University of

Guyana

Faculty of Social
Sciences International
Marketing
COMMONWEALTH
Plan for the
MASTER
PROGRAMME Delicious
Snacks
Incorporated
(DSI)

COURSE: International Marketing

Lecturer Name:
EM 22E13
Mr. C.E. Housty

Delicious Snacks Incorporated

Members:
Keshawna Garnett- USI #1004446

Pernell Cummings – USI # 1003376

Nadia Sugrim - USI # 1017925

David Cort –USI# 1022336

Dexter Williams –USI# 1022369

Feroze Khan – USI # 1008303

 Deodat Persaud – USI # 1015048

TABLE OF CONTENTS

Executive Summary......................................................................................................................2-3

Company Analysis...........................................................................................................................4

Sales & Profit Forecast: Years 1-5…………………………………………………………….4

Company Profile..............................................................................................................................5

Cultural Analysis..........................................................................................................................6-9

Economic Analysis...................................................................................................................10-13

Market Audit.............................................................................................................................14-20

Competitor Analysis..………………………………………………………………… . …..21

SWOT Analysis ……………………………………………………………………………22

Documents Required for Exporting………………………………………………………....23

Insurance Claims……………………………………………………………………………23

Freight Forwarder…………………………………………………………………………...23

Terms of Sale (FOB/CIF)……………………………………………………………………23

Market Segmentation………………………………………………………………………..23

Monitoring and Evaluation………………………………………………………………… .24

Conclusion……...……………………………………………………………………………25

References……………………………………………………………………………………26

Appendix………………………………………………………………………………….27-28

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EXECUTIVE SUMMARY

Delicious Snacks Incorporated (DSI) has been operating its business in Guyana for the past
five (5) years with an admirable reputation. The business was established on October 15,
2012 and the demand for the two products; breadfruit chips and chicken foot have shown a
continuous increase over the past 5 years. The demand for these products domestically has
been increasing steadily over the past 5 years, which positioned the Company as the leading
competitor in the snack industry and local market.

Delicious Snacks Inc. main focus is on its customers, thus emphasis is placed on satisfaction,
product development and cost. Over time, this has resulted in the company being resilient and
profitable. The products are produced under stringent hygienic conditions – all certified by
the Food and Drug department and the Ministry of Health. The core competencies of the
company is the utilization modernized technology and competent human resources.

Delicious Snacks Inc. is now venturing semi-international. This shift will realize the
Company fully commercial potential and will improve its sustainability in both the domestic
and foreign markets. Initially, Delicious Snacks Inc. is aiming to penetrate Guyana’s
neighbor - Suriname market by exporting its product under the Dutch names of these items;
breadfruit chips (broedboom) and, chicken foot (zoutjes, zoetjes). This is a small step
towards its full entry into the international market. Suriname is separated from Guyana by the
Corentyne River. Transportation to Suriname is accessible via the official ferry service. This
service is regular, reliable and cost effective. In addition, cargo vessels also ply the ocean
route between the two countries and Suriname Airways, the flag carrier airline of Suriname
also fly regularly between the two countries.

Delicious Snacks Inc. took advantage of the first-ever Guyana-Suriname Trade Mission held
in January 2015 that sought to promote trade between Guyana and Suriname, in particular, to
increase Guyanese exports of goods and services to Suriname and to increase tourism
between the two countries. Similarities between Guyana and Suriname, and the response
from a Trade Mission led to Suriname being identified as the first target market for export.

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This was premised on the fact that the country borders are accessible as well as both countries
are the only two CARICOM states that are members of the Union of South American Nations
(UNASUR). In addition, evidence indications the movement of people between the two
countries has been registered as the highest in CARICOM.

Guyana and Suriname are the only two countries in CARICOM that share land. An
awareness survey conducted in Suriname, determined the acceptance of products in its
current form and packaging. The target market are consumers of all ages. The market would
be segmented into three target population. As of May 8, 2017, the population of Suriname
was estimated to be 551, 430 people. This is an increase of 0.94 % (5738 people) compared
to the population of 545 672 the year before. In 2016, the natural increase was positive, as the
number of births exceeded the number of deaths by 6139. Due to external migration, the
population declined by 1031. Suriname GDP has been estimated at 4.4 billion USD by the
IMF economic outlook (2016) for 2017.

Suriname’s value of export for goods is greater than imports and this is reflected in the
Balance of Payments statistics. The Government of Suriname is receptive to Foreign Direct
Investment (FDI). Suriname’s per capita income per capita is estimated at $8,983.63 (USD)
with a per capita income of $9.162 billion PPP dollars which brings the country within the
realm of an upper middle income developing country.

