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Nestlé Kitkat In Japan (A) Case Solution & Answer

Nestlé Kitkat In Japan (A) Case Study Analysis

Question 1

The consumer demand in the Japanese confectionary market is known as the toughest consumer market in the world when it comes to the satisfaction level of the customers. The evidence of this statementare drawn from the annual gross revenue of 7.7 billion dollars in  2008. In addition to it, more than 200 competitors make their attempts to secure dominant positions in the Japanese chocolate confectionary market.In the sweetened confectionary market, the number of competitors are impossible to count. The consumer demand for chocolate in Japanese confectionary market is around 4 billion dollars, which represents 52 percent of the total 100 percent market shares of the confectionary market.

The ever-increasing demand from the consumer’s side represent that the Japanese market  possesses high consumer demand for chocolates. The chocolate market in Japan, has grown exceptionally after the Second World War.The consumption pattern is constant for Japanese citizens since the year 1980, which is the consumption of around two kilogram chocolate per person annually. Besides it, the rate of chocolate consumption in Japan is lower than the rate of chocolate consumption in its western counterpart. The annual consumption in Japan ranges from1.5 to 1.9 kilograms per person annually.(Sossna, 2017).

The consumer behavior of the chocolate confectionary market in Japan is quite unique, as the consumers in Japan demand less-sweetened chocolates that come with small sized packages, which they consider as an appropriate serving of chocolate for one person, making it an entirely different concept than the one which is present in the western countries. In the western countries, the chocolates are served in bigger serving size than what is preferred in Japan. The chocolate confectionary industry in Japan has a shortage of foreign chocolate brands, which makes it very difficult for foreigners to find their favorite chocolates in the Japanese martseasily. In addition to this, Japanese consumers demand well packaged products, which must be tiny, neat and clean.

Question 2

Contribution with all inclusive markets has demonstrated the lack of caution in foreseeing a locally viable advancing systems into external conditions. Nestle uses a multi-nearby exhibiting philosophy to alter the division,by having itsconcentration on the arrangement of the thing to points that contrast from one country to another. There is an unpredictability of multi-private displaying, in accordance to which exercises in every country must be encouraged and unsurprising tantamount to each other.

Division:

Fittingly dividing the people suggests apportioning people according to the homogeneous social events, which makes it less complex to perceive their necessities and requirements. The division should be conceivable in a couple of various ways. As demonstrated by Vishwajeet Prasad: in the concentrated strategy, one firm chooses to focus on one of out of a couple of parts that exist, while leaving other areas for contenders…………………………….

 

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