Politics Essay Example | Topics and Well Written Essays - 4500 words - 1

Politics - Essay Example Succeeding the steamed powered mechanization of industry and transport is the electrification of industry, transport and home. Electricity is seen to be a radical technology in three ways: â€Å"First, it was closely related to scientific activity, as no technology had been before†¦The second characteristic of electrical technology was its generic nature. An example of this generic nature is the fact that electric power was used as an input for a range of industries, as well as playing an important role in the emergence of the chemicals industry which introduced completely new products and processes of production. Third, the generation of electricity used different inputs (steel and coal) from earlier technologies, thereby encouraging the growth of these sectors as well† (Simonetti,337-375). The rise of the two countries USA and Germany started in this revolution. â€Å"By the end of the nineteenth century, Britain had a well-developed educational system, a system of production based on family firms, a financial market developed around the financing of trade and large investments (joint stock companies), a strong patent system, and an empire of colonies that could serve as markets for its growing industry. The leading sectors of the economy consisted of a range of consumer goods industries, notably, textiles, metalware, paper, food, watches, and some producer good industries such as shipbuilding and textile machinery. Its industrialization and urbanization had begun before the emergence of the railroads† (Simonetti, 347). â€Å" â€Å"However, the situation was quite different in the USA and Germany. Following the completion of the Union after the American Civil War (1861) and the unification of Germany (1871), both economies had large domestic markets. In both cases, railroad investments were made to connect the different parts of the country, and both economies enjoyed the benefits of a continent-wide system of transportation by

Training Manuals at Strident Marks Essay Example | Topics and Well Written Essays - 500 words

Training Manuals at Strident Marks - Essay Example Through its IPO, the company exposes itself to public scrutiny and speculation. The company's decision to venture into other profitable products further requires a finance department which will ensure that only those lucrative investments are pursued. Thus, the role of its finance department becomes more emphasized. The training module which will be given to members of that functional area should be designed so as to guide the new employees in conducting valuation analysis. It is recommended that the training module be composed of three distinct parts: the role of the financial department in attaining the goals and objectives of Strident Marks; the different valuation techniques and their applications; and including qualitative issues in valuation analysis. This paper believes that in order for the employees to appreciate their jobs, they should be able to place themselves within the organization. It is imperative that the training manual shows especially to the new employees their essential role in the organization. Doing this will further boost the morale of the employees and motivate them to do their jobs. Seeing one's place in the organization will enhance the commitment of employees specially the new ones. The next two parts will be the

Lan Yu Essay Example | Topics and Well Written Essays - 500 words

Lan Yu - Essay Example In this movie, Chen Handong who is a successful businessperson takes Lan Yu home with him just to have fun. He is clear that all he wants to do is have fun and they will eventually break up. In our society today such is the trend for the opposite gender couples. They are in it for the fun and not the relationship. Lan Yu falls in love with Handong but he finds out that the man is cheating which is the case for opposite gender couples. All form of couples can cheat and this is no different for the gay couples (Kwan, Lan Yu). Make-ups and break-ups are prevalent in opposite gender couples. People break-up and later in life, their paths cross and they decide to try it again. This is no different for the gay couples as seen in this movie. Handong is worried that Lan Yu has been caught up in the violence in Tiananmen Square and looks for him. This was after their first break-up and he takes him back. When anyone wants to settle they may have doubts about their current partner and this may spill over to refusing to settle down or changing the partner. This is an experience that is faced by both the opposite gender couples and gay couples. Handong has an affair with Jingping because he is not sure if he wants to settle down with Lan Yu (Kwan, Lan Yu). The movie Lan Yu has depicted homosexuality as a socially accepted norm where Lan Yu and Handong’s sister hold a welcome-home party for Handong. Hangdong’s family shows great support for the couple’s relationship. The real situation in china is different. Families due to the following reasons do not support LTGB groups in this country. According to tradition, a man must marry the opposite gender in order to have children, which is considered a very important aspect of life. The wife is also supposed to care for the husband and thus many families do not allow this kind of marriages or relationships to exist. Socially this is not acceptable and most families do not support the idea of one marrying

Antology Essay Example | Topics and Well Written Essays - 1500 words

