Bloodsucking Fiends: A Love Story Chapter 34

Chapter 34 Hell Breaks Loose A wave of anxiety washed over Jody as she woke up. â€Å"Tommy,† she called. She leaped out of bed and went into the living area, not stopping to turn on the light. â€Å"Tommy?† The loft was quiet. She checked the answering machine: no messages. I'm not going to do this again, she thought. I can't handle another night of worrying. She'd cleaned up the mess from the police search the night before, put lemon oil on the wood, scrubbed out the sinks and the tubs, and watched cable TV until dawn. All the time she thought about what Tommy had said about sharing, about being with someone who could understand what you saw and how you felt. She wanted that. She wanted someone who could run the night with her, someone who could hear the buildings breathe and watch the sidewalks glow with heat just after sundown. But she wanted Tommy. She wanted love. She wanted the blood-high and she wanted sex that touched her heart. She wanted excitement and she wanted security. She wanted to be part of the crowd, but she wanted to be an individual. She wanted to be human, but she wanted the strength, the senses, and the mental acuity of the vampire. She wanted it all. What if I had a choice, she thought, if that medical student could cure me, would I go back to being human? It would mean that Tommy and I could stay together, but he would never know the feeling of being a god, and neither would I. Never again. So I leave; what then? I'm alone. More alone than I've ever been. I hate being alone. She stopped pacing and went to the window. The cop from the night before was out there, sitting in a brown Dodge, watching. The other cop had followed Tommy. â€Å"Tommy, you jerk. Call me.† The cop would know where Tommy was. But how to get him to tell? Seduce him? Use the Vulcan nerve pinch? Sleeper hold? Maybe I should just go up there and knock on the door, Rivera thought. â€Å"Inspector Alphonse Rivera, San Francisco PD. If you have a few minutes, I'd like to talk to you about being dead. How was it? Who did it? Did it piss you off?† He adjusted himself in the car seat and took a sip from his coffee. He was trying to pace his smoking. No more than four cigarettes an hour. He was in his forties now and he couldn't handle the four-pack-a-night stakeouts – going home with his throat raw, his lungs seared, and a vicious ache in his sinuses. He checked his watch to see if enough time had passed since he'd last lit up. Almost. He rolled down the car window and something caught him by the throat, cutting off his breath. He dropped his coffee, feeling the scald in his lap as he reached in his jacket for his gun. Something caught his hand and held it like a bear trap. The hand on his throat relaxed a bit and he sucked in a short breath. He tried to turn his head and the clamp on his throat cut off his breath again. A pretty face came through the window. â€Å"Hi,† Jody said. She loosened her grip on his throat a degree. â€Å"Hi,† Rivera croaked. â€Å"Feel the grip on your wrist?† Rivera felt the bear trap on his wrist tighten, his hand went numb, and his whole arm lit up with pain. â€Å"Yes!† â€Å"Okay,† Jody said. â€Å"I'm pretty sure I can crush your windpipe before you could move, but I wanted you to be sure too. You sure?† Rivera tried to nod. â€Å"Good. Your partner followed Tommy last night. Do you know where they are now?† Again Rivera attempted to nod. On the seat next to him, the cell phone chirped. She released his arm, snatched the gun out of his shoulder holster, flipped off the safety, and pointed it at his head, all before he could draw a single breath. â€Å"Take me there,† she said. Elijah Ben Sapir watched the red dots moving around on the video screen above his face. He had awakened feeling gleeful about killing the fledgling's toy boy, then he saw that his home had been invaded. He was hit with an emotion so rare it took him a while to recognize it. Fear. It had been a long time since he'd been afraid. It felt good. The dots on the screen were moving around on the stern of the boat, scrambling in and out of the main cabin above. Every few seconds a dot would disappear off the screen, then reappear. They were getting in and out of a raft at the stern. The vampire reached up and flipped a series of toggle switches. The big diesels on either side of his vault roared to life. Another toggle and an electric winch began grinding in the anchor. â€Å"Move, move, move!† Tommy shouted into the cabin. â€Å"The engines started.† Barry came through the hatch carrying a bronze statue of a ballerina. Tommy waited at the stern of the yacht with Drew. Troy Lee, Lash, Jeff, Glint, and the Emperor and his troops were already in the raft, trying to find room to move around the paintings and statues. â€Å"Over,† Tommy said, taking the statue from Barry as the squat diver went over the side into the arms of the waiting Animals, almost capsizing the raft. Tommy threw the statue down to the Emperor, who caught it and went to the floor of the raft with its weight. Tommy threw a leg over the railing, and looked back. â€Å"Light it, Drew. Now!† Drew bent and held his lighter to the end of a wax-coated strip of cloth that ran across the stern deck and through the hatch to the main cabin. He watched the flame follow the trail for a few feet, then stood and joined Tommy at the rail. â€Å"It's going.† They went over the rail backward and the Animals obliged them by stepping aside and letting them both hit the floor of the raft unimpeded. The raft lurched and righted itself. Tommy fought for breath to give a command. â€Å"Paddle, men!† the Emperor shouted. The Animals began to beat the water with their paddles. There was a loud clunking noise from the yacht as the transmission engaged and the raft was rocked as the twin screws engaged and began pushing the yacht away from them. â€Å"Rivera,† Rivera said into the cell phone. â€Å"The yacht is moving,† Cavuto said. â€Å"I think I just aided these guys in looting it.† He unzipped a leather case on the car seat, revealing a huge chrome-plated automatic pistol, a Desert Eagle.50-caliber. It fired bullets roughly the weight of a small dog and kicked like a jackhammer. One shot could reduce a cinder block to gravel. â€Å"I'm on my way,† Rivera said. â€Å"What about the girl?† Cavuto slammed a clip into the Desert Eagle, dropped another one into his jacket pocket. â€Å"She's – she'll be fine. I'm at Van Ness and Lombard. I'll be there in about three minutes. Don't call in backup.† â€Å"I'm not – oh Jesus Christ!† â€Å"What?† â€Å"The fucking thing just blew up.† A fountain of flame shot from the stern of the Sanguine II, a second passed, and the rest of the yacht disappeared in a cloud of flame that rose into the sky above her. She had cleared the breakwater and was perhaps three hundred yards out into the bay when the fuse reached Drew's incendiary cocktail. The raft had just made the dock when the explosion went off. Tommy leaped onto the dock and watched the mushroom cloud dissipate. The shock wave rolled in and Tommy reached back to the raft and caught the Emperor before he went into the water. Debris rained down around them. A pool of fire and unexploded diesel fuel spread out across the water, illuminating the whole area with a dancing bright orange. â€Å"Is this a party boat, or what?† Drew shouted. The Animals scrambled out of the raft onto the dock and began handing up the objets d'art. Tommy stood aside and watched the burn. Bummer cowered in the Emperor's arms. â€Å"Do you think we got him?† Jeff handed the Degas ballerina to Troy and looked over his shoulder. â€Å"Fucking A, we got him. Nice mix, Drew.† Drew took a bow and almost went over the edge of the dock. The Emperor said. â€Å"I can't help but think that the explosion may have attracted the attention of the authorities, gentlemen. I would recommend a speedy retreat.† Drew looked at the burning slick. â€Å"I wish I had some acid. This would be great on acid.† Jeff jumped down into the raft and handed up the last painting, the Miro. He looked past Troy Lee, who was wrestling up the heavy frame, and said, â€Å"Whoops.† â€Å"What?† Troy said. Jeff nodded past him and the Animals turned around. Cavuto had a very large, very shiny pistol pointed at them. â€Å"No one move!† They didn't. The spearguns were stacked on the dock. Glint held the shotgun loosely at his side as he prayed. He dropped it. â€Å"Drop it,† Cavuto said. â€Å"I did,† said Clint. â€Å"That's true, he did,† Tommy said. â€Å"And before you asked. He should get extra credit for that.† Cavuto motioned with the pistol. â€Å"Everybody down. On your faces. Now!† The Animals dropped. Lazarus barked. The Emperor stepped forward. â€Å"Officer, these young men have – â€Å" â€Å"Now!† Cavuto screamed. The Emperor dropped to the dock with the Animals. The screens went dark an instant before he was slammed against the side of the vault. He tumbled inside, feeling his flesh burn on the steel with every turn. The vault glowed red with the heat and had filled with smoke from the seared wires and the vampire's clothing. After a few seconds the tumbling stopped. The vampire was jammed into one end of the vault, his face against his knees. His skin was stinging and he tried to will it to heal, but it had been days since he had fed, so the healing came slowly. He located the lid by finding the smashed CRT and radar screens. Salt water sprayed in a fine mist from behind the screens. He pushed on the lid but it didn't move. He felt for the latches and released them, then heaved against the lid with force that would have crumpled a car fender, yet the lid stayed fast. The heat of the explosion had welded it shut. I should have killed him last week, the vampire thought. This is what I get for indulging my pleasures. He reached into the broken CRT, looking for the source of the spraying water, then concentrated his will and went to mist. The transition was slow, weak as he was, but when he had finally lost his solid form he followed the path of the water and wormed his way through the pinhole to the open ocean. The vault lay on the bottom in a hundred and twenty feet of water and as soon as the vampire escaped, the pressure of four atmospheres condensed him to his solid shape. He tried to force himself to mist, failed, then swam toward the orange glow at the surface, thinking, The boy dies first, then a new suit. He broke the surface in the midst of the flame slick, then scissor-kicked hard enough to bring himself completely out of the water and tried to go to mist. His limbs dissolved in the air, their vapor whipped by the flame and standing out white in the rolling black diesel smoke, but he could not hold. He fell back into the water, followed by a vortex of vapor that condensed back to solid form under water. Frustrated and angry, he began the swim around the breakwater toward the yacht club. Cavuto panned the Desert Eagle back and forth across the heads of the prostrated Animals as he moved forward to get their weapons. Lazarus growled and backed away as the big cop approached. Sirens sounded in the distance. Crew members and yacht owners were popping out of the hatches of nearby yachts like curious prairie dogs. â€Å"Inside!† Cavuto shouted, and the yachters ducked for cover. Cavuto heard footsteps on the dock behind him and swung quickly around. The gate guard, looking down the cavelike barrel of the Eagle, stopped as if he'd hit a force field. Cavuto swung back to cover the Animals. Over his shoulder Cavuto said, â€Å"Go back to the gate and call nine-one-one. Tell them to send me some backup.† â€Å"Right,† the guard said. â€Å"All right, scumbags, you're under arrest. And if any of you even twitches, I'll turn you into a red stain. You have the right†¦Ã¢â‚¬  The vampire came out of the water like a wet comet and landed on the dock behind the Animals. He was burned black and his clothes hung in sooty shreds. Cavuto fired without thinking and missed. The vampire looked up long enough to grin at him, then reached down and snatched Tommy by the back of his shirt and yanked him up like a rag doll. Cavuto aimed and fired again. The second shot hit the vampire in the thigh, taking out a three-inch chuck of flesh. The vampire dropped Tommy, turned on Cavuto, and leaped. The third bullet caught the vampire in the abdomen, the impact spraying flesh and spinning him in the air like a football. He landed in a heap at Cavuto's feet. The big cop tried to back away to get another shot off, but before he could aim, the vampire snatched the gun out of his hand, taking most of the skin off his trigger finger. He leaped backward, clawing inside his jacket for his detective special as the vampire tossed the Desert Eagle over his shoulder and climbed to his feet. â€Å"You are a dead man,† he growled. Cavuto watched the gaping wounds in the vampire's leg and stomach pulsing, bubbling, and filling with smoke. He caught the butt of his revolver just as the vampire leaped, his fingers outstretched to drive into Cavuto's chest. Cavuto ducked, heard a hiss and a loud thunk, and looked up, amazed that he was still alive. The vampire had stopped an inch from him. A gleaming spear through his leg had pinned him to the dock. The black kid stood a few yards away, a gas-powered speargun in hand. The vampire wrenched himself around and clawed at the spear. Cavuto yanked out his gun, but with his damaged finger he ended up flinging it off the dock. He heard the sound of tires behind him, then a car coming down the dock. A second spear thunked through the vampire's shoulder. Tommy threw the speargun aside. The Animals were all on their feet. â€Å"Troy, throw me the sword!† Troy Lee picked up the fighting sword from the deck and threw it at Tommy. Tommy sidestepped; the sword whizzed by him and clattered on the dock near Cavuto, who was standing motionless, stunned at almost seeing his own death. â€Å"Handle first, you doofus,† Tommy said as he ran after the sword. The vampire yanked the spear out of his shoulder and reached for the one in his leg. The Emperor picked up his wooden sword from the deck and charged the vampire. Lash caught him by the collar, yanking him aside as Barry fired a third spear, hitting the vampire in the hip. Jeff let go with a blast from the shotgun. The vampire jerked with the impact of the shot and screamed. Tommy dived for the fighting sword at Cavuto's feet. The big cop lifted him to his feet. â€Å"Thanks,† Tommy said. â€Å"You're welcome,† Cavuto said. â€Å"I didn't kill those people.† â€Å"I'm figuring that out,† Cavuto said. A brown car skidded to a stop on the dock. Tommy looked up for an instant, then turned and headed toward the vampire, who was clawing at the spear in his leg. His wounds bubbled and seethed with vapor; his body was trying to heal even as new damage was inflicted on it. Tommy raised the sword over the vampire's head and closed his eyes. â€Å"No!† It was Jody's voice. Tommy opened his eyes. Jody was on her knees, shielding the vampire, who had given up the struggle and was waiting for the final blow. â€Å"No,† Jody said. â€Å"Don't kill him.† Tommy lowered the sword. Jody looked at Jeff, who still held the shotgun. â€Å"No,† she said. Jeff looked at Tommy, who nodded. Jeff lowered the shotgun. â€Å"Kill the fiend, now!† cried the Emperor, still struggling against Lash's hold on his coat. â€Å"No,† Jody said. She pulled the spear out of the vampire's leg and he screamed. She patted his head. â€Å"One more,† she said quietly. She yanked the spear out of his hip and he gasped. Jody propped the vampire up on her lap. The Animals and Cavuto stood watching, not sure what to do. Clint prayed quietly, barely audible over the approaching siren. â€Å"Blood,† the vampire said. He looked into Jody's eyes. â€Å"Yours.† â€Å"Give me that sword, Tommy.† Jody said. He hesitated and raised the sword to strike. â€Å"No!† She covered the vampire with her body. â€Å"But Jody, he's killed people.† â€Å"You don't know anything, Tommy. They were all going to die anyway.† â€Å"Get out of the way.† Jody turned to Cavuto. â€Å"Tell him. All the victims were terminally ill, weren't they?† Cavuto nodded. â€Å"The coroner said that none of them had more than a few months.† Tommy was almost in tears. â€Å"He killed Simon.† â€Å"Simon had AIDS, Tommy.† â€Å"No way. Not Simon. Simon was the animal of the Animals.† â€Å"He was hiding it from you guys. He was scared to death. Now, please, give me the sword.† â€Å"No, get out of the way.† Tommy reared back for the killing blow. He felt a hand on his shoulder, then another one catch his sword arm and pull it down. He looked around to see the Emperor. â€Å"Let him go, son. The measure of a man's power is the depth of his mercy. Give me the sword. The killing is over.† The Emperor worked the sword out of Tommy's grip and handed it to Jody. She took it, ran the blade across her wrist, then held the wound to the vampire's mouth. He took her arm in his hands and drank. Jody looked at Cavuto. â€Å"Your partner is handcuffed to the wheel of the car. Get him and walk away before anyone else gets here. I need the car. I don't want to be followed either.† Cavuto dropped back into cop mode. â€Å"Bullshit.† â€Å"Go get your partner and go. Do you want to explain this?† â€Å"What?† â€Å"All this.† Jody pulled her arm out of the vampire's mouth and gestured around the dock. â€Å"Look, the murders will stop. I promise. We're leaving and we're never coming back. So let it drop. And leave Tommy and these guys alone.† â€Å"Or what?† Cavuto said. Jody cradled the old vampire and lifted him as she stood up. â€Å"Or we'll come back.† She carried the vampire to the cruiser and put him in the back seat and crawled in with him. Rivera was sitting in the front seat. Cavuto came to the side of the car and handed his handcuff key through the window to Rivera. â€Å"I told you,† Rivera said. Cavuto nodded. â€Å"We're fucked, you know? We have to let them go.† Rivera unlocked the handcuffs and got out of the car. He stood next to Cavuto, not sure what to do next. Jody stuck her head out the back window of the cruiser. â€Å"Come on, Tommy, you drive.† Tommy turned to the Emperor, who nodded for him to go, then to the Animals. â€Å"You guys, get that stuff off the dock. In Troy's car. Get out of here. I'll call you at the store tomorrow.† Tommy shrugged, got in the car, and started it. â€Å"What now?† â€Å"To the loft, Tommy. He needs a dark place to heal.† â€Å"I'm not comfortable with this, Jody. I want you to know that. I'd like to know what your relationship is to this guy.† The vampire moaned. â€Å"Drive,† she said. They pulled off the dock, leaving the Animals scrambling around collecting the art and the two policemen staring at them in amazement. She said, â€Å"I love you, Tommy, but I need someone who's like me. Someone who understands. You know how that is, right?† â€Å"So you run off with the first rich older guy that comes along?† â€Å"He's the only one, Tommy.† She stroked the vampire's burned hair. â€Å"I don't have any choice. I hate being alone. And if he died, then I'd never know about what I am.† â€Å"So you two are going away? You're leaving me?† â€Å"I wish I could think of some other way. I'm sorry.† â€Å"I knew you'd break my heart.†

