A Case Study and Marketing Principles of Tupperware

Question: Discuss about theMarketing Principlesfor Tupperware Case Study. Answer: Introduction Tupperware Company was started by Earl Tupper in 1942 in the United States, but it became popular in 1948. The company produces and distributes its products all over the world. Some of the brands made by the company include plastic containers, bowls, lids for preserving and storing goods for kitchen and home purposes. The name changed to Tupperware Brand Corporation started in 2005 after it realized its diversification to the public. This report seeks to address the PESTEL and SWOT analysis as it has been discussed below. Pestel Analysis PESTEL which stands for Political, Economic, Social-Cultural, Technology, Environment and Legal factors is one of the most effective tools for analyzing the external environment of the organization. Like any organization, Tupperware external environment can be scanned using this tool Political and Legal Factors: The political and legal elements refer to the effects occurring to an organization as a result of changes in government policies, war, and stability of the country (Pangarkar, 2015). Tupperware Brand Corporation has existed for approximately seventy-four years. During this time, there have been dynamics in the United States and the other countries where Tupperware sells its products; several governments have been on power introducing policies and legal measures to business organizations. There are positive as well as side effects brought about by the policies formulated and imposed by these governments. Economic Factors: They cause fluctuations in the economy where there are boom and recessions, (Amassaib Adam, 2016). The economy of the countries where Tupperware sells its products is subjected to change at different times of the year. When the economy is unfavorable, Tupperware faces different challenges such as reduced sales and low production of its products. However, once it is boom period, the economy is high, sales go high and much revenue is generated. Socio-cultural Factors: The aspects making up this factor include religion, social organizations, beliefs, and attitudes of people (Zander, McDougall-Covin, Rose, 2015). Socio-cultural factors affect the preference of customers towards a given product or range of commodities. These factor affects Tupperware since it is an international company dealing with many consumers, there might be lower purchasing power due to social class, habits, religion and preference of people. This causes a major problem for the company. Technology: Technological aspect involves study and collection of new techniques (Btiz-Lazo, 2016). It affects Tupperware in that it has to adapt to the changes in technology, this requires funds for purchasing computers, engines, and machines to facilitate fast production, efficiency, accurate and reliable work for the company. Physical Environment: Changes in the natural environment affect the performance of Tupperware, for example, 2005 Hurricane in the US destroyed premises and equipment for businesses. Others include earthquakes, storms, and hostile climate. Tupperware is believed to have strengths in the market. The strengths include variety of goods, local and foreign market, and it has won the loyalty and trust of its customers. This makes the company much stronger to make more sales and generate revenue. SWOT Analysis Strengths: The company strengths lies on the dedicated workers who work very hard to take the company to the next level. Again, the company offers the variety of brands the strategy that has helped the company to claim a large market share. Weakness: The greatest problem facing Tupperware Corporation is increasing competitive market from firms such as Avon Products Inc. and Newell Brands Inc. Other weaknesses include creating too many products, inappropriate methods of advertising and spending much funds for research. Opportunities: Tupperware Brand Corporation has a variety of opportunities, for example, new and larger international markets, high rate of growth and development and market segmentation. Threats: the company experiences threats such as increasing the cost of labor, raw material, rates of interests and fluctuation of prices due to dynamic economy of countries. In conclusion, when PESTEL factors change positively, they improve Tupperware Brand Corporation to make more profit, and this can be achieved by focusing more on the strengths and opportunities too. However, opposing or hindering changes, as well as threats and weaknesses in SWOT analysis, cause loss to the company. References Amassaib, M. A., Adam, M. A. (2016). Impacts of Some Environmental and Economic Factors on Production of Sorghum and Millet in North Kordofan State: Journal of Natural Resources and Environmental Studies. Vol. 19 No. 2, pp. 13-33 Grnig, R., Morschett, D. (2017). Determining the Target Markets. In DevelopingInternational Strategies. Springer, Berlin Heidelberg. Hamilton, L., Webster, P. (2015). The international business environment. Oxford University Press, USA. McDougall-Covin, P., Rose, E. L. (2015). Born global and international business: Evolution of a field of research. Journal of International Business Studies. Vol. 41 No.9, pp.2075-90 Pangarkar, N. (2015). Performance implications of strategic changes: An integrative framework. Business horizons