Coffee Industry Analysis Paper

A. Geography and Demographics Factors:

Location: Large cities

Large city is a factor in coffee marketing. Large cities would imply that our product should be able to meet the demand for coffee users. It would also create the opportunity for our products to go viral, as there would enough market for it. The aim of any producer is to make a product that would serve the interest of the users. It is in our interest that our coffee brand goes round the city and serves everybody, once the amenities that help us are on the ground.

Size: Large population

Population is just as important as the city. More coffee consumers we have, the more money opportunities we have. When we able to meet the demand of the local population, it would help the company

The most productive age of any country is 18 to 75 years. However, in most places, 18 to 60 is the ideal. At 18 to 75 years, we are sure of meeting an active population that would consume our products.

B. Economic Environmental Factors

Income Levels: Higher income levels are must due to prices and willingness to make a purchase of a gourmet coffee rather than a cheaper alternative. Prices for a visit could be 10-15$ per person. (https://www.zomato.com/dubai/caff-vergnano-dubai-mall).

Unemployment: an area with high unemployment is not ideal due to the prices of our products. Employment level should be high such that the prospective customers should have the income to purchase our coffee.

Ease of Doing Business: There would be easier to enter a market. If Caffe Vergnano chooses to enter in a country that was already stable and that had political freedom, the company would easily recoup its investment. You cannot even make a breakthrough where there is no ease to do business. Unfriendly environment could wipe an investment. Authorities should provide a fertile ground for the coffee business to thrive in any area you decide to locate that business.

C. Political and Legal Environment

The major cause of instability in any country is unstable politics. Apart from the fact that there could be a political crisis, which leads to the destruction of your industry, unfriendly political environment can lead to enactment of policies that are hostile to your investment. Because of this, we always study the political environment, study the policies on the ground, to determine how friendly they were or how the future would be for investment. People can take our coffee when there is a conducive atmosphere.

Property Rights and Intellectual Property Right Protection: Patents and Trademarks to specific or unique products that Caffe Vergnano creates should be protected. The political and investment climate in an area must be such that must always protect the property and the intellectual property right. If that atmosphere does not exist, then an unfriendly government could confiscate investment. You can always determine this by checking the existing laws. Once you see anything in the environment that could constitute threats to your investment, then you should simply pull