Kayem Foods, Inc

Executive Summary Problem/Issues Matt Monkiewicz, director of marketing for Kayem Foods, Inc. , is challenged with a decision pertaining to a small but fast growing product, Al Fresco chicken sausage. The product has become a brand leader in its market niche, and means on how to promote the product is in question. A â€Å"buzz† marketing campaign was recently used, and while the company did increase in sales, there is no way to directly calculate the effect the campaign had on the product. Mr. Monkiewicz would like to continue to use the â€Å"buzz† marketing approach, but supermarket executives and food distributers are unwilling to increase buying and support for the brand. They do not believe that this small marketing campaign is solid enough to increase buyer recognition and increase sales. Customers have remarked that the product is hard to find in stores, and some cannot find it entirely and have to visit other locations. Analysis The sausage market, while growing, has several competitors who dominate the market. Al Fresco chicken sausage has become the number one brand in its market niche, but buyer power is high due to the low price and similarity of the product. Kayem Foods Inc has primarily sold through supermarkets and other retail food stores in the Northeast. In the last two years, it had made a concerted effort to obtain distribution in the Midwest and the Southeast. Kayem has two different communication needs. First, they need to convince retailers that their product has a stable top of the market demand, and that current pricing creates a large profit potential. This objective can be achieved by devoting money to print advertisements in food magazines, and by allocating money to trade advertisements which depict the success the company has currently seen with the Al Fresco product Monkiewicz used Al Fresco’s high recent sales increases to secure an $185,000 advertising budget for FY 2006. His perceived marketing options include spending $75-72,000 on another Buzz campaign, which supermarket executives do not believe is an adequate marketing campaign for the product. Another possibility is running trade advertisements to entice more retailers to sell Fresco’s chicken sausage (minimum cost of $80,000). The company has evaluated the possibility running no less than 2 or 3 print ads in specialty food magazines; this would be a cheap way to get circulation to the target market. A final alternative would distribute consumer price-off coupons at a minimum cost of $90,000. On top of the advertising venues chosen, an informative website that provided, product history, flavors, recipes, and product locations would be beneficial Recommendations Kayem Foods, Inc. should use the budgeted $185,000 promotional dollars to run a series of â€Å"trade advertisements† that would cost $80,000. They should also run two ads in both Food and Wine and Cooking Light food specialty magazines which would cost $39,765 and $57,840 and would be seen by 5. 4 million people. They should also launch an informational website that would help build product awareness. Use of these three advertising avenues helps resolve the problems the Al Fresco brand currently faces; a new, largely unknown brand to consumers, supermarket managers have been reluctant to offer the brand considerable, if any shelf space due to doubts of stable demand. Problems/Issues Matt Monkiewicz, director of marketing for Kayem Foods, Inc. , is challenged with a decision pertaining to a small but fast growing product, Al Fresco chicken sausage. This product, though small, has become the number-one brand in its niche market. The company had recently implemented a â€Å"buzz† marketing campaign for the product. This is a unique technique for using a word-of-mouth advertising venue. Monkiewicz did not initially have a substantial marketing budget adequate enough to make a substantial impact using traditional media. â€Å"Buzz† marketing, gave him means to promote the rand on a small budget but still have an impact on his target market. According to ACNielsen, Al Fresco had become the number one-selling branded chicken sausage in the United States by late July 2004. However, it was not clear whether this was due to the buzz campaign or to other marketing activities implemented by the firm. Prior to the campaign, the brand had developed substantial m omentum with a minimum of advertising support. Also, during the campaign period the sales force had made a special effort and offered special discounts and allowances to obtain new distribution. The sales increase by the brand was very impressive, but it was not clear how much more growth Kayem could expect from this rather unusual marketing tactic. Monkiewicz explained that it would be a challenge to sustain the growth and increase market share with such a limited marketing budget. Even with substantial growth of the product, the company has continued problems with supermarket executives and food distributers still unwilling to increase buying and support for the brand. They do not believe that this small marketing campaign is solid enough to increase buyer recognition and increase sales. This placed a major dilemma for Kayem Foods, and Al Fresco. They would like to continue to use the â€Å"buzz† marketing approach, but there is no way to justify and link the increase in sales with the campaign. The big issue now is getting supermarket executives and distributers to be confident with the product to increase shelf space and brand recognition. This is very important because seventy-two percent of the BzzAgents reported that they had had difficulty finding the product in the supermarket. This meant that they had to either ask the store manager for the product or go to a different store. Twenty-three percent were never able to find the product. Monkiewicz has two weeks to decide how to implement an upcoming market strategy for the product. He would like to implement another â€Å"buzz† marketing campaign in 2005, but since this strategy is not wielded well by supermarket executives, he has to look at other venues. Some alternatives he could look to with the advertising budget include; limited magazine advertising, consumer coupons, or more point-of-purchase material. Monkiewicz has also considered an advertising campaign in supermarket trade magazines aimed at retail food buyers and merchandising executives. Situation Analysis 5 Forces Upon reviewing the five forces model for Al Fresco, it is noted that competition is pretty high in the industry. Total category sales for the chicken sausage segment were about $75 million per year. The market is growing at about 12 percent a year. This is a growing market, with a few large brands, and rivalry is high. Al Fresco possesses a small 5. 3 percent of the market in the New England area. Because the chicken sausage category is small, it is difficult to obtain many specifics about competition. Buyer power is moderate to high, due to the fact of low switching cost and ease of access to the product. Buyers can be brand loyal, which is a benefit to some companies in the industry. Tying in with the high buyer power is a high power of substitutes. Consumers on average spend $16. 95 annually per year in the target market, when compared to the food industry is not very much. The sausage market can be seasonal, with price promotions and coupon discounts during these periods can be very high. This can lead to shelf space being a big factor, because if a consumer cannot find their desired product, they can easily purchase a similar product for a similar price. Barrier to entry is low in the market due to the fact of establishing a high quality product at a reasonable price with good shelf space and advertising. Supplier power is also low due to the fact that the low priced products in the industry are located in all major grocery stores. S. W. O. T. Strengths In 1999 Kayem introduced the Al Fresco brand. The firm believed if they could have a well-recognized â€Å"demand brand,† it could potentially obtain higher prices and better margins and open doors in new markets. By late July 2004, Al Fresco had become the number one-selling branded chicken sausage in the United States. The product was offered with high quality, healthy attributes, freshness, and distinctive flavors. Al Fresco chicken sausage has 75 percent less fat than traditional pork sausage and is available in seven flavors. Sales have increased significantly for Al Fresco chicken sausage. In September of 2003 they posted sales of $197,000 and in October of 2004 that number rose to $575,000. Weaknesses Though Al Fresco has been prosperous in recent years, Kayem’s profit margins have been eroding. Gross margin for the company had been declining for several years due to supermarkets gaining â€Å"power† through consolidation and demands for greater discounts and promotional allowances from suppliers. With this, Al Fresco has been asked for more price- oriented promotions. This could be a possible benefit for the company, but would cost about $90,000 to be effective. The target market for Al Fresco chicken sausage is the 25- to 54-year-old woman who was health conscious. This is a good niche market, but it makes Al Fresco cater to this niche instead of advertising to an entire population. Opportunities Kayem Foods Inc has primarily sold through supermarkets and other retail food stores in the Northeast. In the last two years, it had made a concerted effort to obtain distribution in the Midwest and the Southeast. This market expansion could lead to vast growth for the company if it takes hold of market share in these regions. The chicken sausage segment is small, with category sales about $75 million per year, but the market is growing at about 12 percent a year. With the new prospective advertising campaign, Al Fresco has potential to capture additional market share. Since sales of Al Fresco had been increasing significantly, the advertising budget was increased to $185,000 for fiscal year 2006 (March 1, 2005-February 28, 2006). This allows Monkiewicz with new possibilities for advertising and reaching a broader customer base. The company should use this to increase demand from supermarket executives, to provide better shelf space for the product. Monkiewicz would like to continue to use the â€Å"buzz† marketing campaign. Rob Walker wrote an article in the New York Times, explaining how effective this campaign was. Appendix) One agent related. †I told everyone that they were low in fat and so much better than pork sausages. †Ã‚  The article relates how effective â€Å"word of mouth† advertising can be. Threats Al Fresco has faced a few problems along the way. During their â€Å"buzz† marketing campaign, seventy-two percent of the agents reported that they had had difficulty finding the product, while twenty-three percent were never able to find the product. This is unacceptable in the marketplace and Al Fresco must convince the supermarkets to carry the product, and give it adequate shelf space. Though Monkiewicz liked the â€Å"buzz† campaign, it was hard to track and justify just how effective an advertising campaign it was. This is threatening, because supermarket executives are timid to demand the product if this is the only kind of advertising the company partakes in. Sausage Market Consumers of sausage products spanned all national regions and income levels. Accordingly, the sausage products where used for both main entree’s and complements to other center-plate dishes for all three main meals of a day. Retail sales of all sausages tallied $2. billion in 2003. This total includes Al Fresco’s product segment, specialty sausage, which had a 20%, or $4. 