In an effort to gain a comprehensive understanding of the environment that Delicious Snacks

Inc .would be operating in, the Marketing Team utilized the SWOT analysis to evaluate the
external and internal environment. In the process, the benefits and target market would be
evaluated to ensure the success of the product. In addition to the SWOT analysis, the
marketing mix strategy for the product would be developed to take advantage of the
opportunities in the market.

Delicious Snacks Inc. will utilize a distribution chain of the products; manufacturer to
wholesaler to consumer. The proposed marketing plan would not be limited to its first plan as
a final document but would be regularly adjusted to keep in touch with the changes of the
market and customers’ needs.

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COMPANY ANALYSIS

Delicious Snacks Incorporated (DSI) commenced its operations in the Guyana market on
October 15, 2012 and has been in existence for five (5) years. The business is situated at Lot
204 Charlotte Street, Georgetown, Guyana. Modern and technologically efficient equipment
have been installed and is currently being tested to ensure that the expectations of the factory
match the demand of our product.

Company Vision

“DSI aimed to be “The most affordable, delicious, and healthy snack of choice”

Company Mission Statement:

“To set the highest standard in the snack industry by providing quality and healthy snacks
that will be both affordable and satisfy the consumers’ tastes and needs.”

Objectives/Goals

To become a market leader in the juice industry within the next three years.
To reach as wide as possible the clientele through the rigorous distribution and sales
promotion in all target areas.
To create a perception of superior quality and affordability in the minds of the
consumers
To satisfy demands through the employing the technology and skills
To be responsive and proactive as the need arises
To maximize on market opportunities in an effort to increase market share and
profitability.

SALES & PROFIT FORECAST: YEARS 1-5 (SEE APPENDIX)

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COMPANY PROFILE

Company Name: Delicious Snacks Incorporated

Address: Lot 204 Charlotte Street, Georgetown, South America

Total Employees: 35

Primary Line of Business: Packaged Breadfruit Chips and Chicken Foot

Management Structure:

Chief Executive Officer

Director – Product Development and Sales

Director – Human Resources

Manager – Operations and Productions

Manager – Quality Assurance

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CULTURAL ANALYSIS

Culture is the characteristics and knowledge of a particular group of people, defined by

everything from language, religion, cuisine, social habits, music and arts. Culture as shared
patterns of behaviors and interactions, cognitive constructs and understanding that are learned
by socialization. Thus, it can be seen as the growth of a group identity fostered by social
patterns unique to the group.

Delicious Snacks Inc. is a manufacturing company involved in the production of breadfruit

chips (Broedboom) and, chicken foot (zoutjes, zoetjes). The management of Delicious Snacks
Inc. has saturated the Guyanese market and has decided to venture into the international
market. The country of choice is Suriname because it is very similar to Guyana and it is more
likely that integration will occur.

Historical Background

The name "Suriname" (Sranan, Surinam) may be of Amerindian origin. Suriname is a multi-
ethnic, multicultural, multilingual, and multi-religious country without a true national culture.
Every society has its own “cultural themes,” which have a substantial impact on how that
culture does business.

Spaniards came to Suriname in the 16th century in search of gold, but did not stay when they
found none. The first large-scale colonization took place in 1650 under Anthony Rowse. In
1660, the British crown granted Willoughby official rights, and it became a flourishing
agricultural colony. Settlers included English colonists, African slaves, and Jewish
immigrants from the Netherlands, Italy, and Brazil. In 1667, Suriname became a Dutch
colony.

The English held Suriname again between 1799 and 1802 and from 1804 to 1816, when the
Dutch resumed control over the colony under the Treaty of Paris. With the final abolition of
slavery in 1863, workers were imported from India, Java, and China. In 1954, a new Dutch
statute provided for full autonomy for Suriname, except in foreign affairs and defense. A
commission was set up on 5 January 1972 to prepare alternatives to the existing legal
framework. In May 1974, the terms for Suriname's independence were agreed on, and
Suriname became an independent country on 25 November 1975.

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Geographical Information

Situated on the northeastern coast of South America, Suriname is the smallest independent
country on the continent, with a total area of 163,270 square kilometers. The republic of
Suriname is bordered on the east by French Guiana, on the south by Brazil and on the west by
Guyana.

Climate

Suriname has almost everywhere an equatorial climate, hot and humid throughout the year,
with heavy rains, in fact it is covered with rainforests and mangroves. In most of the country
there is a rainy season from December to mid-August (with a relative decrease in February
and March and a peak in May and June), and a relatively dry season from late August to mid-
November. 

