Tim Hortons offers free wireless Internet.

Tim Hortons Inc. is a Canadian coffee shop known for its coffee and doughnuts. It is also Canada’s largest fast food service with over 3000 stores nationwide.

The article talks about Tim Hortons plans to offer free wireless Internet to its customers. The spokesman, Mr. Walton, said that Tim Hortons would offer free wireless Internet to 90 percent of its stores to convince and making life easier for the customers. By offering free wireless Internet, Tim Hortons is trying to advertise itself, as free wireless Internet will encourage more customers to come in and out. The company is trying to reposition itself to become a concept of coffee shop for new generations because these days, technology already became a part of our lives. This strategy has allowed the company to make its locations more efficient and maximize its profit in a short period of time they are there. Offering free wireless Internet will also expand the customer base and the market, as it will also attract younger customers as well.

In fact, Tim Hortons have no choice but to offer free wireless Internet as its rivals, such as Starbucks and Blenz Coffee, already offered this privilege to their customers. Hence, for Tim Hortons to be able to compete with its competitors, it has to offer free wireless Internet in order to maintain its market share.

Article:
http://www.cbc.ca/news/business/story/2012/07/05/tim-hortons-wifi.html

Doi Chaang plans roaster in Bucharest.

Doi Chaang Coffee Company is Thailand’s premium coffee producer and retailer. The company’s base is in Thailand while it also has branches in Vancouver and Venice. In the article, it talks about the company plans to spend 255 million baht ($1 CAD = 30.8 baht) to expand its business and production to Eastern Europe as well as improving its local production to satisfy an increasing in demand for high quality of roasted coffee. It is mentioned that the company will build a new coffee-roasting factory in Bucharest, Romania, to support the new market, which the company is trying to achieve. The new factory will be an advantage of the company as it allows the company to distribute its products around Europe, which is an opportunity for the company to expand its consumer base. The company’s strategy includes opening its own café and stores around Thailand and other countries in order to be able to sell its own products and becomes more profitable.

As the demand for roasted coffee is increasing everyday whereas the supply is limited, the president of the Doi Chaang, Mr. Wicha Promyong, is already planning to increase its production and becoming even more efficient in order to cater all the demand that increases. When the supply increases, the cost of producing coffee is increasing too. The strategy that the company is using to keep its cost low is to export unroasted coffee to its branches around the world, as it is cheaper than roasting from Thailand. This strategy gives advantage to the company to compete against other local and oversea coffee producers.

Doi Channg’s coffee beans are grown by the local farmers in Northern Thailand, which are under Doi Chaang’s contract. The company is being social responsible by offering jobs to the locals so that they are self-sufficient. The company also gives back to the society by spending 30% of its annual profits to the Doi Chaang Foundation that sets up schools in rural areas.

I really like how the company uses coffee beans that are grown by the locals instead of using technology as well as set up its foundation to help local children. It really gives a huge positive impact to the society.

Article:
http://www.bangkokpost.com/business/economics/319182/doi-chaang-plans-roaster-in-bucharest

Zara’s Innovation Mantra.

Like any other teenagers, Zara is also one of my favourite brands. I like the designs of their clothes that are not too over the top but at the same time, not too boring. Zara’s marketing strategy amazed me during the class and this is the reason why I decide to blog about it.

Zara is a Spanish clothing retailer that was found in 1975 and currently having 1,671 stores around the world. Zara’s strategies in running business are very unique and interesting. One of its strategies is low-cost production. This is what all companies around the world are trying to achieve, as it will be a huge benefit towards the companies themselves. Low cost production means that the company may be able to receive higher total revenue and become more profitable. Another interesting strategy that Zara uses is to release new collections in every 2 weeks. It only takes 2 weeks for Zara to convert designs on drawing boards to store shelves. This creates high variety of the products and ‘fast-fashion’ model, which makes that the designs are appear and disappear on their shelves, which forces the customers to buy these products before they go off. It also forces the customers to come back to the stores in every 1 to 2 weeks to check out Zara’s fresh designs.

Zara runs its business by keeping the design fresh, current and not too over the top. Zara’s strategies are smart and there is no doubt of why Zara is one of the brightest stars in Europe’s retail landscape.