8 million in sales, and was currently the fastest growing segment. Increased sales were linked with a shift in consumer preference for differentiated products that added a variety to their menus, or were lower in fat content. Concurrently, Al Fresco’s chicken sausage was part of a market segment of low-fat/lean sausages which made up 19% of all sausage sales. Communication strategy Kayem has two different communication needs. First, they need to convince etailers that their product has a stable top of the market demand, and that current pricing creates a large profit potential. This objective can be achieved by devoting money to print advertisements in food magazines, and by allocating money to trade advertisements which depict the success the company has currently seen with the Al Fresco product. Ads in food magazines will also help achieve the second communication goal, stimulating primary demand in consumers, by introducing them to not only a new product segment, but the most popular product in that market. Supermarket executives have recommended that Kayem advertise in specialty food magazines. Through this type of method consumers should be encouraged to deepen brand loyalty. Due to the niche market of chicken sausage, consumers may not need a sales promotion as often as in larger, saturated market segments. Running advertisements in specialty magazines allows a company to easily target desired geographic and demographic segments. Magazine ads are thought to have both high credibility and prestige. Plus, this method of marketing has a longer life span than many other mediums (TV, radio, telephone). In essence, though Kayem would be out the entire expense of running advertisements in the current fiscal year, sales spurred by these investments may be realized in months or even years to come. Out of the possible types of advertising goals, the persuasive approach is most in line with both Kayem’s marketing goals and the potential customers reading cuisine magazines. The company can create liking, preference, and conviction for readers to buy their sausage by highlighting its flavor, freshness, and more importantly healthy composition in comparison to other sausage alternatives. They currently have very low brand awareness which could be alleviated with vast advertising campaigns. This method also works best when consumers are processing the advertisement in a detailed, analytical mode. This description fully fits the reader of a food magazine who is seeking new recipes and/or foods. Point-of-purchase (P-O-P) communication is not the most effective use of Kayem’s promotional money at this time. The company’s current dilemma involves convincing more retailers to buy/stock their item on shelves. This problem should be tackled before the same retailers are asked about in-store promotions. Analysis of Alternatives Monkiewicz used Al Fresco’s high recent sales increases to secure an $185,000 advertising budget for FY 2006. His perceived marketing options include spending $75-72,000 on another Buzz campaign, running trade advertisements to entice more retailers to sell Fresco’s chicken sausage (minimum cost of $80,000), running no less than 2 or 3 print ads in specialty food magazines, and distributing consumer price-off coupons at a minimum cost of $90,000. Monkiewicz must decide if BzzAgent’s previous campaign generated enough sales to warrant spending an additional $75,000 on a second campaign in FY 2006. Due to other promotional activities that occurred simultaneously with the first campaign he is unable to determine how many incremental sales the program created. Kayem’s own sales representatives claimed that they were unable to get additional placements or expanded shelf space due to the buzz campaign alone. The cost per â€Å"buzz† (conversation/ activity involving Al Fresco) was calculated to be almost $4. 24. The new campaign would have a unit breakeven of 62,500 packages. While this advertising approach does disseminate relevant literature there remains no clear way to track generated sales. Growing negative market sentiments of BzzAgent’s techniques may also hurt the image of the company if consumers become aware that they use this form of advertising. Another drawback is the fact that Kayem must rely on unpaid employees of another firm to handle their promotions. A second option costing at least $80,000, involves Kayem running a series of â€Å"trade advertisements† directed at convincing retailers that their chicken sausage is in high demand and can be sold with high profit margins. This alternative has a unit breakeven of 66,667 units. Although past efforts have lacked the intended success, Kayem must address the limited availability of their product. Producing the leading brand of a product in a market segment which has quickly expanded gives them better financial support when approaching retailers than before. The option of distributing consumer price-off coupons was mentioned by both Al Fresco’s sales force and certain supermarket managers. The supermarket managers would still receive full retail selling price, but the Kayem would be cutting their profit margin on each package bought with a coupon. The unit breakeven of this promotion would be 75,000 packages. The product is competitively priced with other chicken sausage products according to a survey of the Boston-area supermarkets. Another draw-back to offering price reductions is in conflicts with Kayem’s desire to keep margins high to off-set their lower profit lines. A final promotional route Kayem could choose involves running advertisements in specialty food magazines. This approach covers a large geographic area, connects to the targeted demographic profile, and has a longer life than most of media avenues. Various costs for ads covering a full, half, or quarter of a page for three different magazines is accompanied by number of circulations in the appendix. Kayem’s managers believe that no fewer than 2 or 3 ads would be needed to have any positive effect on sales. There are many new opportunities opening in the advertising venue for Al Fresco due to the increased budget. Two big issues the company faces are product awareness, and knowledge of where the product is available for purchase. With the Internet becoming more and more common place, a simple website would be a possible alternative for Al Fresco. The site would offer history of the product, types of product, recipes to go with the sausage, and locations were the sausage may be purchased. Any advertising that is done; the name of the website could be placed on the advertisement. It is assumed that a start up fee cost for a simple informative website would be $4,000 and yearly upkeep would be an additional $3,000. Recommendations/Implementation Kayem Foods, Inc. should use the budgeted 185,000 promotional dollars to run a series of â€Å"trade advertisements†, 2 ads in both Food and Wine and Cooking Light food specialty magazines, and launch an informative website. Use of these three advertising avenues helps resolve the problems the Al Fresco brand currently faces; a new, largely unknown brand to consumers, supermarket managers have been reluctant to offer the brand considerable, if any shelf space due to doubts of stable demand. Due to budget constraints, the placement of two 1/4 four-color advertisements in both food specialty magazines is the cheapest way to increase broad brand awareness in the target market. An estimated 5. 2 million ads will be circulated at an estimated cost of $18. 7 per 1,000 viewers. This is by far a cheaper avenue to reach potential customers than another â€Å"buzz† campaign (appendix). The ads should highlight the freshness and natural, healthy composition of Al Fresco’s chicken sausage, and should include the statements, â€Å"#1 Selling, Healthy, All-Natural Choice† and â€Å"Ask for It at Your Local Supermarket†. Thes e advertisements will not only increase selective demand, an approach that attempts to highlight a specific brand’s competitive advantage in the face of many substitutions, but will also spur a deepening in brand loyalty. By using a persuasive advertising approach these placements will lead to higher preference, liking, and conviction of Al Fresco’s chicken sausage flavors by consumers because they will be processing the ads in a detailed, analytical mode. Placing these ads in food magazines gives Kayem the opportunity to place their product in the minds of consumers actively searching for new products/ recipes, thus initiating new sales from experimenting, health conscience, or even allergenic consumers. Secondly, supermarket executives have said such an advertisement campaign is needed to create the stable demand required to prompt initial purchases and shelving of Al Fresco’s chicken sausage. Increasing the pressure on retailers to adopt and sell Al Fresco’s products can be supplemented by running a series of â€Å"trade advertisements†. These ads will highlight the specialty and low-fat sausage market segment’s growing sales numbers, and Al Fresco’s personal commitment to faithfully market their products. High profit margins and placement at the top of the segment market are also key points that must be received by retailing executives. As mentioned by Monkiewicz, $80,000 will be needed to successfully implement this advertising campaign. The remaining budget dollars will be used to launch and maintain an informational website specifically aimed at providing product awareness to customers. In today’s day and age, the internet is becoming more resourceful. With Al Fresco’s increased advertising over the next year, they can add they website URL to the ads for free publicity to the website. The website would be simple, offering product history, flavors and recipes, and locations were the product is available. APPENDIX |BREAKEVENS | | | | | | | | | | | |$1. 0 contribution margin per pound, typical package (unit) size= . 75 pounds, SO, $1. 20 contribution margin/package | | | | | | | |OPTIONS | | | | | |1. Bzz campaign @ cost $75-72,000 | | | | |75,000/1. 2 = 62,500 Breakeven in units | | | | | | | | | | |2. Series of â€Å"Trade Advertisements† @ cost $80,000 | | | |80,000/1. 2 = 66,667 Breakeven in units | | | | | | | | | | |3. Consumer Price-off Coupons @ cost 90,000 | | | |90,000/1. 2 = 75,000 Breakeven in units | | | | | | | | | | |4. Ads in specialty magazines | | | | |MEDIA COST AND CIRCULATION FOR MAGAZINES | | | | | | | | | | |Circulation |Cost of Full Page |1/2 Page |1/4 Page | |Better Homes and Gardens |7,600,000 | $ 359,000 | $ 215,400. 0 | $ 107,700 | |Food and Wine |900,000 | $ 66,275 | $ 39,765. 0 | $ 19,883 | |Cooking Light |1,700,000 | $ 96,400 | $ 57,840. | $ 28,920 | | | | | | | | | | | | | |$185,000 Proposed Budget | | | | |Circulation |Price | | | | |1. 8 million |$39,765 |(2) 1/4 Page ads in Food & Wine | |3. million |$57,840 |(2) 1/4 Page ads in Cooking Light | |5. 2 million |$97,605 |Total | | | |   |$80,000 |Cost of Trade Advertising | | | |$177,605 | | | | | |$7,000 |Launch and Maintenance of Website | |$184,605 |Total Advertising Budget | | | | | | | | |*Cost of magazine ads $97,605 with an estimated 5. 2 million circulation = $18. 77 per estimated 1,000 viewers | |*While Cooking Light has a lower cost-per-thousand | |the difference is not significant enough to offset the potential | |increased reach of running advertisements in Food and Wine simultaneously. | Buzz Mkt | | | | | | |2000 agents | | |Conversation Locations | | | |3 coupons for free package | | |Place |Percent | | |10 $1 off coupons when purchasing 2 packages | | |Home |41% | 5,807| | | | |Social Location |16% | 2,266| |goal each agent talks to 10 people = 20,000 people | |Work |15% | 2,125| | | | |Grocery Store |10% | 1,416| |758 agents filed reports | | |Other |18% | 2,550| |1,647 BzzReports completed, 8,470 buzz hits | | | | | | |1 report = 8. 6 conversations or activities about Al Fresco | | | | | |8. 6 x 1647 = 14,164 buzz hits (revised) | | |14,164 | | | | | | | | | | |Reedeming coupons 6000 free package coupons | | | | | |at 4. 9 = $26,940 | | | | | | | | | | | | | |20000 $1 off coupons = $20,000 | | | | | | | | | | | | | |Total cost of full redemption = $36,940 | | | | | | |$47,000 + 46,940 = $93,940 Potential Total Cost of Bzz campaign | | | | |Estimate | | | | | | |Total cost $ 60,000/ 14,164 = 4. 361 | | | | | | |An estimated $4. 24 spent for each conversation/activity | | | | | |stemming from Bzz regarding Al Fresco | | | | | | |CHICKEN SAUSAGE MARKET | | | | | | |FY 2006 |FY 2007 | |$75,000,000 |$84,000,000 |$94,080,000 | Sources

