DATE:

August 25, 2014

TO:

Carolina Mercado.

FROM:

Liseth Melissa Churon Martinez

SUBJECT:

Problems with the bottled mineral

The original plan that the company used the last year didnt work. I think that with my new
plan and support, the company could reduce de cost. In this report will going to discuss the
benefits, background and the issues in the new plan.
Background: The sell in the same market produced loss and increase the costs for the
company.
The company had troubles with the manufacturing, transportations of the product;
producing more cost. For that reason the company decided to increase prices by 15% to
cover these extra costs and protect their profit margins. As a result they had problems with
the price of the product. We exposed the problems of the company to outside consult, who
suggested change the transportation and the place, promotion strategic.
Benefits of Plan: Reduce the cost and increase the profit
The proposed plans is change the way that we are transporting the product from sending
one container with full capacity or change the company for another one who transporting
all the bottled mineral. And we can decrease the cost of the manufacturing plastic bottles
for recycle each bottle for re-using in this way we reduce the high cost of manufacturing.
For the price of the product we can use the strategic of the competition price that this is
setting the price in comparison with competitors, so the clients will agree to the price. For
the promotion campaign, we can use a strategic message like we are Ecology Company and
all the bottles are recycled. For get to the consumers
Problems of Plan: Bad use of the message strategic.
If we dont have careful about the strategic message, the Consumers can think something
opposite to what we want to transmit about the form that we recycle the bottles and the
hygiene that we have with the re-using bottles.