Essay About Pars Food Ltd. And Innovation Of New Products

Competitive Advantage
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Describe the importance of implementing, supporting and driving factors in helping Pars Food Ltd. to achieve “Competitive Advantage and Differentiation”. [pic 1]In the competitive and growing market of frozen foods having differentiation or a competitive advantage can lead to growth and profitability. However this result can only be achieved if operational strategies are implemented, supported and driven effectively.At this current time Pars finds itself in need of modernisation to affirm its position as one of the market leaders. They are hoping to achieve this by investing in the innovation of new products through science and technology. Prior knowledge and experience of the market could allow Pars to differentiate itself through product development. Having the ability and skills to improve the products and manufacturing them to customers wants will allow Pars to be seen as modern and innovative. Taking advantage of market insights allows Pars to develop niche products, which they believe have a need in society. Addressing such needs in small markets allows Pars to win market by market. Pars is currently developing a new product range of snacks, aimed at the basic and luxury market segments. Offering luxury based snack products will allow Pars to widen and diversify their customer base, as well as showing their product diversification. With constant product development and exploitation of gaps in the market, Pars can strongly compete against fellow leaders.With changes to social behaviour and people attitudes towards food, research into environmental and nutritional needs can be taken to ensure that Pars is seen as being corporately responsible. A possible area for growth which is being considered is the organic food market which can provide differentiation of product and advantages in customers views on Pars morals. The companies attitudes can be a deciding factor or advantage as to weather a customer chooses Pars or a competitor. To ensure that the products are able to compete, production must be equip with up to date machinery, allowing for an effective and efficient supply chain. Currently Pars don’t have such equipment and has resulted in waste stock. Providing the workforce with such machinery would allow Pars to work to higher demands, minimise waste and cope with the transition of being a global company. To keep production and quality at the same standard a high level of goods are required. The choice of higher quality goods will result in highly satisfied customers. If Pars produces high quality goods then the name will be associated with high quality and will be chosen above other competitors. Sales of the products provide Pars with the financial opportunity to invest in the production, resourcing and innovation of products, which return in further sales. Sales allows Pars to gain and build upon customer relations. In the frozen food market there can be little differentiation in the products offered, which is why the service Pars provides can be the difference among its competitors and help them achieve excellent customer satisfaction. Setting these foundations allows the progression of innovation to advance the business and become more dominate and competitive in this market.  Dedicating time and resources to provide employees with the training they require will enhance productivity and reduce mistakes. Having the capacity to serve customers anywhere and meeting demand Pars must utilise new machinery and this can only be done efficiently is all staff are fully trained. With well trained employees performing effectively they will become a key asset to Pars, providing them with the advantage.Finance is necessary to maintain all these assets of Pars. Many departments must compromise their budgets to ensure that priority work is given the funding, as well as the survival of Pars. Pars investment into new ventures of products and markets is evidence of their confidence in success. So with financial investment in particular areas Pars changes will sustain.