Tuesday, November 5, 2019
How Higher Taxes for The Rich Actually Hurt the Poor
How Higher Taxes for The Rich Actually Hurt the Poor Do the rich actually pay for the higher taxes when they become law? Technically, the answer is yes. But the reality is that those costs are usually just passed on to other people or spending is restricted. Either way, the net effect is often a huge hit on the economy. Millions of small and medium-sized businesses fall into the target zone for higher taxation. If a small business is hit with higher costs due to an increase in fuel prices or raw goods, those increases are usually just passed on to the consumers, and those with less disposable income see their costs rise to sometimes devastating levels. Trickle-Down Taxation If the feed for livestock increases due to demand, that cost increase is eventually added into the price of a gallon of milk or a pound of cheese. When gas prices more than double causing the transportation costs of the milk and cheese to double, those costs are also built into the prices. And when taxes (income taxes, corporate taxes, Obamacare taxes or otherwise) are raised on the businesses that either produce, transport, or sell the milk and cheese those costs will equally show up in the price of the product. Businesses simply dont just absorb increased costs. Higher taxes are treated no differently than other forms of increased costs and are typically trickled down and paid by consumers in the long run. This makes life harder for both the small businesses seeking to survive by keeping costs competitive but being unable to do so and Americans with less money to spend than just a few years earlier. Middle Class and the Poor hit Hardest on Higher Taxes The main argument made by conservatives is that you dont want to raise taxes on anyone - especially in tough economics times - because the burden of those costs eventually is spread out and hurt lower income Americans. As seen above, higher taxes are simply just passed on to consumers. And when you have many people and businesses involved in the production, transportation, and distribution of products, and they are all paying higher costs, the added costs built into the selling prices quickly begin to add up for the end consumer. So the question is who is most likely to be harmed by increased taxes on the rich? Ironically, it may be the income brackets that continue to demand those higher taxes on others. Taxed More, Spending Less Higher taxes have other consequences that can also impact the lower and mid-range income brackets more than the wealthier people those taxes are supposedly aimed at. Its simple, really: When people have less money, they spend less money. Thats less money spent on personal services, products, and luxury items. Anyone who has a job in sectors that sell expensive cars, boats, houses, or other sometimes luxurious items (in other words, anyone in manufacturing, retail, and construction industries) should want to have a large pool of people looking to buy. Sure its fun to say that so-and-so doesnt need another jet. But if I make jet parts, work as a mechanic, own an airport hangar or am a pilot looking for a job I want there to be as many jets purchased by as many people as possible. Higher taxes on investments also means fewer dollars spent investing as the reward starts to be less worth the risk. After all, why take the chance at losing already-taxed money when any returns on that investment are taxed at even higher rates? The purpose of low capital gains taxes is to encourage people to invest. Higher taxes means less investing. And that would hurt new or struggling businesses seeking financial backing. And taxing charitable donations at normal income rates would also reduce the amount of charitable giving. And who benefits the most from charitable giving? Lets just say not the rich who would simply just be forced to donate less. Liberals: Punish The Rich out of Fairness Its generally accepted that raising taxes on the rich would do little to reduce deficits, close funding gaps, or help the economy. When asked about the potential negatives of raising taxes on anyone, President Obama usually just answers that the matter is about fairness. Then what follows are lies about how the wealthy pay less than fast food workers or secretaries. For instance, Mitt Romneys effective tax rate of about 14% puts him at a tax rate higher than 97% of the population, according to the Tax Foundation. (Nearly half of Americans pay a 0% income tax rate). Its just fair to tax people who have a lot more money than everybody else. Warren Buffett said that it would raise the morale of the middle class to have the rich pay more, also using the false argument that people like Mitt Romney pay less than most middle-class Americans. In reality, a taxpayer would have to make well over $200,000 in regular income to match the Romney or Buffett tax rates. (Thats even taking into account the millions upon millions both guys give to charity, another reason for the low-for-millionaires-but-higher-than-most effective tax rate.) Its also unfortunate to think that any individuals morale would be raised simply because the government takes more and more from someone else. But perhaps that defines the difference between a ââ¬â¹liberal and a conservative.
Sunday, November 3, 2019
Fashion and media - TRLG Essay Example | Topics and Well Written Essays - 1250 words
Fashion and media - TRLG - Essay Example The essay "Fashion and media - TRLG" explores the TRLG. fashion and media. According to Rahman, Osmud, Yan Jiang, and Wing-sun Liu (291-311) True religion (TRLG) has established itself through high-quality products in clothing category over the years and successful brands that have been appreciated by many worldwide; this has proven enough financial resilience, consistency growth together with stable expansion out leading to high probability of merger acquisition. The high-end denim both includes regular jeans, for instance, Lucky, True Religion Jeans and Levis which is recognized by its fabric quality and good seam dimensions. The brand and quality attracts celebrities to wear them; these include; David Beckham, Colin Farrell, Beyonce, Megan Fox, Jessica Alba, and more. The jeans among other products are flashy and distinctive flair for those who cherish the modest lifestyle and less flashy versions especially for consumers who would just want to feel the comfort brands of TRLG bran d jeans. The idea of creating different variations and at the same time high-quality products has made the company stand the taste of time with its consumers as they maintain the forces within the market. Despite other jeans being available in the market that could act as the substitute, buyers consistently keep TRLG brand jeans because of the quality issues portrayed by other brands. Although, there are always possible threats of customers turning back for other substitute products or jeans from other competitors.
