Business (AS & A Level) · Oct / Nov 2021 · Paper 23 · Question 2

Super Candy (SC) SC is a large public limited company that sells low-sugar candy (sweets) with natural flavourings. The candy is made using flow production in SC’s four large factories in country T. SC uses psychographic market segmentation when planning its marketing mix. SC has completed some secondary market research using published accounts. The data is about one of SC’s main competitors, Organic Kandy (OK) and compares the results with data about SC (see Table 2.1). OK is in the same market as SC. Table 2.1: Secondary market research about OK and SC for 2020 OK SC Revenue $60m X Market share by revenue 40% 34% Different varieties of candy 12 18 Main channels of distribution Wholesalers Large supermarkets Health food shops Wholesalers Small retailers E-commerce Target market(s) Mass market People with interests in: • Nature • Sports • Travel • Health There have been a number of media reports in country T about the increasing importance of corporate social responsibility (CSR). A large food manufacturing business in country T recently lost many customers due to reports about its use of plastic packaging. The directors of SC are particularly concerned about this trend because of SC’s use of plastic in its packaging. The marketing department has been told to conduct some primary market research on this issue. The directors are planning to discuss making CSR a new business objective for SC. 5 10 15 20 25

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