The Ahmad Tea Company

Question #1

Ahmad Tea London Ltd is one of the few long-established internationally recognized companies. It is a family-owned business with its presence widely felt in the Middle East, Eastern Europe and some African countries.

Question# 2

The company specializes in the production and distribution of tea bags, loose teas, and gifts including black tea, flavored teas, and herbal teas. Ahmad tea distributes to over 80countries in the world where it is situated in selected restaurants, hotels, and exclusive shops. (Euromonitor International Blog, 2016) The company has a tea museum at its headquarters which is a tourist attraction hosting the local guests.

Macroenvironment

Economic environment: The economic factors influencing the company are compliance with the tax policies in the countries where the company has established itself. Besides, the fluctuations in monetary value across borders affect, the profit margins accrued by the company.

Political environment: The operations of Ahmad Tea Company are affected by the prevailing political conditions in some counties such as Iran.

Technological environment: Ahmad Tea Ltd relies on technology as a strategy for marketing its products. For example, it has a website and uses the social media (facebook and twitter)

Social environment: The social factors affecting Ahmad Tea Company include: the religion of the people which influences their lifestyles and food choice. For example, some religions discourage the use of tea products.

Demographic environment: The company’s decisions take into consideration the diverse characteristics of the population. For example, the company uses social media to market its tea because most people widely use it.

Microenvironment

Competitors: Strong and sturdy businesses such as its partner, Maham Qeshm Trading Co influence its marketing and pricing strategies to enhance its competitiveness in the market.

Company: Ahmad’s limited financial ability restricts the scope and spread of its operations in the world.

Customers: A large population that has developed a liking for tea products. The customers bring in different tastes and preferences.

Local Partners: Ahmad relies on the domestic partners for packaging, marketing, and distribution of tea.

Intermediaries: Ahmad Tea Company has some online retailers and stores which help in distributing their products to customers in different parts of the world.

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Reference

Ahmad Tea: Exploration of Home Market and Challenges Abroad. (2016, August 22). Retrieved

December 12, 2017, from https://blog.euromonitor.com/2014/11/ahmad-tea-exploration-of-home-market-and-challenges-abroad.html