Thursday, October 31, 2019
Supply Manager are making a difference in todays global markets Article
Supply Manager are making a difference in todays global markets - Article Example Zapko, there are several important strategies of modern day supply chain management (Handfield, 2013). One of the strategies is to ensure the timely global procurement of materials and products needed to complete the production deadlines. To achieve this goal, Zapko reassigns and assigns individuals in certain slots along the supply chain management process, attracting the best talents to work for Lenovo to achieve the critical demands of the Lenovo global supply chain. For each important step in Lenovoââ¬â¢s global supply chain process, individuals (including graduate students) who can deliver the required quotas are hired. For those who cannot meet expectations, line and staff employees must prioritize the successful implementation of their individual tasks and responsibilities within the global supply chain strategy. The preparation and implementation of supply chain-based contracts will increase compliance with previously established global supply chain benchmarks. Further, the success of the global supply chain is grounded on the cooperation and coordination of the different parties. One of the parties is the manufacturer. The manufacturer acquires raw materials from the suppliers. The manufacturer uses the supplies to produce its completed or finished goods. Another party is the global customer. The goods are then sold to the manufacturersââ¬â¢ global customers. A delay in the delivery of the suppliers delays the manufacturersââ¬â¢ production output. The delay in the manufacturersââ¬â¢ outputs triggers the corresponding delays in the customersââ¬â¢ purchases. The manufacturers or sellers must ensure the customers will be able to find their required product and service demands on time. Consequently, the products must reach the store shelves before the store shelves are empty. The stores and manufacturers must ensure products are reordered to prevent stock outs, or empty store shelves. The twice stage model ensures customers will
Tuesday, October 29, 2019
Regultion of public utilities Essay Example | Topics and Well Written Essays - 3250 words
Regultion of public utilities - Essay Example I shà °ll use the term in its broà °d sense, to comprehend à °ll industries over which the right to regulà °te hà °s been està °blished à °nd efforts à °t regulà °tion introduced. It is worth while à °t the outset to distinguish cleà °rly between the specià °l control over public utilities à °nd the regulà °tion of industries in generà °l. Under the police power, à ° stà °te hà °s the right to regulà °te à °ny business. This sort of regulà °tion hà °s to do with sà °fety devices, conditions of heà °lth à °nd well being of employees, à °nd, with more or less defined limità °tions, the generà °l welfà °re of the public (King, 2000). The regulà °tion of public utilities, however, is of à ° different sort à °ltogether. It embrà °ces the right to control the very orgà °nizà °tion à °nd conduct of the enterprise. It is concerned not only with sà °fety à °nd welfà °re, but with the rà °tes chà °rged the public à °nd the returns or profits reà °lize d by the business, à °s well à °s with the products or services furnished. In the so-cà °lled unregulà °ted business the right to such interference is not recognized. à fter à °ll reà °sonà °ble provisions for the public welfà °re hà °ve been mà °de, ordinà °ry business is still free to furnish such services or products à °s it desires, chà °rge such prices or rà °tes à °s it is à °ble to exà °ct, à °nd conduct its finà °ncià °l mà °nà °gement à °ccording to its own purposes or contrà °ctuà °l à °rrà °ngements. The right to regulà °te in the specià °l sense wà °s first recognized in the celebrà °ted cà °se of Munn v. Illinois, decided by the Supreme Court of the United Stà °tes in 1876.
