This assignment consists of two sections: your final business plan and your business plan financials. Note: You must submit both sections as separate files for the completion of this assignment. You h

Running Head: COMPANY DESCRIPTION AND SWOT ANALYSIS 0

Company Description and SWOT analysis

Ayouba S. Kosiah

Strayer University

BUS 599

Dr. Andrea Banto and Dr. Alethia Gardner

July 21 2019

Create your revised NAB company name and explain its significance.

My chosen non-alcoholic beverage company is “Life Drink.” The company name highlights the life value accrued from the use of our brand product. The drink shall contain up to 100% fruit and vegetable nutritive content aimed at providing the body with a high nutritional value. In addition, our product shall have 0% sugar and other sweeteners making it viable for any consumer. Life drink is meant to encourage healthy drinking among community members. Contrary to alcoholic drinks, is meant to support healthy living among individuals as it does not lead to hangovers which might interrupt with persons daily life activities. The brand name is indicative of a joyous life experienced after consuming the drink.

Develop your revised company’s Mission Statement and provide a rationale for its components.

The company’s mission statement is “to promote healthy drinking among society members through offering alternative healthy beverage products to alcoholic drinks.” Life drink recognizes the society as a key stakeholder in the company and as a result, the company struggles to meet the societal demands of performing business in an ethical manner and in a way that offers maximum benefits to the community. The mission statement summarizes our corporate social responsibility to the community members which promotes the growth of the business.

Describe the trends in the non-alcoholic beverage industry, especially the specific type of beverage category you have chosen.

The increasing community awareness on healthy drinking is continually highlighting the health effects associated with the consumption of alcoholic drinks. Scientific research is continually finding a close link between different health problems and alcohol use. As a result, society members are slowly shifting from alcoholic beverages to non-alcoholic ones (Berry, 2016). The result is a community which values the non-alcoholic drinks and are ready to spend on it. This has to lead to increasing the popularity of the non-alcoholic sector and more people are shifting to drinks that offer happier moments with no harmful effects on their health.

Justify at least three (3) reasons why you have chosen this type of non-alcoholic beverage

One of the reasons as to why I have chosen life drink is that it has numerous health benefits due to its rich nutrients which makes it a good vitamin supplement. Secondly, the drink can be used in a household setting as it is suitable for all members of the family including adults and children. Thirdly, the consumption of Life Drink is not associated with any hangover meaning there are no side effects to its use.

Choose one (1) strategic position that you believe is the best strategic position for your company. Explain the approach you will use to implement this strategic position in order to distinguish your beverage from other non-alcoholic beverage.

Life Drink aims at establishing itself as a price leader in the beverage industry. Price leadership involves the company offering its products at a standard and competitive price which draws the industry consumers closer to the company. To establish a price leader position in the beverage industry, Life Drink will use a differentiation strategy which involves offering a variety of well-distinguished products at a standard price. Also, Life Drink products will be of high quality so as to ensure customers get value for their money. This will help Life drink product to stand out among other products (Sharpe & Dawes, 2001). Also, a differentiation strategy will ensure that the business is able to address the different consumer wants.

Provide an overview of your company’s distribution channels. Explain the manner in which your product will reach end-users. Provide a rationale for your chosen method.

The distribution channels of Life drink products will involve the product moving from the manufacturer to the customers through the use of intermediaries. These intermediaries will include the prominent wholesalers and retailers who will be selling the product on our behalf. The company will also involve entertainment joints, wine shops, hypermarkets and other leading stores in their business to avail the product to a wider market. This will help in increasing the availability of the life drink product to the final consumer. Product promotion will involve our marketing team attending special community occasions to increase our brand awareness.

Outline at least three (3) types of risks (including any regulatory risks) that your business faces. Describe your company’s plan to mitigate such risks.

The three types of risks include strategic risks, compliance risks, and operational risks. Strategic risks are the risks that a Life drink faces when its previous strategies cannot sustain its operations in the changing market. Compliance risks are the risks that Life drink faces as a result of the change in the regulatory laws. Operational risks refer to the failure in the business operations and processes at Life Drink Company. These risks result in business loses. To mitigate on the strategic risks, we will formulate backup strategies to deal with changing business events. Also, the business shall also observe total compliance with the set out laws to reduce compliance risks. To mitigate the operational risks, the business will have a coordinated operational procedure to ensure smooth running.

Develop a SWOT analysis for your NAB Company

References

Berry, D. (2016). Beverage trends in 2016. Retrieved on July 18, 2019, from
http://www.foodbusinessnews.net/articles/news_home/Consumer_Trends/2016/01/Beverage_trends_2016.aspx?ID=%7B1A678673-9FCB-425B-B902-11F7DE1840D6%7D&cck=1.

Hartline, M. D., & Ferrell, O. (2011). Marketing Strategy (5 ed.). Mason, OH: South-Western
Cengage Learning.

Sharp, B., & Dawes, J. (2001). What is Differentiation and How Does it Work? Journal of
Marketing Management, 17(7-8), 739-759. doi: 10.1362/026725701323366809.