In the capital Paramaribo, located on the coast, an average of 2,200 mm (87 in) of rain falls
per year; the rainiest months are May and June, when the rainfall reaches 300 mm (12 in) per
month, and when it rains almost every day. Here is the average precipitation. 

Family

Although many marriage partners are of the same ethnic group, mixed marriages do take
place in Paramaribo. In traditional Hindostani families in the agricultural districts, parents
still select partners for their children. Living together without being married is common but is
not acceptable to traditional Hindostani, among whom the bride is expected to be a virgin.
Some women practice serial monogamy; it is more common for men to have several partners
simultaneously. Having a mistress (buitenvrouw) is accepted and usually is not shrouded in
secrecy. Maroon men often have different wives in different villages; those men do, however,
have the responsibility to supply each wife with a hut, a boat, and a cleared plot for
subsistence agriculture.

Domestic units vary in type, size, and composition, ranging from female-headed households
to extended families. Among the Hindostani, the institution of the joint family has given way
to the nuclear family, and the authority of the man is eroding.

The clan system among the Maroons is based on a shared belief in a common matrilineal
descent. The population of a village can overlap considerably with a matrilineal clan.

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Education

In Suriname, primary schooling of 6 years takes place at over 400 schools scattered
throughout the country, although teacher competence is minimal in some. Secondary
education begins at middle school where an academic program including accounting,
biology, mathematics and physics extends over 4 years. The most successful students are
allowed to go on to secondary school where they complete their preparation for further study
by following a 3-year academic program. The Anton de Kom University illustrated here was
founded in 1968 and is the only state tertiary institution. It has faculties of medical sciences,
technological sciences, and social sciences that include economics, education, law, public
administration, sociology, and business management. There are also 5 research institutes with
a wide spread of interests.

Political

Suriname has been an independent republic since 1975. Its political institutions are defined
by the constitution of 1987. The National Assembly has fifty-one members who are elected
for a five-year term by proportional representation. The president is elected by a two-thirds
majority in the Assembly. The President appoints the cabinet ministers. The Council of
State, chaired by the President and including representatives of the military, trade unions,
business, and political parties, can veto legislation that violates the constitution.

Ethnic Groups

South Asians, descendants of contract labourers from India, are the largest ethnic group in
Suriname, making up more than one-fourth of the population. The second major ethnic group,
accounting for nearly one-fifth of the population, is the Creoles, who in Suriname are people
of mainly African descent. The descendants of Javanese (people from the island of Java in
Indonesia) contract labourers and the Maroons (descendants of escaped slaves of African
origin) each constitute nearly one-sixth of the population. At least one-eighth of the
population is of mixed ethnicity.

Languages

The official language is Dutch, but English is widely spoken. Sranan is the language of the
street and is the most widely spoken language in Suriname even by non-natives and is spoken
interchangeably with Dutch depending on the setting. Sranan is the language of the street and

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is the most widely spoken language in Suriname even by non-natives and is spoken
interchangeably with Dutch depending on the setting.

Social Problems and Control

The administration of justice is entrusted to a six-member Court of Justice and three cantonal
courts. The crime rate has increased since the 1980s because of socioeconomic regression;
crimes against property accounted for nearly 80 percent of all crimes in 1995. Formal
punishments include jail sentences and fines; no death penalty has been enacted since World
War II, but the law is still on the books. So far, human rights violations have not been
prosecuted. Informal control is still fairly high but has eroded since a military coup in 1980.

International Cooperation

The Republic of Suriname was admitted to the United Nations on December 4, 1975. It is
part of the Economic Commission for Latin America and the Caribbean (ECLAC), Food and
Agriculture Organisation of the United Nations (FAO), United Nations Conference on Trade
and Development (UNCTAD), UNESCO, World Bank and World Health Organsiation. The
nation is also is a member of the Inter-American Development Bank, the Organsiation of
American States and Caribbean Community.

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ECONOMIC ANALYSIS

The economy of a target country is one of the major considerations when exploring a market
segment in that country. Suriname is a neighbouring country to Guyana with similarities in
terms of cultural since Guyana was once a colony of the Netherlands like Suriname, before
Guyana becoming a British colony.

Population

Suriname has a population of 551, 430 according to a May 8, 2017 population estimate from
that nation. Suriname population growth rate is 0.82%. The distribution of the population
ranges from male -50.2% & female 49.8% while the age structure as follows:

Age Range % Population

0-14 25%
15-24 17%
25-54 44%
55-64 7%
65 + 6%

The literacy of population consist of 95.57% of adult population (aged 15 years and above) in
are able to read and write, adult male population is 96.14%, literacy rate for adult female
population is 95.01% , and the overall youth literacy rate is 99.03%.