Zara’s fast-fashion model and strategies are not easy to do and to copy. It is no wonder a Louis Vuitton spokesperson described Zara as “possibly the most innovative and devastating retailer in the world”.

Articles:
http://www.heraldsun.com.au/ipad/zara-is-simply-smart-marketing/story-fn6bn4mv-1226099272708
http://web.ebscohost.com/ehost/detail?sid=229df07b-bb03-4260-859b-e1ceb102a679%40sessionmgr10&vid=1&hid=8&bdata=JnNpdGU9ZWhvc3QtbGl2ZQ%3d%3d#db=bth&AN=22161327

Coca-Cola launches campaign for new bottle size.

Coca-Cola is a carbonated soft drink sold in more than 200 countries. The company was established in 1886 in Atlanta, Georgia.

The article “Coca-Cola launches campaign for new bottle size” talks about the new bottle size of Coca-Cola, 375 ml, which will be introducing to the market for the first time since 1993. Introducing new bottle size with a slogan ‘new pocket size’, Coca-Cola is trying to reposition itself. One main reason that causes Coca-Cola to reposition itself is to emphasize its consumer’s target. The ‘new pocket size’ of Coca-Cola is strongly targeted at teenagers and young adults as this is reflected through the design of its poster.

Coca-Cola is trying to increase its profit by entertaining its consumer and the market. Although marketing research might not be able to tell a company whether the decision being made is right or wrong but marketing research allows a company to study about its consumer’s behavior and identify what the consumer wants. Coca-Cola invested in a three-month research and the research revealed that the consumers wanted a bottle size between 330-500ml.

By repositioning itself and constructing a marketing research to entertain its consumers, Coca-Cola will be able to improve itself and receive more loyalty. The company will certainly receive an effect from this change.

Article:
http://www.marketingweek.co.uk/news/coca-cola-launches-campaign-for-new-bottle-size/4000728.article

IKEA to expand business in India after government allows 100% Foreign Direct Investment

Business expansion is essential for all companies. It is an evidence of how well a company is doing and is a sign of moving forward for a bigger goal. A huge and popular company, like IKEA is also plan to expand its business in India after government of India allows 100% Foreign Direct Investment (FDI) instead of 51% FDI in single-brand retail. Due to an increase in the percentage of FDI, this allows IKEA to expand its business using its own strengths, which are a strong global brand, the ideal of balancing between design, function, quality and price and low prices, which allow IKEA to attract and retain its customers. Moreover, IKEA may take the advantages of India, like large number of population and large number of people with low income to become its opportunities to expand its market share and increase its profit.

IKEA might has so many strengths and opportunities which can help it to be successful in India . However, there is also a point to be worried about. Besides its low prices, IKEA is also well known for its modernity. India is an undeveloped country, full of its own cultural and styles therefore it is crucial for IKEA to carefully do a market research in India and make use of its specialist marketing expertise before it decides to fully expand and operates in India.

Article:
http://news.xinhuanet.com/english2010/world/2011-11/27/c_131272967.htm

Business Ethics: California Wow members seek compo. 

California Wow is one of the most popular fitness operators in Asia. It operates mainly in China, Hong Kong, Singapore and Thailand. It has around 400 serving clubs which serve more than 3 million members.

Recently, California Wow (Thailand) has been on the first page of newspaper in Thailand for the past few months as it is currently being sued in the bankruptcy court by Bangkok Bank Plc due to its failure in management and providing service. What makes the company’s situation getting worse is that it does not take any responsibility. The company closed down without giving a notice to its members, hence, members still have their belongings in the lockers. Besides that, the company also failed to stop banks from charging its customers monthly fee as some members made their payments through credit cards. Henceforth, customers are ended up paying for fitness membership without receiving any service in return. By not being responsible for its failure, this causes the company to lose its trust from its customers around the world. It could also act as a barrier for new firms to enter and enjoy the markets. The business will be more competitive as customers will be more careful and aware of their decisions.

Article:
http://www.bangkokpost.com/news/local/312063/california-wow-members-seek-compo

Welcome to UBC Blogs. This is your first post. Edit or delete it, then start blogging!