Know-How Exchange : Student Questions

HI

As you know SWOT Analysis is a strategic planning tool used to evaluate the Strengths, Weaknesses, Opportunities, and Threats involved in a project or in any other situation requiring a decision. Strengths and weaknesses are internal factors and opportunities and threats are external factors.

As per as the Cadbury India is concern the SWOT analysis is as follow:

Strength:

• Cadbury Schweppes plc is a very profitable organization, generated revenue of more than £6,508 billion (2005).
• It is a global chocolate brand built upon a reputation for fine products and services.
• Cadbury Schweppes plc was one of the Fortune Top 100 Companies to Work For in 2005. The company is a respected employer that values its workforce.
• The organization has strong ethical values and an ethical mission statement


Weaknesses:

• Cadbury has a reputation for new product development and creativity. However, they remain vulnerable to the possibility that their innovation may falter over time.
• The organization has a strong presence in the United States of America, UK and India. It is often argued that they need to look for a portfolio of countries, in order to spread business risk.
• Cadbury's recall over 1 million chocolate bars over salmonella fears
• The organization is dependant on a main competitive advantage, the retail of coffee. This could make them slow to diversify into other sectors should the need arise.
• The company has no apprehensions of cannibalization of its chocolate brands.


Opportunities

• Cadbury company is very good at taking advantage of opportunities.
• The company has the opportunity to expand its global operations. New markets with new products which are limited in particular region.
• Cadbury has decided to focus on a few of its key brands such as Cadbury Dairy Milk, Bournvita, Eclairs and Halls to drive growth for the company.
• Co-branding with other manufacturers of food and drink, and brand franchising to manufacturers of other goods and services both have potential.
• Cadbury India is attempting to increase the declining market for chocolate with innovation, one of which is its sweet snack, Bytes.
• Brand ambassador Amitabh Bachchan for advertising there new products.


Threats

• Who knows if the market for Cadbury will grow and stay in favour with customers, or whether another type of beverage or leisure activity will replace coffee in the future?
• Health organization have so many barriers for new development
• Cadbury’s are exposed to rises in the cost of chocolate and dairy products.
• Entry into salted snacks was ruled out so it is important to do new innovation and marketing research.

I hope this will help!

Regards,

M Bhor