Population control in China

In 1950's China, under the government weakened by its countries opium dependence to westerners, the idea still existed that, â€Å"A large population gives a strong nation† This lead to China's population growing very rapidly, so rapidly in fact that this phrase was beginning to prove in correct. As china's population struggled to feed it's self, as well as extreme overcrowding especially in its cities. The death rate in china dropped (except for a blip in the natural decrease caused by a minor famine in the 1960's) and its birth rate continued to grow rapidly. Even after the government implemented tolerant population control policies, for example the â€Å"later longer fewer policy†. The hope was that if people were encouraged to wait longer before marrying, they would have children later in life and therefore is much more likely to have fewer children. However this did not produce dramatic enough results to help slow China's rapidly growing population and end its pending famine crisis. This is probably due to: a) People were still living in a very traditional way. This meant that people, especially those living in rural areas, they had big families. To make up for what was ah high infant mortality rate, during famine years. b) Women were not educated, and were considered the inferior sex whose job was in the home. They had no career so their only job was in the home. c) Being a developing country, and at that time very anti- western ideas, and almost fearful of the western world, Chinese people had little or no access to contraception, and even less education on birth control and family planning. d) No state pension meant that elderly people had to rely on their children to provide for them in their old age. So to be insured of safe elderly years they had to have at least one child who survived childhood and grew up to make an income. In this case boys were preferred, as they could have a paid job, not one in the home. e) A Cultural Revolution made the population increase by 55million every three years; this is nearly the same as the entire population of the UK. In the 1959 to 1961, a famine caused but an Industrial Revolution triggered the government to launch its first population control policies. People moved away from rural areas and their traditional work as farmers to towns and cities, to work in factories, often owned by western countries brought to china by cheap labour costs compared to the western world. This influx of western ideas thwarted the government's campaign, as the later longer fewer Policy was not considered attractive by the Chinese population who moved towards a western ideal. But the government continued and by 1970, State Family Programmes had been introduced. This lowered the population growth rate. In 1978 3 children per family was average but the government persisted, as this was still too many. This was in the form of various advertising campaigns, however their effect was not dramatic enough, and in 1979, the government wished to stamp out population growth completely. So they introduced a strict population policy. The policy used a â€Å"carrot and stick† method to encourage families who participated, and punish those who did not. Encouragement was in the form of great incentives from the government. These included free education for the child, priority housing, family benefit and a state pension for the family. There were also high penalties for having a second child. Including loss of all incentives, and benefits and fines of up to 15% of the family's annual income. This more than halved the birth rate per thousand from 40 per thousand to 17 per thousand. But the government continued further, the legal age for marriage was raised to 22 for men and 20 for women, to marry couples also had to apply to the state for permission. State permission was also required to have a child. Abortions became compulsory for the second pregnancy. Chinas population policy had been very successful at reducing population growth, it met targets set for 2000 in 1994. However the population policy had serious implications for the natural balance of population. The Chinese population has an entire generation of â€Å"little emperors† the title given to the supposedly spoiled, greedy, bad-tempered, lazy children of male only children. More seriously as young men this generation has difficulty finding a wife. This is a result of Chinese ideal of male supremacy. Families would try and find out the gender of the child before it was born, with the option to terminate if it was a girl. If a families first born child was female, it was at times abandoned so that the couple could try again for a boy. The Chinese government also commissioned teams to go from village to village providing a sterilisation service. This at times was a very unfair method and often breached human rights. As the teams were paid by the number of operations they carried out. So often women were sterilised against their will. In Chinas anti-feminist society it was almost always that women were sterilised instead of men. The government would defend their actions saying that there was a serious need for rapid population control or there would have been further suffering to the people. Credit can be given that the scheme worked and met target before time. Today regulations on population control have been relaxed mainly due to the fact that all targets have been met. But also because of pressure from the west. This is mainly in rural areas of china where children are still a useful form of labour on farms, so two children is permitted. But in industrial regions one child is still most likely. Sterilisation is now provided in a manner that is less likely to be damaging and in breach of human rights.

