Market Growth
In this analysis, the market growth rate indicates the magnitude of market response toward the fruit juice. Measuring the markets based on this criterion, it is observable that Turkey grew its market share by 11.8% to become the country with the highest growth rate in the fruit juice market.
The analysis further indicates that Turkey’s domestic market was the most favorable compared to the rest of the market destinations for the product.
The fruit juice market in Czech Republic was the only destination market that recorded a negative growth during this period. The score of 1 on the scale of 1to 5 shows how poorly the market in Czech responded to the dynamics of growth. France came in competitively well to gain a market growth by 3.0% as compared to its previous performance. However, the Belgium gave Spain a run to close in at 2.6% margin of growth behind Spain.
Although France commands the largest market size for Fruit juice, the analysis, the market dynamics in turkey are favorable to any individual or company willing to carry on the business due to its fundamental growth trend. In the same breadth, the Czech Republic commands the smallest global market size for fruit juice.
The small market share and size by the Czech Republic however, indicates that the market will continue to shrink given the existing conditions. It is worth noting that although turkey’s market continues to grow at the fastest rate, the level of competition within its domestic market remains the lowest on a comparative scale.
The market competition of Belgium has stood at the highs of 62.5% despite its low market size of 274. It is interesting that the Czech Republic’s market experiences great competition regardless of its dwindling growth rate.
Competition
Competition is one of the best rubrics that measures the perforce of markets. Examination of the competitiveness of the six markets reveals that all the markets continue to experience competition. Clearly, France’s market experiences a low rate in terms of competition in spite of its huge market when compared to other markets.
The analysis shows that there exists no positive correlation between the market size and the rate of market growth in the six markets. This facet is explained by the fact that countries which exhibited a large market share showed low competition for the fruit juice product.
Similarly, the comparison between the market growth rate and competition shows an inverse correlation in which countries that demonstrated a high growth rate, recorded a low rate of competition. For instance, Turkey’s market grew at the highest rate of 11.8%, but saw the lowest competition rate compared to other countries by recording 19.8% competition rate.
Despite the unfavorable market growth and low market size, the Czech Republic presents itself as one of the most competitive markets among the six countries under study.
The market analysis shows that Belgium’s market harbors many firms operating in the sale of fruit juice, which may have contributed to the slow growth in its market size. Although Belgium offers a small market compared to the other markets, it remains the sole provider of the most favorable market.
In general, it is deducible that a large market has a negative implication on the level of competition as obtained from the comparative analysis of the cluster markets.