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Table of Contents

Serial Number / Heading / Page Number
1 /
Cadbury / 3
2 /
Situational Analysis /
3
3 /
PESTLE Analysis
/
3
4 / Core Competencies
/ 5
5 /
SWOT Analysis /
5
6 /
Product / 7
7 /
Marketing Objective /
8
8 / Segmentation
/ 8
9 / Targeting
/ 9
10 / Marketing Mix
/ 9
11 / Marketing Budget / 11
12 / References / 13
13 / Appendix / 14

Cadbury

Cadbury is a British confectionary company which is head quartered in Uxbridge Business Park, Uxbridge, London Borough of Hillingdon, England. It was controversially acquired by Kraft Foods in February 2010. The Dairy Milk bar was launched in 1905 with a higher proportion of milk than other chocolates and it was an instant success. (Cadbury, 2011) Cadbury does not only produce chocolates but it has also expanded its product line to cakes and biscuits like as Cadbury Mini Rolls and Cadbury Digestive Biscuits, drinks like as Cadbury Drinking Chocolate and ice creams and desserts such as Cadbury Chocolate Mousse. (Cadbury, 2011)

Situational Analysis

External Analysis

PESTLE Analysis

Pestle Analysis stands for “Political, Economical, Social, Technological, Environmental and Legal Analysis”. PESTLE examines the impact of these factors and the way that they inter play with each other on the business. The results can then be used to take advantage of opportunities and to make a contingency plans for threats when a company is preparing business and strategic plans. Thus, it is a useful strategic tool for understanding market growth, market decline, the business’s position and the potential and direction of operations (Cooper, 2000).

Political

Cadbury has been in business since a long time now. it is one of the seniors now. It has operations worldwide and it has improved the economy of a lot of countries, developing and developed both. Therefore, any political change is easily adjusted by Cadbury. The only concern for Cadbury is to keep an open for any change in any of the countries where its operations are based regarding food labeling and international trade.

Cadbury should also be aware of the Food Safety Acts of various countries that it is operating in. It also needs to make sure that none of its companies are breaking any law in production like as paying under the minimum wage. Otherwise scandals and law suits could greatly hurt the company’s reputation.

Economic

Economic activities easily affect the costs incurred by companies along with the funds that are available to them. It also has a crucial affect on the demand (Thompson, 2005). Cadbury is making a big contribution to economies of the foreign countries as well as its own base country since chocolates are one thing that people will never stop having. However, the economic downturn which is caused by recession globally has affected Cadbury like it has affected other confectionary companies and industries.

Social

The social environment includes the demands and choices that are seen to change due to a lot of factors like as world of fashion, an individual’s income and any change in the environment that might affect an individual (Pearce, 2005). Many people generally like sweets. Moreover, a lot of people prefer eating sweets after a meal. However, there are individuals who might not prefer consuming chocolates due to health factors.

Since Cadbury is a multinational company, due to social changes in the foreign countries that they operate in, pricing and promotion strategies have to change sometimes. This increases costs for Cadbury. Along with that, great care has to be taken when an advertisement in English is changed to some other language.

Along with that Cadbury takes great care in involving itself in Corporate Social Activities. It has involved itself in Projects like as “Major Redevelopment at Bourville” where the commitment to the area can be seen through major redevelopment work and “A Well a Day in Ghana”, where it developed wells in Ghana, the source of Cadbury cocoa (Cadbury, 2011).

Technology

Technology has been widely recognized as part of organization and the industry part of the model for the creation of competitive advantage. Production of Cadbury is high due to high technology machines and factories enabling high quality mass production. Moreover, media such as internet, television and radio enable Cadbury to large amount of advertising for its products. Internet alone is a good place to sell goods even confectionary items. It provides a new consumer group increasing the overall sales for the company.

Legal

Today, world over, legal issues are being given great importance. Hence, Cadbury has to introduce more legislation to ensure that workplace is proper for its employees, wage and other benefits are being given accordingly and this increases costs for Cadbury. However, laws regarding counterfeits mean that any company who imitates Cadbury’s products and packaging can be sued. Legal laws today have also ensured that no unfair monopoly exists in market for competition to thrive.

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REFERENCES

Allen, P. and Ridley, J., (2010). Choco

Appendix

1