Antology - Essay Example Because the African slaves lacked conventional means through which they could express their feelings about slavery and the pain that they were going through, as well as the kind of kind of suffering and torment that they were put through. There are many aspects about the slavery that remain unknown, most of which are contained in the content of these poems. One false impression about the slavery then was that Africans lost all of their ties to their homeland in Africa, and that they gave up their culture to take up the new culture of the Americans. Many of the people associated with anthology poetic work assume that editing journal is a mere and easy work as far compilation, conceiving and organization facets is concerned. As a scholar and an academia, compilation of any anthology work does not earn you any reputation when consideration of original essays articulated. Anthology is organized an accompanied by poetry multitude abound. An anthology however is a collection of various poe ms from different poets, analyzing a common norm. Anthology poetic contains an aspect of long distance running and typically usually depicts the interest of people with diverse and special interest in this discipline. From perspective point of view, an anthology is termed as an organized chronological aspect portrayed in culturally manner as well as thematically. However, some of the anthology poetic work entails best known, best loved as well as most of the influential poets analyzed and articulated in several languages. The anthology is one of the poetic works that is based on the cultural norms and this norm repeats their selves over and over. Teachers as well as anthologies use anthology poetic work to analyze array of styles as well as voices for the purpose of understanding to their students. According to the research from various scholars, various anthology collections are kept thematically, which is whimsically and organized in a clear manner. Anthology poetic contains an as pect of long distance running and typically usually depicts the interest of people with diverse and special interest in this discipline. The appropriateness and themes incurred within the anthology poetic works is believed to be associated with organized principals, characterized by voices ranges and entailing visions of most appropriate artistically works of anthology. Due to the prevailing technology, many people globally have been introduced to incredible cultural and artistically riches. This has resulted to the growth of this discipline at large hence increasing the number and compilation of anthology poetic work as well as its rate for publication. It has been simplified nowadays that when one visit any poetry bookstores section will be able to access several poetry collections of poetry written on the basis of political activists, folklorists, islanders, or any number of other offerings. Many of these collections celebrate poetry written or beloved not by academics but by peo ple with more common roots, which many contemporary lovers of poetry consider a plus. Meanwhile, thematic similarities are observed from diverse poetic works with organizing principles. More so, number of opposing views or unrelated experiences is becoming increasingly popular as a way of inviting readers to consider that a narrow viewpoint doesn’t invite understanding. A poetry anthology that gathers poems written by Arab and Jewish poets, for example,

Advantages of Public Transport Essay Example for Free

Advantages of Public Transport Essay Public transport can be defined as a system of vehicles such as buses and trains which operate at regular times on fixed routes and are used by the public . In Malaysia , the number of vehicle on the road has been increased in every year . It shows that the public now is affordable to have at least a motorcycle as their daily transport rather than use the public transport. The public should not use the public transport because the risk of being the criminal victim will increased , the people need to wait a long time for the public transport and the public cannot have comfort in their journey to their destination . Firstly , the disadvantages of using public transport is the risk of being the criminal victim is high . Many criminal case is being reported is causes when the public using this kind of transport . Raped and snatch crime is the most common cases that causes by the public transport . As example , when a woman used the public transport such as bus lonely , she will sit beside someone that she do not know the background,behavior or its intention to her . It is also dangerous when a person in a crowded train, many people aroud her will take advantage to snatch her wallet unconsciously. In addition , when using the public transport , people cannot have a comfortable journey to their destination . Some of the public transport such as bus is usually dirty and smelly . It will make the passenger uncomfortable due to that condition instead they using their own car . Beside that . hen there is too much passenger in a train or bus , it is impossible to have a seat although they pay same fare as well as other people. Some special people such as disabled person and old folks may be treated bad when they are in the public transport . Moreover , the disadvantages of using public transport is the people need to wait for a long time to have a bus or train . People will waste their time during they waiting for the public transport instead they used their own transport to go whenever they desired anytime . As example , when a person is having an emergency such as death in the family while he using a public transport , it will be take a long time for him to reach his destination on the time . However, there is an advantage when using the public transport in which it will prevent the environment from pollution such as air or land . Furthermore, when using the public transport , the traffic jam in a city also can be reduced at the same time because the causes of the traffic jam is when there is too much vehicle entering the city. When there is too much vehicle , the percentage or risk of an accident to occur is also high. As the conclusion , the usage of public transport is more contributed to the disadvantages to us. People should emphasize and realize that when they using the public transport ,risk of being the criminal victim will increased , the people need to wait a long time for the public transport and the public cannot have comfort in their journey to their destination.

