3-5 page paper

Hippie Juice is the name of My NAB Company. I think having a non-alcoholic wine is a great idea. I love the taste of wine, but I don’t like to drink. I want to give people the alternative to wine but without the alcohol.

Develop your company’s Mission Statement

Mission Statement- To offer a fun and exciting product with a variety of flavors made from the highest quality ingredients that promote happiness and well-being. This is meant to ensure that the organization not only looks at how to achieve its profitability but also, considers the need to satisfy all its consumers.

Trends in the non-alcoholic beverage industry

The nonalcoholic beverage industry has emerged to the most significant growing sector in the beverage industry (Sandbolm, 2005). Competition from other nonalcoholic drinks may lead to organization efficiency or failure in some cases. The increase in the number of beverage brands is realizable. There is a need for organizations not to remain static on one brand, but ensure that they are in the forefront of setting the pace for other industries through significant innovation. I have chosen this type of nonalcoholic wine for three basic reasons. First, very few organizations have tried to make nonalcoholic wine and convince their consumers that the brand is pure. Secondly, it is much easier to relate such beverage and the trends it adopts in the market with other drinks, both alcoholic and nonalcoholic. This way, people’s preferences can be clearly gauged. Finally, it is because of the increased innovations in the nonalcoholic beverage industry. Various organizations are trying their level best to implement specific technological aspects, to please their customers.

Especially the specific type of beverage category you have chosen. Justify at least three (3) reasons why you have chosen this type of non-alcoholic beverage.

Strategic position

Hippy juice is bound to emerge the best in the industry. Consumers, however, need to be given a reason to identify with this brand and shun the other nonalcoholic beverage drinks. For instance, Hippy Juice is a very rare brand in the market. Consumers have for quite a long time, not been introduced to nonalcoholic wine (Bohm, 2010). The taste of wine is desired by many. Hence there is a need to let buyers identify with the commodity. To ensure this, there is a need to embrace differentiation for the brand. Making it distinct from other nonalcoholic drinks would be the best idea. This could be done through significant promotional methods and repackaging the brand to make it easily recognizable.

The company's distribution channels.

Organization distribution channels end up determining its success or failure. This is the determinant of the sales amounts of an organization. The Hippy Juice is intended to reach all kinds of consumers. The target market for the organization is restaurants and retailers. To facilitate this, I see the need to implement the four level distribution channel. This way, an involvement of the producer, the agents, wholesalers and retailers and finally the end consumer is necessary. With this form of the distribution channel, the commodity will always be available at different sectors in the market. Online product distribution will also be an appropriate way.

Types of risks

Organizations are bound to face specific risks, in the course of their daily business operations. Hippy juice may face regulatory risks. The risk of noncompliance with regulatory requirements may land the organization in trouble with the authorities. To counter this, the entity plans to specifically comply with all requirements and reduce legal encounters. Another risk is the strategic risk for the company. This is the risk that arises as a result of poor business decision making and operational ineffectiveness. To mitigate this, management is required to make decisions based on the correct and relevant information. Finally, market risk is the risk which occurs when the trends in the market do not favor the organization. In this case, market prices may fluctuate for example due to inflation. This can be mitigated through proper forecasting, to enable the organization to be ahead in predicting market situations.

SWOT analysis

Strengths and weaknesses

The strength of this organization is that the nonalcoholic beverage sectors were growing at a higher rate. I have also managed to discover the market niche and therefore, consumers will be provided with what lacks in the market for their satisfaction. With the experience in the food and beverage industry, venturing into the nonalcoholic wine business is a complete advantage to the organization. Weaknesses include; increased regulations and requirements with regards to the beverage production and more so, the inability of the government to offer patents to protect the organization's brand.

Opportunities and threats

The company's products have increased demand in the market which makes sales completely high. Few organizations enter into the nonalcoholic beverage industry, and this gives the company a chance to prosper (Hartline, 2002). The weakness is that fluctuations in the market tend to affect organization profitability. This uncertainty is not good for the business.

References

Sandbolm, H. (2007). Operations Research: A Model-Based Approach. New York: John Wiley and Sons

Bohme, A. (2010). SWOT Analysis. Norderstedt: GRIN Verlag publishers.

Hartline, M. (2002). Elements of SWOT. London: Cengage Learning.

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