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Ansoff Matrix on Cadbury

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Marketing Mix

This is used to describe the different choices in bringing a product or service to the market. The one way to do this is through the 4 Ps which are; Product, Place, Price and Promotion.


The main product line will range from groceries, cereals, frozen foods, fruit & vegetables and non foods, like household items, toiletries, etc.

Product attributes: This will include the features which will be of a good worldwide standard, so that consumers will see no difference with the UK products. It will look good, well packaged, customer information requirement for food labels, recycling and the right price.

Product characteristics: An explanation on the pack or through a leaflet of the importance and use of the product. The product will be packaged attractively, for example, children get attracted to pictorial packs with cartoon. We will also have a large selection of different products that are within the same product line.

Quality of product: Customers most especially in the professional segment like quality products and are willing to spend more to get the best.

Warranty policy: A strong warranty policy will be put in place for products purchased; non-food will have a full year warranty covering product care.


An important strategic issue is pricing, it helps in product positioning. In developing the price of a new product, the price should cover the development cost, reflects the customer's benefit and the worth of the product.

Value based method: This is used to set selling prices. It shows how the customer values the product, this is done through survey which will show customers willingness to pay and the attributes of the product.

Cost-plus pricing: This adds up the cost of goods and the current volume fixed cost and include like 10% or 20% mark up profit. Once the cost is calculated correctly and also the predicted sales volume, Tesco will operate in profit.

Demand forces: The law in Nigeria allows each operator to determine the price of their product through market forces, though there is a Price regulatory board that ensures that predatory pricing or fixing does not occur.

Price adjustment: This can be done during seasonal periods like Christmas, Valentine day etc, to attract sales and increase turnover.

Penetrating pricing strategy: Nigerian buyers are price sensitive. Many families buy goods in large quantity and expect to have price reduction for the purchase. In the first year of operation, Tesco will be looking at breaking even and not on too much profit.

Discount method: Several discount method will be employed, discount on bulk purchase, resellers that buy goods in large quantities over time or cumulatively, seasonal discount based on the time the product was purchased, cash discount for customers that pay their bills within a specified date and promotional short term discount to stimulate sales.


This plays a vital role in Tesco's marketing strategy because the company will not be able to distribute its product alone.

Distributorship: This will



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