Business and Marketing Strategy Cadbury
Introduction
Cadbury merged with Schweppes in 1969. Currently, this successful company is employing approximately about 43,000 people worldwide. Today, Cadbury Schweppes is the world's fourth biggest supplier of chocolate and sugar confectionery.
One of its products, Dairy Milk was introduced in 1905, and has become the most successful molded chocolate in UK history and the basic ingredient for many other Cadbury products. 95 years later, Dairy Milk is one of the world's most famous brand names and the company's leading chocolate bar by revenue.
Sales from Cadbury's Dairy Milk alone are estimated at over £135 million for 1995. Cadbury considers its success is based on three factors: quality, value for money and good advertising.
I am going to apply an analysis to Cadbury's current situation and its position to enter a foreign market
It is important to investigate on the internal and external environmental forces for the Dairy Milk in a foreign market. Relevant organisational and industrial information is required for the development of a SWOT analysis PEST analysis and PORTER'S 5 factors. The analysis of the environment and the consideration of the situational factors when designing marketing planning are critical as it would allow Dairy Milk to capitalise on organisational strengths, minimize any weaknesses, exploit market opportunities and avoid any threats.
SWOT ANALYSIS
Strengths
Cadbury's could get these advantages in going abroad. By entering a foreign market the company could:
Maintain a stable growth of a company by maximising the use of its production capacity and which increases economies of scale.
With its brand name, Cadbury could counterattack the competitors it faces in the domestic market by attacking their domestic market.
Keep up with the financial strength by increasing its sales and profit.
Acquisition rules in UK reduce its dependence on the UK market and therefore diversify its market specific risks.
Overall, Cadbury
Cadbury merged with Schweppes in 1969. Currently, this successful company is employing approximately about 43,000 people worldwide. Today, Cadbury Schweppes is the world's fourth biggest supplier of chocolate and sugar confectionery.
One of its products, Dairy Milk was introduced in 1905, and has become the most successful molded chocolate in UK history and the basic ingredient for many other Cadbury products. 95 years later, Dairy Milk is one of the world's most famous brand names and the company's leading chocolate bar by revenue.
Sales from Cadbury's Dairy Milk alone are estimated at over £135 million for 1995. Cadbury considers its success is based on three factors: quality, value for money and good advertising.
I am going to apply an analysis to Cadbury's current situation and its position to enter a foreign market
It is important to investigate on the internal and external environmental forces for the Dairy Milk in a foreign market. Relevant organisational and industrial information is required for the development of a SWOT analysis PEST analysis and PORTER'S 5 factors. The analysis of the environment and the consideration of the situational factors when designing marketing planning are critical as it would allow Dairy Milk to capitalise on organisational strengths, minimize any weaknesses, exploit market opportunities and avoid any threats.
SWOT ANALYSIS
Strengths
Cadbury's could get these advantages in going abroad. By entering a foreign market the company could:
Maintain a stable growth of a company by maximising the use of its production capacity and which increases economies of scale.
With its brand name, Cadbury could counterattack the competitors it faces in the domestic market by attacking their domestic market.
Keep up with the financial strength by increasing its sales and profit.
Acquisition rules in UK reduce its dependence on the UK market and therefore diversify its market specific risks.
Overall, Cadbury
References: History of Cadbury, www.cadbury.com.au SWOT analysis – Understanding your Strengths, Weaknesses, Opportunities and Threats, Mindtools website - www.mindtools.com Boone, L., Kurtz, D. (1992) Contemporary Marketing, Fort Worth, TX: Dryden Press. Developing your Strategic SWOT Analysis." Austrainer. (1999) website - www.austrainer.com Ferell, O., Hartline, M., G., Luck, D. (1998) Marketing Strategy. Orlando, FL: Dryden Press.