Submissions and requirements for formal appointment of Reseller The intending Reseller should apply for and obtain all necessary licenses and permissions as required by the Law of the Land of the Reseller, prior to commencing the commercial sales of Bakey’s products. The intending Reseller should also get the product tested by local food testing authority, especially in terms of presence of any allergens that some members of local community has sensitivity to. For this purpose, part of the first consignment of free samples should be submitted to the local food testing authority. Following documents should be submitted within 3 months of making the payment of the first instalment of Exclusivity Fee: Copy of the Food Testing Report Copies of all permissions, licenses and compliances obtained as per the Law of the Land of the intending Reseller. The cost of obtaining all licenses, permissions, food testing reports, etc shall be borne by the Reseller. The intending Reseller should indemnify the Company of all liabilities due to any omissions – knowingly or unknowingly – in terms of getting the food testing done, obtaining all Government permissions and licenses as applicable to commence commercial transactions related to Bakey’s edible cutlery. The Company will not hold any liability in this regard. Any loss to the Company in this regard has to be made good by the Reseller. An Indemnity Bond to this effect should be executed by the intending Reseller. A formal Agreement for being appointed as Reseller will be sent to the intending Reseller. This shall be signed and returned to the Company along with the balance amount of US$ 10,000, transferred directly to the Bank account of the Company. The payment voucher copy should be attached with this agreement. All submissions as above shall be completed within 3 months from the date of making the first payment of US$ 5,000. Delay in completion of the process would lead to cancellation of the ‘proposed’ appointment and the payment made will be reversed as described in clause 59.
KiwiGreenPak PLA (polylactide)-from corn starch; and Fiber-bamboo, sugar cane and reed, Non-Edible Biodegradable. Disposable Eco-Friendly food packaging focusing on catering business Innocent Packaging plant-based material called CPLA Non-Edible Biodegradable to revolutionize the packaging industry by leading the way with sustainably produced products, incredible customer service and committed product stewardship. Eco Party Sugarcane waste, reeds and bamboo Non-Edible Biodegradable To revolutionaries Wedding parties with organic theme Bambuhome Certified Organic Bamboo Non-Edible Biodegradable China based – Vision is to provide Eco friendly wooden Cutlery Core Bamboo Certified Organic Bamboo Non-Edible Biodegradable New York Based - Vision is to provide Eco Friendly fashionable cutlery made from organically grown bamboo. STEP 3: Identifying competitor’s strategies and tactics Competitor Pricing Product Specification Ecoware NZ$0.0690/spoon +GST Focused on Corporate sectors and sustainability EarthPac NZ$0.0890/spoon +GST Focused on super markets, resturants and parties KiwiGreenPak NZ$0.0620/spoon +GST Focused on broad range of food packaging applications; typically catering, kitchens, restaurants, cafes, events /festivals, takeaways, supermarkets, bakeries, produce merchants but can have multi uses, for example dispensing or gift packaging. Innocent Packaging NZ$0.0800/spoon+GST Focused more on toilet papers and coffee mugs.
Eco Party Data not available but one of the lowest rangs Focused on only Wedding Parties Bambuhome NZ$0.923/spoon + GST + Shipping Focused on low cost and targeting consumers through social networking sites. Core Bamboo NZ$0.0823/spoon +GST+Shipping Focused on Looks of the products, more designer kind of products. Targeting Niche markets like fine dining STEP 4: Assessment of competitor’s strengths and weakness Competitor Strength Weakness Ecoware New Zealand based. Already established market Non-Edible No Flavors High cost EarthPac New Zealand based. Already established market Non-Edible No Flavors High cost KiwiGreenPak New Zealand based. Already established market Large Variety of Products other than Cutlery Low Cost Non-Edible No Flavors Innocent Packaging New Zealand based. Already established market Large Variety of Products other than Cutlery Non-Edible No Flavors High cost EcoParty Associated with Community service New Zealand based Large Variety of products other than cutlery Non-Edible Less Cutlery Variety High Cost No Flavors Bambuhome Already established market Wide variety of cutlery Non-Edible No Flavors Moderately high cost Core Bamboo Designer products Already established market Non-Edible No Flavors High Cost
Market Mix: Marketing Mix helps the organization make decisions regarding its marketing plan to achieve its organizational objectives Figure 22: Marketing Mix for Bakey’s NZ Edible Cutlery 3.6 Pricing Strategy Factors taken into consideration Minimum Order to be placed as per agreement with Bakey’s India is 12000 pieces Basic Shipping Rate Less Full Container Load +Insurance - NZ$2750 The average price of an organic cutlery in New Zealand would cost – $0.079 NZ/ spoon The average price of a plastic cutlery in New Zealand would cost - $0.050 NZ/ Spoon Pricing Strategy Launch Phase: Sell Bakey’s Edible Cutlery in New Zealand at a price same as Competitors Pricing Go Live Phase: Sell Bakey’s Edible Cutlery in New Zealand at 21% higher price that is 1 dollar per spoon. Rational: Bakey’s competitive advantage is that as compared to its competitors it is able to produce organic cutlery that is also edible and available in many flavours. Additionally, the unique selling point for Bakey’s is the certification and patents along with the health benefits its offers. Bakey’s edible cutlery is even good for people suffering from diabetes. 3.7 Promotion Strategy The strategy for promoting Bakey’s NZ Edible cutlery will play a significant role to penetrate the market and create a niche place for its products. It is very essential that Bakey’s NZ products doesn’t come across as yet another organic product. Its competitive advantage and its unique selling point has to reach the masses.