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Product Strategy: Boulder Canyon Essay

1451 words - 6 pages

Product strategy

The product strategy use for Boulder Canyon will use dual adaptions, where the product name and flavors will be modified. Although many people in the United States know of (or have heard of) Boulder Colorado, many people outside of the United States will probably not. If foreigners were to look up the definition of the word, “ boulder”, they would find information about rocks, not Boulder Colorado, which is known for being one of the healthiest cities in the United States (Page, 2010). Instead of Boulder, it will be replace with the Hindi translation for "healthy chips". There will also be a picture of potato chips to ensure the large population of illiterate individuals found in India are able to understand what the product's contents are. The products itself will be more distinctive then other foreign-produced potato chips because of the adaptation to local flavors. India is a country that is known for its spices where many explorers went to the end of earth in search for its unique flavors. These flavors include curry, sweet chili, chai, and other natural spices from India (Indian Spices & Ingredients, 2010) . Other foreign companies have also taken a dual adaption approach to succeed in India, “These large Multi-National Companies have realized that to succeed in the Indian marketplace they need to hire Indian representatives who are much more aware of the Indian economic, political, legal and social climate. In the Indian Marketing Scenario, it is the MADE FOR INDIA marketing strategies that work”( Kadiwala,2010) .

It is a good time to enter the Indian market as health issues is becoming a major problem. As a healthier alternative to larger potato chip companies, such as Frito-Lays, Boulder Canyon will appeal to the growing middle class that is increasingly prone to diabetes. “Type 2 diabetes is known as the "disease of affluence"; it preys on people who, as they become better off, take less exercise and change their diet away from fresh vegetables and fruit” (Mynott, 2008). There are currently 41 million people in India that have diabetes, killing people more quickly than HIV/AIDS (Mynott, 2008). It is predicted that this will be a problems for years to come especially with India’s growing economy. Considering this epidemic problem, Boulder Canyon believes the people of India will seek healthier alternative as they become more educated about diabetes. The people of India will still want have treats and snacks, but with Boulder Canyon chips, they can now have the option to eat something tasty as well as healthy.

Price strategy

On average, potato chips costs about .50 USD per bag in India (Madvav). As a healthy alternate with better ingredients to regular potato chips, it is decided that the price would stay a few cents higher to express quality. The cost per bag would be 55 to 60 cents (USD) which would be after the retail markups. This higher cost would also enable Boulder Canyon to...

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