Microeconomic Questions Assignment Example | Topics and Well Written Essays - 1250 words

Microeconomic Questions - Assignment Example Unfortunately, since the heavy commercialization of Pepsi and Coca Cola in the 1980s, RC Cola has struggled to keep up with bringing its name forth to the general public. Presumably, RC Cola did not see the merit of wasting so much revenue on advertisements; its owners now of course, see the errors of their ways. RC cola must resort to advertising rather an lowering its prices because both Pepsi and Coca Cola have substantially-prominent name-recognition. Rather than using penetration pricing strategy (a strategy that involves undercutting the prices of competitors), RC Cola must get name recognition out there to compete on the same level as Pepsi and Coca Cola. Monopolistic Market Structures have a unique set of stratagems for optimal pricing and optimal profits. In a monopolistic market structure, the competition is between firms selling similar but not entirely-substitutable products. It is open to all firms that want to earn profits. The firms within a monopolistic market structure are profit maximizers and all of the firms have some market power. Saudi Arabia has strong government controls over major economic activities. It possesses one-fourth of the worlds proven petroleum reserves, ranks as the largest exporter of petroleum, and plays a leading role in OPEC. With its multiple oil reserves, the country still maintains low production costs and therefore will most likely remain the number one exporter of petroleum for a long time to come. The oil reserves also help in lowering the unemployment rate which generally hovers around 15%. The petroleum sector accounts for roughly 75% of revenues and 45% of GDP. About 40% of GDP comes from the private sector.1 By producing a consistently high amount of oil daily, the prices per barrel have continued to rise, as an increasing demand meets the expected quota. Other countries have ceased exporting their own oil because of the adequate amount produced by other leading contributors of the world’s

Leadership and managmement in early childhood setting Essay

Leadership and managmement in early childhood setting - Essay Example Leadership, no doubt, is an important element, which plays a vital role in the development of people by following some principles of governance. In early childhood setting, leadership in educational sector deals with children, families, managers and stakeholders. Dr. Goh Keng Swee was a great and successful leader of Singapore. He became Minster of education and developed new sense of education in the general public and gave an improved educational system (Lee, 2010). According to Dr. Goh Keng Swee, educational leaders should be empowered and more autonomy should be given to them so that the students can be facilitated with better educational opportunities. Dr. Goh Keng Swee is one of the great examples of successful leaders, and I agree that I have learnt a lot of traits from this great leader and tried my best for adopting these traits. The traits that I learnt from the great leader are persuasiveness, strength, keeping vision, supportiveness, goal orientation, having influence, de cision-making power and much more. The first and foremost thing that a leader should have is knowledge because faith fails when the leader lacks knowledge. Therefore, faith comes after knowledge. He knows how to work in a team, how to motivate the team members, how to assist in application of different financial assistance schemes, he has to make alerts to the Director of every matter that is crucial to the well-being of the children and staff and much more. In order to become a successful leader in the field of education, I must know the way to constantly improve and add values to the curriculum so that it meets the goals and many other things, which are helpful for the students. This is in the time of unknowing that having faith is what sees you through to the other side. I have a need to develop a sense of judging the situation in right way and that is what will give me strength. I was an office manager before entering early

Incentives, training, and education in promoting innovation in an Essay

Incentives, training, and education in promoting innovation in an organization - Essay Example One prime example of this is the link of incentives with innovation. The theory of extrinsic motivation teaches that an individual can be motivated to improve their efficiency and productivity at a task if they are rewarded with extrinsic rewards such as bonuses and promotions. However, as research proves, this does not apply in every case. When the task requires innovation and creativity, performance incentives can dampen the level of creativity (Ariely, 2010). This is because the employee starts to focus on the reward and is not able to give the task the due attention. Such incentives are only successful in boosting performance when the task is mechanical and does not require flexible and creative thinking. However, the innovative process requires creativity and flexibility. Thus, incentives do not play a significant role in the process of innovation. Vocational training, however, plays a large role in the process of innovation. A study conducted in 2007 gathered data from several firms, which provided training to their employees and had measurable performance. A thorough analysis of the correlation between these two factors revealed that innovation increases amongst employees who have received vocational training. The reason for this may be that the training gives the employee a firmer grasp on the nature of their work, and a deeper understanding about what their work means (Gallie and Legros, 2007). Thus, the individual is not confined to any boundaries in terms of knowledge or experience, and is thus able to employee creativity while working. This leads to training having a significant role in innovation. Similarly, education also proves to increase innovation levels in an organization significantly. Nelson and Phelps (1966) researched this correlation thoroughly, with the reasoning that â€Å"education enhances the ability to receive, decode, and understand information†. They studied the role of education for employees involved in the process of in novation and were able to prove that there is indeed a positive correlation between an employee having a high school or university education, and increases in the level of productivity and innovation. This correlation is empirically verifiable and visible in workplaces worldwide (Nelson & Phelps, 1966). Another important force that drives the innovative process, through its creation, management, and sustenance, is leadership. A recent study found organizational climate to act as an intervening variable between leadership behavior and innovation. They went on to claim that leadership has an important role to play in the establishment of an innovative climate in the work environment. The researchers found this correlation to be pertinent on both, work-unit level and organizational level. Research goes on to outline several leadership behaviors that can either stifle or encourage productivity. An example of a behavior that stifles innovation is to concentrate only on short-term goals a nd visible results. This can increase the pressure on the employees, which acts as a barrier for the innovative thinking process. In contrast, to encourage innovative thinking, the leader can arrange the work environment in a manner that allows for flexible thinking processes and creativity. This includes forming work teams and allowing the employees to interact with each other and discuss their ideas freely. For example, one can consider a

Module 8 Research Paper Example | Topics and Well Written Essays - 500 words

Module 8 - Research Paper Example fuel consumption, this behaviour is different from what is observed in other countries, like the United States, where cost saving and practicality surpass brand names. This information is essential in determining the brand of cars the will make the greatest sales in china. This attraction to brand names goes hand in hand with how the consumer’s view the manufacturers’ image. Another factor in the determination of the brand is the opinion of the user’s friends. This plays a significant role in the choice of car that they will make. The use of the internet is also growing rapidly among the population, with this comes the growth of e-commerce. Monitoring the users’ preferences on products could also provide good information in determining the marketing strategy to improve on sales (Hague & Peter, 2002). The selection of field workers would comprise of a group of a certain age group and preferably from different cultures (Martin and Tamara, 2005). The training of field workers would involve, giving them guidelines to what questions to ask the consumers, the use of questionnaires to gather data and analysis of this data. The training would also show the fieldworkers how to use the analysed data to generate and compile reports about the research. The supervision would involve the use of guidelines is followed strictly, and the fieldworkers use questionnaires effectively. In the analysis, of the overall customer satisfaction, the frequency distribution indicated that the bigger percentage was satisfied with their dell computers; this came with 95.4 of the percentage interviewed. In the following question, of referring dell to a friend, 81.7% of the interviewees agreed that they would recommend it to a friend or relative. The next question was asking the interviewees the probability of making a dell purchase if they were buying a computer. The frequency was distributed towards the positive with a large percentage of 96.2 saying that they would make the choice

The growing popularity of paranormal studies and haunted houses in the Research Paper

The growing popularity of paranormal studies and haunted houses in the U.S - Research Paper Example People’s main objective is to catch something to prove that there are ghost. People have become obsessed with the afterlife. Those interested are from a wide variety of people with different types of backgrounds. It doesn’t matter if you are educated, uneducated, young, old, white collared or blue collared to be interested in the paranormal (Sedersten). Amateur paranormal investigators aren’t cautious like serious investigators are in the type of evidence they show people. Amateur’s take pictures with digital cameras and think that any little thing in the pictures is an orb. Serious investigators only want to show people what they know for a fact is real. Amateurs can cause problems, because most don’t truly understand what they are seeing. This is why it is hard to make a skeptic believe that there are real ghost in the world (Sedersten). Paranormal investigators have a range of different devices that they use. Some are very costly in price and some aren’t, but most the items needed you can pick up anywhere. Here is a common list of items needed; LED lights, digital camera, motion detectors, electromagnetic voice phenomenon (EVP), and thermal imaging devices. These items are supposed to help determine if what you have is real or not. The multiple different television shows on paranormal activity has left people wanting to know more about the afterlife (Sedersten). The show Ghost Hunter’s has made paranormal investigating popular with people. The most interesting concept of this show is how they try to disprove whether something is paranormal or not. Jason Hawes actually started this group as the Rhode Island Paranormal Society in 1990 and later changed it to the Atlantic Paranormal Society. In 1992, Grant Wilson joined the group, but he was a friend of Jason’s for many years. Jason and Grant worked for Roto-Rooter plumbers for years. In 2004, they made their debut on the

