Factors which impact on Food product development Flashcards

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1
Q

What are the external factors that impact food product development

A

economic, political, ecological and technological environment often affect food product development.

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2
Q

What are the external factors

A

Macro-environment are generally outside the manufacturer’s control and must be considered in proper decision-making processes.

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3
Q

The economic environment

A

A great new food product idea may work well when consumers have a high income level and the economic outlook is prosperous, but the idea may fail in tougher economic times

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4
Q

What are the economic factors that may affect food production

A
  • inflation rates
  • interest rates
  • exchange rates – affect the cost of imports and returns on exports
  • tax rates
  • import and export tariffs
  • wage agreements and salary levels
  • level of unemployment
  • natural disasters
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5
Q

The political environment

A

Australian manufacturers, producers and distributors of food are all subject to regulations made by federal, state and local governments.

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6
Q

At the federal level, the most prominent regulatory body is

A

Food Standards Australia New Zealand (FSANZ)

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7
Q

In NSW, what regulation is more direct at the state government level

A

NSW Food Authority

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8
Q

Role of local government

A

deals specifically with local issues relating to foods, such as zoning laws, planning permits and health inspection matters.

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9
Q

Ecological Environment

A

The ecological environment includes the air we breathe, the food we eat, our waterways, biodiversity in both plant and animal species, and the land itself.

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10
Q

What is the concern with the ecology

A

issues such as pollution, land degradation, inadequate waste disposal and conservation of natural resources.

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11
Q

What affect does ecological concerns have on consumers

A

Affect consumer attitudes to such things as recycling, biodegradability of packaging, pollution of the atmosphere and waterways, use of pesticides and waste disposal.

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12
Q

What have companies implemented as a result of consumer concerns

A

the use of biodegradable and recyclable packaging, better air pollution control, environmentally friendly processing and transport for their products, and more efficient energy use and waste disposal in their processing operations.

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13
Q

How has the Technological environment affected the development of new food products.

A

extrusion techniques
ultra-high temperature (UHT) processes
new packaging technology such as modified atmosphere
computer control in food processing
automated equipment
improved distribution systems
genetic engineering (genetically modified materials are probably the most controversial of new food ingredients).
food additives

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14
Q

How does developments arise

A

Research and Development

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15
Q

Internal Factors

A

Micro-environment and are mostly within the manufacturer’s control

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16
Q

What does the micro-environment include

A

The expertise of personnel
Production facilities
The company’s financial position and
Company image.

17
Q

Personnel expertise - refer to the employees employed by a food company which include

A

production staff on the factory floor
financial staff
marketing and sales staff
purchasing staff
product development staff (sometimes called R&D staff)
product testing and quality assurance staff
maintenance and engineering staff
management staff
company directors
product distribution staff
warehouse staff

18
Q

Production Facilities

A

Production is the mechanism whereby raw materials are converted into final products for the market

19
Q

Food production methods

A

Continuous production
Mass production
Batch production
One-off production

20
Q

Financial Position of companies may include

A

The value of its assets (cash, property, equipment)
It’s cash flow
Profit-and-loss balance
Value of its shares (for public companies)
Amount of borrowings or loans to others
Interest rates
Equity in other companies and property
Value of stock on hand
Market share
Product range and other aspects that vary between companies.

21
Q

How may company image develop?

A

Consumer perceptions of product quality
Prices
Form and convenience of products and packaging
Market availability
Labelling