“Smoothie drinks” have become very fashionable over recent years.
Smoothies are drinks made out of crushed fruit and are seen as a healthy alternative to carbonated drinks such as Coke or Pepsi.
Perhaps the most famous smoothie manufacturer in the UK is Innocent Smoothies. The business was set up in 1999 by three friends who famously gave up their jobs to start the business after they invested £500 on fruit and turned it into smoothies and sold them at a music festival. The business has grown since then and been a true success story.
The brand has a “quirky, playful” image as well as promoting itself to be ethically aware (it donates 10% of its profits to charity).
So, what has Coca-Cola got to do with all of this?
Porter’s 5 Forces strategy model is well known to students of professional exams.
If a 5 forces analysis is done on for example the traditional Coca-Cola carbonated drink then a substitute product would be a smoothie. There is a general trend in a lot of countries towards healthier living and the threat of a substitute product such as a smoothie could be seen as a threat.
In 2009 Coca-Cola bought an 18% stake in Innocent for £30 million and then in the following year increased its shareholding to 58% for a reported £65 million. They then increased their shareholding to over 90% for an undisclosed sum. From a Porter’s 5 forces point of view this is a good move as it means that one of the substitute products is now within the Coke family.
There has been a fair amount of discussion since the aquisition about whether Innocent is still the ethical likeable “under dog” that it was given that it is now part of one of the biggest companies in the world.
One thing is for sure though and whilst it was certainly an Innocent transaction it was also definitely a well thought out strategic acquisition.
https://www.theexpgroup.com/wp-content/uploads/2013/10/innocent-smoothies.jpg13552409Stevehttps://www.theexpgroup.com/wp-content/uploads/2018/06/styleguide-EXP-4.pngSteve2021-05-31 09:11:392021-05-24 09:50:44Was this an Innocent transaction by Coke?
We’ve all made mistakes but the key thing is how you recover from those mistakes. ASOS, the global internet clothing company recently made a mistake but recovered from it really well.
ASOS is an incredibly successful company. They sell over 80,000 products on their website and last year had over 15 million active customers and sales of nearly £2 billion.
One thing they are not that good at though is using the spell check function as they printed 17,000 packaging bags with the slogan “discover fashion online” spelt using “onilne” instead of “online”.
Now, what would you have done in that situation?
Would you have ignored it and hoped that no one noticed or cared about it?
Would you have scrapped the bags?
ASOS did neither of those and recovered brilliantly by tweeting:
“Ok, so we *may* have printed 17,000 bags with a typo. We’re calling it a limited edition”.
So, depending on how you look at it you’ve either got a bag with a typo on it or a limited edition collector’s item.
A brilliant recovery by ASOS. Turning a typo into some great publicity.
https://www.theexpgroup.com/wp-content/uploads/2018/03/ASOS-typo.png8431499Stevehttps://www.theexpgroup.com/wp-content/uploads/2018/06/styleguide-EXP-4.pngSteve2021-05-24 06:29:432021-05-24 09:44:17A great recovery
One of the five fundamental ethical principles is Integrity.
Being straightforward and honest is a vital characteristic of being a professional accountant.
Most people who are studying for their professional exams have one thing on their mind. Namely, to pass their exams but four students who were studying for their ACCA exams had other things on their minds and at the same time, were not the brightest individuals out there.
What they planned to do was to register for some Computer Based Exams (CBEs) and then whilst sitting the exams they would use their mobile phones to take photos of the computer screen showing the questions. They would then sell these photos with the questions on them via the internet.
The four individuals involved, Chen Yiyun, Hiujiao Ru, Zehui Gong and Ziying Wang decided to sell the questions on Taobao Marketplace, a Chinese shopping website.
They no doubt thought that this was an extremely clever way of making some money. What could possibly go wrong by taking photos of the questions and then selling them online?
One of the other fundamental ethical principles is that of Professional Competence.
Now, if these individuals had even a minuscule amount of Professional Competence, they would have reviewed the photos before selling them.
Alas for them they didn’t review them.
If they had reviewed them, they would have seen at the top of the computer screen in the photos their ACCA student registration number and the exam centre.
ACCA were made aware of the questions being for sale and made a test purchase on the Taobao Marketplace. Given the student registration numbers were on the screen, they didn’t need a team of top detectives to identify the individuals involved.
Unsurprisingly, the four individuals are now ex-students of ACCA having been found guilty of misconduct and they were ordered to pay costs ranging from £3,500 to £7,000.
https://www.theexpgroup.com/wp-content/uploads/2019/11/ACCA-exam-cheating.png9441678Stevehttps://www.theexpgroup.com/wp-content/uploads/2018/06/styleguide-EXP-4.pngSteve2021-05-19 07:38:372021-05-19 17:40:19Exams for sale….
Do you wish you had a better memory? Perhaps you do but you can’t remember whether or not you do.
If this is the case then help may be at hand.
University researchers have suggested a simple technique which could improve your memory.
Dr Mark Moss from Northumbria University led a research study which found that students studying in a room with the smell of the herb rosemary (in the form of essential oils) achieved 5% to 7% better memory results than students undertaking similar studying in a room without the smell of rosemary.
Dr Moss reported that the sense of smell in humans is highly sensitive and sends messages to the brain which can set off reactions and responses.
In the case of rosemary, the smell could well result in a better memory.
This view isn’t new though as ancient Greek students used to wear garlands of rosemary in their exams and Ophelia, the young noblewoman in Shakespeare’s play Hamlet said “There’s rosemary, that’s for remembrance.”
So, in conclusion, the next time you are studying hard for an exam it may be an idea to buy some rosemary essential oils to help your memory.
That is of course, if you can remember to buy some in the first place…
(Details of some of the work done by Northumbria University can be found here).
https://www.theexpgroup.com/wp-content/uploads/2017/05/rosemary_memory.jpg32095705Stevehttps://www.theexpgroup.com/wp-content/uploads/2018/06/styleguide-EXP-4.pngSteve2021-05-10 22:27:222021-05-19 17:36:10Remind me – what was I going to buy?
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