Marketing Opportunities for Tier Food Producers Essay

Marketing Opportunities for Tier Food Producers


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Company Description

Tier Food Producers is an Australian company which is based in UAE. The company manufactures, supports, develops and sells a wide variety of Food products including; Halla Tier Food Producers is one of the fastest growing companies in the world and based on its financial base, expansion rate and the increase n sales. The company has seen it wise to venture into the international market to improve on its sales. By the end of last year, the company had a huge employee capacity with many employees throughout all its branches all over the Australia and it hopes to employ increase the number as it plans to enter the Muslim countries market.

The product analysis of the Tier Food Producers is that of the Halla foods among other non-pork food products are quality products that conform to international standards for Muslim food standards. The products have varied range of content depending on the brands of the products. Tier cereal producers are regarded to be among the market leaders of production of cereal products in Dubai. The company now fully specializes in the cereal production activities and it has excellent systems of production.


Marketing can be defined as an organizational function and a set of processes for communicating, creating, implementing and delivering value to customers and for managing customer-business relationships in a way that will benefit both the organization and the stakeholders involved. Such processes succeed in moving people closer to making a decision to purchase and facilitate a sale. In the long run, these processes will anticipate, identify and try to satisfy customer requirements successfully and profitably. Marketing is important in any organization that deals with food products. Under marketing we find that planning is the process of developing the company’s mission and defining specific methods of accomplishing it. It can be on a broader or narrow perspective depending on the scope of the goal. This Strategic planning will therefore enhances the development of the mission and visions of the organization that it intends to accomplish in the near future. Therefore a good marketing plan must start with drafting a good company mission statement. Such a statement describes the firm’s fundamental purpose in the surrounding society especially with regards to products or services that it offers to their potential customers. It is also argued that a mission statement must clearly depict some essentials such as the purpose; under this, it is basically what the firm is intending to do and the reasons for its existence in the first place. (Kotler, Armstrong, Saunders and Wong, 1999)

Tier Food Producers basically exists to produce cereals and foods that go hand in hand with the Muslim religion since, in this case we find that the company actually regard the believe of the Muslims people as one of their driving forces in the success of the business, therefore we find that it majors in the production of Halla as one of the most enticing type of food for the Muslim people. We also find that the company does not allow the selling of pork and alcoholic drinks among other forbidden products by the Muslim society. The other crucial element that it should have is that of the strategy where it must depict its products that it plans to offer and its subsequent competitive position and the competencies that the company will utilize in order to succeed. A good mission statement should also have policy and standard of behavior i.e. the mission need to be translated into daily events such as providing quality services to its customers. The other component is that of value and culture which means that the employees and the surrounding community are comfortable and no conflicts are faced, the best example in this case is that we find that the employees are usually informed on how to carry out the Muslim cultural activities while slaughtering animals. (Franke R and Hofstede, 1991)

Situational Analysis for Tier Food Producers

For any contemporary company to survive the growing competition and to effectively utilize its opportunities, a situational analysis commonly referred to as PESTLE analysis is very critical and all firms including the Tier Food Producers should utilize this kind of market analysis. The aim of the Tier Corporation has always been to become a market leader in food production services globally by diversifying and reaching to many new markets and an analysis of political, economic, social, technological and legal factors is of benefit to the its operations. However, research indicates that through such analysis, the producers has done well in the community and thus in the process gained a large significant market share over time. Through this situational analysis, the company therefore should consider the following concerns:

Political Factors

The first aspect is that of political issues or factors which involve analyzing the political systems of the countries that a firm intends to invest at. From the company’s profile it can be deduced Tier producers did and constantly carry out such analysis of political factors in their areas of interest. It is also noted that the company has constantly opted to invest in countries that adopt capitalism system of government rather than those countries that are communists in nature. For example it has invested in both Australia and North America where capitalism has been embraced by the respective governments. Capitalism system of governance allows the factors of production to freely and frequently move that is raw material, labor and capital without much prohibition. Political instabilities too should be considered when considering where to invest at and the Tier management has considered such an issue when marketing their food products in various target markets and in the process has avoided the issue of suffering losses through such events. (Kotler, Armstrong, Saunders and Wong, 1999)

