Derwent Valley Foods

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    Sandeep Kaur (45)

    Arantxa Sanchis (14)

    Sachin Nikam (44)

    Gaurav Dhall (22)

    Ravi Sarao (39)

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    CASE STUDY SUMMARY

    Phileas Fogg is a brand of up-market exotic snackfoods for

    adults made by Derwent Valley Food

    Company had adhoc success in a few markets includingIndia, China and Mexico

    The brand failed to achieve when they launched to

    continental Europe

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    Contd.. Sales in 1998 was 30 million pounds with profit over 3

    million pounds

    Continental Europe sales: Around 1 million pounds A through research planning was done to target the

    continental Europe market

    Various steps taken

    Increase in sales

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    Discussion Questions

    Identify the key reasons why Derwent Valley Foods

    experienced difficulties in getting established in the

    European market.

    What lessons to be learnt for company expanding

    internationally?

    What Recommended changes would you suggest

    Derwent valley foods make to their internationalmarketing strategy?

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    What Recommended changes would you suggest

    Derwent valley foods make to their international

    marketing strategy?

    Understand the market before investing. For ex:

    conducting consumer research to better know the market

    trends.

    Should recruit a well experienced expertise for each

    country who is aware of the market trends of that

    particular country to take care of the marketing

    campaign.

    Roll out the product with a packaging and style that is

    more acceptable and pleasing to the people.

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    Identify the key reasons why Derwent Valley Foods

    experienced difficulties in getting established in the

    European market.

    Explosive growth in Britain left little management time to

    cope with the tricky problem of steering fog into

    continental Europe

    Fragmented and sometimes impenetrable national

    distribution patterns

    Buying groups purchased on behalf of odd groups of

    retailers

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    Contd..

    Concentration on main markets

    Proper distribution of work to the person having the

    knowledge and experience. Eg A manager was hired for

    exports division

    Proper pricing

    Good and competent distribution channel

    Diversification to be done only in the area of corecompetence

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    Contd..

    Market research to be done beforehand. Eg Frenchpeople had different purchasing behavior to whichcompany should have catered to

    Attention should be given to operations of variouscountries