Monopoly - economics Essay Example for Free

Monopoly economics Essay In this chapter, look for the answers to these questions: ? Why do monopolies arise? ? Why is MR P for a monopolist? ? How do monopolies choose their P and Q? ? How do monopolies affect society’s well-being? ? What can the government do about monopolies? ? What is price discrimination? Economics PRINCIPLES OF N. Gregory Mankiw Premium PowerPoint Slides by Ron Cronovich  © 2009 South-Western, a part of Cengage Learning, all rights reserved 1 Introduction ? A monopoly is a firm that is the sole seller of a product without close substitutes. Why Monopolies Arise. The main cause of monopolies is barriers to entry – other firms cannot enter the market. Three sources of barriers to entry: 1. A single firm owns a key resource. E. g. , DeBeers owns most of the world’s diamond mines 2. The govt gives a single firm the exclusive right to produce the good. E. g. , patents, copyright laws 2 ? In this chapter, we study monopoly and contrast it with perfect competition. ? The key difference: A monopoly firm has market power, the ability to influence the market price of the product it sells. A competitive firm has no market power. MONOPOLY MONOPOLY 3 Why Monopolies Arise 3. Natural monopoly: a single firm can produce the entire market Q at lower cost than could several firms. Example: 1000 homes need electricity ATC is lower if one firm services all 1000 homes than if two firms each service 500 homes. MONOPOLY Monopoly vs. Competition: Demand Curves In a competitive market, the market demand curve slopes downward. But the demand curve for any individual firm’s product is horizontal at the market price. The firm can increase Q without lowering P, so MR = P for the competitive firm. 4 Cost Electricity ATC slopes downward due to huge FC and small MC ATC 500 1000 Q P A competitive firm’s demand curve $80 $50 D Q 5 MONOPOLY 1 10/23/2012 Monopoly vs. Competition: Demand Curves A monopolist is the only seller, so it faces the market demand curve. To sell a larger Q, the firm must reduce P. Thus, MR ? P. P ACTIVE LEARNING A monopoly’s revenue Common Grounds is the only seller of cappuccinos in town. The table shows the market demand for cappuccinos. Fill in the missing spaces of the table. Q 0 1 2 3 4 5 6 P $4. 50 4. 00 3. 50 3. 00 2. 50 2. 00 1. 50 7 1 TR AR n. a. MR A monopolist’s demand curve D Q MONOPOLY 6 What is the relation between P and AR? Between P and MR? ACTIVE LEARNING Answers Here, P = AR, same as for a competitive firm. Here, MR P, whereas MR = P for a competitive firm. Q 0 1 2 3 4 5 6 1 Common Grounds’ D and MR Curves P TR $0 4 7 9 10 10 9 AR n. a. $4. 00 3. 50 3. 00 2. 50 2. 00 1. 50 8 MR $4 3 2 1 0 –1 Q P MR $4 3 2 1 0 –1 $4. 50 4. 00 3. 50 3. 00 2. 50 2. 00 1. 50 0 $4. 50 1 2 3 4 5 6 4. 00 3. 50 3. 00 2. 50 2. 00 1. 50 P, MR $5 4 3 2 1 0 -1 -2 -3 0 1 2 3 Demand curve (P) MR 4 5 6 7 Q 9 MONOPOLY Understanding the Monopolist’s MR ? Increasing Q has two effects on revenue: ? Output effect: higher output raises revenue ? Price effect: lower price reduces revenue ? To sell a larger Q, the monopolist must reduce the price on all the units it sells. Profit-Maximization ? Like a competitive firm, a monopolist maximizes profit by producing the quantity where MR = MC. ? Once the monopolist identifies this quantity, it sets the highest price consumers are willing to pay for that quantity. ? Hence, MR P ? MR could even be negative if the price effect exceeds the output effect (e. g. , when Common Grounds increases Q from 5 to 6). 10 ? It finds this price from the D curve. MONOPOLY MONOPOLY 11 2 10/23/2012 Profit-Maximization 1. The profitmaximizing Q is where MR = MC. 2. Find P from the demand curve at this Q. Q Costs and Revenue MC The Monopolist’s Profit Costs and Revenue MC ATC P D MR Quantity As with a competitive firm, the monopolist’s profit equals (P – ATC) x Q P ATC D MR Q Quantity Profit-maximizing output MONOPOLY 12 MONOPOLY 13 A Monopoly Does Not Have an S Curve A competitive firm ? takes P as given ? has a supply curve that shows how its Q depends on P. A monopoly firm ? is a â€Å"price-maker,† not a â€Å"price-taker† ? Q does not depend on P; rather, Q and P are jointly determined by MC, MR, and the demand curve. So there is no supply curve for monopoly. MONOPOLY 14 CASE STUDY: Monopoly vs. Generic Drugs Patents on new drugs give a temporary monopoly to the seller. Price The market for a typical drug PM When the patent expires, PC = MC the market becomes competitive, generics appear. QM D MR Quantity QC MONOPOLY 15 The Welfare Cost of Monopoly ? Recall: In a competitive market equilibrium, P = MC and total surplus is maximized. The Welfare Cost of Monopoly Competitive eq’m: quantity = QC P = MC total surplus is maximized Monopoly eq’m: quantity = QM P MC deadweight loss Price Deadweight MC loss? In the monopoly