Escolar Documentos
Profissional Documentos
Cultura Documentos
Strategic Management
Sec: 8
Group-04
Submitted To:
Bobby Hajjaj
Senior Lecturer
Department of Management
School of Business & Economics (SBE)
Submitted By:
Name ID
Md Ali Azzan Esha 142 0066 030
Mohammad Riasat Quader 133 0536 630
Md Towfiqur Rahman Bhuiyan 132 0120 030
Mohammad Abdullah-Al-Atique Khan 133 0219 630
Abdul Aziz Saleh 141 0350 030
Nasib Hasan Nadim 141 0905 030
Anika Monzoor 122 0123 030
Samiha Maisha 123 0407 500
Total words: 997
Vision
To capture all the different consumers of wine and holding their brand name RMW.
Mission
To grow the customer base by removing wine’s mystery, while still maintaining the magic.
Strategic intent
Reaching all the customer base and enhancing their knowledge and impression about their wine.
Core value
Quality maintenance
Targeting the global market.
Ecologically aware
Reasonable
Pioneering
Sharing knowledge about the myths about wines and motivating towards their wine-
culture.
Core purpose
To strengthen their idea and dedication through their culture and reaching various fan bases for
1. Customized marketing and distribution strategies for each brand of Mondavi wines
2. The old brand name of Mondavi will help them to expand to other parts of the world
3. Differentiating their product from competitors will help boost sales.
4. Acquisitions and mergers are required
5. Target market should be increased and diversified
Barriers to entry
For new company, barriers to entry is very high due to they need better supplier than
existing companies to reduce the cost, huge capital to set up the business for the first
time.
Suppliers Power
Suppliers power is low means suppliers have very little bargaining power as company
can use their own resources to grow major portion of the grapes and many supplier of
grape are available.
On the other hand, experienced grower is rare to find who can provide best quality raw
material which can make product attractive to the customers. In that case, supplier have
more bargaining power over the company.
Buyer power
In USA many wine companies exist which leads to high buyer power. Buyers can switch
their brand easily as market leading brands differentiated their products to high end.
Mondavi has a strong and successful customer base position of serving best quality.
Competitive Rivalry
Competitive rivalry is high as many rival companies are getting merger with each other.
Threat of substitutes
It is also high as many alcoholic beverages like beer, Champaign are available in US
market.
Porter’s Five Forces | Lower End Segment
Barriers to entry
It takes long period of time to reach breakeven
Most of the customers have high brand loyalty
Suppliers Power
Most of the companies have long term contacts with suppliers, so they can bargain only
time of contract renewal
Buyer power
Importers and wholesalers can import different country’s brands easily. So, high
competition among the brands
Competitive Rivalry
Threat of substitutes
Other substitutes are cheaper, distilled wines that are created and sold by Mondavi’s main
competitors.
Procurement
Always focuses on international grape production
Operation
Use manual oak‐barrel fermentation for high end product
Marketing
Distribution
Huge established wholesaler who are accounted for 29%of the firm’s sales.
Service
Woodbridge accounted for majority to export sales though RMW
The Value Net
Suppliers
Robert
Competitors Mondav Complementors
i
winery
Buyers
Suppliers
Mondavi owned and leased 9,700 acres of vineyards in Cali, and 1,600 acres in Italy,
Chile and California.
Complementors
Mondavi did more than 10 mergers with different region’s wine business owner.
They made deal with most renowned distributors and work closely with them.
So there is minimal chance of Mondavi’s buyers which can switch to opponent’s product.
Recommendation
We believe that the recommendations we gave will help the company to tackle the current and a