Thesis (MBA)--Stellenbosch University, 2011. / A global increase in environmental awareness and concern about issues such as climate change, resource depletion and higher levels of pollution are having a greater influence on the purchasing decisions and product selection of consumers. In a response to this trend and growing demand for eco-friendly products, manufacturers introduced goods suggested to have a less harmful impact on the environment. A growing number of environmental logos and unsupported claims caused consumer scepticism and created a need for certified environmental logos, which led to the introduction of eco-labels. To date, South Africa does not have a certified eco-label in the fast-moving consumer goods (FMCG) non-food category. The application of eco-labels on products would allow South African consumers to identify eco-friendly options and incentivise producers to develop goods that are less harmful to the environment. In order to establish the requirements for a successful eco-labelling scheme, a literature review was conducted. Based on the findings, a consumer survey was carried out to determine whether there is a demand for eco-labelled goods in South Africa and whether an eco-labelling project will have a significant effect on consumer behaviour in the FMCG non-food category. Statistical analysis of the data revealed that consumers are concerned about the environment and that they will support eco-friendly goods, if the quality and performance are as good as regular products. The survey, however, revealed that consumers are of the opinion that eco-friendly products are not as effective as regular products. The analysis also found that consumers are price sensitive and not willing to pay a large premium for eco-friendly attributes. These are the two main obstacles hindering South African consumers to move to more sustainable consumption patterns. In the survey, consumers also indicated a need for an independent third party to verify environmental claims, manage eco-labels and audit producers to ensure that eco-friendly goods meet acceptable sustainability and quality standards.

An organization must manage its resource consumption and material flows in order to satisfy the demand of its products as efficiently as possible. Managing of the aforementioned requires a balance between the organizations resources (such as the capability of distribution and production) and the market demand. According to Gardner (1990), an estimation of future demand is a necessity for maintaining the balance. An instrument that is used frequently to estimate future demand is demand forecasting. The demand forecasting practice has been thoroughly studied and a plethora of academic contributions exist on the topic. However, a best practice demand forecasting method does not exist for every kind of product. The purpose of this paper is to identify which time series forecasting method that will result in the lowest error rate on fast moving consumer goods. The methods are based on sales data of 18 articles from the company Coca-Cola Enterprises Sverige AB which predominantly sells soft drinks. The majority of the theoretical framework is time series models presented by the authors Stig-Arne Mattsson, Patrik Jonsson and Steven Nahmias. The paper identifies Exponential smoothing with individual input variables as the forecasting method with the lowest error rate. The method gave the lowest possible error rate on over 55 percent of the articles. In addition, the combined error rate of the articles using Exponential smoothing with individual input variables gave the lowest overall error.

Research report presented to SBL, Unisa, Midrand. / The subject on the role of branding in delivering financial growth has been a debate for most marketers and financial managers. This is because the marketing subject by its nature is intangible and therefore difficult to measure. This misunderstanding has resulted in many authors calling for marketing to be accountable and focus on marketing investments that will deliver long term value for the shareholders. This study explores the role of branding in the South African FMCG industry and three main areas are explored namely whether marketing strategies are focused on increasing sales or future business growth. The second area is whether the inclusion of brand equity measures as part of the financial company reports, will give them the focus that they deserve. Thirdly it explores whether there is a link between brand building initiatives and financial measures. A qualitative research method was used as it gave the researcher an in depth understanding of the role of brand management within the FMCG industry and its impact on financial measures. A total of fifteen employees were interviewed using semi-structured interviews. The findings indicate that companies still focus on measures that drive short term gains instead of long term growth and that brand building activities are compromised by brand harming activities such as regular price cutting. Future research to evaluate the impact of marketing activities that drive short term sales on brand equity and subsequently shareholder value is recommended.

