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Fanta – college essay

GE Matrix Step 4 Accessing Industry Attractiveness Fanta Hong Kong Criteria | Weights | x Ratings | = Values | Market size| 0. 30 | 3 | 0. 90| Growth rate| 0. 20 | 2 | 0. 40 | Profit margin| 0. 25 | 2| 0. 50 | Market diversity| 0. 15 | 1 | 0. 15 | Industry profitability| 0. 10 | 1 | 0. 10 | | 1. 00 | 1 to 3 | 2. 05 | Fanta USA Criteria | Weights | x Ratings | = Values | Market size| 0. 30 | 3 | 0. 90 | Growth rate| 0. 20 | 2 | 0. 40 | Profit margin| 0. 25 | 2 | 0. 50 | Market diversity| 0. 15 | 1 | 0. 15 | Industry profitability| 0. 10 | 2 | 0. 20 | | 1. 00 | 1 to 3 | 2. 5 | Fanta Japan Criteria | Weights | x Ratings | = Values | Market size| 0. 30 | 2 | 0. 60 | Growth rate| 0. 20 | 2 | 0. 40 | Profit margin| 0. 25 | 2 | 0. 50 | Market diversity| 0. 15 | 1 | 0. 15 | Industry profitability| 0. 10 | 2 | 0. 20 | | 1. 00 | 1 to 3 | 1. 85 | Fanta China Criteria | Weights | x Ratings | = Values | Market size| 0. 30 | 3 | 0. 90 | Growth rate| 0. 20 | 2 | 0. 40 | Profit margin| 0. 25 | 1 | 0. 25| Market diversity| 0. 15 | 1 | 0. 15 | Industry profitability| 0. 10 | 1 | 0. 10 | | 1. 00 | 1 to 3 | 1. 80 | ** “ 1” denotes very unattractive; 3” denotes very attractive. For the country which gets the highest value of attractiveness, we have got a result after the calculation, and the winner is Fanta USA. According to Appendix w1 to w2, USA have around 300 million people in 2010, and will has a large growth rate in the future, in addition, western people are more prefer these types of drink than Chinese’, so USA can have the biggest market against other country. Moreover, because of the biggest market, Fanta USA can have the highest profit margin, and this is profitable to the company.

To conclude, USA should be the most attractive market and would be worth to invest. Accessing Business Strengths Fanta Hong Kong Criteria | Weights | x Ratings | = Values | Market share| 0. 30 | 3 | 0. 90 | Raw material cost| 0. 10 | 1 | 0. 10 | Breadth of product line| 0. 20 | 1 | 0. 20 | Advertising and promotions effectiveness| 0. 15 | 1 | 0. 15 | Sales/distribution effectiveness| 0. 25 | 2 | 0. 50 | | 1. 00| 1 to 3 | 1. 85 | Fanta USA Criteria | Weights | x Ratings | = Values | Market share| 0. 30 | 3 | 0. 90 | Raw material cost| 0. 0 | 1 | 0. 10 | Breadth of product line| 0. 20 | 2 | 0. 40 | Advertising and promotions effectiveness| 0. 15 | 2 | 0. 30 | Sales/distribution effectiveness| 0. 25 | 2 | 0. 50 | | 1. 00| 1 to 3 | 2. 20 | Fanta Japan Criteria | Weights | x Ratings | = Values | Market share| 0. 30 | 2 | 0. 60 | Raw material cost| 0. 10 | 1 | 0. 10 | Breadth of product line| 0. 20 | 1 | 0. 2. | Advertising and promotions effectiveness| 0. 15 | 2 | 0. 30 | Sales/distribution effectiveness| 0. 25 | 2 | 0. 50 | | 1. 00| 1 to 3 | 1. 70 | Fanta China

Criteria | Weights | x Ratings | = Values | Market share| 0. 30 | 3 | 0. 90 | Raw material cost| 0. 10 | 1 | 0. 10 | Breadth of product line| 0. 20 | 1 | 0. 20 | Advertising and promotions effectiveness| 0. 15 | 2 | 0. 30 | Sales/distribution effectiveness| 0. 25 | 2 | 0. 50| | 1. 00| 1 to 3 | 2. 00| ** “ 1” denotes very week competitive position; “ 3” denotes very strong competitive position. After our calculation, the country that gets the highest values of the business strength is USA, which can affect by some factors.

Firstly, according to appendix w3, it has a high breadth product line, customers can enjoy many types of Fanta drink. Also, according to appendix w4 to w6, Fanta has many advertising means, such as Facebook, and YouTube, moreover, it provide the mini game to the people. To summarize, the above can make Fanta USA to have the victory against other country market. Industry Attractiveness High Medium Low | | | | USA | China | | Hong Kong | Japan | High Business Strength Medium Low

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