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A.

EXECUTIVE SUMMARY

Lemon Square's vision of providing the market with delicious yet affordable, high-quality bread, cakes and pastries has always been at the cornerstone of its success. This is the reason why the researchers come up with an idea to have a global marketing competitive plan for Lemon Square. The study has a goal of making the Lemon Square embrace by Malaysian people especially their assorted cupcakes. It contains 1 piece each of our signature Brownies, Cheesecake and Cream Caramel snack cakes, and 1 piece each of tasty Pandan, Ube, Mocha and Buttermilk snack cakes. The researcher also wants to have the same reputation as here in the Philippines has the Lemon Square has already established, which is Lemon Square exceptional quality baked goods has made its products a staple in many a Filipino family's grocery and shopping list. Lemon Square products have also been popular as baon for school kids and as snack and dessert items in picnics and parties, which are also the researchers want to import in Malaysia.

B. COMPANY PROFILE

History: Lemon Square's owner Dulce had always dreamed of producing the best-tasting and the highest-quality cupcakes in the Philippines, and to make these available to millions of Filipinos at a very reasonable price. She had worked on the vision for Lemon Square in her college thesis in 1980. Lemon Square had its humble beginnings in 1985 when it started to offer local communities a small selection of homemade-style baked goods. Then newly-married Dulce began baking cakes to sell to her friends. Word-of-mouth soon became the primary driving force for her cakes as demand went through the roof. She and her husband Errol soon had to buy more cake-making machines, hire more people, increase production and enhance its variety to keep up with demand and to cater to the preferences of the market. In 1991, Lemon Square had to build a larger building to accommodate its booming operation. In 1995, Lemon Square had to thoroughly modernize its operations to keep up with the times. It did so by acquiring a state-of-the-art baking system that enhanced its production and efficiency. Lemon Square also adopted the latest packaging techniques used by bakers the world over. Dulce's passion for sharing freshly-baked, high-quality goodies to her countrymen led her to embark on another project, Frostings Cupcakes. These retail stores offer the best-tasting cupcakes made and prepared using the same high-quality standards employed by Lemon Square.

Headed by Dulce's son Ernest, Frostings Cupcakes are found in major malls and department stores. From its modest beginnings, Lemon Square has steadily grown in popularity and has expanded its customer base. This is due largely to its understanding of the tastes and preferences of its consumers. Lemon Square is now one of the largest producers of quality baked goods in the Philippines, offering the largest and most diverse product line to the Filipino mass market.

C. CURRENT MARKETING SITUATION 1. Market Situation Malaysia has a growing and vibrant consumer market of well over 20,000,000, distinguished by a multi cultural mix of Malay, Chinese, Indian and many other smaller populations of Western and Japanese expatriates. Malaysia has relatively little poverty, and as a whole, those living in cities are highly brand conscious, with a curious love of overseas brands. The middle class have a large degree of discretionary income. While prices are generally lower than in neighboring Singapore for many consumer items, living costs are also lower. 2. Product Situation Lemon Square Cupcakes intended to expand their market share in the local market primarily in the snacks and move into other market categories. The company wanted to create healthy products for their customers.

3. Competitive Situation a. Product

Lemon Square Assorted Cupcakes Lemon Square Assorted Cupcakes pack is a mouth-watering selection of some our wellloved snack cakes. It contains 1 piece each of our signature Brownies, Cheesecake and Cream Caramel snack cakes, and 1 piece each of our tasty Pandan, Ube, Mocha and Buttermilk snack cakes. b. Place

In Malaysia, the name Giant has become synonymous with everyday low prices, big variety and great value. This has been underscored by the Shoppers Trend Survey, which showed that Giant was perceived as the cheapest place, in Malaysia, to shop for everyday groceries. The researchers choose Giant as product placement because its like S.M here in the Philippines it has a lot of branches in Malaysia and it has a good mass apple.

c. Price
75 Philippine Peso = 5.49115 Malaysian Ringgit (1MYR=13.66Php)

Since Malaysia is in good terms in economics, we decided to sell it in estimated higher price of 25% of its Peso price.
d. Promotion Advertisements like print ads and TV ads that announced the event and launch the cupcake. Create an event that shows the connectivity of every Filipinos and Malays like putting booths and give free tastes to customers inside the malls especially in Kuala Lumpur. 4. Distribution Situation
The researchers use the traditional distribution model as a starting point. The conventional distribution model has three levels: the producer, the wholesaler and the retailer. This is a time-tested system with many well-established members at all levels.