Thesis (MBA (Business Management))--University of Stellenbosch, 2010. / ENGLISH ABSTRACT: The aim of this study was to investigate CRM application in South Africa with specific reference to the FMCG industry in this country. The research started off with a literature review of CRM with reference to its failures and successes as well as the advantages and disadvantages of the system, furthermore the requirements for a successful CRM system were investigated. Interviews were also held with industry experts to gain insights into CRM application in South Africa. The study found that, although the FMCG industry in South Africa is based on the B2B route to market and not on the B2C route to market, CRM still has the potential to add value to the organisation. In addition, the failures of CRM are not industry-specific but common across industries. There are a vast number of reasons for the failure of CRM, ranging from CRM’s exclusion from the company strategy to a lack of change management and a lack of end-user involvement in the implementation of the system and process. Although it would seem that CRM fails more than it succeeds it is not due to the system itself but to human nature and reluctance to change. The research clearly illustrates that CRM fails as a result of human decisions and the disadvantages posed by the system. It is clear that CRM starts with the organisation’s strategy. If CRM complies or fits in with the strategy of the company it will succeed. What’s more, CRM has to be driven from top management down. Lastly, CRM will work for the FMCG industry of South Africa and will add value to any organisation dealing with customers. However, this will only be realised if the organisation follows a customer-centric approach and if CRM is not seen as an IT project but rather as part of the organisational culture. / AFRIKAANSE OPSOMMING: Die doel van hierdie studie is om die toepassing van CRM (kliënteverhoudings-bestuur – customer relationship management) in Suid-Afrika te ondersoek met spesifieke verwysing na die bedryf vir vlot verkoopbare verbruikersgoedere (FMCG – fast-moving consumer goods) in dié land. Die navorsing het met ’n literatuuroorsig van CRM begin met verwysing na die mislukkings, suksesse en die voor- en nadele van die stelsel. Die vereistes vir ’n suksesvolle CRM-stelsel is ook ondersoek. Daarby is onderhoude met kundiges in die bedryf gevoer om insig in die toepassing van CRM in Suid-Afrika te verkry. Die studie het bevind dat hoewel die FMCG-bedryf in Suid-Afrika op die B2B roete na mark en nie op die B2C roete na mark gegrond is nie, het CRM steeds die potensiaal om waarde tot die organisasie toe te voeg. Daarby is die gebreke van CRM nie bedryfspesifiek nie maar kom dit algemeen by alle bedryfsrigtings voor. Die talle redes vir die mislukkig van CRM wissel van die uitsluiting van CRM van die maatskappy se strategie tot by ’n gebrek aan veranderingsbestuur en ’n gebrek aan eindgebruiker-betrokkenheid in die implementering van die stelsel en die proses. Hoewel dit voorkom of CRM meer misluk as wat dit slaag, is dit nie die gevolg van die stelsel self nie maar van die menslike aard en onwilligheid om te verander. Die navorsing toon duidelik aan dat CRM as gevolg van menslike besluite en die nadele van die stelsel misluk. Dit is duidelik dat CRM by die organisasie se strategie begin. Indien CRM aan die maatskappystrategie voldoen of daarby inpas, sal dit slaag. Daarby moet CRM deur topbestuur van bo af gedryf word. Laastens sal CRM vir die FMCG-bedryf in Suid-Afrika werk en waarde tot enige organisasie toevoeg wat met kliënte werk. Dit sal egter net realiseer indien die organisasie ’n kliëntgesentreerde benadering volg en indien CRM nie as ’n IT-projek nie maar as deel van die organisasie se kultuur gesien word.

published_or_final_version / Environmental Management / Master / Master of Science in Environmental Management

Research report presented to SBL, Unisa, Midrand. / The subject on the role of branding in delivering financial growth has been a debate for most marketers and financial managers. This is because the marketing subject by its nature is intangible and therefore difficult to measure. This misunderstanding has resulted in many authors calling for marketing to be accountable and focus on marketing investments that will deliver long term value for the shareholders. This study explores the role of branding in the South African FMCG industry and three main areas are explored namely whether marketing strategies are focused on increasing sales or future business growth. The second area is whether the inclusion of brand equity measures as part of the financial company reports, will give them the focus that they deserve. Thirdly it explores whether there is a link between brand building initiatives and financial measures. A qualitative research method was used as it gave the researcher an in depth understanding of the role of brand management within the FMCG industry and its impact on financial measures. A total of fifteen employees were interviewed using semi-structured interviews. The findings indicate that companies still focus on measures that drive short term gains instead of long term growth and that brand building activities are compromised by brand harming activities such as regular price cutting. Future research to evaluate the impact of marketing activities that drive short term sales on brand equity and subsequently shareholder value is recommended.