Sunday, October 27, 2019
Advertising Manipulates And Persuading The Consumers Media Essay
Advertising Manipulates And Persuading The Consumers Media Essay The basic purpose of this paper is to understand the techniques used by advertisers, the propaganda they create and the real dangers they cause in modern society. Our argument is essentially unless people become aware, our society will change direction. A balanced view however cannot ignore the fact that people like to be in control of their thoughts.à Ads also give information about their products.à Some inform against disease risks, others are for humanitarian aid or for the Nations welfare but this kind of ads is not much prevalent. In the following pages, we will first look at what are the methods used by advertisers, how they manipulate dreams and yearnings; then we will turn back to the power and strategies of advertising which attract people with guilt complexes, emotional blockages and false ideas before finally examining the influences on children through various examples of commercial campaigns using transgression and appearance. The main goal of advertising is to demonstrate in every ad that consumers have an important and interesting offer and the reason to buy a product. Advertising helps a product to be sold. If it is well advertised, people will be aware of a product and it will lead to an increase in sales. Moreover, with a well marketed ad, it is easier for consumers to understand the benefits of a product and where to find it. Furthermore, people will save time and money instead of trying every kind of product. Companies use different ways to help sell and identify a product with for example, slogans which are used over and over. Advertising is aimed at people who are loyal customers. For example, make-up and beauty products are targeted at women while razors and brief-boxers are targeted at men. Slogans like Its the real thing. Coke by Coca-Cola (Bovà ©e, Thill, Dovel, and Wood 680), or Because Im worth it by lOreal but also Just do it by Nike help consumers to recognize companies. When people see t he Nike symbol, they know what to expect. Nike introduce of the best athletes in their ads and it feels to the viewers a great satisfaction, that is why they want to buy sportswear to be like Zinedine Zidane, Usain Bolt etc. Advertisers create strong, persuasive and lasting symbols. However, these repetitive slogans lead to a ballyhoo and it gets into everybody, people are no longer interested by the quality of the product but they are only focus on the brand. Sut Jhally, in the film The Ad and the Ego, said that symbolism is never natural, it is tied up with power. Advertising plays a positive key role in many aspects; it also helps health care organizations, charitable organizations and social activist groups encourage people to give money, to do voluntary work, or vote to change laws (Day 34). Agreed, but is it the good way to ask some help by broadcasting or others ads? For example, charitable organizations like Amnesty International reach out to their audience by commercials, m agazine ads. These ads help consumers to become more aware of problems and that each coin is important, as well as all the support they can give. Should not these organizations directly go and see people, be attractive, organize meetings? Another example is ads made by government for road safety but it does not mean that there are less accidents. We can also watch ads to join the army, but is a thirty second clip make people really want to join military services? We could not ignore that advertising has various negative aspects. In this paper we will focus on the methods used by advertisers, we will bring to light propaganda and underline ballyhoo to understand what has changed in consumers behaviours in the contemporary society. We will debate on what are the real goals of advertising and why it leads to a kind of corruption. The number of advertisements, exposed daily to Americans, has soared over the last few decades. Studies reveal that people see three thousands ads per day. Advertising is omnipresent, at the service station, at cinema, in toilet or during sports events, we have now two ads breaks during a film on television. Even space is not sheltered from marketing. The Russian space program has launched a rocket on which was painted a Pizza Hut logo, and some companies have even explored the possibility of putting ads in space that we could see from the earth. People are clearly obsessed by advertising. When we speak about propaganda, people tend to think of Hitlers and Stalines massacres but in this essay we point out the ways of which companies try to encourage people to buy products. They persuade people about the truth of an idea, the quality and the appropriateness (Propaganda and Persuasion: Misuse of Language and Meaning) of a product, why these shoes are better than the other ones. Propaga nda is not a simple form of communication; indeed, it is directional because people buy products to be in vogue, and it is also emotional because advertising directly appeals to human feelings, we will precisely examine it in the second part of this essay. This famous George Orwells statement Who controls the past controls the future. Who controls the present controls the past. show the relations between symbolism and power of advertising. Who choices and controls symbolisms? What are the strategies used by advertisers? Bandwagon is a common technique, it is an appeal to join the crowd because others are doing things which are victorious, that is the winning side. If someone do not that, he will be left out. For example, on TV ads, we see that everyone enjoys playing football because they wear the same tee-shirts, so we jump on the bandwagon and buy this tee-shirt. Another kind of propaganda, named testimonial, is used when a famous person is connected with an item Eight out of ten women artists recommend Chanels perfume. The next type is transfer, when the quality of the product is associated with the user. Then, we study repetition; it isnt just the apparition of the logo which works, it is the repetition of this same logo over and over which hypnotize us and force us to consume things we dont really need. As Chris McLean says, the products that stand out and say buy me, are ones that carry a logo that has been repeated to us time and time before. This sort of advertising just doesnt randomly occur. Finally, we insist on the glittering generalities which are positive meanings highly valued, which make us believe that if we buy a product our life will change. Advertisers try to gather all of theses types of propaganda to make successful ads. The challenge is not to create works of literary merit, but to meet advertising objectives. This does not mean that copywriting is not an art, however, it is simply art in pursuit of a business goal (Bovà ©e, Thill, Dove l, and Wood, 676). Unfortunately, business goal makes sense with money, and the different methods used by advertisers lead to a societys