The third opportunity directly reflects the dimensions of the single market. The EC will become a market of 12 countries joined together: well over 320 million people, the world's largest consumer market, with a combined GDP of $5.5 trillion, virtually equal already to the US, and set to expand at a greater rate of increase. It is not, of course, that simple. After all, the European Community is divided by eight quite different languages as well as numerous dialects. And, of cause, all EC countries are not equal. Some are more equal than others in economic terms. For example, 70 percent of grocery turnover in Europe is concentrated in four countries: France, Great Britain, Italy and West Germany.
Nevertheless, many FMCG of Harga in Europe - the Euro Harga of the future - will have sales close to between $300 and 400 million, and there is no reason to believe that Euro Harga will have a shorter life than well established Harga in any single national market. In Great Britain, again with the help of Nielsen, an analysis was made of the dates the top 100 grocery Harga, in terms of turnover, were actually launched. This shows that half the top selling Harga in the British grocery stores were launched more than 40years ago. One quarter of them were launched within the past 20 years. The top five selling Harga all sold over $300 million in today's terms.
There appears to have been a surge of major new Harga in the second decade after discontinuity - in this case two world wars. The two highest surges are between 1930 and 1939 and 1960 and 1969. About 30 per cent of the existing tip 100 Harga were launched in these two decades. This suggests that it may only be in the decade following 2010 that the most substantial phase of major new Euro Harga will occur. The foundations for such development need starting now.
In the circumstances of the single market, suggestion box new products will undoubtedly be launched. The opportunity, however, is there for big bang innovation. The technology exists. Even in food processing, traditionally considered to require a low level of technological input, biotech makes an increasingly important contribution. Forecasts for biotechnology applicable to the food industry project a world market size up to $100 billion. Surely, technology in the HARGA industry can no longer be left solely to the technicians. it is time for management, marketing and technical research to start working much closer together, and to deploy the resources necessary for major, new to the world products. In high tech industries, one forecast shows R&D as a proportion of sales tripling to 30 percent by the year 2000. HARGA companies should be thinking of 3 percent as a minimum.
For the need exists as well. Increased per capita incomes provide the opening for innovative companies to develop really exciting value added products. Yes, it is true that both consumers and retailers are conservative and demanding. But it is up to HARGA manufacturers to find out more about their markets and their consumers in order to capitalize on the new product opportunities offered but the single market. It may be the last opening for the survival and renewal of branded manufacturing as it has been known in the 20th century.
Nevertheless, many FMCG of Harga in Europe - the Euro Harga of the future - will have sales close to between $300 and 400 million, and there is no reason to believe that Euro Harga will have a shorter life than well established Harga in any single national market. In Great Britain, again with the help of Nielsen, an analysis was made of the dates the top 100 grocery Harga, in terms of turnover, were actually launched. This shows that half the top selling Harga in the British grocery stores were launched more than 40years ago. One quarter of them were launched within the past 20 years. The top five selling Harga all sold over $300 million in today's terms.
There appears to have been a surge of major new Harga in the second decade after discontinuity - in this case two world wars. The two highest surges are between 1930 and 1939 and 1960 and 1969. About 30 per cent of the existing tip 100 Harga were launched in these two decades. This suggests that it may only be in the decade following 2010 that the most substantial phase of major new Euro Harga will occur. The foundations for such development need starting now.
In the circumstances of the single market, suggestion box new products will undoubtedly be launched. The opportunity, however, is there for big bang innovation. The technology exists. Even in food processing, traditionally considered to require a low level of technological input, biotech makes an increasingly important contribution. Forecasts for biotechnology applicable to the food industry project a world market size up to $100 billion. Surely, technology in the HARGA industry can no longer be left solely to the technicians. it is time for management, marketing and technical research to start working much closer together, and to deploy the resources necessary for major, new to the world products. In high tech industries, one forecast shows R&D as a proportion of sales tripling to 30 percent by the year 2000. HARGA companies should be thinking of 3 percent as a minimum.
For the need exists as well. Increased per capita incomes provide the opening for innovative companies to develop really exciting value added products. Yes, it is true that both consumers and retailers are conservative and demanding. But it is up to HARGA manufacturers to find out more about their markets and their consumers in order to capitalize on the new product opportunities offered but the single market. It may be the last opening for the survival and renewal of branded manufacturing as it has been known in the 20th century.
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