Sun Chips Essay

2875 words - 12 pages

In this report the objective is to evaluate the feasibility of Frito-Lay, Inc. launching a new product, Sun Chips™ Multigrain Snacks.Dr. Dwight R. Riskey, Vice President of Marketing Research and New Business at Frito-Lay, Inc. had to decide and present, together with the product management, the future for Sun Chips™ Multigrain Snacks. The chip had been in test-market for 10 months in the Minneapolis-St. Paul, Minnesota, metropolitan area and appeared to be extremely favorable according to consumer response.The presentation to the Frito Lay, Inc. seniors had to be persuasive, and besides the thorough assessment of the test-market data, Riskey added:"Sun Chips™ Multigrain Snacks required a new manufacturing process, carried a new brand name, and pioneered a new snack category. There would be a huge capital investment and a huge marketing investment that could be financially justified only if it could be sustained for an extended time period".Should the Sun Chip Multigrain Snack be put on the national market or should it be tested further?What kind of product and promotion strategy should be suggested in order to reach the goal of an estimated first year sales volume of USD 100 Million and is at all profitable?Introduction Frito Lay, Inc.Frito-Lay, Inc. is a division of the world famous PepsiCo, Inc.PepsiCo, Inc. recorded a net income of $1.077 billion on net sales of $17.8 billion in 1990.Frito-Lay, Inc. is known as a worldwide leader in the manufacturing and marketing of snack chips, with well-known brands such as Lay's brand and Ruffles brand potato chips, Fritos brand corn chips, Doritos brand, Tostitos brand and Cheetos brand cheese-flavored snacks etc. Doritos brand tortilla chips and Ruffles brand potato chips have the distinction of being the only snack chips worth $1 billion in retail sales in the world.Frito-Lay, Inc. accounts for 13 per cent of sales in the United States (U.S.) snack-food industry including candy, cookies, crackers, nuts, snack chips, and assorted other items, which is approximately worth 37 billion per annum. The company is the leading manufacturer of snack chips in the U.S. capturing almost 50% of the retail sales in this category, and it recorded U.S. sales of $3.5 billion in 1990.The product Sun-Chips™ Multigrain snackSun-Chips™ Multigrain snack is a crispy, textured snack chip consisting of a specific blend of whole wheat, corn, rice and oat flours with a lightly salty multi-grain taste and a slightly sweet aftertaste. The product contains less sodium than most snack chips and is made with canola or sunflower oil. The chip is approximately 50 percent lower in saturated fats than chips made with other cooking oils and is cholesterol-free. According to a Frito-Lay, Inc. executive, it is a "thoughtful, upscale classy chip."Product LifecycleThe chip product has been on the market for a long time, but has until now managed to stay in a strong and constantly growing position, especially since...

Find Another Essay On sun chips

Business Analysis of Sun Microsystem

1931 words - 8 pages Business Analysis of Sun Microsystem *Works Cited Not Included Sun is the only major company that builds an entire line of computers based exclusively on its own designs, its own chips, dubbed Sparc, and its own software, a version of the Unix operating system known as Solaris. As such, Sun stands alone as the "pure" alternative to the Wintel world-a moniker used to describe computers powered by Microsoft's software and Intel Corp.'s

My girlfirend Essay

584 words - 2 pages ap-peared unknowingly when we were exclaiming about the Great Wall. At that moment, I took her to the second stop that was Paris for a delicious French dinner through 'space-time', which was our secret. We were enjoying the diner while we were watching the sun went down. A romantic day was over finally with the beautiful color of the night. After our trips, we have fallen in love with each other. Although she is wonderful, she had some strange

Fire Retardant Fabrics

841 words - 3 pages swift spray of cold water turns the molten ribbon of nylon into a hard, translucent sheet, which is then chopped into small flakes called nylon chips.If the nylon is intended for sheets, rods, bristles, coatings, or molds, it is sent to factories in the form of chips. The chips are melted and turned into final products. Nylon intended for yarn must undergo further treatment. In a process called melt spinning, the chips are melted, and the melt is


802 words - 3 pages its various clients is lengthy and impressive. The awards include some from Fujitsu, Dell, Compaq, Gateway, 3com, Texas Instruments, Philips, and Sun Microsystems among others. In regards to uniqueness, Micron has built certain standards into their products that not many of its competitors can match. One such standard is the AMBYX system. This system tests chips under various temperatures, voltages, and operational conditions to guarantee a quality