perversion in order to make profit. We can call that a brainwashing, all mankind are bewitched in a wave of advertising and it has changed consumers behavior. They linger over some headlines, some slogans or labels that serve as the come-on to get them to stop turning the page and check out ads (Bovà ©e, Thill, Dovel, and Wood, 677). The TV world becomes a self-fulfilling prophecy: the mass mind takes shape, its participants acting according to media-derived impulses and believing them to be their own personal volition arising out of their own desires and needs. In such a situation, whoever (advertisers) controls the screen controls the future, the past, and the present (Nelson 82). We have seen that advertisers use various strategies to persuade people buying products, we will now outline that people areà attracted by falseà ideas andà hav eà guilt complexes andà emotional blockages, advertising influencesà peoples behavior by manipulating dreams and yearnings. To support our argument, we will refer to a quotation of Northrop Frye who said that advertising is a judicious mixture of flattery and threats. Herbert Krugman noted, in a research based on the brains survey, that viewers are in an hypnotic state and mostly in trance, they were getting their beta-endorphine fix. Advertisers take hold on consumers minds, they tug at their psychoà logical shirtsleeves and slow them down long enough for a word or two about whatever is being sold (Fowles 658). They try to draw attention to a picture, a slogan, a song by giving form to peoples deep-lying desires, and picturing states of being that individuals privately yearn for (Fowles 658). explained that the function of a display in the store is to recall the consumers experience of the product in the commercial. You dont ask for a product, the product asks for you! That is, a persons recall of a commercial is evoked by the product itself, visible on a shelf or island display, interacting with the s tored data in his brain. People in modern society no longer takes time to think about a product, its usefulness, interest that it will bring. They are enrolled in the consumer society, they go in search of having the most possible clothing, perfumes or cars. Society became too materialistic, does happiness happen with the possession of more goods? Before, people preferred having a simple life, spending weekend in the countryside, fishing, without luxurious cars and a bling-bling lifestyle but advertising pushes them into enjoying the material pleasures of a modern, technological society (Bovà ©e and Arens 687). It can be argued that there is a relationship between the Marshall McLuhans continuous pressure and the belief in the power of advertising to control customers against their will, an attitude that consumers simply have no freedom of choice when confronted with advertising persuasion (Bovà ©e and Arens 687). Emotional appeals add up to the manipulation of consumers. The use of subconscious appeals is designed to stimulate subrational impulses and desires, even if they are unacknowledged by their possessor (Fowles 659). Fowles demonstrated that ads can be classified in fifteen groups according to the appeals they communicate and he explained that his idea was inspired by Murrays list which grouped a full taxonomy of needs. In every ads we watched, we are brought face to face with appeals, there are many needs that appeal to our psychology. For example, the need to nurture corresponds to maternal instincts, each time we see something cute, precious (Fowles 664) like a child or a kitten. Advertisers use affiliation to win affection of another (Fowles 662). When someone has the feeling to be protected by an image, that is need for guidance. The need for prominence and attention can be brought together because people want to be respected, to be highly esteemed by everyone. Beauty is attractive and gives us aesthetic sensations, we call it the beauty myth; W e will tell you what is beautiful and what isnt. Our products are what make people beautiful. To be happy you must be beautiful, and to be beautiful you must buy our clothing and cosmetics. Most people are not consciously aware they are commanded to buy some products. Stuart Ewen declared that it became the assumption that the way people are persuaded is to appeal to them on unconscious levels (The Ad and the Ego). He considered that the ultimate psychology is pavlovian because ads use communication strategies that create stimuli which make people respond in a manner similar to how Pavlovs dogs were trained to salivate at the mere ringing of a bell. Advertisers make ads in order to represent everyday life, to recall customers feelings, in that way people recognize themselves; they dont see this like advertising, but just like something that is done. We have been concentrated on the psychological approach through appeals and needs which surround us in various ads, through false ideas and dreams that are conveying and again this obsession of buying with the promise of greater status, greater social acceptance and greater sex appeal (Bovà ©e and Arens 686). Our discussion of the debate leads us to the next point, childrens manipulation. Each brand has strategies and, particularly, according to the audience targeted. Currently, pocket money of young people is a significant sum to investors. Moreover, young peoplehave a strong influence on parents. They are the consumers of tomorrow, that explains the investment of major brands for customer loyalty and make them become good consumers. So, that is why brands have to adhere to their valuesà ¢Ã¢â ¬Ã¢â¬ ¹Ã ¢Ã¢â ¬Ã¢â¬ ¹, use their tools and languages. As a result, children and adolescents are targeted aggressively by food advertisers, and are exposed to a growing and unprecedented amount of advertising, marketing, and commercialism through a wide range of channels. The principal goal of food advertising and marketing aimed at children is to influence brand awareness, brand preference, brand loyalty, and food purchases among youth (Food Advertising and Marketing Directed at Children and Adolescents in the US). Teenagers need to look like group members and if not the y are cast out. The youth do not see themselves survive without the favourite sneakers wore by the group they belong. Young people need to identify with themselves and brands know that. The best example is with De Von Dutch brand. There was no advertising and it has immediately been successful. The simple fact, that celebrities wear clothing, made its name. The brand had clinched a deal with Thierry Henry and Michael Young who were systematically wearing these clothes during meetings. It can be argued that brands make use of young people to sell their products. Advertising puts the sweet flavor forward in various products they offer to young people. It is not only found in food products but also in cigarettes, cosmetics, and especially in alcoholic beverages. This abundance of sugar has resulted in a consumption more and more important and it leads to