eq’m, P MR = MC ? The value to buyers of an additional unit (P) exceeds the cost of the resources needed to produce that unit (MC). ? The monopoly Q is too low – could increase total surplus with a larger Q. ? Thus, monopoly results in a deadweight loss. P P = MC MC D MR QM QC Quantity MONOPOLY 16 MONOPOLY 17 3 10/23/2012 Price Discrimination ? Discrimination: treating people differently based on some characteristic, e. g. race or gender. Perfect Price Discrimination vs. Single Price Monopoly Here, the monopolist charges the same price (PM) to all buyers. A deadweight loss results. Price Consumer surplus Deadweight loss ? Price discrimination: selling the same good at different prices to different buyers. PM MC ? The characteristic used in price discrimination is willingness to pay (WTP): ? A firm can increase profit by charging a higher price to buyers with higher WTP. Monopoly profit D MR QM MONOPOLY 18 Quantity 19 MONOPOLY Perfect Price Discrimination vs. Single Price Monopoly Here, the monopolist produces the competitive quantity, but charges each buyer his or her WTP. This is called perfect price discrimination. The monopolist captures all CS as profit. But there’s no DWL. MONOPOLY Price Discrimination in the Real World ? In the real world, perfect price discrimination is not possible: ? No firm knows every buyer’s WTP ? Buyers do not announce it to sellers Price Monopoly profit ? So, firms divide customers into groups MC D MR Quantity based on some observable trait that is likely related to WTP, such as age. Q 20 MONOPOLY 21 Examples of Price Discrimination Movie tickets Discounts for seniors, students, and people who can attend during weekday afternoons. They are all more likely to have lower WTP than people who pay full price on Friday night. Airline prices Discounts for Saturday-night stayovers help distinguish business travelers, who usually have higher WTP, from more price-sensitive leisure travelers. MONOPOLY 22 Examples of Price Discrimination Discount coupons People who have time to clip and organize coupons are more likely to have lower income and lower WTP than others. Need-based financial aid Low income families have lower WTP for their children’s college education. Schools price-discriminate by offering need-based aid to low income families. MONOPOLY 23 4 10/23/2012 Examples of Price Discrimination Quantity discounts A buyer’s WTP often declines with additional units, so firms charge less per unit for large quantities than small ones. Example: A movie theater charges $4 for a small popcorn and $5 for a large one that’s twice as big. Public Policy Toward Monopolies ? Increasing competition with antitrust laws ? Ban some anticompetitive practices, allow govt to break up monopolies. ? E. g. , Sherman Antitrust Act (1890), Clayton Act (1914) ? Regulation ? Govt agencies set the monopolist’s price. ? For natural monopolies, MC ATC at all Q, so marginal cost pricing would result in losses. ? If so, regulators might subsidize the monopolist or set P = ATC for zero economic profit. MONOPOLY 24 MONOPOLY 25 Public Policy Toward Monopolies ? Public ownership ? Example: U. S. Postal Service ? Problem: Public ownership is usually less efficient since no profit motive to minimize costs CONCLUSION: The Prevalence of Monopoly ? Doing nothing ? The foregoing policies all have drawbacks, so the best policy may be no policy. ? In the real world, pure monopoly is rare. ? Yet, many firms have market power, due to: ? selling a unique variety of a product ? having a large market share and few significant competitors ? In many such cases, most of the results from this chapter apply, including: ? markup of price over marginal cost ? deadweight loss MONOPOLY 26 MONOPOLY 27 CHAPTER SUMMARY ? A monopoly firm is the sole seller in its market. Monopolies arise due to barriers to entry, including: government-granted monopolies, the control of a key resource, or economies of scale over the entire range of output. CHAPTER SUMMARY ? Monopoly firms maximize profits by producing the quantity where marginal revenue equals marginal cost. But since marginal revenue is less than price, the monopoly price will be greater than marginal cost, leading to a deadweight loss. ? A monopoly firm faces a downward-sloping demand curve for its product. As a result, it must reduce price to sell a larger quantity, which causes marginal revenue to fall below price. 28 ? Monopoly firms (and others with market power) try to raise their profits by charging higher prices to consumers with higher willingness to pay. This practice is called price discrimination. 29 5 10/23/2012 CHAPTER SUMMARY ? Policymakers may respond by regulating monopolies, using antitrust laws to promote competition, or by taking over the monopoly and running it. Due to problems with each of these options, the best option may be to take no action. 30 6.

