Read the following case carefully and answer the questions that follow: Kelcorn Company has distribution in more than 200 countries and yet is still…
BBA Consumer Behavior · 2024 · Solved Question with Answer
Read the following case carefully and answer the questions that follow:
Kelcorn Company has distribution in more than 200 countries and yet is still "unknown to half the world's population," according to Michael Hess, Kelcorn's CEO. Hess plans to change that. The challenge is made greater by the presence of aggressive competition in many developed and developing markets. According to Hess, a global brand requires a core position strategy or product benefit that will work in multiple countries. The key ideas of two of Kelcorn's global or near-global brands are described by Hess in the following paragraphs:
Corn Flakes
The basic positioning concept for Corn Flakes is simple, unadulterated food that tastes surprisingly good. This concept also has universal appeal. It is typically the first product we introduce in a new market. It is the foundation of our line, and it is the world's most popular cereal.
Wheat Flakes
The value proposition for Wheat Flakes is the health benefits of fiber in the diet. This proposition does not have universal appeal without development. The concept of the value of fiber in the diet is new to many countries and is often resisted.
According to Hess, Kelcorn Company began a massive campaign to countries where the benefits of fiber were not widely accepted. The campaign varied across countries due to differences in the attitudes of local medical and nutritional professionals. However, the basic approach was to educate and support the medical and nutritional community in each country. As a country's experts became convinced of the value of fiber, they told their story in their academic press, the general press, and in public service announcements. Today, despite competition from many other high-fiber cereals, Wheat Flakes is one of the top 5 cereals worldwide.
Questions:
a. What type of innovation would cold cereal be to a country not accustomed to this type of food? Explain.
b. What values would support and what values would harm the chances of Kelcorn succeeding with cold cereal in Nepal? Give your arguments.
c. What are the factors to be considered in developing a marketing program to market Kelcorn's cold cereals in Nepal? Discuss.
d. Evaluate the communication process Kelcorn used to gain acceptance for Wheat Flakes.