INTRODUCTION

Who are Just Us Café?What is Fair trade?

Main issuesMore competition in the market.Methods needed to attract more customers.Potential SolutionIncrease power/make it difficult for new entrants.Joint venture/franchisingIncrease marketing

Political: Government is in support of fairtrade.

Economical: Financial crisis will lead people to look for cheaper coffee and close substitutes.

Consumers more interested in environmentally friendly products (local products)

Social: People becoming more interested in ethical products.

Technology: No E-commerce/E-marketing

The strongest force come from competitive rivalry.

The market is attractive.

Low barrier to entry therefore, high threat of new entrants.

High customer power Low supplier power Commodity -high

threat of substitute

StrengthsGood brand nameBelief in ethical businessHigh quality products

WeaknessHigh price of productNot up-to-date with technologyLack of proper experience/expertise.

Opportunities More fair trade

products, hence Just Us can expand.

E-commerce

Threats High Competition Move by consumers

towards lessening the carbon footprint of foods.

Summary of Environment Analysis

There is high opportunity for JU to expand the market new technology application people concern about ethical issues

However, there are challenge from : Competitors New entrants Substitute

In order to success Ju need to overcome challenge and take advantage of opportunity.

Cash cow: cocoaStar: coffee,teaProblem child: sugar

BCG

Advantage Show the analysis of

the products in term of market share and growth

Show which products should be focused on

Remove or reduce "Dog" products

Disadvantage There is no concern

about profit margin Ignoring the life cycle

of products "Dog" may have

potential or higher profit margin than "star"

Coffee & Tea are at growth stage

Cocoa is at maturity stage

Sugar is at maturity stage

How to increase performance?Good customer service=quicker turnaroundRenovation of coffee shopsEvents and exhibitions to keep the customer aware and informed about fair trade and Just Us products.

PromotionsLoyalty cardsCustomer relationships

Loyal customer base

Price, Product, Place, PromotionProduct: widen product rangePrice: reduce price of products to get more customers.Promotion: more advertising in large scale.Place: on-line sales, more outlets

Segmentation: other segments other than that of young people should be targeted.

Targeting: Expand target to older people

Positioning: Standardized products and services.

STP Analysis

Lower the price- reducing cost Promote the branch through internet Improve the quality Enter new segment and increase

customer base

All of the choices will cost a lot to invest for development.

Market penetration Promote through media

Market development Jointventure