Sunday, January 26, 2014

INFO 571

Article 1 -Sugarpova
        Maria Sharapova is a global tennis star and the world’s highest paid female athlete. Maria Sharapova always had a sweet tooth and invested in a premium gummy candy business in August 2012. Jeff Rubin, is the co-founder of Dylan’s Candy Bar and is a consultant for Maria Sharapova’s candy business. Jeff Rubin created a corporate business name for Maria’s premium candy called Sugarpova, LLC. Jeff Rubin earns a certain percentage of sales when profit targets are met.
      Maria Sharapova invested $500,000 of her own money and opened a candy factory in Murcia, Spain. There were 250,000 candy bags sold in the first three months. In January 2013, Sugarpova went international to the following countries: Australia, UK, Canada, Russia, India and China. The CEO of Sugarpova, Max Eisenbud, has forecasted selling 1 million bags globally for the 2013 year. The premium gummy bags sell for approximately $5.99 with a $1.10 net profit for each bag. The bags are six times the cost of other gummy candy bags but provide a premium quality of gummy candies. There is no brand recognition in premium gummy candy and Sugarpova doesn’t have any major competition. There is a potential for Sugarpova to earn $1.1 million net profit for the 2013 year. The US, Europe and China gummy candy industry is $28 billion profit a year.
     There is little investment in marketing as there isn’t a big budget in marketing and advertisement.    Sugarpova is using social media, such as Facebook, as a free marketing campaign.  “Every week, everywhere she goes, people are talking to her about it,” the agent said. “It’s also the power of social media, the power of her almost 9 million fans on Facebook".[1] “We don’t really have a big budget at all for marketing and advertisement,” says the four-time Grand Slam tournament winner, who owns 100 percent of the company".[2] I commend Maria Sharapova desire to invest in a premium gummy candy business. Maria Sharapova has taken her corporate skill set from other companies that she has worked with (Nike, Cole Haan and Tag) and applied them to Sugarpova. Maria Sharapova has taken her candy business internationally in a short period of time. The Sugarpova premium candy business investment is a great opportunity for Maria Sharapova to eventually expand her investments in fashion, cosmetics and other products.

References:
[1]http://www.bloomberg.com/news/2013-01-10/sharapova-serves-sweet-ace-with-120-return-on-sugarpova.html
[2]http://www.businessweek.com/articles/2013-01-17/sugarpova-candy-sharapovas-sweet-taste-of-success








Article 2 - Facebook vs. Business Blogging                                         
Facebook is a website where you can connect with your friends and family. Facebook was founded in February 4, 2004 which is exactly 10 years ago by a Harvard student, Mark Zuckerberg.  As of September 2013, the popular website Facebook has over 1.2 billion users. The social media website is a place to have informal discussions with friends and family. You can post your photos, chats, and videos to your friends and family. This is a great opportunity to reconnect with old college buddies and even family members that you may have not known. "One such reunion was between John Watson and the daughter he had been seeking for 20 years".[1] "They met after Watson found her Facebook profile".[2]
 Businesses are starting to use Facebook as a free marketing scheme as Maria Sharapova, a global tennis star, is utilizing Facebook. Facebook is the main marketing strategy for Maria Sharapova’s candy product to attract new customers. In my opinion, Facebook will become a more reliable marketing strategy further down the road for businesses due to its: free, popular, good networking model, and it’s colorful.       
 Business blogs gives companies a free marketing outlet to attract new and existing customers. “There’s one easy way to take your blogging efforts to the next level. By attending the web’s largest online blogging conference, Blogging Success Summit 2011, you’ll become empowered to use blogs to gain more exposure, better engage customers and grow your business".[3] The customer trusts and feels comfortable with the company.  Companies that blog provide their thoughts, ideas and has the ability to communicate with customers effectively. Blogging is unique and a different way companies interact with the customers.  Blogging is a great resource to showcase your product as it gives you the competitive advantage over other companies. In my opinion, blogging has the one-on-one experience that a customer looks for with a company. Blogging has the advantage over Facebook as Facebook may be too informal for customers. Blogging gives you an opportunity to grow your business by marketing your products to a customer in a rapid, efficient, and effective way.         


References:




Article 3 – Miami Dolphins Football                                                
The Miami Dolphins football team hired Dennis Hickey on January 26th, 2014 as the new general manager. “Hickey brings 18 years of scouting and personnel experience to his new role with the Dolphins. He will oversee all aspects of football operations, reporting directly to Mr. Ross. Head Coach Joe Philbin will continue to oversee his coaching staff and report directly to Mr. Ross as well”.[1]
Jeff Ireland was terminated after 6 years of being the Miami Dolphins general manager. Jeff Ireland was terminated as the Miami Dolphins failed to reach the playoffs after 5 years. The last time the Miami Dolphins made the playoffs was the 2008 year with a 11 win record during the year. “However, Ireland was firmly in the hot seat after five consecutive non-winning seasons. Ireland committed more than $200 million in free agency, only to see the team finish 8-8 this season”.[2]
I have been a Miami Dolphins fan since I was 8 years old– 1984. I had a great opportunity to see the Miami Dolphins play in Miami every year when I was a young kid. My uncle had Miami Dolphins season tickets and I was invited once a year to see them play. My family has continued the tradition to see the Miami Dolphins play once a year in South Florida. A new general manager is a positive change to rebuild the football program. Good Luck Dennis Hickey!    

References:
[1] http://www.miamidolphins.com/news/press-releases/article-1/Stephen-Ross-Names-Dennis-Hickey-As-Miami-Dolphins-General-Manager/75b84000-f4bc-4b65-8e62-ab9b544b7dd7











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