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Zespri

In: Business and Management

Submitted By guomengdi930
Words 2858
Pages 12
Case report --- Zespri
04-78-651
Professor: Jonathan Lee

Submitted by:

November 1, 2014
1. Key issue
Zespri, as a world-renowned brand of kiwifruit, is facing some difficulties in the future growth of the company and looking for ways to maintain its leadership position in the increasingly competitive kiwifruit export industry.
To be specific, Zespri wants to increase its kiwi export to $3 billion by 2025(double the export), which means Zespri needs to triple the size of global sourcing. On the other hand, Zespri has to figure out how it can differentiate itself in the future development.
2. Internal & external analyses To further analyze Zespri’s existing issues, the internal and external analyses should be done. And the VRINE Model and Porter’s Five Forces Model, as well as CAGE Distance Framework are used in the following report.
2.1 Internal analysis --VRINE analysis * Growing techniques
The growing techniques supported by the technical program improve the quality of New Zealand kiwifruit. The sweeter taste meets customer needs and creates value to them. Thus the capability is valuable and rare, because the supply of sweeter kiwi by these growing techniques is relatively scarce compared to competitors from other countries. But it is imitable and substitutable in the long run. New Zealand growers have successfully exploited its capabilities to increase the quality of kiwi and earn profit through sales increment. * Investment in innovation
The business reinvests its revenue into products improvement and innovation before allocating retained earnings in three “pools” for the payment to growers. This mechanism advocates research expense taking priority over allocation of retained earnings. The investment in research contributes to the product innovation for differentiation purpose. The new varieties of kiwifruit such as Gold are

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