Exporting Local Saskatoon Berries from Canada to Australia Assignment

Exporting Local Saskatoon Berries from Canada to Australia - Assignment Example Marketing to this region can bring the company profits with high margins. The political scenario in the region is sound, with a growing economy and an established central legal system. The social environment in the region is very similarity that in Canada, making the target market much more understandable and easier to relate to. The business climate in for the Saskatoon berries is very strong and profitable right now as the berries are quite in demand due to their tastes, their use in dairy products, bakeries as well as ice creams as well as due to their antioxidant properties. The fruit has heritage links with China where a version of the fruit was originally grown, however it has been discovered in the central north Canada and has become a native original fruit to the region. It would be more profitable for the company to operate through Canada, as the cost of the logistics ad the transportation of the Saskatoon berries would be much more feasible for the company than if its was outsourcing to China or operating form there. The main risks that are present to the company for exporting to the region of Australia pertain to the risks associated with spoilt and bad harvest, which can affect the supply of the product to the region. Moreover the changes in the prices of the berries are also very volatile according to their demand and supply each season and the quality of the harvest produced. This can make operations very volatile with unpredictable revenues. Moreover the Australian dollar is valued at a lesser denomination than the Canadian dollar with considerable fluctuation. This can affect the revenues of the company with the volatile exchange rates applicable. Other risks that the company would be exposed to are conforming with and getting approval from the local Australian food control authorities. A case took place in 2004, when the Saskatoon berries were ordered off the shelves in the UK due to their bad quality of packaging which effected the quality of the berries. (Gillis, 2004) Consumer Profiles The consumers who will be the direct target market for the Saskatoon berries and would be buying the berries in Australia would include restaurants, organic food and fruit retailers as well as the housewives and catering service providers. The restaurants and the caterers would be buying the product to add the exotic flavor to their dishes while the housewives, and the general consumer will be buying the berries due to their intense and unique taste, their diverse usage in dairy products, baking and cereals as well as due to their properties of being high in fiber and a major source of antioxidants 5. Market Entry and Marketing Strategy SWOT The strengths of exporting Saskatoon berries to Australia include the increased business operations, the increase in the profit margin as well as the positioning and the placement of the company name and brand in the international market. The weaknesses pertain to incurring larger cists for logistics and the transportation the frozen berries to the region of Australia. The opportunities that exporting to Australia provides for the company include the increased market share of the company, and future prospects of operating in the Australian market with other wild berry based produce and