Case Analysis Of Dippin Dots Marketing Essay

Case Analysis Of Dippin Dots Marketing Essay The case analysis of Dippin Dots utilizes tools such as Porters Five Forces Mode, Contingency Framework, SWOT analysis and Value Chain analysis to research Dippin Dots position. These tools have also been used to analyze its potential for the expansion of its franchises. From its inception, Dippin Dots has prided itself on being The Future of Ice Cream, but in recent years the company and the industry as a whole has been relatively flat. This case will review the issues as well as offer alternative solutions that might resolve some of the issues and issue recommendations that the company should consider. Introduction Dippin Dots is an ice cream snack that was created in 1987 by Curt Jones. This product was created by a patented six step flash-freezing process that uses liquid nitrogen. Currently Dippin Dots is operating over 400 franchise locations and is selling products such as ice cream, frozen yogurt as well as frozen ice (Dippin dots, inc., 2011). The company is currently utilizing the marketing slogan as its ice cream being Ice Cream of the Future Dippin Dots Inc. is a privately traded company meaning they do not offer or trade its company stock to the public or in the stock exchange. This company also has global licenses that reach to 10 different countries outside of the United States of America. Most of Dippin Dots are manufactured at their headquarters in Paducah, Kentucky. Dippin Dots believes that through its flash-freezing the ice cream ingredients would lock in flavor as well as freshness (More info, 2011). The company is home to the nations largest -50OF commercial walk in freezer. The once patented company lost its freezing process patent in 2007 through a series of lawsuits. This patent was deemed invalid because Jones had made over 800 sales of the product prior to applying for the patent (Dess, Lumpkin, Eisner, 2010, p. C209). Problem Statement Given the case study on Dippin Dots Ice cream a few problems have been identified. Firstly the company is faced with an issue of its previous customers becoming uninterested in the product. Secondly Dippin Dots has seen a significant reduction in franchising numbers since the year 2000. Finally the company is no longer the only company who offers flash-frozen ice cream. All of these factors have contributed to the recent stagnant growth of Dippin Dots. Through extensive research several recommendations will be made in this analysis to address the previously mentioned problems that Dippin Dots faced. Strategic Analysis Contingency Analysis Dippin Dots is facing an issue of whether or not they should continue to expand both its franchises in the midst of a flattened market or should it continue to reduce its number of franchises that it allows to operate. Dipping Dots can also expand into different markets with the most popular being the in-home ice cream market which it has stayed away from in years past do to the shelf life of the product. The contingency analysis below will analyze the different market conditions scenarios and the possible consequences and outcomes that the company might face. Market Condition Scenarios /Possible Consequences Market Continues to flatten out Market starts to grow/ Buyer spending increases Cut back on number of franchises globally Cutting back the number of franchises will cut down some of the overhead expenses for the company if the market continues its trend of flattening out This is the more likely of the two scenarios. If the company continues to cut back on the number of franchises that it has globally and the markets grow then it might not be able to handle the demand for that product which will give competition an advantage if they are better equipped. This is the less likely of the two scenarios. Keep number of franchises where they are This strategy will be more costly than the option to cut back the number of franchises like it has been doing over the past several years. If the market starts to grow then this will be a profitable option. While this decision is profitable the company must be cautious to not over expand in case the market shrinks again. Continue to expand in to different markets such as the in-home ice cream market If the market continues to react the way it is currently, this would result in a failure of entering a new target market. This new target market coupled with a growing market could prove to be one of the most profitable options for Dippin Dots. Value Chain Analysis The value chain analysis of Dippin dots is fairly typical. The different aspects that make up this analysis are its franchising opportunities, finance department and financial information, technical development, marketing and how it converts its traffic to buyers Franchising Dippin Dots, Inc. has very strict rules when it comes to its franchising opportunities. Dippin Dots offers two types of franchising opportunities: an event-based opportunity and a store-based opportunity. In 2008 the initial franchise fee was $12,500 just to be able to use the name. This also came with an initial investment range that topped out close to a quarter-million dollars (Book, p.c208). The companies website gives extra criteria in which owners must meet before they can become a franchise. A few examples of the criteria includes: