Question: please answer this case study Section 4: Read the following case 'Heinz Ketchup Could Not Catch Up in Brazil and full answer the questions 25

please answer this case study please answer this case study Section 4: Read the
please answer this case study Section 4: Read the
Section 4: Read the following case 'Heinz Ketchup Could Not Catch Up in Brazil and full answer the questions 25 and 26. Heinz Ketchup Could Not Catch Up in Brazil In 2009. Heinz (www.heinz.com) was selling products in more than 200 countries and sales were topping $10 billion with approximately 60 percent of revenue coming from overseas. Despite good track records inland and overseas, H. J. Heinz Co. failed in Brazil, a market that seemed to be South America's biggest and most promising. Heinz entered into a joint venture with Citrosuco Paulista, a giant orange juice exporter, because of the future possibility of buying the profitable company. Yet the sales of its products, including ketchup, did not take off. Where was the problem? A problem audit revealed that the company lacked a strong local distribution system. Heinz lost control of the distribution because it worked on con- signment. Distribution could not reach 25 percent penetration. The other related problem was that Heinz concentrated on neighborhood shops because this strategy was successful in Mexico. However, the problem audit revealed that 75 percent of the grocery shopping in Sao Paulo is done in supermarkets and not the smaller shops. Although Mexico and Brazil may appear to have similar cultural and demographic character istics, consumer behavior can vary greatly. A closer and intensive look at the Brazilian food distribution system and the behavior of consumers could have averted this failure. Heinz, however, is looking more closely at Asia, especially China, where the company markets baby food and where 22 million babies are bor every year. 25) What do we mean by the problem audit' conducted by Heinz? and what it was found out of it? (6 points) Your answer 26) Why Heinz went wrong? and what was different within the Brazilian market? (6 points) Your

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