Gullon Competitors

PART 4: COMPETITORS

Market Analysis
We are going to analyze the market of bakery, biscuits, confectionery and cereals products.
1. We follow the Porter theory; at first we must study therivalry among competitors. Gullón have too competition because of it exists other companies in the sector that work with the same technology. Everyone wants to improve and cover the needs of customers. Forinstance, in the biscuits market we find other brands like Kraft Foods.
2. Companies with substitute products are also a guideline to take into account. These enterprises produce the same productshowever working with other technologies and innovations. If a Gullón’s competitor launch on to the market a new brand of special biscuits created by every kind of bakery, this would force them toinvest more in our line of products related with biscuits.
3. New entries also can affect their situation in the market, related with the positive growth of any type of small and medium sized and newcompanies from other countries (markets), that they decide to enter in the biscuits, bakery, confectionery &cereals competition turning in competitors with Gullón SA.
4. Gullón’s suppliersdelimit the cost structure of the company and exercise a decisive influence on the benefits equation.
5. Finally customers have a considerable control of Gullón SA revenues. Customers are the whole peoplethat buy directly, normally with the “help” of distribution chains.

In this sector, biscuits, confectionery, bakery & cereals, we can say that the market leaders are SOS Cuétara and Siro.There are 2 concepts of competition:
INDUSTRY CONCEPT: Competitors are firms that offer a product or class of products that have been produced with similar technology.
MARKET CONCEPT: Competitors arefirms that satisfy the same customer need.

Competitors are classified according to the role played in the market. This role determines their strategies:
Market leader: The strongest competitor,...