the location has to be around great neighbors (beach, tourist areas, movie theatres or restaurants) and have great space (good visibility, strong mixture of pedestrian and auto traffic, must be within 800-1000 sq feet and have appropriate signage) (Dippin dots franchising, 2011). Finance Dippin Dots is a privately traded company which makes its financial records and information on its financial department virtually impossible to find. While researching financial information and information about the finance department, the only relevant information that could be accessed was that the director of finance is Sheri Dikin (Dippin dots, inc., 2011). Technical Development (R D) Innovation has always been the driving force behind Dippin Dots, Inc. Their Research and Development departments are constantly looking for the next big thing. New products, such as Coffee Dots, are hopeful in the efforts of Dippin Dots to return to the top of the innovative throne. Marketing Marketing could very easily be a strong point for Dippin Dots. Each of the companies 400 franchises place  ½% into the companies overall advertising fund (Dess, Lumpkin, Eisner, 2010, p. C209). While most marketing it targeted at youth, one set of marketing techniques proved to be highly successful. One thing that consumer value is the approval from celebrities. In 2008 Oprah Winfrey had Curt Jones on her show to talk about the product and after she tasted it, she gave Dippin Dots a thumbs-up approval (Horovitz, 2009). Conversion from traffic to buyers The bulk of Dippin Dots sales are based at what the company calls Fun Places. The organization classifies theme parks, major league sports venues and water parks (The original beaded, 2007). Dippin dots is also starting to be involved in on-line sales with the product being delivered in a cooler packed in dry ice. SWOT Analysis Strengths Weaknesses Innovative Product Brand Recognition Advertising Fund High Prices Limited places that the product can be sold Storage Issues Target Marketing Opportunities Threats In-Home ice-cream market Different forms of Ice-cream Competitors such as Frosty Bites and Mini Melts Strengths: The first strength for Dippin Dots is what made them famous, their innovative product. Dippin Dots has claimed to re-invent ice-cream (The original beaded, 2007). Innovation is has a great impact on consumers, especially when its based on a technology that hasnt been seen or used before. This was the case with the flash-freezing technique that Dippin Dots employed. Dippin Dots also has a brand recognition that gives them a slight advantage of its competitors. Being the market share leader in high profile locations gives Dippin Dots a brand that is viewed hand in hand with Fun Venues. Any franchise of Dippin Dots must agree to give one-half of one percent to the general advertising fun. This creates strength because with over 400 franchises worldwide, Dippin Dots advertises globally instead of having each individual store be held accountable for its own advertising expenses. This allows for the company to be more unified in its advertising efforts. Weaknesses: The first weakness of Dippin Dots is its extremely high prices. Prices range from an individual Pre-Packaged Dots for $2.50 to a 2.5 gallon tub for $50.00 (Check out dippin', 2011). These high prices are an extreme weakness since the market for ice-cream products as well as an overall buyer downturn in America. Coupled with high prices, Dippin Dots is weakened in the locations in which they can sell their products. The product has to be served at sub-zero temperatures, -10 to -20 to be exact. This makes it nearly impossible to be consumed unless it is near a retail location (Dess, Lumpkin, Eisner, 2010, p.c205). This also causes storage issues. Because of the fact that Dippin Dots can only hold it shape for roughly 2 weeks any type of inventory is virtually impossible. This means that if they dont sell their product it goes to waste within two weeks. Target marketing is usually a good thing and it is the first step in creating a marketing plan. For Dippin Dots it was act ually the opposite. Dippin Dots targeted a market that consisted of a younger demographic (The original beaded, 2007). Limiting your demographic, in this case, will also limit your profits. Some of Dippin Dots customers feel like they are being ignored and want something new to keep up with their claim of being the ice-cream of the future. Opportunities: This case only revealed one opportunity for Dippin Dots. Based on one of the companys weaknesses, the move from solely an out-of-home ice-cream company to one that encompasses in-home as well could be very promising as well as profitable. Exploring this market would be difficult based upon the shelf-life of the product, but if Dippin Dots was able to fix this it would add a convenience factor to the marketability of the product. For instance, if you wanted to curb your craving for Dippin Dots at 2am on a Sunday morning, the way the company was set up in the case wouldnt allow you to get any of their products. If there was some way to enhance their product to where it could be bought and frozen in a household freezer, the product becomes that much more valuable and convenient. Also based upon the 2008 numbers there is an $8.9 billion on ice cream products that were strictly for at-home consumption (Dess, Lumpkin, Eisner, 2010, p. c205). Threats: Dippin Dots faces a few threats based off of the information given in this case. The first threat is the presence of different types of ice cream. Most of the novelty ice creams could be found at local supermarkets and at a cheaper price. This brings into question, how willing is the buyer to be loyal to Dippin Dots when it can get the other types of ice cream wherever they desire. Secondly the competition from companies who offer the same flash-frozen ice cream is starting to become an issue. If companies like Frosty Bites are marketing its nitrogen frozen ice cream as The Ultimate Ice Cream Sensation and the failed lawsuit to halt Frosty Bites production, it will be hard for Dippin Dots to contain as much of the market share as it currently has (Mehl, 2004). Five Forces Analysis The reasoning behind Michael Porters five forces analysis is to be a model for industry analysis. This is done on an industry by industry basis because different industries can sustain different rates and levels of profitability. This analysis takes into consideration the variance in industry structures. Dippin Dots is classified to be in the frozen dairy industry. The degree of rivalry The degree of rivalry in the frozen dairy industry is relatively high. Not only does Dippin Dots compete with other flash-frozen companies such as Frosty Bites and Mini Melts but they are also in competition with their more traditional counterparts. According to the yahoo directory, there are currently 43 companies who sell ice cream and frozen dairy products nationally, with more companies selling world-wide (Yahoo! directory, 2011). This rivalry is fuelled by the availability of most products. Nearly every convenience store and grocery store that you go to sells multiple brands of ice cream or other frozen dairy products. Based upon a high buyer power companies in this industry must compete to have a quality product that its consumers must enjoy and offer it at the lowest price that they can. The threat of new entrants The threat of new entry for the frozen dairy industry is extremely low. There are several barriers to entry that a company must fight through in order to join the industry. Each of the eight sections that are categorized in the frozen dairy industry has different and high standards that are regulated by the federal government (Dess, Lumpkin, Eisner, 2010, p.c205). Things such as different percentages of fat content, weight per gallon and package size make smaller companies with less cash flow for RD nearly impossible to be successful. High start-up costs are another determining factor as to why the threat of new entry is low. Porter says that one thing that would make threat of new entry low is if brand names are well-known. In this industry there are several known brand names including: Dippin Dots, Good Humor, Ben Jerrys and Klondike. The threat of substitutes There is a medium threat of substitutes. The frozen dairy industry is mostly consumed by the same consumers of other desert. If something was to go on with the currently flat industry, many of the consumers would be able to switch to items such as cakes and pies and other deserts. This makes the probability of product substitution high. With this being known the frozen dairy industry has to find more ways to make customers want the frozen dairy products over alternative dairy products. Currently there is also a trend of consumers heading towards a more health-conscious treats (Dess, Lumpkin, Eisner, 2010, p.c205). Buyer power The buyer power for the frozen dairy industry is mixed. There are two types of buyers for this market, there are the individual consumers and then there are the retail clients. Individual consumers are more brand-conscious when it comes to this market, meaning that they look at the brand first before they look at the price. Retail clients are the opposite. While frozen diary is a multi-billion dollar industry, it does not make up a significant portion of a food retailers business, which will increase buyer power and heighten price sensitivity at the same time (Ice cream in, 2008, p. 15). The buyer power becomes mixed due to the fact that the consumer still drives the retailers purchases based upon their demand. Supplier power Overall the supplier power for frozen dairy products is moderate. In regards to large manufacturers there is a strong negotiating position and there is also an absence of fixed-term agreements. This makes for the cost of switching suppliers and supplier power to be low (Ice cream in, 2008, p.15). The dairy companies are slightly larger than most of the frozen dairy product companies, and since the companies must maintain a certain level of quality the strength of dairy suppliers is relatively high. Alternative Solutions Utilize the innovation that brought you your initial success Dippin Dots must get back to doing some innovative things that brought them their success from the companys inception. Curt Jones and the rest of his executive staff must make their products stand out at a time in which the market for frozen dairy is stagnant. Its recent efforts have shown that they are taking a step in that direction. In 2009 Jones mentioned that the company was going to try and take its innovative lead business a step further. Keeping the same flash-frozen