obesity problem. To be among the few messages that do manage to gain access to minds, advertisers must be strategic, perhaps even a l ittle underà handed at times (Fowles 658). During parties students, open bars, or ferias, brands are present in order to promote or to update new products. Internet is a very attractive medium for advertisers wishing to target children. It is in the youth culture because they are growing up in a world where the Internet plays a big part in everyday life. Parents do not understand the scope of the solicitation to which their children are exposed on the Internet. At each new tab opened, an advertisement is displayed on the screen, young people are forced to pay attention. Children are often alone without parental supervision. Unlike other broadcast media, Internet advertising is not controlled. It facilitates the collection of personal information about young people and it allows to target individually children through personalized messages. It is difficult for adolescents to develop healthy attitudes about sexuality and body image when many of advertisements are filled with thin, fit, beautiful and very sexually attractive people. It can be seen that there is a link between sex appeal, physical attractiveness, popularity, success and happiness. Fashion designers like Calvin Klein, Guess resort to aggressive campaigns involving young people. These ads sell more than clothes, they also sell adult sexuality. The tobacco and alcohol industries target young people in advertisements giving an impression of being cool, independent. The Marlboro Man (696 Marlboro), with his image of independence and autonomy, struck a responsive chord among adolescent males (Advertising and Marketing Directed at Children and Adolescents in the US). Marketers publish advertisements in magazines mostly read mostly by teenagers and place advertisements near schools, on billboards, in bus shelters. They make smoking favourite of young people. They sponsor concerts and sporting events and broadcast their ads during programs listened by young people. Because marketing to children and adolescents has become so pervasive, many child advocates and media experts believe that such marketing constitutes an escalating public health problem. The intense marketing of high fat, high sugar foods, tobacco, alcohol, to young children can be considered as exploitation because they do not understand that adverts are designed to sell products and can not comprehend or evaluate advertising (Advertising and Marketing Directed at Children and Adolescents in the US). The purpose of advertising is to persuade, and young children have few defenses against such advertising. Older children and teens can be manipulated by the strong emotive messages in advertisements. (Strasburger 186). To conclude, it is necessary to remind Carrie Snows quote, who said, Advertising degrades the people it appeals to; it deprives them of their will to choose. The present study was designed to show that advertising made change peoples behaviors because it is manipulative. One of the more significant findings to emerge from this paper is that advertisers use strategies in order to take control of consumers minds to increase sales. It is a matter of money. Advertisers are conscious of peoples emotionalism and trifle with them. We have seen that marketers have various tactics to make believe that consumers need a product. Unfortunately, people are ignorant toward the control. That is why advertisers take advantage of it since the earliest years; children are under a persisting pressure and are influenced to eat more sugar, smoke more cigarettes and buy more shoes. Generally, people want to have a great social status, to be fashionable, they want to feel respected. An obvious solution to the problem highlighted in this paper would be to protect from commercial influences that may adversely impact people health, and that as a society that values man, there should be greater social responsibility for their present and future health (Food Advertising and Marketing Directed at Children and Adolescents in the US). The limitations of this study are clear, advertising has also benefits. However exploratory, this study may offer some insight into the current society in which we are living. Despite his limitations, this study does suggest that people ought to stand back from ads they see every day and understand that it is a trap to make them consume again and again.
Friday, October 25, 2019
Edwin A. Abbotts Flatland :: Abbott Flatland Essays
Flatland à à à à à à à à à We are brought up thinking that everyone shares our views and à à à à à à à à à that they are correct and the only right way of seeing things. In à à à à à à à à à Flatland, a novel by Edwin A. Abbott, two men from different à à à à à à à à à dimensions argue about which one of their societies is right and à à à à à à à à à more superior. They accomplish nothing because each is so closed- à à à à à à à à à minded to the fact that what they have known all their lives may à à à à à à à à à be wrong. This is the case when it comes to homosexuality in à à à à à à à à à today's world or anything that involves looking, acting, and à à à à à à à à à thinking differently than us. à à à à à à à à à à à à à à A. Square and the Monarch of Lineland are closed-minded to à à à à à à à à à the possibility ofthere being other worlds or multiple ways to à à à à à à à à à seeing things different from their own. Outside Lineland all was à à à à à à à à à nonexistent according to the Monarch. When A. Square tried to à à à à à à à à à explain to him that the universe was made up of more than just à à à à à à à à à straight lines and points, the Monarch called these suggestions à à à à à à à à à "impossible" and "inconceivable" (P. 46). A. Square shared his à à à à à à à à à ideas with the Monarch because in his words he had "to open up to à à à à à à à à à him some glimpses of the truth" (P. 47). Neither man could begin à à à à à à à à à to accept the possibility that his world and his beliefs could à à à à à à be in any way inferior to those ofthe other. Yet the two men à à à à à à state their case for what seemed to be a long while.à During the à à à à à à course ofthe conversation, à à à à à à à à à the Monarch called the Square and his ideas "uneducated," à à à à à à à à à "irrational," and "audacious" (P. 51). The Monarch thinks if A. à à à à à à à à à Square "had a particle of sense, [he] would listen to reason" (P. à à à à à à à à à 51). Upon listening to the opinion that Flatland is lacking so à à à à à à à à à much as compared to Lineland, A. Square strikes back, saying, à à à à à à à à à "you think yourself the perfection of existence, while you are in à à à à à à à à à reality the most imperfect and imbecile" (P. 5I). A. Square à à à à à à à à à continues, claiming, "I am the completion of your incomplete à à à à à à à à à self" (P. 51). Neither the Monarch nor A. Square could be swayed à à à à à à à à à to the other one's way of thinking.
