Competitive horizon
Article Type: Competitive horizon From: Strategic Direction, Volume 28, Issue 4
Health benefit boost for Australian dairy industry
An industry-backed study carried out at the University of South Australia has concluded that persuading Australian consumers to increase their intake of dairy products can help to drastically slash the country’s bill for healthcare. The study, as published by www.dairyreporter.com, estimates that almost two-thirds of Australians do not consumer enough dairy foods that include milk,cheese, yoghurt and custard. Health practitioners recommend three servings per day and the dairy industry is urged to more actively promote the benefits of dairy consumption. Such foods provide a range of essential nutrients like calcium, protein, potassium, zinc and vitamin A that help to maintain a healthy body weight. In addition, consumption of dairy foods can positively impact on conditions which include heart disease, stroke, hypertension and osteoporosis.
Boardroom effectiveness
Certain factors must be in place for any board to function effectively. Some capabilities are fundamental including the ability to generate clear, accurate reporting and forecasting, together with significant knowledge of the market. Robust fiscal management with tight controls and accountability should supplement this information base. A report published by Growth Business (www.growthbusiness.co.uk)claims that a solid foundation can help improve the process for introducing new products or services. Driving growth is a key board responsibility and needs to incorporate effective risk assessment measures. It is, however, the presence of additional factors that enable real progress to occur. Clear vision of the where the organization is and where it wants to go is most important. Outside investment becomes likelier in firms where the board is able to point the way forward. Articulating this vision is imperative and demands strong communication skills in order to achieve cross-company support. Drive and commitment to turn vision into reality are equally crucial. The report also believes in healthy debate and board capacity to help develop and, where necessary, challenge the leader’s proposals. Allocating sufficient time will help the board function properly, while complacency can be guarded against through the introduction of non-executive directors or external advisors to bring fresh ideas and impetus.
Kenyan economy expected to recover in 2012
A World Bank report predicts that 2012 will see growth of 5 percent for the economy in Kenya. It is believed that main growth drivers will be tourism,services and the agriculture sector, hit by drought during 2011. The organization does warn, however, that the rate of recovery will also depend on the ability to control inflation and stabilize the currency. These factors were deemed responsible for the lower growth recorded in 2011 following GDP growth of 5.6 percent recorded the previous year. The report, as published by All Africa(www.allafrica.com), also recommends a move to strengthen exports by focusing on sectors additional to the core tea and flowers. Such a move will help produce a more balanced economy that is better positioned to resist shocks.
Cultural know-how
Marketers can use knowledge of a culture to successfully target a specific cultural group, a report published by Business Intelligence Program (www.sric-bi.com)claims. One way to utilize such knowledge is the inclusion of messages which evoke religious or cultural practices. Another is to exploit the fact that certain colors have significance for particular cultural or ethnic groups. The report additionally recommends customizing products to meet cultural needs and highlighting this fact within promotional campaigns. By taking this approach,marketers are likely to persuade those consumers already attracted to the brand. Timing can further increase the effect and marketing campaigns that coincide with important cultural events help the cause. Use of relevant media to deliver the message strengthens the effect further. The importance of recognizing differences between cultural subgroups and targeting segments accordingly is also pointed out. Cultural identity is usually stronger among less educated individuals, while culture and ethnicity are less influential for people of higher social standing. Factors that include income and education level are a key part of identity for these subgroups.
