulfraat, M. (2016). Direct Store Delivery Versus Centralized Distribution. Retrieved from http://www.mwpvl.com/html/dsd__vs_central_distribution.html