Marketing Case

Warrnambool Cheese and Butter Factory Company Holdings Limited (WCB) is one of Australia's largest milk processors and produces such as butter, milk, cream and cheese.

This report will firstly focus on the background of the company and country in terms of geographic and demographic factors. Then, competitive advantage of the company will be discussed to determine why this company would be chosen by our group.

A critical analysis of the environmental, political, legal, economic and cultural challenges of doing business in Chile will also be determined, followed by an advice of whether the chosen entry mode and chosen country for WCB to develop its business are of its best interest.

3.0 Company and Country Background

Warrnambool Cheese and Butter Factory Company Holdings Limited (WCB) is one of Australia's largest milk processors and is also the only diary company listed on the Australian Stock Exchange (ASX). Their main products include milk, high quality cheese, milk powders, whey protein concentrate, butter, milk and cream. They distribute their products both domestically and internationally. The plant of company is located in the premier dairy region of South-Western Victoria, Australia, and which is one of the largest milk processing sites in Australia (WCB Annual Report 2009). Thus, there is no doubt that one of the competitive advantages of the company reflects on the location of its plant in terms of low cost milk production, consistent annual rainfall and concentration of dairy farms. Others could be demonstrated as strong relationship with suppliers and proven ability to produce products of good quality, growing portfolio of brands, as well as Great Ocean Ingredients intellectual property (WCB Annual Report 2010).

The vision held by