Solar Energy's Ability to Power our Future

792 words - 3 pages systems use panels, similar to computer chips, which receive the rays, absorb the sunlight and convert it into electricity. These systems are usually found on flat surfaces such as roofs, where the most sunlight is available. Inverters are connected to the PV system, which transform the DC electricity from the sun into AC electricity, which is used for more common appliances. Another option as a connector for the PV system is the Electric grid, which

Causes of Child Obesity

652 words - 3 pages . They ran, they climbed and they socialized with other children face to face. Because of that, they got exercise, vitamin D from playing in the sun and they knew how to become sociable. Now a days, with the advancement of computers and cell phones, kids do not have to meet up with their friends to talk, they can simply text them or send them an email message. This is becoming a big factor as to why our children are becoming overweight

Earth vs. Mars

986 words - 4 pages , 56 minutes. 24 hours, 37 minutes.Year 365 days (the time needed to go around the Sun once). 687 Earth-days, or about 670 Mars days.Gravity Normal. 38 percent of that found on Earth at sea level.Tilt of rotation axis 23.5 degrees. 25 degrees.Satellites The Moon, plus several that communicate, and tons of junk as small as paint chips. Two natural ones, Phobos and Deimos, plus

Frito Lay Case Study

2903 words - 12 pages ."Frito-Lay's snacks include a broad portfolio of products including chips and granola bars, dips, salsas, nuts and seeds. The company's range of branded products include Lay's potato chips, Doritos flavored tortilla chips, Tostitos tortilla chips, Cheetos cheese flavored snacks, Fritos corn chips, Ruffles potato chips, Rold Gold pretzels, Sun Chips multigrain snacks, Munchies snack mix, Lay's Stax potato crisps, Cracker Jack candy coated popcorn and

We Are All Important

616 words - 2 pages labors?” Let me explain to you the issues causes this problem by using the garbage man as the labor who wakes up at the sunshine to work 16 hours a day. You as a citizen walk or drive in the roads of your country you see men picking up rubbish from the roads which we citizens threw! I guess now you are asking yourself. Why they are to pick what we threw? Allow me to describe to you the road or even the city will look like; paper bags, chips

Analysis of the Hydrogen Atom

700 words - 3 pages Hydrogen (comes from the Greek words, hudôr (water), and gennan (generate)) is one of the simplest elements on earth. It is estimated to make up more than ninety percent of all the atoms, three quarters the mass of the universe. Hydrogen has the highest energy content of any common fuel by weight, but the lowest energy content by volume. Hydrogen is the most abundant gas and the source of all energy that we humans receive from the sun, but is

The Negative Effects of Fossil Fuel Usage

1434 words - 6 pages jump on the environmental bandwagon  because it is politically correct, but because we live in a capitalistic society that is driven by the almighty dollar people are resistant to change.   Solar power is the energy of the future.  Gary Chandler and alternative energy advocate states, “Although the sun is 93 million miles from Earth, it provides a free and plentiful source of clean fuel for renewable energy production” (Chandler, 1).  We must

Similar Essays

Frito Lay New Product Essay

1181 words - 5 pages , French onion and mild cheddar).Based on the results of the concept test it seems that before trials consumers perceive Sun Chips as being a healthier alternative that is not for everyday use with the natural flavor perceived as healthier, followed by Mild Cheddar and then the French Onion flavor. Postuse perceptions show that people who tried Sun Chips still rate them as a healthier product but now they perceive them as an everyday snack, postuse

Poore Brothers Essay

1468 words - 6 pages no other chip had. In 1983, they started a small chip manufacturing operation outside of Houston with a brand called Groff's of Texas. They sold their Texas business after a few years and decided to move to the Valley of the Sun. In 1986 the brothers founded Poore Brothers in Goodyear, Arizona. They started with one kettle, one delivery truck, and one store that sold their chips, Mayfair, across from the Wigwam. They didn't have a marketing

Poore Brothers 3 Essay

1468 words - 6 pages no other chip had. In 1983, they started a small chip manufacturing operation outside of Houston with a brand called Groff's of Texas. They sold their Texas business after a few years and decided to move to the Valley of the Sun. In 1986 the brothers founded Poore Brothers in Goodyear, Arizona. They started with one kettle, one delivery truck, and one store that sold their chips, Mayfair, across from the Wigwam. They didn't have a marketing

"Before The Sun" By Charles Mungoshi

779 words - 3 pages This is a simple poem written by the African poetCharles Mungoshi, in which a boy talks about his every day life activity. The boy like all others desperately wants to convince others or even himself that he’s a grown up, and so seek to copy the activities that old people do. He wakes up every day before the rising of the sun. The boy explains the nature around him, and how his life is simple or even sometimes tiring (he wakes up very early