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Study on the demand and market development of low cost nutritious bread in Korea

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  • Study on the demand and market development of low cost nutritious bread in Korea
  • Whang, Il C.; Jo, Sung H.; Sohang University
  • United States Agency for International Development


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Title Study on the demand and market development of low cost nutritious bread in Korea
Similar Titles
Material Type Reports
Author(English)

Whang, Il C.; Jo, Sung H.; Sohang University

Publisher

[Washington, D.C.]:United States Agency for International Development

Date 1978
Series Title; No Other USAID Supported Study, Document
Pages 234
Subject Country South Korea(Asia and Pacific)
Language English
File Type Link
Subject Industry and Technology < Agriculture
Social Development < Health
Holding United States Agency for International Development

Abstract

In 1975, under USAID financial sponsorship, Sam Lip Foods Co., Ltd., one of Korea's largest bread manufacturers, began production of soy-fortified bread. This study analyzes and evaluates findings from a subsequent survey of consumer attitudes and sales in a test marketing of the product. Data sources included first-hand information from consumers (obtained through the mail and in interviews at retail stores and residences), secondary sources from food balance sheets, and sales data from the producer of the bread and a sample of its dealers. The test marketing of this high protein bread was a failure, with only a small proportion of consumers buying the bread repeatedly. The authors attribute the poor results of this test marketing to the following factors: (1) the poor quality of the bread in terms of taste and odor; (2) the existing preference of consumers for milk bread; (3) inadequate and ineffective use of promotional materials; (4) the high price of the bread due to rigid government price controls and the unavailability of good quality soy flour at reasonable prices; and (5) the lack of a strong marketing program. In addition, rice remains the preferred staple of the Korean diet -- a factor which restricted the market for soy bread from the outset. Despite the poor response to soy bread, the authors stress the importance of developing soy protein-supplemented foods. The rising costs and limitations of supplying animal protein foods will make these products increasingly necessary. The authors recommend that the Sam Lip Co. consider developing new soy flour products such as pastries -- products which are assumed to have a larger market than soy bread. If the price of soy flour can be reduced, the company should consider eliminating regular bread and producing only soy-fortified bread. Also, if the company resumes marketing of the bread in the near future, it should be distributed only in large city supermarkets where a reasonable level of sales can be maintained.