Month: October 2012

McDonald’s has announced that it will start selling ground coffee in major Canadian stores in November, stepping up its competition with rivals such as Starbucks and Dunkin Donuts. The proposed coffee will be priced at $6.99 per 340 grams. McDonald’s Canadian president John Betts sees the coffee business as a huge opportunity to rebound from its worst quarterly sales growth recently as McDonald’s restaurants have been exponentially growing for the last seven to eight years, and will continue to increase next year. Betts also said that too many stores were built too quickly in Canada, but the coffee business has been a major anchor of support to McDonald’s.

As McDonald’s expands its target market to sell coffee, it is also making itself more vulnerable to competitors such as Tim Horton’s and other fast-food coffee shops. Tim Horton’s, a company that has also launched into the coffee business, is expanding its lunch menu, therefore also expanding its target market like McDonald’s is. McDonald’s proposition to sell ground coffee is not a bad idea, however, it should stay aware of the threats of competing for too broad of a target market as it is introducing a new line of product rather than a new variation of a product.

Article Link: http://ca.reuters.com/article/businessNews/idCABRE89O19C20121025?pageNumber=2&virtualBrandChannel=0&sp=true

When Kent, now the successful owner of the social enterprise Kent’s Soda, first said that he wanted to use the profits that he made from his lemonade stand to start his own soda company, his father did not believe that his 9-year old son was ready to run a business and encouraged him to wait until he was older. However, Kent did not want to wait and reasoned that he has everything he needs while there are many other kids with autism that cannot do the things they want or get the things they need. Kent’s vision is to foster positive social development of children with autism.

Kent believes that “anything is possible”. With this personal motto in mind, Kent has overcome his anxiety of autism and wants to encourage other kids with autism to do the same and know that they are just as capable as he is. Kent’s dream draws deep meaning and relates directly to kids with autism. Through the initiation of this social enterprise, he has exhibited symptoms of autism, that of which fantasy dominates reality. Kent has overcome this by turning his fantasy into reality, and by doing so he has strived to break the chains of his communication barrier.

Article Link: http://www.huffingtonpost.com/2011/06/12/kent-melville-autism_n_874488.html?utm_hp_ref=social-entrepreneurship

Wendy Kopp, a white American woman with privileged education, started Teach for America 23 years ago. The social enterprise, initiated by 497 people in 1990, strives to seal the opportunity gap and provide education to kids who are not getting the education they deserve. Teach for America has recently acquired new members and is currently represented by more than 10,000 corps members that will be able to reach some 750,000 students in 46 communities in the U.S. The corps members comprises people of diverse professional and life experiences, such as bankers, consultants, engineers, and armed forces veterans that represent different ethnicities.

The innovative idea behind Teach for America’s mission to bridge the opportunity gap in the U.S. is a meaningful and relational one. The privilege of having teachers that have given up their lucrative occupations to educate children who are under privileged creates a sense of hope in childrens’ lives. Teach for America is very effective because it utilizes the diverse talents and background of teachers, that have perspective and credibility, to educate children back in their home communities, in which the teachers can relate to because they share a common background of their students.

Article Link: http://www.huffingtonpost.com/wendy-kopp/who-joins-teach-for-ameri_b_1631873.html

Apple has just struck a deal to use Swiss railway operator SBB’s trademark station clock design on iPads and iPhones, negotiating an arrangement that allows Apple to use SBB’s trademark clock design under a license agreement. SBB, renown for its reputation of clock design, holds the famous trademark for its station clock design in Switzerland. Its authentic design, included among the examples of outstanding 20^th century design in famous museums, incorporates key features that makes it convenient for travelers to check the time at a distance in the midst of catching trains.

The new-formed partnership between Apple and SBB is the start of a new era of innovation in technology and design. Incorporating SBB’s trademark clock design on iPhones and iPads will enhance the genuity of these Apple products. Customers will find it more appealing to possess an Apple product that comes with a signature design clock, therefore increasing customer satisfaction and the product value customers have placed on the Apple product. Apple’s strategy of buying the patent to use the Swiss design will not only increase the value of its products, but also develop a new platform for future projects involving SBB.

Article Link: http://www.theglobeandmail.com/technology/apple-gets-ok-to-use-swiss-railway-clock-design/article4609136/

Adidas takes its brand to the next level as its NBA superstar, Derrick Rose, returns from a prolonged knee injury. Rose’s new signature shoe, the adiRose 3, has been selling to the markets since the 4^th of October this year. Analysts see this new launch as a parallel to former NBA legend Michael Jordan’s signature shoes, as both Jordan and Rose reigned as most valuable players in the NBA on the Chicago Bulls team. The new shoe is launched with Rose’s first ever signature logo and is expected to increases sales that will benefit Adidas.

Lebron James is to Nike as Derrick Rose is to Adidas. The new adiRose 3s will compete with Nike’s newly released Lebron James signature shoes. Adidas’ marketing of the new adiRose 3s has been a well-planned and strategical one as it has invested in Derrick Rose to increase its brand value and name. The new logo ties in three important aspects of Rose’s life: family, basketball, and Chicago; as the three rose petals represent his three older brothers and the number 1 represents his mother and his jersey number. The meaning of the logo makes this product special because it creates a genuine connection with the customers that promotes a lifestyle.

Article Link: http://www.forbes.com/sites/lancemadden/2012/09/13/derrick-rose-unveils-new-adidas-logo-shoes-apparel/

HTC is losing ground in the smartphone market as profits dropped from $18.68 billion to $3.9 billion in only a year. In response to this sharp drop in profits and market share, HTC has launched new phone models in an attempt to rebound back into the competition with Apple’s iPhone and Samsung’s Galaxy tab. Analysts said that it would be difficult for HTC to catch up with its rivals in the short term, despite launching the new phone models.

The main problem that HTC faces now is innovation and creativity. Apple and Samsung are constantly pushing out new products as HTC is lagging behind in stock and sales. In order to stay competitive in the smartphone market, HTC needs to reassess its direction and goals in terms of marketing and planning. HTC has had the first-mover advantage in Android smartphones and is technically forecasted to be a major competitor in this market, but why is it at a stumbling block? HTC should revise its fundamental building blocks of strategy and positioning in order to define a clear vision of what it wants to achieve in the future and how. The question that HTC is facing now is “what’s next?”

Article Link: http://www.bbc.co.uk/news/business-19879861