This research study investigated the influence of maintaining a partnership form of relationship between a Fast Moving Consumer Goods (FMCG) multinational company and its core suppliers, on their abilities to achieve supply chain agility. It took place within the Middle East region, where the in-depth case study used for data collection was Unilever (North Africa Middle East). The research also focused on the role played by information technology within Unilever’s (North Africa Middle East) partnership with its core suppliers and the achievement of a high level of agility within their supply chain. In addition to these two main aims, the research also focused on exploring the required attributes of supply chain agility within FMCG industry and also to explore the attributes of buyer-supplier partnership required to help the companies working within this type of industry to achieve agility within their supply chain. To achieve the aims and objectives of this research, this study used qualitative methods for collecting rich and valuable data. Several data collection methods under the umbrella of the in-depth case study approach were used. The methodological approach used by the research was the Grounded Theory approach (Strauss and Corbin, 1990-1998). Data was collected from the case study managerial level in Unilever’s (North Africa Middle East) main clusters within the Middle East in three different rounds, using semi-structured interviews. Data was also collected from five core suppliers for Unilever (North Africa Middle East). The research also used other data collection means, such as documents collected during the researcher’s visits to the case studies and observation. Data was analysed using the steps and procedures of the Grounded Theory approach (Strauss and Corbin, 1990-1998). Data analysis took place in three interrelated iterative steps: open coding process, axial coding process followed by the selective coding process, leading to the generated theory of the research. The findings of the study, as presented in the research’s generated theory, showed that the partnership, with its attributes explored during the research, between Unilever (North Africa Middle East) and its core suppliers can be considered as the starting driver helping the companies working within this type of industry to achieve a higher level of supply chain agility, through the attributes explored during the research. The generated theory also showed that the role played by information technology can be considered as the catalyst in this equation. It played the role of channelling the relationship between the two concepts: buyer-supplier partnership and supply chain agility. Information technology can be considered as the catalyst because the evidence indicates that without it the relationship between Unilever (North Africa Middle East) supplier partnership and supply chain agility would struggle to be achieved. In more detailed, 43 open codes had been derived from the first analysis coding process, and which were derived under the main pre-determined themes: FMCGs industry-based features, Buyer-supplier relationships, Information sharing and information technology, and Agility. These 43 open codes provided the basis for stages 2 and 3 of the analysis. In the axial coding process (the second data analysis), the axial sub categories and the axial categories were determined and the axial paradigm model was used in the analysis. In the final coding process: the selective analysis, the core category of the research was determined to be ‘Partnership existence with core suppliers’. The relationship of this core category with the other elements in the paradigm model namely: casual conditions, context, intervening conditions, action/interactional strategies, and consequences. The research has its own Theoretical, Methodological, and Managerial contributions. Among these contributions is that it can be considered a novel research, using a grounded theory approach to generate a theory, showing the relationship between buyer-supplier partnership and supply chain agility in this dimensional manner.

Thesis(M.B.A.)--University of the Witwatersrand, 1991 / The research investigated the evaluation of common goods and services by white and black consumers, and to determine where similarities and dissimilarities between these two segments existed. A review of the literature on consumer behaviour, with specific reference to decision making models, and a series of in depth interviews enabled the expansion of the Zeithaml (1981) set of constructs by a factor of two. A questionnaire was developed and administered to white and black employees of well known local firms in a variety of industries. Hypothesis testing enabled validation of the expanded set of constructs, and the comparison of white and black evaluative differences, while correspondence ;analysis determined the key evaluative dimensions. Important new dimensions discovered included Convenience, Loyalty and Reception. An invaluable method of clustering was found in the /chi squared trees technique. The results indicated that black consumers are significantly less experienced in the use and evaluation of common services compared to their white counterparts. As a result of this inexperience, a much less sophisticated set of key evaluative constructs are relied upon in the decision process. Both segments appear to be /ciware of generally higher risks associated with services, but are less prone to invest effort in information gathering prior to purchase. The white segment purchases services based on their convenience, whilst the black segment faces equal inconvenience for any purchase. The most significant marketing implications drawn were firstly, the need to appreciate consumer perceptual similarities across, and differences within, goods and services categories. Secondly, marketers need very different strategies for the black segment.

Some firms focus on few products with broad appeal, whereas others leverage variety as an important part of their offering. This study investigates the conditions under which each of these product line length strategies is optimal in the fast-moving consumer goods industry. It does so by focusing on the relationship between product line length strategy and firm top-line performance, in the light of a discrete framework derived from the strategic fit paradigm and the strategic triangle. Results show that customer factors (i.e., variety per household and value per purchase) and competitor factors (i.e., concentration and proliferation) drive the strategic fit of a firm's product line length strategy to the market in which it competes, so that firms deploying market-fitting strategies face higher odds of market share growth than firms deploying contrarian strategies. Firms with certain company factors (i.e., innovativeness and brand equity), however, face higher odds of market share growth by challenging the market fit and deploying contrarian strategies than by deploying market-fitting strategies. This study offers a stepping stone towards addressing product line length strategy as a discrete choice on product line positioning, an innovative approach with potential to generate concrete business impact.

The thesis deals with data analysis importance for decision making process. The theoretical part focuses on characteristics and specific attributes of the business intelligence, its history and development, limitations and opportunities. The data processing as well as steps or techniques necessary for the analysis are further examined. The practical part deals with sell-out data analysis of a particular retailer from its supplier point of view. The sell-out data analysis is based on real business examples and results in recommendations for a business team.