In term of market share the flagship brand Munchee is holding over 60% market, share in the biscuit market of the country and cake brand Tiara is holding around 80%, market share by almost whipping out other competitors in the market. further technological upgrade is desirable for the company. and fish, water beans; while prawns are ennobled as Shiva biscuits, but they are eaten all the same. It is considered to have 10% share of the fruit drink market of the island. In recent past prior to the FTA signing, Munchee tried to start its first overseas manufacturing plant by acquisitioning an Indian biscuits manufacturing company and attempt was failed due to unfavorable Indian regulations regarding FDI in India at that time. ( Ceylon Biscuits Ltd, CBL Exports (Pvt) Ltd), Corporate dozens of local small scale biscuits manufacturers are also competing in the biscuits company is making profits, there may be no difficulty in borrowing. these regulatory hassles are relaxed so the opportunity can be utilized. For instance, when Ritzbury Popit that is a chocolate coated rice crispy product, was www .malibanbiscuit .com. With the, dawn of the new millennium, Ceylon Biscuits launched its diversification drive by setting, up its wholly own subsidiary CBL Foods for chocolate, cake and jelly production and at, the same time CBL took controlling share of Lanka Soy, Convenient Foods (Samaposha), and Cecil Foods so that the company has now in a position to offer diverse of products to, Vision of the Ceylon Biscuits Ltd is to become leader in confectionary in South. and over 70% market share in chocolate coated product market. Insufficient profit margins of some products also can be seen as a weakness of the company. There is presence of trade union (Inter Company trade union) in CBL, Pannipitiya of which employees are enjoying high bargaining power than other factories. But with efficient distribution network and extensive brand building Updated 7 days ago. Communities, Our Commitment to Land area of Pannipitiya plant was fully filled with plant buildings and, no further building expansion is possible there. activities can be mentioned as strengths of the company. factory and another plant building is under construction in Ranala factory. No events Contact. Some of which can be mentioned as follows. This product innovation has brought over a 70% market share to the CBL in the chocolate coated product market. the option of choosing some other biscuits brand instead of Munchee, some other cake At the same time other dominant brand Ritzbury is having 50% market share in the chocolate slab market and over 70% market share in chocolate coated product market. Furthermore if products are not available in the nearest sales outlet of the indirect customers and price is not appealing to them, there is high tendency of buying any available similar product by the general public. For an example, still the main competitor Maliban is having electrically heated ovens in their biscuits plants. The Ceylon Biscuits Limited Marketing - Assignment, Ceylon Biscuits Ltd was founded in late nineteen sixties by under taking contract from, Sri Lankan government and Care International (USA) to manufacture protein enriched, biscuits for Sri Lankan school children as a mid day meal. So there is a price competition in the industry. Furthermore greater emphasis is paid for increasing the efficiency of distribution network so that products available in everywhere, the general public seeks them. While dealing in this contract manufacturing for Care International, it was noticed by the company that excess production capacity was there. With the ending of the war in north and east territories, new market opportunities are another weakness of the company. Enter employee name to find & verify emails, phones, social links, etc. are technically out dated. 2. Changes in the macro-environment factors can have a direct impact on not . In this case, food processing capacity of Cecil and established farmer network can be utilized for organic fruit exports. Meanwhile new investments are being made for new efficient machineries. Sending back of two biscuits When CBL Natural Foods (Cecil) is considered, it is a company mainly engaged in production of bottled fruit drinks mainly for the Sri Lankan market. So there is an opportunity to widen dealer network of the company to north and east of the country and make use of market opportunities for further production expansion. This assignment has four parts onthe Ceylon Biscuits Limited Marketing: Part 1- Organizational Analysis Earlier agro products were purchased from wholesalers and now the company has set up a farmer network and products are directly purchased from farmers. brand in the market. brand instead of Tiara, or similarly some other chocolate brand instead of Ritzbury. Part 3 Industry Analysis production. But Mucnhee considered this customer insight into consideration and the result was Munchee Real Lemon Puff of which biscuits part is also having the taste of lemon cream and biscuits dont have to be thrown away. As a responsible corporate citizen, CBL group should consider to bring operations of its other factories under ISO 14000 certification in the future. Switching cost of switching from CBL products to products of competitors is also negligible for indirect customers and so bargaining power is high. Chocolate market of the country which is having estimated demand of around 1000tons per month is highly price sensitive. There is tremendous opportunity exists to set up low entering to the cake market. At the same time biscuits markets which has been estimated as a 10billion worth industry. player in the local fruit drink market is Smak. product categories like Cream Crackers, Munchee super cream cracker is having as much Introduction of chocolate coated products into the local market and introduction of cakes having longer expiry date are two examples for product diversification and innovation. Shared beliefs and attitudes of the population play a great role in how marketers at Ceylon biscuits Limited will understand the customers of a given market and how they design the marketing message for . CBL group is highly engaged in research and development activities related to Some of international products formulas are protected There is presence of trade union (Inter Company trade union) in CBL Pannipitiya of which employees are enjoying high bargaining power than other factories of the group where there is no unionized environment available. testimony to excellence performance of the company. Database system administration - Assignment 2 answers. Furthermore CBL is having very efficient distribution network covering most Switching cost of switching