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You are the National Sales Manager for the Australian Packaging and Machinery Company (APMC). This company sells consumable plastic “film” used to wrap products for storage and transportation on pall

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Business Marketing BACKGROUND TO THE ASSIGNMENT TASK You are the National Sales Manager for the Australian Packaging and Machinery Company (APMC). This company sells consumable plastic “film” used to wrap products for storage and transportation on pallets. The consumable film used to secure products onto pallets are: 1. Shrink bags which are placed over the palletized product and heated until the bag shrinks. 2. Stretch “film” that is wrapped around pallets of products. APMC specialize in supplying film to secure entire pallet loads. APMC do not manufa...

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Business Marketing BACKGROUND TO THE ASSIGNMENT TASK You are the National Sales Manager for the Australian Packaging and Machinery Company (APMC). This company sells consumable plastic “film” used to wrap products for storage and transportation on pallets. The consumable film used to secure products onto pallets are: 1. Shrink bags which are placed over the palletized product and heated until the bag shrinks. 2. Stretch “film” that is wrapped around pallets of products. APMC specialize in supplying film to secure entire pallet loads. APMC do not manufacture the machines or sell the film used to wrap small numbers of items together, such as blister packs, vacuum packing, and cryovac. You can see more about pallet wrapping at http://www.uspackagingandwrapping.com/ The type of equipment and the amount of consumable film purchased by companies depends mainly on how much product they make. For instance, a large manufacturer may have several automatic wrapping machines, while a small manufacturer may use hand-held equipment. Worldwide, most companies are already using either shrink or stretch equipment to wrap their pallet loads for transportation and storage. Selling consumable wrapping (i.e., shrink and stretch film) is the core part of APMC’s business. These market are usually very competitive. Customers who have bought such equipment and who buy the consumable wrapping range from large, international manufacturers to smaller national and local companies In your market analysis you should assume that shrink and stretch wrapping is applied to a standard pallet size of approximately 1200 mm x 1200 mm with an average height of 1000 mm. The average weight of product carried on a pallet of this size is one tonne and the average volume on a pallet is 1,000 liters. Customers shipping over 5,000 tonnes annually would typically use shrink or stretch machines to wrap their products and companies shipping less than 5,000 tonnes annually use handheld stretch tools to wrap their product. The cost per pallet for shrink wrap bags and stretch film are provided in Table 1 and you must assume that APMC buy shrink and stretch film for re-sale from local manufacturers in every country at the following cost price Table 1: Film cost per pallet Cs. Cost per roll ($A) Cost per pallet ($A) Pallets covered per roll Shrink wrap film $ 200 $9 22.2 Machine stretch film $200 $6 33.3 Hand stretch films $250 $10 25 The conversion of tons to pallets is: 1 ton= 1000 liters = 1 pallet thus 5000 tones = 5,000,000 liters = 5000 pallets As long as you state the rate you used for calculating the pallets you will not be penalized The decision has been made to expand APMC’s business overseas. You will need to review the data available for different countries and packaged food products in PASSPORT (as described in the following sections) and then choose one country (not region) for APMC to enter. The six regional markets have already been categorized by APMC’s marketing department. PASSPORT lists the following six regions which include 77 countries: 1.Western Europe2.Eastern Europe3.Asia Pacific (you may not choose Australia) 4.Latin America 5.Middle East and Africa 6.North America The country I selected is south korea It has already been decided by APMC that only the “Soft Drinks” category of these country markets will be entered. PASSPORT provides data and other information on the product sub-segments, such as bottled water, carbonates, juice, ready-to-drink tea and coffee, etc Passport site http://go.euromonitor.com/passport ASSIGNMENT 1 – MARKET ANALYSIS TASK You are to prepare a Market Analysis for the demand for pallet film wrapping in the soft drink market for the country you selected. You are required to segment the market and clearly identify, evaluate, and justify a sufficient number of viable sub-segments for APMC to target. Your market analysis should focus on the identification, interpretation, and presentation of information and data from PASSPORT and other sources relevant to market segmentation. The analysis should demonstrate a clear understanding of market analysis through the application of relevant business-to-business market segmentation concepts and processes. Your Market Analysis will contribute your subsequent development of a coherent business-to-business Marketing Plan (Assignment 2). For your Market Analysis you will need to apply the concepts drawn primarily from Chapters 1 to 4 of the text book. You will need to be selective in the level of detail that you provide in your report. You will need to apply concepts and processes from the textbook – but do not repeat the textbook. Assume the reader is familiar with the concepts you are applying. In many places you will need to make reasonable assumptions about APMC and the market you are entering. You must state your assumptions and justify them. APMC buy film locally and re-sell to manufacturers and other intermediaries, as described in the preceding background to the assignment task. This assignment is not an international market selection analysis. The decision has already been made to enter one country. You do not have to justify which country you select – you have selected one country and now you need to provide an analysis of the demand for pallet film wrapping in the soft drink market for that country The country I chose is South Korea WORD LIMITS The body of your Market Analysis report should be 1000 words and MAY NOT exceed 1,100 words. Assignments exceeding the word-limits will be returned ungraded. • The table of contents, other tables, graphs, diagrams, reference lists, and appendices are not included in the word-count. ASSIGNMENT 1 TEMPLATE Your Market Analysis must be submitted as a Microsoft Word document. No other format will be accepted. TABLE OF CONTENTS Your Table of Contents should be your page 2. MARKET ANALYSIS Segmenting the Business Market –. • You need to select information about the segments for which APMC should develop a targeted marketing strategy. This information will be sourced mainly from PASSPORT. • You need to evaluate and justify the choice of the segment or segments APMC will target. • You need to present the market analysis at a high level To select, identify, and present information about the segments, targets, and the nature of the market you will need to: 1. Download statistical data from PASSPORT into your own spreadsheets. 2. Organize this statistical data to suit the assignment purpose. 3. Prepare tables, graphs, and diagrams from the spreadsheet for your report. Please note that screen captures and screenshots from PASSPORT are not acceptable APPENDICES Appendix 1 will include tables, graphs, etc., for your Market Analysis ASSIGNMENT CHECK-LIST Assignments not meeting the following requirements will be penalized or returned ungraded. 1. This is a level-3 unit and assignments need to be written to an acceptably high level of grammar, expression, spelling, punctuation, formatting, citation, referencing, etc. 2. Use only 12- and 14-point Times New Roman or Arial font (no other style or size of font is needed) 3. Use 1.5 line spacing. 4. Align your text to the left side of the page. 5. Number and bold all your main headings and sub-headings. 6. Use capitals (upper-case) for the main headings and use lower-case for sub-headings. 7. Leave two line-spaces only and immediately before a main heading and leave one line-space only and immediately before a sub-heading. 8. Use Harvard citation style and include a list of references at the end of your document 9. Label your tables and figures numerically and with meaningful headings at the top of the exhibit. 10. Cite the source of information at the bottom of all tables and figures. 11. Number the pages at the right-hand, bottom corner. 12. Do not include headers or footers (except for page numbering). 13. Do not use social networking sites such as Wikipedia, answers.com, etc., as references or the report will not be marked.

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Stretch wrap is a film used to by wrapping machine to secure product while storage them and in the transportation of pallets.  They are also called stretch film. They are stretchable plastic films as the name suggest, due to their elastic property where items are put inside it are bound together tightly for transportation and storage. Most of the stretching wrap film is made up of low-density polyethylene that is produced by copolymerization of ethylene with alpha-olefins.

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