5. Macroenvironmental Situation Despite the bleak situation worldwide, there are also companies that see an increase in business and growth, including local Malaysian companies. Fuji Xerox Asia Pacific Pte Ltd sees a growing business opportunity amidst the current soft global economy by helping clients assess and advice on cost-cutting. "We can save them anywhere between RM100, 000 and RM2 million a year. That is huge," says Fuji Xerox Global Services Deputy General manager Nesan Kandasamy. However, there are also decreases and drops in shares and profit. Hai-O Enterprise,

despite a 5% growth in sales, will see a flat net profit due to higher costs. IOI incurred a realized forex loss of about RM100million in the first quarter of September 30 2008. Local steel mills, according to Malaysian Iron and Steel Industry Federation, are cutting prices to ensure competitiveness of products. And a few other local companies saw falling share prices in the Malaysian Bourse and palm oil contract defaults to rise. Overall, it isn't doomsday for the local economy, though it wasn't a bed of roses either. For the common citizen of Malaysia, it is best to cut down on spending, especially luxury items. While young people are encouraged to secure jobs and income as soon as possible, retirees are advised to be less adventurous in investments, and to always keep a substantial amount in case of a crisis. Brace yourself for the worst, but keep in mind that the hurt will recover in time, and be in the gears for the oncoming challenge. D. OPPORTUNITY AND ISSUE ANALYSIS 1. Strength Malaysia is like Philippines in the way of living but Malaysia is more industrialized. Since Lemon Square Cupcakes is very successful in the Philippines, success in Malaysia is not that hard to achieve because of the almost same culture like the creation of handicrafts, way of living, and a lot more similarities. 2. Weakness - Costs of the products is relatively high, financial pressure. 3. Opportunity - There are more countries to establish Lemon Square goodness. Improve and customize the products. 4. Threat- the researcher thinks that the existing competitors and uncertainty in the new market are the threats that facing Lemon Square in Malaysia.

5. Issue- the researcher thinks that theres no negative issue that Lemon Square will have in the future in Malaysia because Lemon Square have a good reputation that been establish in the Philippines that Lemon Square also want to establish in Malaysia.

E. OBJECTIVES 1. Financial objectives maintain a positive cash flow. Grow earnings for 20% for the next 5 years dealing with Malaysia. And increase the size of the operation in Malaysia and even in other ASEAN countries from 2011 to 2015. 2. Marketing objectives conveniently accessible for the market and be present to all of the types of stores weather it is upper or lower class. F. MARKETING STRATEGIES 1. Target market The middle class is any class of people in the middle of a societal hierarchy. In Weberiansocio-economic terms, the middle class is the broad group of people in contemporary society who fall socio-economically between the working class and upper class. TOTAL POPULATION 2009 28.3067 million Majority of the Malays are middle class that are salaried workers. A middle class Malays minimum earning less than RM1000 per month (PHP 13,840 per month). They are considered neither rich nor neither poor. 2. Positioning

We will be using export selling which has the same product, promotion and price but different in place. Same positioning will be used, the freshly-baked and high-quality cupcakes. A delicious yet inexpensive high quality baked products and easy to access in stores, groceries, etc.

3. Product line

Cheese Cake Lemon Square Cheese Cake is a delightful cheese-flavored cupcake that's rich in butter and milk. This Vitamin A and Calcium-rich treat is a sure hit among snack lovers everywhere.

Brownies Lemon Square Brownies is a rich and flavorful fusion of soft and chewy chocolate cake, thick chocolate fudge and crunchy chopped peanuts. Simply delicious!

Pandan Cake Lemon Square Pandan Cake is a tasty pandan-flavored cake that's rich in butter and milk. This is one treat that will surely leave you craving for more!

Ube Cake Lemon Square Ube Cake is a creamy, ube-flavored cupcake that's oozing with real goodness. It is a taste that will surely remind you of your childhood.

Mocha Cake Lemon Square Mocha Cake is a soft and creamy butter cupcake oozing with rich, thick mocha, and studded with chocolate chips. A perfect dessert!

Cream Caramel Cake Lemon Square Cheese Cake is a delightful cheese-flavored cupcake that's rich in butter and milk. This Vitamin A and Calcium-rich treat is a sure hit among snack lovers everywhere.

4. Price 5. Distribution outlet Giant store branch in Kuala Lumpur. 6. Sales force the salesperson is the most visible-and perhaps the only outward manifestation that seen by customers. This type of salesperson carries a heavy load. He or she has to uphold the Big E's image, hold the customers' hands, interface with delivery and repair departments at headquarters, and, of course, get the sale. 7. Advertising print Ads, TV Ads and social network or internet specifically on Facebook (Malaysias most used social network), MySpace, etc. 8. Sales promotion - Advertisements like print ads and TV ads that positioned the freshness of baked cupcakes and Ads on social networks announcing the event and launch the cupcake. Create an event that shows the connectivity of every Filipinos and Malays like putting booths and give free tastes to customers inside the malls especially in Kuala Lumpur.

G. ACTION PROGRAM

What will be done?

When will it be done?

Who is responsible for doing it? Head manager who is responsible for making possible to build a factory in Malaysia.

How much will it cost?

Establish a factory of Lemon Square in Malaysia.

If the product embraces by the Malaysian most probably 3 years from now is the estimated date.

Estimated cost is for about 100 Million.

Expand Lemon Square assorted cupcakes distribution to other Giant Probably for about a year after introducing Lemon Square Global manager who The researcher thinks takes in charge in that the estimated cost transaction in Giant. is 1.2 Million or much

(grocery store like S.M or pure gold in Malaysia). Extend Lemon Square market to other countries that under ASEAN trade agreement.

cupcakes in Malaysia.

lesser.

The heads of Big E. 5 or 6 years from now. The global and For two more countries marketing heads of the company. Probably 2.6 Billion.

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