technique, Jones has gone on record to say that he will be offering coffee dots. All you would need to do is add hot water and the consumer would have freshly brewed coffee. He has affectionately given Coffee Dots the same slogan as its ice cream counterparts by calling it The Coffee of the Future (Horovitz, 2009). Dippin Dots needs to pump money into its Research and development team to find the next big things that will help their company if not the whole industry out of the slump that it currently faces. Dippi ng Dots has made its money being ahead of the curve and without added funding to its RD other competitors may take that competitive advantage. Get rid of targeted market Target marketing in a business strategy is very risky. Targeting a certain market may be risky since it can hamper the organizations ability to quickly respond to changes in the markets condition and needs (Dess, Lumpkin, Eisner, 2009, p.252). With target marketing a narrow segment can be accessed less expensively through outlets such as the internet. Dippin Dots was targeting the youth which seemed like a good idea at first. The problem with targeting the youth is that they become older and then they arent targeted again. As seen in the case the adults who still purchase the product are looking for something different from the brand. One customer went on record as saying How can this stuff keep continuing to call itself the ice cream of the future? Well the future is now (Dess, Lumpkin, Eisner, 2010, p.c209). Integrate more health conscious items to the company Frozen dairy products arent considered to be the healthiest of industries. By definition ice cream must have at least 10 percent butterfat in it before the additions of its bulky ingredients (Dess, Lumpkin, Eisner, 2010, p.c205). In recent years there has been a trend towards a more healthy option for after dinner treats. Companies like Nestle and Haagen-Dazs have been offering a low-fat option since 2004. Coupled with the fact that the company needs to be more innovative, it must also become more health-conscious. With a number of consumers going to healthy alternatives such as frozen yogurt and smoothies, Dippin Dots must do something to ensure that they are not losing their consumer base. Increasing product differentiation will also allow them to reach out to a broader market. They must be careful not to go away from the product that made them so successful, but reach out to different markets such as the health-friendly market. Doing something as simple as offering a no-sugar pro duct will show its diabetic consumers, who might not been able to eat the normal product, that they are concerned about them as well. Take no action Doing nothing is always an option. This option poses the most risk for Dippin Dots. If the market continues to flatten out like it currently is, then Dippin Dots and the rest of the market could find itself in more trouble than they currently are. Many would agree that this reactive stance might not be the best stance in regards to growth, if the market continues in the slum that it is in Dippin Dots could potentially save itself a lot of money in the long run. This alternative may also allow for competition to move ahead if Dippin Dots sits back and waits for the market to improve. Recommendations In regards to the overall United States economy, it is recommended that Dippin Dots should continue its expansion efforts and broaden its target market. Based off the above analysis there are a few steps in which Dippin Dots can approach the current problems faced with the following steps: Focus on creating a non- seasonal product that you can market equally year round. (Coffee Dots or Smoking Joes a good start) Keep innovative breakthroughs secret and ensure that all patents are filed correctly. This will hinder competitors from stealing ideas. Put the advertising fund to good use. Continue to build brand equity through the use of celebrities such as Shaq and Oprah. Switch slogan. Ice Cream of the future isnt as promising as it initially was. This approach will allow Dippin Dots to continue to have a competitive advantage with its innovative efforts through its Research Development departments. Currently Dippin Dots has brand recognition advantages over its competition but without working on some of its weaknesses one of the other competitors might close in on the market share. Conclusion The frozen dairy industry and Dippin Dots has faced a reasonably flat market over the past decade. This has made the company reduce its number of franchises in every year since 2005. Dippin Dots has also fluctuated on its position on Entrepreneurs Franchise 500 lists. Through careful analysis of the company and the industry I have illustrated a few alternative solutions for the company that might stimulate potential growth as well as made some recommendations that Dippin Dots should strongly consider. Since Dippin Dots is a privately traded company, its financial records arent made public. These financial records could have given more insight to the financial health of the company and could have yielded some other recommendations. One thing that became completely evident through this case analysis, Dippin Dots must continue to build upon its brand equity and sustain its innovative advantages over its competitors if it wants to stay relevant in its industry.