Value Engineering Essay Example | Topics and Well Written Essays - 2750 words

Value Engineering - Essay Example Tremendous benefits are obtained from value engineering. Benefits are derived comes from the start of the planning, design and the actual construction. There is a great potential of verification if the budget is adequate for the developed program. Value engineering (VE) is defined as "systematic effort that is directed in the analysis of the functional requirements of procedures, systems, equipment, facilities, and supplies for the purpose of achieving the essential function at the lowest total (life cycle) cost consistent with meeting the needed performance, quality, reliability, maintainability, aesthetics, safety and fire resistance" (Kavanagh, 1978). The implementation of value engineering includes the six steps which are (1)information,(2)functional analysis, (3)creative, (4)evaluation,(5) planning/proposal and (6) implementation/follow up (Snodgrass and Kasi, 1986). In the creative step, brainstorming session is involved. Life cycle cost alternatives for the design components are considered. Value engineering and constructability are two different ways in terms of criteria discussed. However, this does not mean that they are exclusively mutual. Activities within the two processes complement each other in the achievement of their goals. This results in construction optimization, at the same time, achieving lowest life-cycle cost. For example, value engineering would recognize the increased benefit from the early implementation (O'Brian 1976). In the recent years, the use of total quality management (TQM) has spread from the manufacturing industry to construction. Organizations using TQM are adopting a management philosophy that makes quality a strategic objective for the organization.("Total Quality Management: The Competitive Edge" 1990). The successful application of TQM for contractor and owner organization in Japan, as well as some others in the U.S, and the UK, have increased in the recognition as an effective method to improve quality and productivity. Customer satisfaction and continuous improvement are the two principal objectives of TQM (Burati, 1992). In the construction industry, the parties involved in the project, including the owner, the contractor, and the designer, play the role of customer and supplier of services. The owner supplies the requirements to the designer, then the designer supplies the plans and specifications to the contactor, then the contractor supplies the finished building to the owner ( Juran, 1988). The corporate constructability program(CCP) includes the costs to start-up and maintain a corporate constructability program. The cost elements are written program procedures, computer software and hardware that contain the lessons-learned database, the constructability analysis tools and the corporate constructability coordinator (Russell and Gugel 1993). The estimated quantitative benefit for each major constructability idea may be totalled for each project and compared to the costs of constructability. This cost/benefit ratio could be a measure of the effectiveness and /or the maturity of the constructabil

International Perspectives in Childhood Essay Example | Topics and Well Written Essays - 500 words

International Perspectives in Childhood - Essay Example There could be a number of factors that contribute to this development including political, social and economic factors. UNICIF report card 7(The United Nations Children’s Fund, 2007) ranks different dimensions of child care in 21 developed countries including United Kingdom and Sweden. Following is the ranking of both the countries in those dimensions. Dimensions of Child Well-being United Kingdom compared Sweden Dimensions of child well-being Average ranking position (for all 6 dimensions Material well-being Health and safety Educational well-being Family and peer relationships Behaviours and risks Subjective well-being Sweden 5.0 1 1 5 15 1 7 United Kingdom 18.2 18 12 17 21 21 20 Source:( Unicef, 2007) Above figures reflects that United Kingdom stands at 18th no. among all the 21 countries where as Sweden stands 5th. Clearly, Sweden has a developed material and educational system as compare to United Kingdom. In Sweden, all 3, 4 and 5 year olds has the right to pre-schoolin g for 525 hours a year. This is provided in pre-schools and is free of charge for the parents. Further, here parents of the children under one year age have privilege of one year leave.

Obessive compulsive Disorder- and how it affects daily life Research Paper

Obessive compulsive Disorder- and how it affects daily life - Research Paper Example OCD is a disorder of anxiety, characterized by unwanted, uncontrollable thoughts, and ritualized, repetitive behavior that makes the affected person to feel as if they cannot perform. A person with such symptoms also feels that he cannot break free or resist from them. Like a needle that is stuck on old records, OCD sticks the brain to a particular urge or thought (National Institute for Mental Health 231). For example, Joe, an accountant in a certain firm keeps looking at clients books, now and then, because he fears that he might have missed something or done a mathematical error. Consequently, this has lowered his productivity so much that the management has issued him with warnings severally, but he just can’t avoid it. OCD is a disease that cripples both physically and mentally. Though there are no physical signs, it eats in every wake moment but many people suffer alone and in silence, as they are ashamed to share it with anyone, but its effects on the victim’s bo dy are normally unbearable. Millions of people are affected on their daily basis as they struggle to carry out their daily tasks that many of us take for granted. Imagine a person arriving at his work place and immediately start worrying that he may not have locked the doors or windows. This person may be forced to go back home now and again to ensure that everything is okay. This then affects their work productivity besides fatigue. Differences between Obsessions and Compulsions Obsessions are uncontrollable involuntary thoughts, impulses or images that occur again and again in our minds. No matter how much you don’t want to have such thoughts or ideas because you know very well that they don’t make sense, you just can’t stop them. Unfortunately, they are distracting and disturbing. On the other hand, compulsions are rituals or behavior that drives someone into do something now and then. These are mainly done in an attempt to do away with obsessions. For exampl e, someone who fears contamination may develop cleaning rituals that are very elaborate. However, the relief does not last because the obsessive thoughts always come back. Compulsive behavior normally causes anxiety as they become more time consuming and demanding. People with OCD are grouped into several categories. These are; washers, who fear contamination and therefore develops hand-washing or cleaning compulsions. Checkers keep checking at things they associate with danger or harm. Sinners and doubters are usually afraid that if something is not perfectly done, something bad might happen, whiles arrangers and counters are symmetry obsessed that develop superstitions about certain arrangements, colors or numbers. Hoarders are obsessed by fear of something bad happening if they throw away anything. Therefore, they hoard things they neither use nor need. Causes of OCD Scientists and doctors have not yet discovered what really causes OCD. However, recent research has explained bett er OCD understanding together with its potential causes. Experts believe that OCD is related to serotin levels, a normal brain chemical. Blockage of serotin’s normal flow the alarm system of the brain misinterprets and overreacts to this information. Messages of danger are triggered mistakenly by such false alarms making the brain to dwell on them, instead of instead of filtering them out. This makes the person to experience doubt and fear that is unrealistic. OCD is caused by strong worry or anxiety that acts like an alarm

Computerized Sales Inventory System Essay Example for Free

Computerized Sales Inventory System Essay By having a plan of widening the Cunderdin-Quairading Road , conservation is still involved because the management involved in the operation were able to conserve the old and big trees. They are able to protect and enhance the environmental values of road reserves. By consulting to the Department of Environment and Conservation for a clearing permit gave them permission what trees to cut and remind them to be responsible enough on how to conserve nature despite of the more industrialized world for convenience. The study also increased the employees’ and community’ s awareness of roadside conservation. It can provide safe and efficient road access while balancing best practice environmental management. It only shows that conservation is not a hindrance to save nature even though we want to improve our community or to build business. It is just a matter of planning and remembering the environment. The study about Shire of Cunderdin: Cunderdin-Quairading Road is just an example of conservation issue that must be given attention. It shows that people are still aware of the conservation issues and trying to promote goodwill to save the planet for our future generation. II. Case Study Shire of Cunderdin: Cunderdin-Quairading Road The Shire of Cunderdin undertook road upgrade works along the Cunderdin-Quairading Road during 2011. This upgrade was in response to the state government decision to close Tier 3 grain-freight railway lines which would result in increased grain freight traffic on local roads such as the Cunderdin-Quairading Road. The road works The road works included formation works, shoulder works, drainage works, overlay and widening. The object of the upgrade was to: * clear grass, some small vegetation and minimal trees * reform and improve drainage * box out shoulders to a depth of 10 centimetres * overlay old pavement 10 centimetres * widen the pavement to 9 metres with a seal width of 7 metres Grader, loaders and trucks were used for clearing and formation works. Where the major clearing was required, such as the removal of salmon gums, skid steers and a 3-ton excavator was used to manoeuvre in places where the large plant equipment couldnt go. The road reserve along the Cunderdin-Quairading Road consists of open roadside vegetation dominated by salmon gum, york gum, acacia and sheoak species in a degraded condition, with a predominantly introduced under storey of agricultural weeds. There are no declared rare flora or threatened ecological communities along the Road. Clearing was selective and only to the extent needed. When applying to the Department of Environment and Conservation for a clearing permit, each tree or area to be cleared was recorded on a GPS, with a view to minimizing the number of trees to be cleared, and to preserve as many large trees along the road, while creating a safe and effective road for users. The amount and diversity of roadside vegetation was taken into account when widening the road, and where one side of the road was less diverse than the other, the road was widened on that side. Agricultural weeds were cleared from undergrowth, and low vegetation was cleared on two s-bends to create a better line of sight, which reduced the need for a complete s-bend realignment and subsequent major clearing. Other works along the Cunderdin-Quairading Road were carried out under exemption, as specified under Item 22 of Regulation 5 (and Schedule 2) of the WA Clearing Regulations which specifies clearing within the road maintenance zones. Future plans Although no conditions were placed on the permit, the shire plans to put in place a strategic offset program where tree planting and revegetation of degraded areas and exhausted gravel pits will be undertaken annually to offset any essential clearing of native vegetation along roadsides. Future offsets will include planting low lying native shrubs along cleared road reserves to maintain aesthetics, for weed control, and to join vegetation corridors. Offset plans for 2011-12 include the revegetation of an old road reserve that was left after the realignment of an s-bend on Doodenanning Road. Agreements have been made with the adjacent property owner to allow room for farm machinery access. The revegetation will link up with a small pocket of remnant vegetation on the landholders property and existing roadside vegetation.