Ethnic groups
Suriname has an ethnic group that consist of East Indians-37%, Creole (mixed white and
black) 31%, Javanese 15%, Maroons 10%, Amerindian 2%, Chinese 2%, White 1%, other
2%.

Economic Statistics
A nation’s Gross Domestic Product is a major economic indicator to determine the prosperity
of a nation. Suriname has a Gross Domestic Product (GDP) of $4.88 (USD Billion) and its
growth was 1.50% from 2014 to 2015. The per capita is estimated at $8,983.63 (USD) with a

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per capita income of $9.162 billion PPP dollars. This brings the country within the realm of
an upper middle income developing country. This is a positive trend for Delicious Snacks
Inc. since it indicates a nation that is progressive and prospering. The residents of the target
nation enjoy a higher standard of living and will likely be a successful market segment.
Inflation Rate is estimated at 41.8.0% (March 2017), and exchange rate of US$1 equals
SRD$7.50. Additionally, exports – Gold, Aluminium Oxide, Lumber, Fish, and Banana
contributes 45%, 18%, 5.1%, 3.4%, and 4.3% respectively to the GDP.

This is another positive indicator that benefits Delicious Snacks Inc. in terms of Suriname
being a target market for the company’s products. This positive indicator indicates an
economy that is growing and therefore suitable as a target market.

Mode of Transportation
There are a number of modes of transportation to access the Surinamese market. There are
airports, roadways connected by a ferry service and several seaports. The airports and
seaports are easily accessible from the two nations’ capitals and are available 24 hours/7 days
per week.

Communication Systems

There are telephone, fax and internet communication channels between Guyana and
Suriname which are essential for conducting business and accessing critical information. In
terms of broadcast media, Suriname has two state owned and one privately owned television
stations. Total number of televisions estimated to be 63,000. With an estimated number of
households at 114,000 only 55% of households possess televisions.

Therefore, in order to reach a larger audience, advertisements will also have to focus on
marketing through radio advertisements. Suriname has three radio stations and reaches
approximately 300,000 radios. Advertisements will also be done via the print media using the
two local newspapers.

Suriname uses both Dutch and English languages interchangeably. Both these languages are
used in the print and written form. In terms of Delicious Snacks Inc. the label will be
modified to display ingredients in English and Dutch. This modification will be universal and
will begin to appear on the products sold in Guyana and those intended for Suriname.

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Working Conditions

Salaries are estimated at SRD 600 ($180) per month which is the lowest wage for civil
servants. The benefits include insurance, health & wellness – health care and insurance,
vacation & time off and other perks and benefits. The Labor force totals 210,246 and
unemployment rate is at 9.5%.

Principal Industries
Suriname’s economy is dominated by the mining sector and also includes exports in
aluminium, gold and oil. The major industries are currently bauxite and gold mining, alumina
and aluminum production, lumber, and food processing, and tourism offers potential for
growth. These industries accounted for 25% of GDP. Other exports are rice, lumber, shrimp,
fish and banana. Suriname’s export partners are the Netherlands, Canada, the United States of
America, Norway, France, Japan, and the United Kingdom.

Suriname imports capital equipment, petroleum, foodstuff and cotton on a large scale basis.
In terms of food stuff, this is a good indicator for DSPI. While our products are considered
snacks, it will fall under the general description of foodstuff. Major imports are from the
United States of America, Netherlands, Trinidad & Tobago, Japan, China, the United
Kingdom and Brazil.

Foreign Investments
There is no discrimination specifically targeted at foreign investors or foreign owned
investments, except in the oil sector. Caribbean Single Market and economy (CSME)
countries have favoured status over other foreign investor.

Taxes in Suriname are generally lower than Guyana which makes Suriname an attractive
market for Delicious Snacks Inc. to venture into. The Value Added Tax (VAT) is
10% compared to Guyana’s 14%. Other taxes include:

 Statistics Tax - 0.5%

 Consent Tax - 1.5%
 Import Fee - 1.5%

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Customs value is based on cost, insurance and freight (CIF) value of goods at the time of
import. There is also a consumption tax assessed on a product-specific basis, and a luxury tax
on certain luxury goods.

Since Guyana and Suriname are both members of the CARICOM custom union, goods from
Guyana will not be restricted or attract duty. This bodes well for Caribbean Chips products
being exported to Suriname. The major consideration will be to ensure Caribbean Chips
products are packaged and meet all food and drug requirements of Suriname.

Based on the Common External Tariff (CET) for CARICOM member countries, the
following were extracted from Suriname’s CET.

