Nutrition supply in humanitarian markets - A market analysis for MEPA-units

Kurzfassung

The report aims to address the Germany Aerospace Center Bremen. The center specializes on research and development of spaceflight systems. The department EDEN respectively deals with the development of greenhouse technology. It is developing a mobile inflatable cultivation unit to grow essential food items independent from the environment. The problem is defined. The DLR initiated the development of the cultivation unit recently. As of now, the cultivation unit is a product idea only. The project must be approved by DLR officials. The project requires initial funding to be further pursued. The project is confronted with the issue of convincing officials. A lack of market insight retains the final approval process for funding. Market research has not been conducted yet, thus the team lead of EDEN is challenged with the problem of unknown market potential of the cultivation unit, required to convince officials. Objectives of the research are illustrated. Constructed research aims to provide the DLR with a holistic market research for the humanitarian market of refugee camps. Results of the research aims to reveal the product potential of MEPA in the respective market. Critical success factors for future market entrance are examined. Internal assessments were conducted as part of the research methodology, identifying unique project structures influencing the business. Overall, micro and macro environments structure the approach. Market potential for MEPA in the humanitarian markets of refugee camps is identified. Market potential for MEPA units is recognized in government-planned camps in the geographical areas of Africa, Middle East and Asia. Food supply methods in respective refugee camps are limited. Fresh food is rarely supplied. MEPAs ability to create value in the market is recognized as it allows fresh food production. Potential customers identified as government and non-profit organisations have stated their interest in the product idea. External factor greatly contributes to market existence. Only a limited number of factors, such as trends towards urbanisation and cash transfers are analysed to influence future markets negatively. Hyper politicization within the market is common and will thus limit market potential in specific areas of concern. General market potential for MEPA in refugee camps is recognized. However, conducted analysis has outlined that essential market requirement for initial market entry cannot be fulfilled by the MEPA. Critical success factors within the market include easy usability of products, the supply of high nutrition food items and support of refugee independency. Every action creating dependency within a market is recognized as exclusion factor. MEPA, in its current form, creates dependency as the integrated seed cultivation mat must be reordered after every plant growth. This fact is the grated threat to future market implementation as customers itself execute great decision power. Customers are highly price sensitive due to restrictions in budgets. They can substitute and have sealed prices levels low. Compared to substitutes, MEPA is analysed as less superior. All in all, market potential is hence analysed to be greatly limited a basic market needs are not served. Based on the outlined elements, MEPA launch into the respective market of refugee camps is not advised. it is concluded that refugee markets should not be entered by MEPA in its current form. MEPA must be adjusted in its continuing development phase to fit the basic requirements of the market. Therefore, development can aim to design a simplified version of humanitarian markets. These units exclude the water control system and allow encapsulating the automated support unit’s blowout interface. The targeted market of government camps allows the use of basic infrastructure and hence does not impair with the required water supply. Allowing to encapsulate the blowout interface allows to diminish critical threat factor. Refugee can actively use the system, no dependency is created as the unit can be repurposed and operated by local resources.