Ferrari Marketing Analysis

Ferrari Marketing Analysis Jump to:   Ferraris Marketing Strategies | Product Life Cycle of Ferrari | SWOT Analysis of Ferrari | Porters 5 Forces Introduction Ferrari history Ferrari is a manufacturer of Italian sports cars, and is based in Maranello, Italy. It was founded by Enzo Ferrari in 1929, and was originally named Scuderia Ferrari. When Enzo was ten year old, his father had taken him and his brother to watch motor racing circuit. Enzo was completely motivated by this action. In 1918 Enzo works as a test driver for a small company in Turin. In 1919 Enzo works for C.M.N in Milan, Initially as a test driver and later on as a racing driver. In 1920 Enzo finishes second in the Targo Florio. This lead the gateway for a 20 year collaboration with marquee that saw Ferrari do test driving to racing, and finally appointed head of racing division for Alfa Corse. Ferrari opens Auto Avio Costruzioni on Viale Trento Trieste in Modena. On September 13th, at the same headquarters of the old Scuderia Ferrari, Fiat platform Auto Avio Costruzioni builds 2 versions of Ferrari 815 in the year 1940. The factory was bombed in the world war on November 4th 1944, but they managed to rebuilt it quickly. Ferrari had an ambitious plan to build a V12 engine, and thus started designing the first Ferrari in 1945. Scuderia Ferrari sponsored drivers and manufactured race cars, but in 1946, it moved into the production of street legal vehicles, as Ferrari. In 1956 Ferrari turns into a Limited Liability Company. The professional industry and artisanship training institute was built in Maranello, which provides the company with special technicians even till today. In 1965 Ferrari signs an agreement with Fiat Group giving 50% of its share in the company to Fiat group in order to grow into a powerful company. Through the years, Ferrari has been celebrated for its unceasing contributions in the field of racing, specifically in Formula One, where it has been considerably successful. As on the writing of this assignment, Fiat owns 56% of Ferrari, Mediobanca owns 15%, Commerzbank AG owns 10%, Lehman Brothers Owns 7%, and Enzos son Piero Ferrari owns 10%. Vision and Mission of Ferrari Ferraris vision and mission has remained the same for years: To build unique sports cars that are suppose to bring out the excellence of Italian cars on the roads and on the racing circuits. Market Orientation Market orientation defines an organization that understands customer needs and their importance, focusing on providing products that are of high value to their customers, and marketing the products and services across all departments using a coordinated holistic program in marketing concept, taking into consideration Customer is King. Market orientation mainly focuses on: Understanding customers needs Competitors abilities and continuously collecting information about them. Sharing of information across various departments. Creating customer value using above mentioned information. The following table identifies and describes the marketing orientations Orientation Profit driven Western European Timeframe Characteristics Production Methods of production Until the 1950s The improving production and distribution, to achieve a reduction in cost and improved efficiency. Product Product quality Until the 1960s Products quality is paramount main Focus is on product not customers needs Selling Methods of selling 1950s and 1960s Effective selling and promotion are the major drivers to success. Marketing Needs and wants of customers 1970s to present day providing goods and services that are sure to satisfy the needs and wants of customers or end users. Further approaches include Relationship marketing and Societal marketing Relationship marketing Building and keeping good customer relation 1980s to present day Main focus is placed on the whole relationship between the suppliers and customers. The basic aim is to give good or best possible attention, customer services and build customer loyalty. Societal marketing Benefit to society 1990s to present day It has similar characteristics as marketing orientation but with the added condition that there will be limitations on any harmful activities to society, in product, production, or selling methods and procedures. Customers needs keeps changing over time to time. Ferrari has persuaded their customers to buy their product because of its style, speed, luxury, and elegance. Then, as soon as a company brings out a car that is a better match for Ferrari, They might drop Ferrari in favour for that car. But interestingly Ferrari has always managed to develop cars that reflects their customers needs and they may not switch so readily. And Ferrari has managed to do this for the past several decades, and till today. Ferrari has always focussed on their competitors and their customers by continues improvement in performance of their products and services. Ferraris success can be scaled only with respect to product or brand value. It is not done based on sales and revenues. Neither is it done based in terms of market capitalization, because no initial public stock offering was done by Ferrari. It is said that the Ferrari brand is worth more than Google brand, the Apple brand, BMW, Mercedes, or any other brand in the world. Yet, Ferrari never spends any money in advertisement. Marketing Concepts: Ferrari is a Product oriented company Ferrari produces excellent, well designed, quality products which are great value for money. Customers are sure to want our products. Thats the kind of approach Ferrari demands out of it customers. Product orientation occurs where the focus is given to the product rather than to the needs and wants of a customer. In a company like Ferrari they need to concentrate on their products, because over the years Ferrari managed to satisfy its customers through its superiority in quality and performance by delivering speed, style, luxury in their products. Relationship marketing of Ferrari Ferrari has always managed to Build and keep good relationship with their customers, by providing value for the customers money. Ferraris focus is on the whole relationship between suppliers and customers. Ferraris aim is to provide the best possible attention, Customer services to their customers by providing quality and increased performance in their products and services, and therefore build customer loyalty. Societal marketing of Ferrari This concept is based on social responsibility or societys long term interests. It explains an organisations task is not only to provide customers with quality products, but also to do that in a way that preserves, protects, and improves the societys well-being. In the 21st century, people are more aware of the sensitive issues than the earlier generation, such as health issues, global warming, shortage of resources etc. Ferrari has adopted this marketing philosophy to get the attention of the customers, The organisation understood the need for bringing out a new car that is eco friendly, thus they introduced the new electric hybrid Ferrari 599, which has a maximum speed of 200mph. The main aim of this car is to cut fuel consumption and pollution with the motive of breathtaking acceleration and performance. Marketing Strategy of Ferrari The success behind the marketing strategy of Ferrari is done by the review of Ferrari and its development through the ages. Enzo Ferrari never went to college or high school, he was just a mechanic at Alfa Romeo, not an engineer either, but his strong passion for racing, speed and engine, made him have his own ideas on engines and cars. Passion has always been the drive of Ferrari. And its the only marketing tool of Ferrari till today. Competitive Advantage Impact of the Organisations Marketing Mix Marketing mix can be defined as the use and specification of the 4ps (place, promotion, price and product) to describe the strategic position of an organisation in a market place. Other 4ps could be included as people, public relations, physical evidence and packaging (Kotler, Philip, lane and Keller: 2005) â€Å"Marketing management Prentice hall The mix represents the â€Å"variety of integrated decisions† which is taken by a company in order to assure the success of the marketing department. Usually, decisions are made in four areas represented by the 4Ps used in marketing mix: product, price, place and promotion. The 4Ps involve issues like brand name, product type, pricing, advertising, retailing and distribution (Business and Management Dictionary 2007). These fundamentals have to be managed effectively by the marketers to top customers needs enhanced than competition this means that decisions concerning the marketing mix forms a major aspect of marketing concept implementation (Jobber 2007), the combination of these elements also helps in influencing the demand and supply of the products and service presented to customers by the company. Product: This is regarded as a very vital element of the marketing mix. It is whatever thing that can be offered to a market which can be noticed, acquired, used or consumed that might gratify a want or need .Physical objects, services, ideas, organizations, persons places may be part. (Kotler et.al. 2005). It also involves the decision of what goods or services that should be offered to a collection of customers (Jobber 2007). The decision for product involves branding, quality, packaging, guarantees. Price: This is the only element of the marketing mix that generates revenue. â€Å"Price is the sum of all values that consumers exchange for the benefits of having or using the product or service.† (Kotler et.al. 2005). Promotion: It involves all the forms of communications used by the marketer at the market place about benefits, added features etc of a product. These are the major components of the promotional mix Advertising, Personal selling, Direct marketing, Internet promotion, Sales Promotion and publicity. Place: It is the mechanism through which goods or services are moved from the manufacturer/service provider to the end user/consumers. The accessibility of a companys product or service at the right quantities in the right (convenient) locations at the times when the customers want to buy them that is the distribution channels to be used and their management (Jobber 2007) According to Ivy (2008) tangible products uses the traditional 4Ps model while the intangible product or services sector on the other hand uses a 7P approach in order to satisfy the needs of the service provided to customers: product, price, place, promotion, people, physical facilities and processes. Product The product is one of the main building blocks of the marketing mix. It is known as the merchandise which provides the consumer with the basic functional requirements. Jobber describes a product as anything that is capable of satisfying customer needs. A product has to be appealing to its customers; therefore, producers need to ensure that their product would meet consumer satisfaction. This section will look at the product strategy of Ferrari Company and analyse a sector of their products using the product life cycle. A Ferrari principal automobile product group includes, 360 spider, 456M GT, 550 Maranello, 550 Barchetta Pininfanna, super -america salon, F430 spider. â€Å"The core element in the marketing mix is the companys product because this provides the functional requirements sought by customers†(Jobber,2007 p326).A well thought out product will provide the company with a good external image as well as customer loyalty which are essential for a companys competitive advantage.(BrassingtonPetitt, 2006:288) further defined a product as â€Å"a physical good idea, person or place that is capable of offering tangible attributes that individuals or organisations regard as so necessary, worthwhile or satisfying that they are prepared to exchange money, patronage or some other unit of value in order to acquire it†. This above definition gives the idea that a product can be classified into tangible or intangible products. The tangible products are the physical goods whilst the intangible are the services that offered for example the Porsche car by Ferrari is the tangible product while the FI car race competition, after sales services are all intangible product to Ferrari. 3. DIAGRAM Product is classified into the following three categories namely the core product, the actual product and the augmented product. The product when benefited, is made valuable by the core product. For example, the core products in the Ferrari automobile is the speed attribute that comes with every Ferrari brand of automobile. This is one of the reasons why people that love fast cars will always prefer a Ferrari brand to any other brand of vehicle. Also Ferrari shows off this benefit to the prospective customers by organizing the car racing competition and also in their various advertising mediums. The tangible physical product is the actual product. This includes the physical automobile itself that comes in every different shapes and sizes. The physical attribute or component of the automobile itself is what is called the actual products. For example the Ferrari automobile F430 spider is an actual product for Ferrari. The non-physical part of the product is the augmented product. For example, warranty and customer service support. This shows the other services or component that comes with the buying of the automobile itself. The replacement part is an example of the augmented products. 4.1.2. Ansoff Matrix Planning for Growth The Ansoff matrix is a tool that helps businesses to strategize on their product and make necessary decisions for their market growth. With the Ansoff matrix, Ferrari would be able to know how the F430 spider automobile is doing in the market place and decide whether or not there is an advantage of entering the market place. The Ansoff matrix is a tool used to generate direction for strategic development for companies. It gives a sense of scope for the companies with regards to marketing of its products, whether to diversify, or to further develop more of its markets. Market penetration: According to Johnson, Scholes Whitington (2008:258) this is the process by which the organisation takes increased share of its existing markets with its existing product range. This will in turn lead to higher bargaining power of the supplier as Ferrari will have a larger market share. Johnson; ScholesWhitington (2008:258) also explain that â€Å"in terms of the five forces increasing market penetration is likely to exacerbate industry rivalry as other competitors in the market defend their share†. For example Jaguar cannot let Ferrari continue to have growth in market share while it sits behind. Ferrari has a % in speed car market while Jaguar has a % in market share in luxury car market. Product development: is where organisations deliver modified or new products to existing markets. Here product development implies greater degrees of innovation. Johnson, ScholesWhitington (2008:261).With the car manufacturing industry there is a continuous need to develop products so as to make sure customers needs are effectively met. For example Ferrari has even committed itself to sponsoring the formula one racing competition yearly to showcase new technology and improvement in diverse innovation. Market development involves offering existing products to new markets. Johnson; ScholesWhitington (2008:261). Ferrari moved over to other international markets like Canada, Mexico and USA. Market development might take three forms, new segments, new users and new geographical location. Johnson, ScholesWhitington describe diversification as a strategy that strictly takes the organisation away from both its existing markets and its existing products, it tends to imply unrelated or conglomerate diversification. Johnson further gives the reason for diversification saying that â€Å"efficiency gains can be made by applying the organisations existing resources or capabilities to new market and product or service†. This in turn will increase market power leading high entry barriers for new entrants. 