792-Dr. J. K. Patel Institute Of Management - Gujarat Technological ...

industry is the biscuit promote, which is important as it worth US$ 500 million. The
annual per capital consumption of biscuit in the UAE is a whopping 6 kg. Tiffany
Foods Ltd. is the market manager of the biscuit industry in the UAE. Tiffany Foods
Ltd. was established in 1989 as a family owned private limited company. The UAE
population can be categorized into three main types of people: The local Arabs, The
expat Arabs, The Expats.
As can be seen these three groups each have unique preferences as far as biscuits
are concerned. The affluent local Arabs wish to indulge themselves with luxury, while
the Expats (migrant workers) - the majority of whom belong to the lower rungs of the
economic ladder - prefer practicality and the expat Arabs take a sort of middle-of-theroad
approach. This divergence between the populace is the reason for the
existence of the three market segments of the UAE biscuit industry: Dry biscuits,
Cream biscuits, Premium biscuits. The only approach then to capture the biscuit
market is by participating in all the three of the market segments. However, this is
not simple thing for any business to do as there are varying specific 1requirements
for each of these market segments.
Given this scenario, multiple businesses will prevail by specializing and finding niche
areas within the biscuit market (e.g. McVitie's concentrates on producing only
digestive biscuits - a type of premium biscuit). But Tiffany Foods Ltd. has been able
develop its status as a subsidiary of the conglomerate called IFFCO, to contribute in
all the segments of the biscuit market. This has therefore caused Tiffany Foods Ltd.
to be the market manager for almost two decades now. However, with the entry of
Nutro, a supplementary of Indian biscuit giant Britannia, Tiffany Foods Ltd.'s position
as the market manager is being threatened. Nutro is aggressively promote their new
products and want to become the market leaders in the Dry and Cream categories.
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