The Akia Rice Company primary source of revenue comes from selling its only product to Chinese Speaking individuals in the Los Angeles area. In fact, Akai. Rice Company has three primary business functions: importer, packaging, and retailer. Since no revenue is realized from importing its product, nor from packaging its own product, the Akia company for purposes here will be classified as a Specialty Food¡s Retailer¡.
It is competing against the many other similar companies that import or grow, package, and sell specialty rice from around the world. In reality, Akia Rice Company must compete against brands such as Lundberg Rice Company (a specialty Californian rice) and Acquerello Organic Rice Company (a specialty Italian rice) that sell their products in specialty food stores such as Trader Joe¡s, Whole Food Markets and Wild Oats Market.
As for the economic condition, since the time Akai Rice Company first came into existence in 1997, the U.S current economic condition has been nothing short of phenomenal. Most importantly this economic boom has led to increased consumer spending on non-essential items. This is extremely important for a company like Akai Rice. While the company does sell a food product; at $150 for a 35 pound box, it would be very difficult to convince anyone that this particular food is an essential grocery item. There are too many far cheaper foods, be it not as healthy that could be substituted for this product that would sustain a person¡s diet.
According to the U.S. Department of Agriculture, per capita use of rice climbed 191 percent from 1970 to 1997, and in recent years per capita rice consumption has been increasing about one pound per year in the United States. Consumption of rice in the U.S. in year 2000 would climb to 30 pounds for each person, up nearly 10 pounds since 1985. The bottom line is Americans are eating more rice then ever before. Many prominent and highly respected health organizations, such as the ADA, which is The American Diabetic Association, and AHA, which is The American Heart Association, are all strongly encourage individuals to increase their daily consumption of starchy vegetables.
Furthermore, other respected health publications such as Runner¡s World Magazine encourage all level athletes to eat starchy vegetables because these are full of complex carbohydrates. These organizations and publications contend that starchy vegetables are essential for a healthy diet, and complex carbohydrates are energy athletic individuals need to perform at peak level. Fortunately, Akai rice is just one type of starchy vegetables that are being emphasized by these prominent and respected organizations and publications.