4.1.3. The Product Life Cycle Every product must have a limited life span. The product life cycle tool allows a company to evaluate its product based on four stages. These stages include the introduction, the growth, the maturity and then the decline. All products must go through these four basic stages; therefore to maintain a good competitive advantage all companies ought to have the product life cycle tool as a basis of analyzing a product as it changes over time and also to be able to know what stage their product falls under a particular time. Price All products and services have a price, just as they have a value. According to Armstrong and Kotler, â€Å"Price is simply the amount of money charged for a product or service†. In a broader context, price is said to be the sum of all the values that consumers exchange for the benefits of having or using the product or service. Price is also one of the most flexible elements of the marketing mix in the sense that pricing decisions can be implemented relatively quickly, a tool used by companies to achieve their marketing objectives as well as the only element in the marketing mix that produces revenue. (Armstrong and Kotler, 2006) Price is one of the most significant essentials of the marketing mix because it is a unit source of what the company receives for the product or service that is being sold. Furthermore, Price is the only aspect of marketing mix that creates returns or produces profits. Price can also be defined as the perceived value derived by consumers of a product or service from the purchase of it or the sum of the value that consumers exchange for the benefits of having or using the product or service (Kotler and Keller 2006). Furthermore, price is a crucial product-positioning fact or that defines the products market, competition and design. The intended price determines what product features can be offered and what production cost can be incurred. There are different strategies that can be used by companies to price various products based on different reasons. Setting prices too high could amount to an abrupt reduction in sales, while setting prices too low could also cause a reduction in profits. The most appropriate strategy depends on how the product is positioned. A product could be positioned as being of premium value with a high price adding to the way it is perceived, individual products could be positioned high or low with consistent pricing across a product range, different strategies could also be appropriate at different stages in the life cycle of a product and charging a fixed price across a range of products could also be an a appropriate strategy. Charging fixed prices makes it easier for a company to predict its income. (www.is4profit.com) Pricing of a product can be determined in different ways, the company must however have decided on its own strategy for the product and this is however a direct function of its target market and market positioning that is past decisions on its market position. The diagram below illustrates the pricing strategies matrix. Price Skimming: This strategy is where a high price is charged because of substantial competitive advantage, the price is firstly made high, which offers an excellent initial cash flow to make up for high development expenses. If its a new product, with a competitive advantage, then consumers would definitely pay a premium to obtain the product offering excellent quality.(Adcock, Dennis 2001:267 ) .According to Kotler (1996), â€Å"the skimming price strategy is a high price which provides a strong margin but risks a depressed sales level†. The Ferrari price skimming strategy is because of its core benefit and to have a niche for itself in the market place. Premium Pricing: A ‘premium strategy uses a high cost, but offers superior product/service in return. (Adcock, Dennis 2001:264)This is used when a significant competitive advantage is present and high price is set because of the exclusivity of the product or service. The exclusivity of the fastest car model by Ferrari contributes to its premium pricing strategy. Economy Pricing: This is also known as no-frills, it is a low price approach where costs of production and promotion costs are kept to the lowest, that is the product or service would be set at its cheapest price. Economy pricing is a deliberate strategy for low costs. However, prior to the product launch, it is vital to decide the position/market share of such product. That position of the product is how it is distinguished in the market. A product that is solely dependent on price is likely to be helpless and prone to that compete purely on price is helpless and prone to attack from more established products. (Adcock, et.al. Dennis 2001:2006). According to our research, Ferrari automobile does not use this pricing strategy. Penetration Pricing: This is when the price for a product or service is firstly set low in other to have a price advantage to gain a large market share for penetration of the market. Once a deep access to the market share is attained, the prices would raise. According to our research, Ferrari automobile does not use this pricing strategy. Versioning/Price discrimination: This strategy charges customers different prices for the same product/service .The company (sellers) segments its customers based on their different attributes and charges each group a different price. This contributes to the various models of automobile designed by Ferrari in order to satisfy the quest of every vrsion of the customer need. (www.AINI.com 2008). Bundle Pricing: This is where the seller combines several of its products and offers the bundle at a reduced price(Kotler.et.al 2006) Geographical Pricing: This strategy is applicable where diverse prices are charged according to locations either different parts of the country or different parts of the world. It involves the modification of the main price list based on the geographical location of the buyer. It usually takes into consideration the transportation costs to different locations. 4.2.1 Recommendations for the Pricing Mix Because of the recent global recession, consumers are not willing to spend on luxury goods to be saturated as many consumers perceive the product as a premium product; Ferrari can therefore produce the different model of automobile that can suit different set of people and also at various ranges of prices for its to compete like other competitor like Toyota, Honda, Ford etc at the marketplace. Place Place can also be referred to as the distribution channel which is used by producer or service provider to reach the indented target market. There is need for producer to make its products available in adequate quantities, in convenient locations and at times when customers want to buy them. It is important that producer need to consider not only the needs of their ultimate customers but also the requirement of channel intermediaries, that is those organizations or agents that facilitate the distribution of product to customers. Establishing an appropriate channel of distribution is critical for marketing success. (Jobber 2007:679). To achieve a fully effective marketing mix the element of place is to be studied, this element can be referred to as distribution. Distribution channels are the links that connect marketing organizations together and are used to transfer products from distributor to end consumer or final markets. DIAGRAM 6:DISTRIBUTION CHANNELS FOR CONSUMER PRODUCTS (Jobber, 2007:682) The different types of distribution channels are: Direct channels which link the producer directly to the consumer, Indirect channels which vary in length depending on the number of intermediaries, and Hybrid channels. Direct Channels- This form of links does not always happen in Ferrari sales of cars except when the car is to be built customised for the customer in question. This is a gives a direct relationship between Ferrari and the customer. Intermediaries These can vary from sales representative, agents, merchants, wholesalers, retailers, dealers, distributors and franchisee. Their basic roles involve reaching customers at a lower cost per unit than the supplier can achieve directly. Other responsibilities of intermediaries could include stockholding costs, transport and delivery to final customers, breaking bulk and consolidation of orders, and providing local services such as display or after-sales service. Producers must meet intermediarys needs as well as the final customers needs, in some markets; intermediaries may lead the market and promotional effort. Producers put an effort to keep the end customers aware of their intermediarys locations. Disintermediation: The channels efficiency is improved and the cost is cut down by eliminating some layers of the distribution channel. ‘Among the decisions then to be taken is the important one of how products will reach customers. Unless the channels of distribution are appropriate for the type of product and are efficiently operated., even intrinsically good products can end up as failures . . . it is worth spending a considerable amount of time and effort in evaluating alternative ways of ensuring that the channel eventually selected will make its full contribution to the marketing mix. (Chisnall 1995) Ferrari has been able to improve accessibility to their customer by using intermediaries to retail their products all over the world. This shortens the location and time gap between the actual company and its end users. Ferrari also provides some products that provide specialist services. Intensive, selective and exclusive distribution channels ‘Digital technologies are changing the face of distribution. For example, the Internet has changed the distribution of music and video (downloads). And also ‘Mobile networks permit the distribution of such products as music, video and ringtones. In business-to-business markets customers can place orders, receive quotes and track deliveries over the Internet† (Jobber 2007). Exclusive availability, a consumer characteristic that highlights the interest of the consumer to obtain the product individually with a sense of uniqueness is seen with the ability to customize different cars parts to the taste of the customer. According to Adcock (2001) â€Å"any purchase decision made by a customer can be helped by making the products available where potential buyers can find them† (Adcock et al. 2001). Products may be offered directly to the final customer or through a chain of distributor(s), this is also known as the channel choice. The Internet Dynasty The elements limitations have changed with the introduction of the internet market place, the ability to reach customers on a global scale are what multinational firms aim for, putting all their resources and capabilities to ensure that consumers all over the world are able to get their hands on their products. Though the internet has many negative attributes in the minds of many consumers, it still accounts for a large share of Ferrari product enquiries and sales magnitude. Customers are able to receive the same quality of service and even the additional advantages from the comfort of their home. Promotion Promotion could be defined as a way of communicating or passing across of information about a particular product to the public. The major goal of promotion is to notify the public about the product, the benefit of the product and the use of the product (Jobber 2007). Promotion could be classified into 2 categories: Technical promotion: It involves the use of technical presentation of data on the product or service to attract and persuade the potential customer of its merit by using magazines, researched papers, trade conferences, exhibitions, online adverts e.t.c Consumer promotion: It involves devices that promote the product with developing any fundamental relationship but may be effective where customer loyalty is low or especially when a new product is being introduced (Richard lynch 2006: 174) The main task and challenges of an organisation is to combine both technical and consumer promotions to attract and satisfy customer needs and want respectively (Keller and Kotler 2006: 383). The various modes of promotion include the following; Advertising Ferrari will hold a successful position on both magazine and television advertisements and will focus on: The target market (teenagers, young adults, car racers, young and rich customers etc) The frequency of the target market exposed to the advertisement Time to attain the target market On achieving these, it adds value to their product. This is done by alteration of the consumer perceptions. Below-the-line Promotions Car exhibition shows are availed free to make the customers purchase the product. This is the direct method used by Ferrari. This will allow the individual and prospective customer to have a firsthand feel and knowledge about the products. Television-this is a means of communicating to the public through the use of cable television, that is different television stations. This particular medium composes the majority of the media mix. Internet-the high rate of the internet user around the globe has made Ferrari to use the internet as a means of their advertising. Ferrari has launched a website, developed by AKQA, featuring a virtual test drive of its new California model, which will be launched publicly on 2 October 2009 at the Paris Motor Show. Users can watch videos from last weeks industry launch in Maranello, as well as embark on a virtual test drive using footage from Sony PlayStation game Gran Turismo. Hear, See and Feel areas allow visitors to experience the look and sound of the car (source: www.ferarri.it) Magazines-this is another means of advertising been used by Ferrari, this medium is been used to target a particular class of the public b