Thursday, October 24, 2019
Canadian Club Whisky Marketing Portfolio
MKTG 111 Group Portfolio Assignment Canadian Club Whisky December 9, 2011 Table of Contents Introduction3 Overview3 Strategic Analysis4 Recommendations5 Competitive Analysis8 Target Market Analysis9 Positioning Statement and Positioning Map10 Marketing Communications Analysis15 SWOT Analysis17 Bibliography18 Introduction The popularity and worldwide success of Canadian Club can be attributed to more than just its great flavour. Review of key marketing components has given an all around understanding of the thought process involved in ensuring the success of this company.These components include, the analysis of the product, pricing, competition, target market, position within the market, distribution, marketing communications, strengths, weaknesses, opportunities, and threats (SWOT). Overview Overall, Canadian Clubââ¬â¢s marketing operation is effective, drawing from its classic image. The productââ¬â¢s target market is primarily males, aged 25-35, living in urbanized regions, with an $80,000 to $100,000 salary. Canadian Club offers a smooth taste with the industry standard potency in comparison to its competitors. The product is priced slightly below average at $24. 0 for 26 oz (LCBO, 2011). In Canada, it is mainly distributed through Crown corporations and is available at any licensed establishment, along with its competitors. Canadian Club has promoted itself as a classic beverage for mature, yet adventurous adults and has focused a great deal of attention on its unique history, in advertising and promotions. The marketing efforts of Canadian Club are unique to their competitors and have resulted in world records, including the worldââ¬â¢s longest running international advertising campaign, and the worldââ¬â¢s longest running promotion (Canadian Club, 2011) (Hide-A-Case, 2011).As a result of this, Canadian Club has seen an increase in sales and attention in the media. Strategic Analysis The face of Canadian Club has changed drastically over the p ast number of decades. It has fallen from its position as premium liquor to a cheaper alternative. The distribution of Canadian Club does not differentiate from its competitors due to legal restrictions and is available anywhere that liquor is sold in Canada. What sets Canadian Club apart from its competitors, however, is the price. Canadian Club is of high quality, yet their prices are set low.This gives the impression that it is of poor quality, which is damaging to the brand. Whiskies like Jack Daniels and Jameson have been successful with marketing their brands as the ââ¬Å"coolâ⬠whiskies. Jack Daniels gained popularity after it became the drink of choice by the men of HBOââ¬â¢s Entourage, a show that depicts the glamourous lives of current celebrities. Canadian Club is beginning to see a comeback as a result of their sponsorship with motorsport events and illuminating their history as the whisky of choice in the 1920ââ¬â¢s (Canadian Club, 2011).In addition to this, Canadian Club has also had the worldââ¬â¢s longest running international advertising campaign (ââ¬Å"The Adventure Seriesâ⬠) as well as the worldââ¬â¢s longest running promotion (ââ¬Å"Hide-A-Caseâ⬠), which make their marketing efforts unique to their competitors (Canadian Club, 2011). Recommendations Canadian Club is on the right track with their recent work, highlighting their history. With television shows like Boardwalk Empire and Mad Men (both of which have promoted Canadian Club), past era themes are at the height of their popularity.This promotion can spark a new interest in people seek a similar image of old-time class (Kent, A, 2011). In the ââ¬Å"Damn Right, Your Dad Drank Itâ⬠Campaign, Canadian Club has promoted the whisky as the preferred drink to the consumersââ¬â¢ fathers. This promotion was very successful in bringing Canadian Club back into the spotlight in advertising. On the whole, their approach to bringing ââ¬Å"old-schoolâ⬠bac k, has proven to be very successful and should be continued (Damn Right, 2009). Originally marketed as a premium liquor, Canadian Club now sets their pricing below average of liquor industry.In taste tests, Canadian Club has surpassed competitors like Crown Royal and Jack Daniels and its price should reflect this. By Marking up its price from $23. 40 for a 26 oz bottle to approximately $30. 00, consumers will observe Canadian Club to be of higher quality and value. It is highly recommended that nothing be changed about the product itself. In order to maintain its classic status, the bottle, labeling, flavour, and production process should remain true to its original state. Changing the bottle and labeling of Canadian Club may also result in being poorly received by current customers and Canadian Club may lose sales.As a result of strict Canadian liquor distribution laws, there is very little that can be done or can be recommended in terms of determining the placement of Canadian Clu b. Canadian Club is available in any licensed store and most bars across Canada (LCBO, 2011). To establish a future customer base, creating and promoting a unique new cocktail menu featuring Canadian Club as the cocktail base would be effective. There have been many Boardwalk Empire inspired cocktails created with Canadian Club Whisky, that can be made up into a small booklet, sold with a 26 oz bottle of Canadian Club.Some of these drinks include the Boardwalk Manhattan, the Tea-Totaller Teaser, and the Top Hat (Loughlin, C, 2010). Teaming up Canadian Club and HBOââ¬â¢s Boardwalk Empire with a new contest promotion would work beneficially for both parties. A four-day trip to Atlantic City, the setting of Boardwalk Empire, as well as the location where Canadian Club was smuggled into America during Prohibition would be an excellent