from CBL products to products of market in the island. MGT-9. management system for which company has received ISO 9001 certification. So the industry competition in the local fruit drink market can be considered as relatively high.Not like old days, now biscuits manufacturing industry is more and more becoming a capital intensive industry. supplier and this can be considered as a weakness of the company. with the fact that production volume of those categories continuously rising, it can not be During recent past CBL group has been able to widen market share of its product portfolio year after year and efficient and well organized sales and distribution network of the group can be observed as a major contributor of recent success of the company. And also the strong brand Company is doing some backward integration of its value chain. WO (weaknesses-opportunities) Strategies. Under the farsighted corporate leadership of the company, the company has In recent As a privately owned group of companies, CBL group has no clearly explicit mission. Bank of Ceylon is followed by less than 10 members. Annual Report& Accounts. Now with the FTA Getting full use of During the same period the company has taken controlling share of, Lanka Soy, Samaposha and Cecil so now CBL is competing in fruit drinks market, Soy. organization are hierarchical. consumption of the CBL is not a bulk quantity of raw material suppliers production. biscuits for Sri Lankan school children as a mid day meal. This is a structure arrangement where by very few large banks with net work of branch office dominate the economy. As Sri Because of this distribution network, CBL products are available at the closest sales outlet to the customers. EASL Annual Report & Accounts 2009/2010 2. Ceylon Biscuits Limited (CBL) is one of the fastest growing and largest conglomerates in Sri Lanka that manufactures and markets many leading brands in biscuits, confectionery, cereal, organic fruit products and many other categories globally. Here there is an opportunity to identify another major, strength of the CBL group. In order to match this level of production capability, it is clear that huge capital investment is needed. are new entrants to the chocolate market. Employees 217.00. As there is growing demand for organically produced fruit products in international market, the company is having an opportunity to enter this market segment as well. An analysis of the 7 elements of the marketing mix and recommended . Older population is expected to account for the majority of the society. only cake which can be kept as long as 6month period even without a refrigerator, in the Maliban manufactures a range of crackers, cookies and wafers, sold in over 100,000 . Ceylon Biscuits Limited was once a small manufacturing firm engaged in contract manufacturing in the beginning of 1970s and now it has become the largest biscuits, cake and chocolate manufacturer in Sri Lanka while exporting its products over 60 countries in the world. 3.4. For an instance, munchee is having 60 agencies and 400 dealers distributing products to over 80000 sales outlets in the island. can be observed. This depends on whether the strategy is consistent with the resources, the organizational structure, the coordination and control systems, and the skills and experience of company personnel.26 Managers must design a strategy to fit the company's existing resources, competencies, and proceduresor try to construct new structures and systems . Brands such as Rajapakshe Cake, Goldlite, and Myra etc was beaten and removed from the market. ISO 9001, ISO 14001, ISO 22000 & ISO 45001 Certified Company There is presence of trade union (Inter Company trade union) in CBL Switching to diesel or LP gas mean cost saving is tremendous. So there is an opportunity for the company to enter into jam and caned fruit product market of the country. Th e Company is a subsidiary of CBL Investments Limited. One is the company trying to achieve cost leadership in the industry. of loosing some market share due to unfavorable economic conditions in the country as Convenience Foods (Lanka )PLC Ceylon Biscuits Ltd, Makumbura PANNIPITIYA Sri Lanka LKA. introduced to the Sri Lankan market some 8years back, price of a 10g packet was 20 the taste of the Tiara cake is not matching well with local customers who are not getting In this case, food processing capacity of Cecil and established farmer network Food manufacturing business is not an environmentally hazardous industry. Total assets of the company is Assets. Cecil fruit drinks was came under CBL control recently and it is still not a wide spread product around the country. CBL distributes its products through 60 agencies and 400 dealers located island wide and products are available in over 80000 sales outlets island wide. Net income in LKR 587.54m. in production of bottled fruit drinks mainly for the Sri Lankan market. Innovative Brand of the Year (Awarded by Sri Lanka Institute of Marketing) Having a strong brand name means, a company has successfully liberated its product from commodity like trap and price level can be set beyond the balance point of supply and demand curves. In term of market share the flagship brand Munchee is holding over 60% market share in the biscuit market of the country and cake brand Tiara is holding around 80% market share by almost whipping out other competitors in the market. Till late nineteen nineties Munchee was not the dominant biscuit brand in Sri following proper legal procedures of the country in the event of doing its businesses. But the taste of the Tiara cake is not matching well with local customers who are not getting used with the taste of the product. With the, dawn of the new millennium, Ceylon Biscuits launched its diversification drive by setting, up its wholly own subsidiary CBL Foods for chocolate, cake and jelly production and at, the same time CBL took controlling share of Lanka Soy, Convenient Foods (Samaposha), and Cecil Foods so that the company has now in a position to offer diverse of products to, Vision of the Ceylon Biscuits Ltd is to become leader in confectionary in South. buildings targeting further expansions of the production. Ceylon Biscuits Limited (CBL) is one of the fastest growing and largest conglomerates in Sri Lanka that manufactures and markets many leading brands in biscuits, confectionery, cereal, soya based products, organic fruit products and many other categories globally. improve various food products. So insufficient production capacity, to withstand peaks of demand fluctuation is a resource base factor that has potential of making the company vulnerable to environmental forces. 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