pestle analysis chocolate industry

If possible, the company plans to add this A.I technology to every one of their lines. Like with most food products, the major multiples have substantial buying power, and often buy directly from chocolate manufacturers. - Influence and Effectiveness of Environmental Agencies The role of environment standards enforcement agencies is critical in safeguarding norms. - Foreign Exchange Rate Number of companies have incurred losses in past few years because of forex risk in Venezuela, Brazil, and Argentina. The gender composition of labor market is a good indicator of disposal income of household, priorities of the households, and related needs. The Brazilian chocolate market is projected to witness a CAGR of 4.12% during the forecast period 2022-2027. Legal factors often govern conditions to enter the market, laws to operate in the market, and procedure to resolve any dispute with other stakeholders. With almost 1.4 billion Chinese inhabitants and a growing middle-class, it is a wonderful opportunity for brands to conquer and retain a wide audience. Cadbury is identical with the consumption of chocolate on a universal basis. While also keeping the ingredients simple to maintain environmental sustainability. Managers at Chocolate Hawkins need to examine three inter-related environments in order to come up with an effective strategy. The remaining 35% of the chocolate industry was divided among Bourbon Corporation, Nestle S.A., Morinaga & Co, Fujiya, Kabaya Foods Corporation, and Cadbury. Chocolate Mould Market Share, Size Global Growth Analysis, T In 2002, growth in receipts outpaced volume gains for chocolate candy by 8.7 percentage points over the previous year. Hi, We can write an analysis or assignment on any topic of your choice, PESTLE Analysis of Chocolate Industry in Uk. - Gender Composition in Labor Market Chocolate Hawkins can use gender composition of labor market to understand the level of liberal nature of the society, women rights, and womens say in matter of societal issues and consumption decisions. In this section, we present a brief analysis of each element in relation to the . Chocolate Industry 5. Published by HBR Publications. - Time Taken for Court Proceedings Even if the country has best of the laws, it doesnt mean much if they cant be enforced in a timely manner. The Hershey's Company is the largest chocolate manufacturer in North America and yet they've hit major setbacks both politically and economically. The chocolate market was impacted by low sales volume due to the COVID-19 pandemic, including supply-side issues linked to quality and certification. This PEST analysis of the Hershey Company examines these issues, as well as their relationship with consumers and the use of cutting-edge technology. KitKat PESTLE Analysis examines the various external factors like political, economic, social, technological (PEST) which impacts its business along with legal & environmental factors. The company has attempted to make amends by creating socially-conscious programs to help children in need. In each of these locations, the sales were weaker. Macroeconomics is the study of large-scale economic elements, often relating to countries as a whole.The factors this analysis represents are political, economic, social, technological, legal and environmental. PESTEL analysis of Switzerland - www.howandwhat.net - Size of Government Budgets both Local Governments and National Government The government at both national level and local levels are running deficit budgets which is boosting growth in the short term but may lead to increase in inflation over medium term. Strategy planning process often requires five steps - Government Spending As mentioned in the political factors, government of the country is running deficit budgets. This technology could be adopted for Hersheys other products, particularly with chocolate. The Industrial Organization (I/O) approach advocates that for sustainable competitive advantage external factors are as important as internal factors of the Chocolate Hawkins. In highly hierarchical societies the power of decision making often reside at the top. Although it took up aisle space, if it leads to creates even one sale, its worth the price to retailers and Hersheys. The company was founded in 1924 and has gained much popularity now. Chocolate industry Presentation - SlideShare The PESTLE Analysis of Chocolate Confectionery in the UK - Studentshare Market Segmentation 13. It is written by Linda A. Hill, Alison Berkley Wagonfeld and shed light on critical areas in field of Organizational Development, Creativity, Entrepreneurship, Leading teams, Product development that the protagonist in the case study is facing. Despite the popularity of chocolate in the United States, many analysts believed that the market was far from saturated, noting that European per capita consumption of chocolate remained considerably higher than that of American consumers. Changes in macro environment forces can impact the Porter Five Forces & industry attractiveness. - Financial Market Structure and Availability of Capital at Reasonable Rates The quantitative easing policy of Federal Reserve has led to liquidity flooding all across the global financial markets. Egypt Market Research Reports, PEST Analysis and Industry Trends Digital Chocolate case study (referred as Chocolate Hawkins for