 20.01 Vegetables, fruit, nuts and other edible parts of plants prepared or preserved by
vinegar or acetic acid.
 2001.90.10 In packages not less than 50 kg Free kg

The above is a clear indication that Delicious Snacks Inc. products will not attract any import
duties. However, the 10% VAT will have to be paid on purchases by consumers.

The Suriname Standards Bureau (SSB) is the national agency responsible for administering
and developing standards and technical regulations.

Delicious Snacks Inc. will not set up shops to sell the company’s products. Products will be
shipped directly to a sole distributor (Distribution & Trade Services Suriname N.V. (DTS
N.V.) who will distribute directly using existing channels of distribution. Wholesalers and
retailers are expected to sell the products in supermarkets and convenience stores.

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MARKET AUDIT

The Product

Delicious Snacks Inc. will be producing breadfruit chips and chicken which is much better
than the banana chips and salse currently available in Suriname. Due to lifestyle changes such
as persons becoming more health conscious, having less time to prepare meals and increasing
incomes, people are moving towards more healthy and ready to eat items. Delicious Snacks
Inc. products, owing to its greater value proposition (healthy snacks and great price) to the
Suriname consumers would thus be a success. Moreover, this is the right time to enter the
market to capture the ever-increasing health conscious Suriname consumers, as trade outlook
with Suriname has never been better.

Relative Advantage
Delicious Snacks; breadfruit chips and chicken foot will be very different from the similar
products in terms of quality, health benefits and taste. Our products will use some sort of
preservative and the nitrogen in the packaging will ensure a shelf life of eight (8) months.
Delicious Snacks Inc. will also offer a variety of favours that is currently not available.

Compatibility
The snack industry is a rapidly growing industry with demand increasing everyday. Ready to
eat, tasty and healthy snacks are a big driver of this. Delicious Snacks breadfruit chips and
chicken foot with its great taste, high quality and health benefits would be readily accepted by
the health conscious consumers.

Complexity
The product offering of Delicious Snacks Inc. is very simple for the consumer to absorb. The
offering of healthy, great tasting, high quality snack will be easily understood by the
consumer.

Trialability
Delicious Snacks Inc. products will be sold in all supermarkets, shops and school canteens so
that the cost of trialability would not be high. Initially sampling will be done in high traffic

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areas such as top supermarkets and also schools to get the products into the hands of the
consumer.

Observability
These products will be highly observable from the beginning due to the distribution of it to all
supermarkets and school canteens. Once the products are established in the mind of
consumers as a tastier, healthier choice even the smaller shops in the down trade will make
sure its on their shelves or in their show cases as these products will be in high demand.

Major Problems and Resistances to Product Acceptance

The major resistance to product acceptance can be that potential consumers aren’t aware of
the benefits of using our products. Consumers are sceptical in purchasing a product that is
new to the market and does not have a big global brand name. In such a scenario, consumer
education is the only option which will be done through advertising and sampling.

Consumer buying habits

Product-use patterns

Research data from studies carried out by the Food Research Institute (FRI) and the Ministry
of Food and Agriculture of Suriname shows the following:

 There is a market potential in Suriname for the products offered by Delicious Snacks
Inc. This is so because both the products of Delicious Snacks Inc. are an attractive
alternative to imported other snacks.
 Three awareness seminars were held on ‘Expanded Markets for Guyana’. The
outcomes of the information seminars showed that there is a great potential to satisfy
the unmet demand. These seminars were facilitated by the FRI.

Product feature preferences

The product offered by Delicious Snacks Inc. has the following product features that are
considered advantageous and as such will make it preferable.

The main ingredients (breadfruit, flour) for conversion during the production
process will be sourced from certified producers.

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 The heating process utilizes baking, thereby directly increasing the ‘burn off’
of any excessive oil and fat.
Where semi processed products will be used – cheese, flavouring - this will be
sourced from producers that utilizes current health requirements.

Shopping habits

Chips are an all age product. It is thought that chips are a kind of kid’s food. But it is found
that people of all ages enjoy chips and a large market segment for chips lies on the age group
of 10 to 20. To the high school and college students, these products are very popular.

Existing research data shows that Suriname, like many other countries, has shoppers with the
following habits:

The Touchy-Feely Shopper — a shopper that picks something up and then usually
purchases it.
The Mall Lingerer –these shoppers take their time going through a store.
Guerrilla Shopper–the opposite of the mall lingerer. This person waits until the last
minute, especially around the holiday season, and then runs around frantically, trying
to get all the shopping done in one shot.
The Sales Junkie–these people are subjected to a spill over effect. If they see one
bargain, they think everything in the store is a bargain, making them apt to spend
more money. Delicious Snacks Inc. will target each of the four categories of shopping
habit.

