Agriculture Reference
In-Depth Information
PecsBake's managers noted the increasing popularity of microwave ovens in Hungarian
homes, and decided that they would like to introduce sweet Western-style pastry
products (such as frosted cinnamon rolls) in Hungary. Their production experts were
confi dent that PecsBake could also produce refrigerated, microwave-ready dough for tradi-
tional Hungarian pastries such as
turos taska
(a roll fi lled with sweetened cottage cheese),
lekvarosz batyu
(a roll fi lled with jam), and
kakaos csiga
(a roll fi lled with cocoa). On a per
serving basis, the Hungarian pastries would require 1.5 times the volume of the American
products.
In general, Hungarians don't like sweet breakfasts. Their morning pastries are only semi-
sweet at most. If PecsBake decides to sell American-style cinnamon rolls, they may need to
be positioned as dessert products unless the fi rm can educate consumers about this new
breakfast taste.
Microwaves are just emerging in Hungary. At present they are in only three or four out of
every ten homes in the capital city of Budapest, and with even fewer in the countryside.
“Food-in-a-hurry” isn't a widely held concept in Hungary. However, this is changing quickly
as many Hungarians are working longer hours and sometimes two or three jobs.
U.S. cardboard/can manufacturers are currently reluctant to produce containers sized for
the proposed Hungarian products unless they are paid higher prices to cover the cost of
manufacturing the special containers. At this time they are only offering prices which would
be economical for the Hungarian bakery on the same cardboard/can containers that they are
currently supplying to large American companies.
PecsBake's managers are not certain that the proposed products will be well received by
Hungarian grocery stores that already have limited refrigeration space. Alternatively, one
manager suggested that they provide stand-alone refrigerated displays and sell their products
in appliance stores in areas near the microwave displays.
PecsBake has enough capital to begin producing and marketing refrigerated, ready-
made microwaveable pastry dough on a limited scale. They would like your advice
about what products to introduce, how to package their products, and how to reach their
customers.
Questions
1. What target market should PecsBake pursue?
2. What position should they take with this target market?
3. Outline the marketing mix you would suggest for PecsBake as they attempt to
communicate your suggested position with the target market. What product/service/
information strategy would you employ? How should they price their products? What
promotion or market communications strategy should they use? What place strategy or
distribution channel would you use? You may want to consider both the short term and
the long term in your strategy.
References and additional reading
Blakeman , Robyn .
Integrated Marketing Communication: Creative Strategy from Idea to
Implementation
.
Lanham, MD: Rowman & Littlefi eld , 2007 .
Downey , W. Scott , W. David Downey , Michael A. Jackson , and Laura A. Downey .
ProSelling: A
Professional Approach to Selling in Agriculture and Other Industries
. Henderson Communications,
LLC , 2011 .