promotion. This would encourage fans of both, the television show and the whisky, to participate, while also reaching out to potential customers.While it is common to find winter bundles, Canadian Club should make summer themed bundles as a way of promoting it as more than just a ââ¬Å"cold weatherâ⬠beverage. With new mixed drinks that are incorporating Canadian Club, it is recommended that they create bundles that include merchandise like t-shirts, baseball hats, and aviator-style sunglasses. Canadian Club has been granted royal warrants of Queen Victoria, King Edward VII, King George V, King George VI, and Queen Elizabeth II (Canadian Club, 2011). Creating an advertising campaign, reflecting on this would be effective.The campaign could go in one of many directions. For example, they might choose to use classic imaged with Canadian Club bottles superimposed nearby, or by using attractive, royal-themed artwork, depicting Canadian Club as a drink fit for royalty. Canadian Club has received a great deal of attention from their unique and long-running Hide-A-Case promotion. With still a number of cases that have been hidden a round the world, still unfound, there should be more marketing efforts to draw attention to this with more clues, and possibly, additional hidden cases. Competitive Analysis Target Market AnalysisTarget Market Profile| Categories| Variables| Typical Breakdowns| Geographics| Region| Ontario, British Columbia| | City or census metropolitan area (CMA) size| 1,000,000-4,000,000| | Density| Urban| | Climate| Cold, warm| Demographics| Age| 25-35| | Gender| Male| | Family size| 1-2, 3-4| | Stage of family life cycle| Adult single, adult married, no children, young children| | Income| $80,000-$100,000| | Occupation| Professional, managerial| | Education| College/university graduate| | Ethnic background| Caucasian, Asian, African-American, Hispanic| | Home ownership| Own home, rent home|Psychographics| Personality| Adventurous, mature, extraverted| | Lifestyle (Goldfarb Segments)| Fun, social, easy-going, friendly| Behaviouristics| Benefits sought| Entertainment, relaxation, socialization| | Usage rate| Medium user| | User status| Regular user| | Loyalty status| Medium-strong| Positioning Statement and Positioning Map Canadian Club Whisky is positioned in the alcoholic beverage market as smooth, pure, high quality whisky. This product is ideal for those who enjoy an adventurous and sociable lifestyle. It focuses on its revolutionary length of aging, bringing a higher quality of whisky. | | | | | | | | | | | Potent| | | | | | à | | | | | | | à | | | | | | | | | | | | | | à | | | | | | | à | | | | | Smooth| à | à | à | à | Harsh| | | | à | | | | | | | à | | | | | | | à | | | | | | | à | | | | | | ? | à | | | | | | | à | | | | | | | Weak| | | | | | | | | | | ?| Canadian Club Whisky| | | | ?| Jameson Irish Whiskey| | | | ?| Crown Royal Whisky| | | | ?| Jack Daniel's Tennessee Whisky| | | | ?| Smirnoff Vodka| | | | ?| Budweiser Lager| | | | Product Analysis Core product| Actual product| Augmented product| * The consumer may experience a feeli ng of relaxation and excitement, which creates an atmosphere of enjoyment. * A branded product; a liquid beverage within a bottle, covered with a label. | * Able to be exchanged bottle for a recycling refund. | Pricing Analysis Pricing Strategy Price: $24. 40 750 ml bottle Demand-Oriented Pricing Bundle ââ¬â For seasonal holidays, Canadian Club sells bottles bundled with rock glasses for a higher price than a regular bottle, however the glasses offer a greater value to the bundle. Penetration ââ¬â The average price of a 750 ml bottle of spirits is $26. 00. Canadian Club is sold at a cheaper rate to be more appealing to consumers. Competition-Oriented PricingBelow Market ââ¬â Most spirits are sold for a higher price than Canadian Club. This gives Canadian Club an edge against the competition. Competitive Pricing Analysis | Canadian Club| Jameson| Jack Daniels| Crown Royal| Smirnoff| Budweiser| LCBO| 24. 40| 30. 30| 29. 85| 34. 45| 24. 45| 23. 50| SAQ| 21. 99| 30. 25| 29. 99| 29. 99| 23. 25| 22. 50| Liquor Mart| 24. 99| 27. 85| 27. 25| 26. 99| 22. 99| 22. 32| BC Liquor| 23. 75| 32. 99| 29. 99| 27. 99| 24. 99| 27. 29| NSLC| 26. 98| 30. 99| 29. 99| 29. 99| 26. 98| 25. 79| Liquor World| 23. 85| 32. 95| 27. 25| 34. 85| 22. 95| 23. 85|Distribution Analysis Distribution Strategy Canadian Club is distributed in all provinces/territories exclusively. This is due to strict laws set out provincially that control the sale and distribution of alcoholic beverages. Most provinces and territories have kept total or near-total control over the sale of liquor. Quebec and Alberta have managed their own municipal liquor stores, yet have allowed liquor sales in some retail stores. Distribution Channels Government-Owned Liquor Store (LCBO) Producer (Beam Inc. ) Producer (Beam Inc. ) Consumer Consumer Retailer (LCBO) Retailer (LCBO)The most popular distribution channel in Canada is the number of government-owned liquor stores, province-to-province. Few provinces have alte rnative channels for distributing hard liquor. Because this channel is strictly controlled by the government, the product goes directly into the retail stores from the producer. It is then available to the consumer. This retail store also acts a wholesaler to private retailers and businesses. Private Liquor Store (Liquor Mart) Producer (Beam Inc. ) Producer (Beam Inc. ) Wholesaler Wholesaler Very few private liquor stores are in operation in Canada. The liquor goes rom the producer to the wholesaler which is also the government-owned retail stores like LCBO. The private retailer must purchase their liquor from their provincial liquor wholesaler for resale to the consumer. Private retailer Private retailer Consumer Consumer Private Online