Distribution of the product

Typical retail outlets
Suriname has the following retail outlets:
Department stores
Discount stores
Supermarket
Malls
Dollar stores.
The distribution process will target each retail type.

Product sales by other middlemen.

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Delicious Snacks Inc. will not encourage the use of middlemen. The company will pursue a
system that realizes delivery of the product to one identified wholesaler who will thereupon
become responsible for distribution to retail outlets. This approach is best since it allows for
the distributor, a native of Suriname, to use his familiarization of the language, of local trends
and any special persuasion tactics, and special appeals akin to the internal dynamics of
Suriname, and others, advantageously.

Port Selection

We would export from the company main office (204 Charlotte Street, Georgetown) which is
located in Region 4 (Demerara - Mahaica). Hence the nearest port would be chosen for
export. To reduce cost, roadways connected by a ferry service will be the chosen mode.

Mode Advantages Disadvantages

Air  High Speed  High Cost
 Can be shipped directly to our markets
Roadways connected  Lower Cost  Relatively slower
by a ferry service  Higher volume can be moved more
regularly

Advertising and Promotion

Advertising media usually used to reach target population
Current data points out that the following media are available and in use: billboards,
magazines, newspapers, radio, television, and the internet. Since advertising and promotion
of the product is critical to its success Delicious Snacks Inc. will utilize:
Television; Ishara, STVS, ATV, and RBN are 24 hours television services in
Suriname that offers news, sports, entertainment, lifestyle, education, movies. These
stations accommodate advertisements of similar nature and have coverage spanning
the heavily and moderately populated areas of the country.
ATV and Radio; 10 Radio stations have national coverage spanning the high and
moderate populated areas of the country. This medium requires little maintenance or
initial investment and target those ‘on the move or commuting’ customers;
De Ware Tijd and De West Newspapers are widely circulated national newspapers in
existence on a once per day edition, DSI will utilize space in each to capture users of
this medium.

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 Printed Magazines
e) Online magazines. Nospang, Suraico Magazine and Suriname Nieuws are the three most
popular sources of a variety of online information on lifestyle, fashion, culinary art including
emerging precooked foods.

Sales Promotion

Objectives:

To generate brand awareness and product awareness

Increase trialability
Generate Sales

Coupons, Personal Selling & Cost

Discount coupons to be given on bulk orders only. However, too much discounts will reduce
our profits. In the first instance, we would hire field agents who would visit the
aforementioned distributors and advertise the products. Additionally, in the first year the cost
of advertising and promotion would be greater than the sales generated but it is necessary
expense in a new market for a new product.

Other Promotion Methods

Trade-oriented sales promotion programmes are directed at the dealer network of the
company to motivate them to sell more of the company’s brand than other brands. Moreover,
cash-bonuses and credit-terms-special credit will be utilized.

Pricing strategy
Similar products in the market are currently priced using a cost plus mark-up strategy. Based
on research done no competitor is currently using a market penetration technique as
consumers in the target market are price elastic and will respond to the eventual upward
change in price negatively.

Wholesalers are currently enjoying trade discounts from manufacturers if they buy certain
amounts. It was found also that retailers are also benefitting from these type of deals to push
the product into the hands of consumers and increase its visibility.

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Product Strategy

Breadfruit chips and chicken foot will be manufactured in a variety of flavors which are
locally available. These flavors includes:-

Lightly salted breadfruit chips

Bar-b-que breadfruit chips
Lightly salted chicken foot
Cheese flavoured chicken foot
These products will clearly show:

Content
Weight
Barcode
Brand
Production date
Expiration date (Best before a certain time)
Health benefits
Ingredients

Delicious Snacks Inc. will ensure all ingredients are in both English and Dutch.

Flavour: Breadfruit Chips (Lightly salted & Bar-b-que)

These crispy golden chips are packed with the natural
goodness of the rainforest. They are nothing less than
Description: perfectly delicious.
Ingredients: Breadfruit , Sunflower/ Canola Oil, Salt
Weight: 1.48 OZ (42 G)
   
Flavour: Chicken Foot (Lightly salted & Cheese)
These crispy golden chips are packed with the natural
goodness. This new punch of flavour is guaranteed to
Description: have you coming back for more!
Ingredients: flour , cheese, Sunflower/ Canola Oil, Salt

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Weight: 1.48 OZ (42 G)
Quality:

High quality assurance would be our first choice. This would be ensured by:

Implementing high quality standards

Total quality management
Acquisition of quality raw materials

Packaging:

It is estimated that a 40ft container will hold 1800 cases of the products.

