Kinh Do Bakery
Executive summary
This report was aimed at analyzing current issues in the organizational environment of KDC and providing recommendation for the company to improve its performance regarding environment.
The analysis focuses on the external environment of KDC. Overall, KDC has a quite favorable external environment to a certain extent to make out the most of it. However, each of the factors in its external environment have good and bad effects on its outcome, realizing and understanding all of which can help the corporation to exploit the most from the environment and avoid mistakes reducing its achievements.
External environment is divided into general and specific factors. In the general environment, economics is enduring massive fluctuations, making customers cut down expenditure and turn to economically efficient products. The political condition in Vietnam is stable, appropriating for applying in a long time. Whereas, the life styles of people are under a considerable change, they adopt time- saving meals, which is an opportunity for instant foods of KDC. Nevertheless, the instant foods are also proved not to be so good for health. Finally, beside a potential domestic market, which possesses an ideal population structure, as Vietnam joined in WTO, it comes a chance of extending KDC’s market into the world.
In the specific environment, because of the significant drop in people’s income comparing to real value of commodity, the purchasing power of customers decreases. The widespread of fake and low quality goods turns out to be an opportunity for KDC as people trust in established organizations. Regard the potentiality of confectionery industry development in Vietnam, it is easy to understand the vast number of KDC’s rivalries in the market, and despite the leading role of KDC, the others have their own considerably outstanding strengths. KDC has a wide variety of suppliers both from domestic and abroad, which bring not only benefits but also disadvantages
This report was aimed at analyzing current issues in the organizational environment of KDC and providing recommendation for the company to improve its performance regarding environment.
The analysis focuses on the external environment of KDC. Overall, KDC has a quite favorable external environment to a certain extent to make out the most of it. However, each of the factors in its external environment have good and bad effects on its outcome, realizing and understanding all of which can help the corporation to exploit the most from the environment and avoid mistakes reducing its achievements.
External environment is divided into general and specific factors. In the general environment, economics is enduring massive fluctuations, making customers cut down expenditure and turn to economically efficient products. The political condition in Vietnam is stable, appropriating for applying in a long time. Whereas, the life styles of people are under a considerable change, they adopt time- saving meals, which is an opportunity for instant foods of KDC. Nevertheless, the instant foods are also proved not to be so good for health. Finally, beside a potential domestic market, which possesses an ideal population structure, as Vietnam joined in WTO, it comes a chance of extending KDC’s market into the world.
In the specific environment, because of the significant drop in people’s income comparing to real value of commodity, the purchasing power of customers decreases. The widespread of fake and low quality goods turns out to be an opportunity for KDC as people trust in established organizations. Regard the potentiality of confectionery industry development in Vietnam, it is easy to understand the vast number of KDC’s rivalries in the market, and despite the leading role of KDC, the others have their own considerably outstanding strengths. KDC has a wide variety of suppliers both from domestic and abroad, which bring not only benefits but also disadvantages