Retailer (Whisky Exchange) Wholesaler Wholesaler Producer (Beam Inc. ) Producer (Beam Inc. ) Similar to private retail stores, online stores must go through the same distribution process. This means purchasing from the government-controlled wholesal er before direct resale to the consumer online. Online retail Online retail ConsumerConsumer Private Business (Fox and the Fiddle Pub) Producer (Beam Inc. ) Producer (Beam Inc. ) Government-controlled retail Government-controlled retail The distribution of Canadian Club to business is strictly controlled by the government. As such, businesses are only entitled to purchase their liquor from government-controlled retailers. Industrial user Industrial user Marketing Communications Analysis Public Relations The public relations in The Canadian Club Whisky is approached in a variety of ways. For example the fourth season premiere ofà Mad Manà was the first episode that involved Canadian Club whiskey.Cumulative results of that product placement across the season: * Overall Placement Value: $495,200Audience * Reach: 13,755,960 * Overall Audience Retention: 8,671,500 * Positive Feeling from Placement: 933,984 * Influence to Purchase from Viewing: 36,040 They also hold special events suc h as Canadian Clubà ® Whisky Historic Treasure Hunt; where truly unique treasure hunts, starting in Windsor, Canada at the Canadian Club Heritage Centre, participants will learn more about Canadian Club's rich heritage and could possibly win $100,000.The last method they use is through their website at www. thecanadianclubwhisky. com , where show you the history behind and all there advertisement. Advertising Canadian Club has multiple advertising tools that are used to promote their product. Canadian Club is advertised in a number of ways on television. This includes television commercial advertisements, occasionally running them in movie theatre previews and product placement in hit series like Mad Men and Boardwalk Empire. Magazine advertisements are used as well as posters in subways and billboards.Canadian Club is also connected on online social networking sites such as Facebook and Twitter to allow people to hear news about the product and also voice their opinion. Canadian C lub is also involved in motorsport sponsorship including the Molson Indy, which allows the brand name to get out to thousands of spectators. Advertising is also seen in private business to which Canadian Club gives free merchandise. This merchandise includes coasters, shot glasses, shot glass pads, matts, signs, and clothing.Direct Response Canadian Club sends out sales representatives to bars and clubs in order to promote their product as well as convince the bar/club owner make a purchase or continue purchasing from Canadian Club. The LCBO offers catalogues, based on the season, which establishes a link between the consumer and Canadian Club. On the Canadian Club website, they have a micro-site that divulges their history during Prohibition in connection with the currently airing hit tv-show Boardwalk Empire.On the website, they provide links to cocktails a consumer may make using Canadian Club, educational videos, as well as photos of some of the most prominent Prohibition player s. Sales Promotion Canadian Club received its first royal patronage from Queen Victoria and her husband Prince Albert. Canadian Club has a micro-site that educates customers on its role during the Prohibition. Canadian Club also sponsors F1 driving. Starting in 1967, Canadian Club held a promotion that included hiding cases of Canadian Club all over the world.The public were given clues and to this day, still three cases remain unfound, one being in the North Pole. Location of Factor| TYPE OF FACTOR| | Favourable| Unfavourable| Internal| Strengths * Prominent brand awareness in over 150 countries * Bartenders have been using CC in their drinks since its early years * Legendary, smooth flavor * Flavours are flexible and vary for different preferred tastes| Weaknesses * Price of product(s) may be more than that of competing companies * Monopolies may create high barriers that are hard to overcome, for new companies/products wishing to enter a market (ie.Expanding) * Indirect competiti on from other companies that sell other alcoholic products may take away consumers | External| Opportunities * Growing demand for new flavours and/or access to the brand in more countries around the world * Increasing demand for Whiskey over other alcoholic beverages due to changes in preferences (socio-cultural forces)| Threats * Cheaper products with a similar taste to that of CC * Competition with other alcoholic beverages * Socio-cultural forces may influence consumer preferences| SWOT AnalysisBibliography Official Canadian Club Website. (2011). Canadian Club Import Company. Deerfield, IL. Retrieved December 8, 2011, from www. canadianclubwhisky. com LCBO Retail Website. (2011). Liquor Control Board of Ontario. Retrieved December 8, 2011, from www. lcbo. com Hide-A-Case. (2011). Canadian Club Import Company. Deerfield, IL. Retrieved on December 8, 2011, from www. hideacase. com Canadian Club ââ¬â Damn Right. (2009). The Arf. Retrieved on December 8, 2011, from http://thearf- org-aux-assets. s3. amazonaws. om/ogilvy/cs/Ogilvy-09-CS-CanadianClubWhisky. pdf Kent, A. (2011, April). Canadian Club ââ¬â The Unofficial Whisky of Prohibition. Good Food Revolution. Retrieved on December 8, 2011, from www. goodfoodrevolution. wordpress. com/2011/04/19/canadian-club-the-unofficial-whisky-of-prohibition/ Loughlin, C. (2010). Explore Prohibition Cocktails with Canadian Club & Boardwalk Empire. The Intoxicologist. Retrieved on December 8, 2011, from www. intoxicologist. net/2010/10/exploring-prohibition-with-canadian-club-cockt
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