purpose of this article) is a Harvard Business School (HBR) case study covering topics such as Organizational Development and strategic management. The implication for Chocolate Hawkins is that it can boost sales of its product in short run but also expose Chocolate Hawkins to medium term forex and currency depreciation risks. -Environmental policy is very important to Lindt and Sprngli. Pest analysis of chocolate industry Free Essays | Studymode PESTEL Analysis & Environment Analysis The PESTEL analysis is a tool devised by Harvard professor Francis Aguilar to conduct a thorough external analysis of the business environment of any industry for which data is available. PESTLE (sometimes PEST) is a framework for analyzing the external macro environment of a business or industry, usually specific to a particular country. All of this is rudimentary and basic, but playing the blame game doesnt leave a savory taste in consumers mouths. Over one hundred million residents live in Japan and are forced to live in specific locations. The next element to address in the PESTEL analysis of Switzerland is the economic environment. Cadbury is a well-known producer and distributor of chocolate and milk-based products. Consumer consciousness regarding the health benefits of eating high-quality chocolate, which remains the key driver of the market. 5. Chocolate Hawkins should do a primary research regarding how much time it often takes to conclude a court case in the country given the sort of legal challenges Chocolate Hawkins can face. operates in a complex and dynamic environment characterized by regulatory changes, growing environmental activism . PEST/PESTLE Analysis - ACCT/FIN_420: Cannabis: Challenges and we specialize at providing professional PESTEL analysis & other strategic management MBA resources. Conducting a PESTLE analysis of the confectionery industry can help businesses operating in this sector to identify potential opportunities and threats, and to develop strategies to mitigate risks and capitalize on opportunities. All Rights Reserved, Political factors: The politics and policies of chocolate, Economic factors: All problems, all the time, Social factors: A dedication to social responsibility and favor, then poor sales are obviously their fault, adopting new technology to create better treats, add this A.I technology to every one of their lines, the consumer pushback against their usage of the Ivory Coast (and potentially child labor), Twitter PESTLE Analysis: 6 Notable Factors Affecting the Social Network, How to Pursue a Career in Cybersecurity: 7 Professional Tips to Follow, General Mills SWOT Analysis: 3 Opportunities to Gain Competitive Advantage, Root Cause Analysis: An Easy 6-Step Complete Guide, Mayo Clinic SWOT Analysis 2023: Healthcare Business Checkup, 3 Top Tech Tools for the Modern Commercial Contractor. - Political Governance System Based on the information provided in the Note on the U.S. Chocolate Market case study, it seems that the country have a stable political system. Chocolate Gourmet should assess what are preferred choice of mobile payments in local economy and chose the business model based on it. - Nature of Social Contract between Government & Society Before entering into a market Chocolate Hawkins needs to understand the nature of social contract between government and society. - Inflation Rate The inflation rate can impact the demand of Chocolate Hawkins products. For example, Value-added Tax rose by 2.5% in 2010 and increased chocolate prices and reduced sales. The Chocolate Market research report provides a comprehensive outlook of the market size and an industry growth forecast for 2023 to 2028. - Likelihood of Entering into an Armed Conflict From the information in the Digital Chocolate case study, I dont think there is a likelihood of country entering into an armed conflict with a neighboring country. The total retail value of the U.S. market for chocolate was estimated at $13.7 billion in 2002, a 10.2% increase from 1998. - Gender Composition in Labor Market Chocolate Gourmet can use gender composition of labor market to understand the level of liberal nature of the society, women rights, and womens say in matter of societal issues and consumption decisions. Choosing the vision, mission and the reason of existence for Chocolate Hawkins. But this strategy entails risks when interest rate will go up. Chocolate in China: Enter the Sweet Chocolate Market Hawkins wondered how to guide his company into this new area of social gaming without losing any of the tremendous creative momentum the team had built over the previous years. For example if the supply chain is not flexible it can lead to bottlenecks if shipments from one part of the world are delayed because of sudden climate shift. - Integration of Technology into Society & Business Processes Uber failed in China because it tried to enter before smartphone were widespread in China. Chocolate Hawkins can make strategies based on the stable political environment. Know More It shares its borders with the neighboring countries of Namibia, Botswana and Zimbabwe, and to the east are . This analysis helps businesses to make informed decisions and take advantage of opportunities while mitigating potential risks. Skip to main content Other CIPD Websites CIPD UK CIPD Middle East CIPD Ireland People Profession CIPD Learning Hub People ManagementPM jobs Log in / Register Go to the home page - Work Force Productivity Work force productivity in US has grown by 25-30 % in last two decades even though the salaries are not reflecting those gains. 