Packaging Specifications
Material: Laminated Material
Material Structure: BOPP/AL/LDPE
Industrial Use: Apparel
Use: Underwear
Feature: Disposable
Surface Handling: Gravure Printing
Sealing & Handle: Zipper Top
Model Number: Chips bag
Design: 3-side sealed, T-sealed, Gusset, Zip lock
Superior Grade: Food standard
Type: Aluminium foil plastic bag

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COMPETITIVE MARKET ANALYSIS
Competitor’s Products
According to a survey done by researchers, the leading producer of plantain chips that is
consumed by the majority of the Suriname population is Alimentos Bermudez S.A an
international organisation in Costa Rica that distributes their products under the "Soldanza"
brand. However, because of the different flavours and unique packing, our products will be
highly demanded by our Surinamese neighbours. Delicious Snacks Inc. acknowledges bakery
products made out of wheat flour such as pastries, biscuits and breads as their secondary
competitors.
Competitor’s Prices

According to research done, Soldanza chips are set at a suggested retail price by the
manufacturer. Based on estimation it is estimated that this price produces a 30% gross margin
on the cost manufacturing and on shipping. It can be concluded that Soldanza is using a
market skimming price strategy as they have a pricing floor and a high gross profit margin
which is 10% above industry standard.

Competitor’s Promotion and Advertising

Currently Soldanza utilizes in store point of purchase material, newspaper and television ads
to advertise their products. Soldanza provides advertising support to the wholesaler on a
50/50 cost agreement. Soldanza is promoted using sampling in high traffic areas such as
markets and bus parks. This leaves a point of entry for Delicious Snacks Inc. as research has
shown that Suriname is a market that responds well to coupons. Delicious Snacks Inc. will
work with their wholesaler on not only sampling exercises in appropriate areas but also
through coupons in the press. Additionally, Delicious Snacks Inc. will pay for the installation
of 15 billboards along major highways and 25 smaller billboards in non-urban areas.

Competitors Distribution
Currently the competitors use one exclusive wholesaler to import and distribute their products
to retailers. Caribbean Chips will be shipped directly to Distribution & Trade Services
Suriname N.V. (DTS N.V.). DTS N.V is a food distributing company with various products
in its portfolio. It also has achieved ISO 9001: 2008 Certification and currently has 45 full
time employees and 18 trucks in operation. The benefit of using a distributor as oppose to
other channels is that it is less expensive, has its own presence, infrastructure and success.
DTS is already staffed, have a market established and already have prospects for our product.

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SWOT ANALYSIS

The overall evaluation of a company’s strengths, weaknesses, opportunities and threats is

called SWOT analysis. SWOT analysis helps explore the areas of possible changes in
marketing activities. A brief discussion of Delicious Snacks Inc. internal and external
environment is as follows:

STRENGTHS (S) WEAKNESS (W)

 Quality reliability  New in the juice industry
 Modern technology plant  No market share
 Availability of experience workforce  First time experience exporting to
 International Company recognition another country
 Inexpensive raw material
 High quality product offerings that will
exceed the competitors’ price, quality and
services
 DSPI has a great company reputation

OPPORTUNITIES (O) THREATS (T)

 Increase distribution network  Political instability
 New entrance from existing competitors
 There is a demand for this kind of product.
 Increasing of sales tax
 There is potential for growth bearing in mind  Strong competitors
the social nature of the market
 It may fail to fulfill the expectations of
 Improved and efficient use of technology to
the customers.
cater for the demand
 Developed communication channel
 There are no existing chips like our new
flavoured chips
 Good and initiative employees

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DOCUMENTATION REQUIRED FOR EXPORTING

The documents required for Delicious Snacks Inc. to export their products are as follows:

 The certificate of origin

 Export Licenses
 Bill of Lading
 Packing list
 Custom Documents
 Invoice of goods

INSURANCE CLAIMS

Insurance claims vary from consignment type and the rates of the chosen insurance company.

FREIGHT FORWARDER

Delicious Snacks Inc. will utilize C&V Caribbean Shipping which is located at 109 Laluni
Street, Queenstown, Georgetown, South America.

TERMS OF SALE (FOB/CIF)

Indicating "FOB port" means that the seller pays for transportation of the goods to the port of
shipment, plus loading costs. The buyer pays cost of marine freight transport, insurance,
unloading, and transportation from the arrival port to the final destination. The passing of
risks occurs when the goods are loaded on board at the port of shipment. This is the method
of payment that will be used by Delicious Snacks Inc.

