Business - Summer Assignment 2014-15 Business Double Summer assignments for each course must be submitted in the relevant first lesson in September. Failure to do so will automatically place a student on their first warning during the induction period. Developing a New Confectionery Product Scenario You have just started working for Health Food Snacks Ltd (HFS), your family's business. The company's profits have fallen over the last two years, not alarmingly but enough for the directors to realise that a completely new strategy is required to ensure the future stability and growth of the business. You have convinced the board of directors that the company should become market orientated. You are to assume the role of marketing adviser. Your task is to propose a marketing strategy to the board at the next meeting. Company history Your mother and aunt founded the business 30 years ago. They were into health foods and wanted to do something about the lack of appetising choice in local health food shops. They started with-one product, a breakfast cereal, which they produced, packaged and sold to health food shops in London. Current situation The current directors are very "product orientated", producing what they think is required by the health food market and selling only to specialist shops. Until now, this has proved reasonably successful. The products are sold to health food shops. Preliminary research You have carried out some very basic preliminary research and have made the following observations: Only people who want specific health foods or remedies generally visit health food shops. The highest "snackers" are the 16-24-year-old market, who tend to miss at least one meal per day and snack mostly on chocolate and crisps. The confectionery industry is booming in the UK Such foods provide a quick fix of energy only and are usually high in calories. 1 JAN 15/16 Business - Summer Assignment 2014-15 Cereal-, fruit- and nut-based products provide slow-release energy and contain valuable nutrients to help make up the daily recommended requirements. Young people tend to follow fashion trends and are influenced by marketing. The Task To produce a business report of at least three pages proposing a new healthy confectionery product for the company. You can use the structure below as a guide. Background Briefly describe the business. Identify the current financial problem. Why is company concerned with the situation? Introduction to Marketing What is marketing? Briefly describe the Marketing Mix. Product and Packaging Propose a new chocolate bar idea for HFS. It should include a healthy ingredient. Include information on the brand name, ingredients and the target market. Explain why packaging is important for a fmcg product Include examples of competitors’ packaging. Analyse the strengths and weaknesses. of each example. Produce packaging for your product Price Why is price an important decision for HFS? What factors will you consider before setting a price for the new bar? Promotion What promotions will you run for your new health bar at its launch? Analyse the advantages and disadvantages of the methods that you have chosen. Place Where will your product be sold? Explain the reasons for your choices. Be creative. 2 JAN 15/16 Business - Summer Assignment 2014-15 Conclusion Explain why you feel that you idea will be successful? It is important you do this work to the best of your ability. You will need to research key terms and theories. The business course involves a great deal of independent research. The total marks you are awarded for this assignment will be translated into a grade which will be your first official piece of graded work in the subject. You must bring your completed summer assignment with you to your first business lesson. Before you submit the final version to your teacher, please read the questions below. Tick if completed. . Success Criteria for this Assignment (total out of 20 marks) The report has been written in the appropriate business structure. (max. 2 marks) The student has researched key words and used them Raw Marks Percentage Grade 80% A (out of 20) 16 3 JAN 15/16 Business - Summer Assignment appropriately within the report. 2014-15 (max.4 marks) A detailed marketing mix for the confectionery bar is included, showing a strong understanding of the four Ps. (max. 8 marks) 14 70% B 12 60% C 10 50% D 8 40% E Justification of marketing mix showing originality of thought. (max. 4 marks) Spelling, punctuation and the rules of grammar are used with accuracy. (max. 2 marks) 4 JAN 15/16