Ice Fili Assignment

6245 words 25 pages
Christian Vögtlin

A Strategic Case Analysis of Ice-Fili
Seminar paper

Document Nr. V68229 http://www.grin.com/ ISBN 978-3-638-60696-7

9 783638 606967

Universität Konstanz Course: Strategic Management: Concepts and Cases

“Ice-Fili”
A Strategic Case Analysis

Written by: Christian Vögtlin

Table of Contents

1. 2. 2.1 2.2 2.4 3. 3.1 3.2 3.3 4. 5. 6. 7. 8.

Introduction ..............................................................................................................- 1 External Analysis..................................................................................................... - 1 The Russian ice cream industry ............................................................................ - 1 Industry
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This changed after the economic crisis in 1998 when it got too expensive and they had to rely much more on local suppliers. Most ice cream is distributed by small distribution companies. They deliver the products to the five retail channels: the kiosks (49%1), the minimarkets (29%), the traditional grocery stores called “gastronoms” (17%), the supermarkets (2%) and the restaurants and cafés (3%2). The distribution through kiosks and minimarkets account for 78% of the total sales and are the two most important distribution channels. But they are almost saturated and attract mostly impulse purchasers. Growing segments are the supermarkets and the restaurant and cafés.

2.2

Industry Analysis

In this part we will analyse Porter’s five forces (Barney, 2002; Porter, 1980) to describe the competitive structure of the Russian ice cream industry. Starting from that, we will evolve opportunities for Ice-Fili and show possible future threats.

To examine the threat of entry the barriers to entry must be analysed. High barriers lower the threat of new entrants. The Russian ice cream industry has high economies of scale and new competitors will face high initial costs for the production facilities. The product differentiation is high and the brands are well established.

1 2

The percentages show the total sales of ice cream according to each distribution channel. The 3% for the restaurants and cafés only show the

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