MARKET SEGMENTATION

The target market includes consumers of all ages but specifically between the age range from
10 years to 20 years. To the high school and college students, these products are very
popular. Based on research findings, it reveals that persons among this age grouping have
shown and expressed interest in this product. Delicious Snacks Inc. will capitalize on this and
market its products acidulously to gain competitive advantage on the Surinamese market.

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MOINTORING AND EVALUATION

The three main functions of monitoring and evaluation are performed under this element of
planning which are measuring, comparing, and correcting.

This is the most important and final part in the marketing plan which enables us to assess the
product and the market at large. By doing this we will be able to get feedback from our
consumers so as to alleviate any issue that may arise.

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CONCLUSION

The research and analysis of the Suriname market has shown major similarities to Guyana. It
has revealed that our product would be accepted and enjoyed in its current presentations by
individuals of all ages, class, families etc. The used of resealable and reusable containers are
welcomed by these consumers as better alternative to other packaging of similar products.
Consumers have generally become more health-conscious during last decade and our
breadfruit chips and chicken foot are healthy snack alternatives at a competitive price.
Research has also shown that the use of a local distributor remains the best means to enter the
Surinamese market. This coupled with the convenience of having these snacks would
contribute to the success of this venture.

Guyana and Suriname are the only two countries in CARICOM that share land borders, as
well as the only two CARICOM States that are members of the Union of South American
Nations (UNASUR). The first-ever Guyana-Suriname Trade Mission was held January 2015.
The Conference was intended to promote trade between Guyana and Suriname, in particular
to increase Guyanese exports of goods and services to Suriname and to increase tourism
between the two countries. Delicious Snacks Inc. will take advantage of this opportunity to
expand its business.

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REFERENCES

World Bank. (2015, May). World Development Indicators. Retrieved May 10, 2015
From World Bank website: http://data.worldbank.org/country/suriname

Website: International Trade Center. (2015, May). Business and Regulatory

Environments. Retrieved May 10, 2015 From International Trade Center website:
http://www.intracen.org/country/suriname/Business-and-Regulatory-Environment/

Website: International Trade Administration. (2015, May). Markets Reports/Tariffs.

Retrieved May 10, 2015 From International Trade Administration website:
http://www.intracen.org/country/suriname/Business-and-Regulatory-Environment/

http://www.livescience.com/21478-what-is-culture-definition-of-culture.html

http://www.worldometers.info/world-population/suriname-population/

http://www.indexmundi.com/g/g.aspx?c=ns&v=66

http://www.worldometers.info/world-population/suriname-population

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APPENDIX
Proposed Costing for Promotion

Radio Media per month:

Time Day # of # of Unit Cost Total

Days Spots

7-10hrs Monday - Friday 20 4 $ 1,100 $ 88,000

16 -18 Monday - Friday 20 4 $ 1,200 $ 96,000

hrs.

6-12hrs Monday - Friday 20 4 $ 1,500 $ 120,000

7-10hrs Monday - Friday 20 4 $ 1,500 $ 120,000
8-4hrs Monday - Friday 20 4 $ 1,500 $ 120,000
Total Radio Media
cost $ 544,000
(US$2620.30)

Print Media per month

Size Spot Unit Cost Total

PRESS AD -10" X 4/C, Full Color 2 $ 43,200 $ 86,400
PRESS AD -10" X 4/C, Full Color 2 $ 40,000 $ 80,000
$166,400
(US$801.50)

Billboard

Size Cost

40x14ft $ 300,000

40x14ft $ 300,000

40x14ft $ 300,000

40x14ft $ 300,000

40x14ft $ 300,000

  $ 1,500,000
(US$7225.08)

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 Projected Sales Forecast: Years 1-5
Year 1 Year 2 Year 3 Year 4 Year 5
Volume 43,200 64,800 64,800 86,400 86,400
projection
( Case)
 
FOB Price 8.40 8.40 8.40 8.40 8.40
per case US$
Total value 362,880 544,320 544,320 725,760 725,760
per year

2 x40FT container 3 x40FT 3 x40FT 4 x40FT 4 x40FT

per Mth x12 container per container container container
Mth x12 per Mth x12 per Mth x12 per Mth
x12

Packaging
Weight:1.48 OZ (42 G) 0.8oz
case 24x1
Case price US$ 8.40
( FOB)
FOB price per unit 0.35
QTY per 40Ft 1800 cases
container

Projected Profit Forecast: Years 1-5

Year 1 Year 2 Year 3 Year 4 Year 5
Revenue 362,880 544,320 544,320 725,760 725,760
US$
Expense 175,000 225,000 225,000 275,000 275,000
US$
Profit 187,880 319,320 319,320 450,760 450,760
US$

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