Economic Factors

The other factor which is very important to all companies including the Tier Producers is that of factors of economic conditions which may hinder the running of a business. From the previous research it can be noted that the company has constantly evaluated such factors in order to run there business smoothly. Economic factors that must be put in to consideration include inflation which affects the business of the firm for example in cases when it is high, there will be increased rise of prices because of increased money supply and thus the customers might not afford to buy. Another factor is that of different rates of foreign exchange systems such as fixed, pegged, clean float and dirt float systems practiced by different companies of investments which may hinder the running of the business. Other economic factors include balance of payments, counter trade, fiscal and monetary policies among other factors. After a detailed and cautious research of the Tier Producers it is evident that the company does not face a lot of such economic factors in their areas of investments and that has been the reason why it has been doing well. However, the company faces economic factors such as inflations and changes of monetary and fiscal policies and should focus on making its reliable projections of the future expectations. (Kotler, Armstrong, Saunders and Wong, 1999)

Social factors

Another factor is that of social factor which has been used by many firms including Tier Food Producers to constantly evaluate or assess issues like income sources of potential customers, social systems and structures, educational, religion and family backgrounds which may impact negatively or positively the conduct of business and in this case marketing of the food products. Since social factors influence beliefs, interests and attitudes of the customers it has been and will be prudent for the tier producers to evaluate the above factors. The record of the company is not bad but however, it should do more on such issue of attitude of the customers in order to attract and retain many customers of the products. With diversity of religion systems international marketing has become difficult to be carried out because of the differences that are involved between religions. For example, Islam religion is viewed to be receptive to international marketing and it is aid to be favouring market based systems of conducting businesses. This religion always allows free enterprise, legitimate profits through e-commerce and trading activities. So marketing policies formulated by marketing managers should consider the diverse religion before going international. This way the organization can be able to meet the needs of their potential customers. (Franke R and Hofstede, 1991)

Technological factors

Another key factor of situational analysis is that of technological factors which is nowadays considered as the root of gaining competitive advantage over rival companies by firms in their respective markets. Through globalization, superior and new technologies have been invented and have boosted the marketing activities of businesses including that of the tier cereal and food producers in the market arena. Computerization has been the key in-thing in this Company marketing operations since it has made easy and reliable to carry out business transactions such as record keeping and retrieving of information, for example tracking customer’s records in order to supply the food products if he or she re-orders it. The introduction of e-commerce for example has enabled tier to market its product and invent new markets in many countries globally. Such technologies saves costs and time that could have eaten the company’s profits and research reveals that the company has used such saved funds to further other investments and activities. Also through electronic financing procedures Tier Food Producers has been able to carry out its business smoothly without cash flow interruptions. The use of emails and chatting has also contributed immensely to the success of the organization employees of the company communicating instantly without many communication barriers (Murray, 1999).

Legal factors

Another situational factor that necessitates analysis is that of legal factors that might affect a business which varies from one country to another. Tier Producers have invested in many countries and a legal issue exists, however, it has done well through careful analysis by the management before conducting these transactions. Such factors like legality of the business must be considered and Tier has done well in its target markets because food manufacturing and sale of such products are not illegal business activities and can be carried out anywhere in the world. However, at some instances, the government has imposed restrictions on console products that are considered to be misleading to the members of the public. (Mark, 2001)


For companies to achieve the set objectives, they have to identify and devise events or features in the business external environment that will give them an added advantage or chance of performing well than their competitors, such an event or feature can be referred to as an opportunity because it will create more chances to the company of increasing the current proceeds through acquiring a significant market share. Therefore in this case we find that Tier has opportunities that if utilized will be of great benefit to the firm because it will lead to exploring and reaching to more new markets. With regards to the emerging new markets of food products in some countries particularly in Australian countries, the company can take advantage of such opportunity and thus increase its market share and in the process increase its market share. Research indicates that is there a greater demand for Muslim food products in many nations and the management of the Tier producers should open subsidiaries in some of those countries after carefully analyzing the situational analysis in those potential markets. Since the company is among the market leaders in Muslim food products it is perceived to be having a well developed financial foundation and thus does not face any liquidity or cash flow problems. It is for this reason that the company should explore new markets and can compete across the entire market without fearing that competitors can outdo them financially. However, before competing the producers should carry out cost benefit analysis in order to avoid unnecessary expenditure. (Franke R and Hofstede, 1991)


Franke R and Hofstede (1991):-Cultural Roots of Economic Performance. Research note Strategic Management Journal Vol. 12

Kotler P, Armstrong, G.; Saunders, J. and Wong, V. (1999): Principles of Marketing, 2nd Edn: New Jersey, Prentice Hall

Mark, D. (2001): Principles and Practice of Marketing. 3rd Edition of Chartered Institute of Marketing, Washington

Murray A (1999): Top Management Group Heterogeneity and Firm Performance. Strategic Management Journal, vol. 10,


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