Yakult Company: Challenges and Their Management

Topic: Business Analysis
Words: 1076 Pages: 18

Yakult Company is engaged in the production of fermented milk drinks, which have a well-deserved reputation around the world. Moreover, the company distributes not only these products but also supplements to the basic diet, such as, for example, a green health drink or pea tree extract. The Yakult brand also produces products for athletes, such as amino acid complexes or preparations with ornithine for energy. However, despite the success, the company continues to face problems of various kinds. These may be problems with the discrepancy in the quality of raw materials for the production of products, insufficient justification for the use of ingredients and their effectiveness, or the usual strategic problems that do not allow the company to fully grow and develop.

Any company, in its work, in order to achieve the best results, uses various resources of a particular market. Before using them, the company must conduct specialized detailed studies, including an analysis of resource requirements, supplier characteristics, and competence. Moreover, an important role is played by the ability to have the level of access and interaction with competitors, and it is also important to assess the substitutability of a particular resource. Using this approach in the strategy, the company can establish the degree of competition within the industry. In addition, it has the opportunity to identify those niches of the industry in which it will be most successful and will be able to make sufficient profit.

In order to properly manage resources, it is necessary to understand the processes that are important for engagement. In addition, an analysis of how a particular raw material is used and distributed on the market is included. This aspect includes trends in the purchase of various kinds of resources, products, and their delivery. The first is the main element for the formation of the entire policy strategy of this section of the enterprise. In addition, it is of particular importance to limit resources and predict their distribution based on their needs and customer requests. Such a factor of the organization’s activity as project resource planning is also presented as an integral part of the company’s functioning. It includes determining the time requirements for resources and is the basis for planning their supply. It also consists in establishing the correct and rational distribution of already purchased raw materials.

The external positioning of a company can also become a decisive factor in shaping its competitiveness. This is due to the fact that at the present stage of the development of the sour-stripe market, there are a large number of different brands, each of which creates a good product in its own way. Buyers, in turn, tend to be the more popular of them, who have positioned themselves correctly for the right reasons. Thus, the positioning makes it possible to distinguish the organization and its products from competitors and make them attractive to consumers. The main idea of this policy is to focus on a more profitable offer. One of the most widespread positioning policies is considered to be positioning according to the characteristics of the product. Its main goal is to balance the quality of products with the needs and desires of customers. Two or three advantages are sufficient to achieve the desired result. Their overabundance can lead to vagueness and misunderstanding on the part of buyers. The most important of them, in the case under study, maybe the quality of resources and price.

The achievement of distinctive resources contributes to the creation of a significant advantage. This happens with the help of combining the qualifications and resources of the company, which have certain key properties that can be identified by analyzing the behavior of buyers. Such research is conducted to indicate the desires of customers and what they want to receive and see in the company. However, the creation of such a competitive advantage through these properties may not always ensure the importance of the company in the market. It is achieved when the company offers the buyer a product of such value that he will not be able to find from competitors. Having achieved an advantage with the help of unique resources, the organization is also given the opportunity to set higher prices for products and thereby have more profit.

Creating an advantageous and stable competitive position through the formation of distinctive resources is a guaranteed strategy for achieving success. In order to gain a privileged position among rivals, an organization must offer customers a product that meets their requirements and desires. However, in today’s market, there may be problems with this aspect since many companies have the opportunity to gain success in the industry in this way. This is due to the fact that organizations often copy each other, which creates a situation of uniformity of products. Thus, with increasing emphasis on the special characteristics and resources used to create a product, the competition between the companies intensifies. Moreover, the level of consumer sensitivity to price increases creates conditions for people to quickly switch from one company’s products to another.

In order to ensure a competitive position, the company under analysis must determine exactly for what purpose it carries out its activities and works in the chosen industry and what the final result should be achieved. At the same time, it is important to focus on the individual characteristics of the company, its resources, and the products that it produces and distributes. Their definition will help to effectively create a specialized working apparatus that helps in achieving success in the chosen organization of the industry for work. The company’s strategy, which is primarily aimed at increasing competitiveness, is the main component of gaining an advantage. Moreover, the collection and analysis of accurate data and the correct system implementation of the chosen policy play an important role.

The company can also modernize its ways of maintaining competitiveness by changing its action policy. It can resort to a strategy based on the best value of the product for the consumer. In the end, many studies have already proved that the main component of choosing a particular product is the relationship between good quality and reasonable price. The task of this approach is to have better costs and prices than competitors’ products. An attempt can also be made to apply a leadership strategy also based on low costs. This will allow the organization to become an affordable provider of goods that will be attractive to a larger circle of buyers.

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