candy industry Essay

candy industry BY kiwhite757 Candy is a love for many people around the world young and old, but has anyone thought about what you are actually consuming. Plants, fruits, etc. that are used to make candy are produced with synthetic or chemical fertilizers, weeds are controlled with chemical herbicides and insecticides are used to manage pests and disease, all of those chemical are in your candy you consume. Along with chemicals there are artificial colors, flavors, and preservatives.

Studies from American Academy of Pediatrics have shown that this artificial ingredients increase hyperactivity and ecrease attention span in a wide range of children with and without learning disability. The question is what you should do about this problem. Organic candy is answer. Our specialized candy will enter the market as USDA organic hard candy with a great taste. Starting with the organic portion of our candy, the organic industry has been on the rise for 10 years and entering the market at this time is great because organic products have become better known in the United States.

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There are few competitors competing in the organic candy industry and the small amounts are not well known. Even though we will have to compete with competitors with well- known brands such as Jolly rancher and skittles we will have an advantage of this competition because of the growth of the organic industry and the future mind sets of American buyers. If we can place our organic product side by side with the conventional candy we can defiantly become a well-known brand in the candy industry.

Our candy will have a chance to survive among the competition because organic USDA approved candy is currently only sold in specialty stores such as Whole Foods. We want to branch out and make the candy easily available to customers in uch places such as Target, Martins, and Kroger. Looking at the organic aspect of the candy, since 2000 the organic industry has been on the rise and continuing to show healthy growth. The organic industry may only consist of 4% of the current market share of the food industry but there is more room for growth in the future.

Within ten years the organic market grew dramatically (Exhibit 1). Many people are adopting the organic lifestyles, 63 % of Americans buy organic foods at least sometime and 40% said that organic foods will be a bigger part of their diet in the next year. The US organic industry is one the fastest growing developing markets in the food industry. If we place the organic market on the S scale it will fall in as intensive competition and the growth phase, were its still growing and developing in the market against other completion such as conventional, grass feed, no hormones added and natural foods. Exhibit 2) Organic food is defined as the way agricultural products are grown and processed. There are specific guidelines to meet and maintain in order for products to be labeled as organic. The standards are that organic crops must be rown in safe soil, have no modifications, and must remain separate from conventional products. Organic Food labels with the USDA Organic seal are foods that are 95% to 100% organic ingredients. Our company will produce a candy that is grown and made in America.

America has the capability to buy organic products from American Farmers at a fair value because of the recent progression of the organic industry. The growth in organic farms in the US has doubled since the 2000. natural flavorings. The price of our candy will be reasonable with other candy products on the market. This candy is targeted to the normal candy consumer llowing them the ease of getting organic candy at a normal grocery store with the same price range as other candy in that market.

The product is targeted to the normal candy consumer, normal candy consumer whom is considering a healthy lifestyle and the current organic food consumer. Our mission for the company is to allow the normal candy consumer as well as organic food users to have the ease of purchasing organic candy at a reasonable price at their local food markets/grocery so they continue or choose a product that is healthier, contains fewer pesticides, better tasting, and environmentally friendly. Exhibit 1 US Organic Foods vs. Total Food Sales.

Growth and Penetration, 2000- 2010 Category 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 Organic Food 6,100 7,360 8,635 10,381 12,002 14,223 17,221 20,410 23607 24803 26708 Growth 20. 70% 17. 30% 20. 20% 15. 60% 18. 50% 21. 10% 15. 70% 7. 70% Total Food 498380 521830 530612 535406 544141 566791 598136 628219 669556 673324 5% 4. 70% 1. 70% 4. 20% 5. 50% 4. 90% 1. 60% 0. 60% Organic as % total 1. 40% 1. 90% 2. 20% 2. 50% 2. 90% 3. 20% 3. 60% 3. 70% 4% Source: Organic Trade Association’s 2011 Organic Industry Survey conducted 12/2/2010-31712011 ($ mil consumer sales) Exhibit 2


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