One of the biggest problems of McCain was obesity in children. This problem related to external challenges, which faced by the organisation. McCain had to focused on the healthy problem occurred due to their products. McCain had to understand the dietary of the customers, which should be balanced as well as healthy. In relation to understand the customer’s requirement and other issues, it was mandatory for the company to analyses its environment whether it was internal or external. Following figure show the external challenges:
(http://yaymicro.com, 2014)
After doing the slept analysis organisation needs to examine those factors, which affects the business. When slept has been occurred then, company has to made changes according to the environment changes. Some external challenges is as below:
Social Factors:
It is one of the important factors that affects directly to the business. Consumer behaviour depends resolute by the present trend. Habits like eating, drinking changes with time to time. McCain sales growth declined due to some healthy eating patterns of the consumers. McCain reduces the quantity of salt in their potato products. Mccain claimed that their potato products are lower in fats and saturated fats. McCain also promote its product to the public to increase the sales. They communicate with people through campaigns. McCain also made strong public relation with the help of advertisement.
Legal Factors:
Every company has to deal with the legal criteria set by the government. There must be some standard that are set by the company to meet with the government rules and regulations.
Government set standards on the behalf of consumers. They made various traffic lights labels which shows the quality of the product that help the consumers to choose the right product. For example red dot represent high level of ingredients like fat and unsaturated fats and green dot represent low
Cited: (2014). Retrieved 8 20, 2014, from http://yaymicro.com: http://yaymicro.com/vector/pestel-analysis/4986898 (2014). Retrieved 8 20, 2014, from http://www.mccain.com: http://www.mccain.com/GoodBusiness/Vision%20Strategy/Pages/strategy.aspx Global CSR report. (2009). Corporate Social responsiblity benchmark report . Na, A. (2014). can any1 give me details about SWOT analysis of McCain Foods. Retrieved 8 20, 2014, from https://smallbusiness.yahoo.com: https://smallbusiness.yahoo.com/advisor/answers/corporations-20090731233725AAdZmA9.html Strauss, M. (2014). Externally Facing or Internally Facing? Flexible or Stable? Retrieved 8 20, 2014, from http://www.successful-blog.com: http://www.successful-blog.com/1/social-networking-are-you-adaptable-or-have-you-joined-a-clan/