As it has been stated in the mission statement, the purpose of Life’sLemonade is to provide high-quality products and services tocustomers. By doing so, the firm stands a better position to satisfyits customers. By satisfying them, it retains and attracts new ones.The desire to increase sales is not only motivated by the need forhigh profits but also by the firm’s corporate socialresponsibility. For every glass of lemonade sold, five cents aredonated to charity to help the poor. These goals motivate the firm tocome up with a comprehensive branding strategy, expansion strategyand employee training plans.
The most preferred distribution channel is direct distribution. Thefirm will, however, consider the place/ distribution strategy used byits competitors. In direct distribution, there are no intermediaries.The goal is to ensure that the firm is in direct contact with thefinal consumer in such a way that their direct feedback will be usedto improve quality (Goi, 2009). The product will be packaged ineye-catching sachets and in different quantities to make itaffordable. Besides, the firm will develop several brands of theproduct such as lemonade juice (ready to drink), lemonade (dilute totaste), lemonade ice cubes and lemonade cocktail to satisfycustomer’s desire for variety. Like in the distribution strategy,the firm will consider the competitor’s promotion strategy beforeadopting its own (Longenecker, 2009). Even so, advertisement throughradio and television stations will be highly utilized owed to theirpopularity. 98% of the world’s households own, at least, one radioor one television set. The social media is another platform that theLife’s Lemonade firm cannot afford to ignore in the digital worldin spite of the high rates of the digital divide.
Opportunities forNew Locations
The main factor to consider when assessing a location for the Life’sLemonade stand is the demographics. The firm has two mainconsiderations in as far as the location’s demography is concerned.The presence of target population in the new location and theirnearness to the business location (nearness to the market) (Lafuenteet al., 2010). Another consideration is the foot traffic.Pedestrians form a considerably large percentage of customers forlemonade stands as compared to motorists. Other considerations entailthe availability of raw materials, availability of basicinfrastructure, government policies, psychographics (customer’smindset with regard to the firm’s product) and industrial clusters(Lafuente et al., 2010).
50% of the funds ($5000) would be dedicated to public relations. Theindirect nature of public relations in promotion makes it one of themost effective. The relationship between the firm and the communityis also enhanced. Besides, the method is highly likely to attractpublicity since the media normally covers most of thephilanthropy-oriented occasions. $3000 would be dedicated toadvertisements through billboards, posters, television, radio andsocial media platforms. The remaining amount ($2000) would beinvested in sales promotion.
The most successful firms realize that the human resources aredelicate resources. They are non-machines. As such, special treatmentis paramount if the laborers are to provide high quality labor. Oneof the main ways to ensure that employees are motivated is throughthe alignment of individual economic interests with companyperformance. Other ways comprise of employee training, ensuringproper work-life balance for the employees and proper remuneration(Schuler & Jackson, 2008). In addition, praising the employeesgoes a long way in ensuring that they are motivated enough forincreased productivity.
To wrap things up, Life’s Lemonade firm has a bright future. Withthe comprehensive branding strategy, profits are set to increase by aconsiderable rate. The organization is set to select the mostsuitable location for expansion with consideration to the region’sdemographics, nearness to the market, raw materials, availability ofauxiliary services and basic infrastructure amongst others (Lafuenteet al., 2010). Certainly, the Life’s Lemonade is the bestfirm for investors since its vast growth is guaranteed by thecomprehensive strategies.
Goi, C. L. (2009). A review of marketing mix: 4Ps or more?.International journal of marketing studies, 1(1), 2.
Lafuente, E., Vaillant, Y., & Serarols, C. (2010). Locationdecisions of knowledge-based entrepreneurs: Why some Catalan KISAschoose to be rural?. Technovation, 30(11), 590-600.
Longenecker, J. G. (2009). Small business Management: Launchingand growing new ventures. Toronto: Nelson Education.
Schuler, R. S., & Jackson, S. E. (2008). Strategic humanresource management. John Wiley & Sons.