Revitalizing Haichidaime

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RevitalizingHaichidaime

RevitalizingHaichidaime

Thecurrent factor and one that will remain in the future in theoperating environment and will determine the future of Haichidaimerelates to changes in customer preferences. It is important notingthat the change in consumer preference is partly influenced by legalfactors. According to Hiriyappa(2009), legaland regulatory factors are external factors that a business lacks theability to control, rather a company should streamline to the legaland regulatory environment in order to remain operational. Legalfactors thus serve as a determining element in the success of anyorganization. Haichidaime business, currently under Hashimoto Takashifor the past period of over three decades has performed poorly forits failure to react positively to the introduced regulatorymeasures. The changes began in 1993 after deregulation of ricefarming as well the distribution. Following the regulatory changes,imported rice in the Japanese market started dominating the ricemarket in that it sold at lower prices. As a result, Haichidaime andother players that focused on high-quality Japanese rice havecontinuously lost market to the new imported cheap rice.Additionally, as a result of changes in diet together with anabundance of food, the past two decades has seen rice consumption inJapan record a significant decline. Therefore, it is indicative thatcustomer preferences are changing with time. The fact that thequality Japanese rice is no longer a customer’s choice in thecurrent market signifies that Hashimoto Takashi must strategizedifferently in order to revitalize his rice store business or riskclosure.

Basedon the presented analysis, there are three distinct tactical as wellas strategic recommendations that Mr. Hashimoto Takashi shouldundertake. Firstly, Mr. Hashimoto Takashi should change thebusiness’s model and strategy of focusing on high-quality Japaneserice. The need for making such change results from the fact thatmodern customers in the Japanese market are no longer interested inhigh quality, but rather by prices. The introduction of cheap riceand the way it has attracted significant consumption patterns is anindicator that quality is no longer a concern. As such, Mr. HashimotoTakashi should focus on exporting low price and low-quality rice asit is the product on demand in the modern Japanese market. Secondly,Mr. Hashimoto Takashi should put in place a team tasked with the roleof conducting research and development for the business in order tounderstand possible consumer future trends. As indicated in theanalysis, changes in consumption patterns of consumers are evidencedin the Japanese food market. Other than consumers switching fromconsuming high-quality Japanese rice and turning to lower qualitycheap rice, consumers have turned to other food components.Therefore, the research and development team that Mr. HashimotoTakashi will put in place will focus on crucial consumer consumptionpatterns in the future in order to help the business to strategize byproviding customers with the food products they need. As a result, hewill enable Haichidaime business not only to remain competitive butequally ensure sustainability. Lastly, Mr. Hashimoto Takashi shouldchange his business model to include other dietary products on demandin the Japanese market. Unlike in the past where rice remained thestaple food for Japanese community, there is a change in consumptionpatterns influenced by the abundance of food as well as diet changesrequiring the business to respond to these changes equally.

Reference

Hiriyappa,&nbspB.(2009).&nbspOrganizationalbehavior.New Delhi: New Age International.