Assignment First



沙冰和奶昔市场新进入者的威胁是温和的。这个行业是由很多玩家组成的,比如Tropicana, Coldpress, Happy Monkey和Innocent Smoothie。这些品牌具有很高的全球价值。他们以一贯的服务和质量赢得了客户的高度认可和忠诚。最重要的参与者是无辜的公司,它一直是英国最著名和最受欢迎的果汁品牌之一。他们是浓缩果汁、儿童冰沙和高品质冰沙的生产商,高品质的冰沙分布在整个欧洲(2012年无害饮料)。由于缺乏品牌知名度和昂贵的广告宣传活动,新进入者很难与现有公司竞争。现有的连锁店拥有资源,可以利用这些资源通过价格促销进行有力的报复,阻止新进入者进入这个行业。新公司也缺乏规模经济,而现有公司享有规模经济,它们可以利用这些规模经济在这个高营业额和低利润的行业中保持竞争力。然而,随着社交媒体和网站作为一种营销工具的出现,为那些能够高效、廉价地传达信息的新公司创造了一个公平的竞争环境。社交媒体也确保了固定成本和资本支出保持在低水平,从而鼓励新参与者进入市场(Datamonitor 2012)。



The multinational companies in the food and drink industry must comply with the country specific legislations and regulations. The regulations of UK that the food and drink companies must complywith, are the National Minimum Wage Regulations and the regulations related to employment, taxation, and the opening hours. The firms must also comply with FDA (US Food and Drug Administration) standards very often. The authorities in UK are also getting increasingly worried about the obesity of the children with the industry and must have regulations tightened with regards to the targeting of the children. Thus, Happy Monkey should comply with those statutes and regulations, if it wants to keep distance with legal cases filed against them with potential disruption or even stoppages in their production.
The threat of new entrants in the smoothie and milk shake market is moderate. The industry is consisting of a number of players, such as, Tropicana, Coldpress, Happy Monkey and Innocent Smoothie. These brands are global with very high values attached to them. They command strong recognition and customer loyalty with consistent service and quality. The most important of the players is the Innocent company that has been one of the most renowned and popular juice brands in UK. They are the producers of thickies, kids’ smoothies, and quality smoothies with high quality and distributed in all of Europe (Innocent Drinks 2012). There is struggle for the new entrants to compete with the incumbent firms as there is little brand awareness along with expensive advertising campaigns. The established chains are having the resources that can be used to aggressively retaliate with pricing promotions that deter the new entrants from entering this industry. There is also lacking of economies of scale with the new firms and enjoyed by the incumbent firms which they can utilize to be remaining competitive in this industry characterized by high turnover and low margin. However, with the advent of the social media and websites as a marketing tool, an even playing field is created for the new firms that are able to communicate their messages efficiently and inexpensively. The social media has also ensured the fixed costs and the capital outlay to remain low that encourages the new players to enter the market (Datamonitor 2012).
The threat of substitutions has been moderate. There is ready availability of substitutes as various kinds of drinks are available everywhere, through retail or the foodservice. However, the factor of convenience that has added value to the product has the reducing effect on the threat of substitutes. The consumers can get the products like Happy Monkey cheaply and conveniently. For example, a substitute of smoothie is the fresh juice. The fresh juice is available only in the food joints and restaurants that make the availability of the juices scarce and prices high. The soft drinks like Coca Cola are partial substitutes that can compete with smoothies in price and the convenience. However, the soft drinks will lack in the value option as it is devoid of nutritional value that smoothies and milkshakes offers.