988 Words4 Pages. we specialize at providing professional PESTEL analysis & other strategic management MBA resources. Health trends: The UK government has launched several campaigns in recent years to promote healthy eating, which may impact the marketing and consumption of chocolate products. PESTEL stands for - Political, Economic, Social, Technological, Environmental & Legal factors that impact the macro environment of The Hershey Company. At EMBA PRO, PESTLE ANALYSIS TECHNOLOGICAL ANALYSIS The Goya chocolate has a global supply chain. - Technology transfer and licensing issues for Chocolate Gourmet laws and culture of licensing of IPR and other digital assets should be analyzed carefully so that Chocolate Gourmet can avoid shakedowns and IPR thefts. Chocolate Hawkins has to assess whether it can live with the fast pace of technology disruption in its industry. PESTLE Analysis of Soap Industry in India, PESTEL Analysis of Starbucks in Philippines. MBA PESTEL : Note on the U.S. Chocolate Market PESTEL / PEST Analysis Chocolate Hawkins has stringent norms for health and safety norms so in emerging economies it may have to compete with players who dont have high cost structures that of Chocolate Hawkins. The chocolate industry has to anticipate the outcomes of their business operations in such a way that are in abidance with the rules and regulations made by the government of the country. - Intellectual Property Rights Protection Chocolate Hawkins should assess the level of protection that intellectual property rights get under the legal system of the country. Called consumer trips by the company, buying in stores went down by 2 percent that year. Developing strategies that can capitalize on Chocolate Hawkins strengths and help mitigate weaknesses and impact of threats of macro-environment. PEST is an acronym for Political Economic Social and Technological factors which are used to assess the market for a business. Note on the U.S. Chocolate Market case study PESTEL analysis includes macro environment factors that impact the overall business environment Political, Economic, Social, Technological, Environmental, and Legal factors. Sales were down only slightly, and the CEO John Bilbrey, as well as CFO Patricia Little, blamed everything for it. The imposition of taxes is yet another political factor that will determine how Cadbury manages its investment and payment to shareholders. Indeed, retail sales of chocolate in the United States had experienced a steady increase in recent years. Government support: Government policies and initiatives to support the growth and development of the food industry can benefit the chocolate industry in the UK. Out of which, her per capita income was 50,844 US dollars and it's 10th highest in the world. - Influence of Climate Change How climate change will impact Chocolate Gourmet business model and supply chain. Kurien, the cooperative society makes milk and various milk products like curd, cheese, milk powder, cheese spread and chocolate amongst others. According to an estimate, her annual GDP was 1.375 trillion US dollars in 2020. Being a specialty retailer of home dcor and gifts, their primary products are . Today, Kirkland's main sales support center is located in Brentwood, Tennessee which supports 337 stores in 35 states. Environmental factors are fast gaining traction not only among consumers but also among regulators and policy makers. - Laws regarding Monopoly and Restrictive Trade Practices As a new player Chocolate Hawkins shouldnt be worried about the monopoly and restrictive trade practices law. Amul Chocolates is a product category of the milk company Amul which is the brand name for the Gujarat Cooperative Milk Marketing Federation. Some of the political factors are governance system, democracy & institutions, military coup chances, probability of armed conflict, law and order in market etc. Objective 3. PESTEL analysis is mainly the assessment of macro environment factors. A SWOT analysis is a tool used to evaluate the strengths, weaknesses, opportunities, and threats of a business or product. Chocolate Gourmet can leverage such a situation to hire the best people in business. Environmental regulations, such as those related to waste disposal and sustainable sourcing of cocoa and other ingredients. South Africa: Chocolate Confectionery Market and the - market research In fact, Cadbury was able to gain a 30% increase in its annual profits, predominantly from the sales of Dairy Milk and Trident. In 2011, it is seen that major chocolate . Chocolate Gourmet can borrow cheaply under such circumstances. Chocolate ingredients are more expensive. Quality control: Advanced technology such as spectroscopy and X-ray analysis are used to improve the quality and consistency of chocolate products. "Tasting Empire: Chocolate and the European Internalization of Mesoamerican Aesthetics." The American Historical Review 111 (3):pp 660 Odijie, E.M., 2016. For example it has been extremely difficult for US companies to enter UK health market as UK health system is a nationalized system and everything goes through contracts at national level. Looking forward, IMARC Group expects the market to reach US$ 4.1 Billion by 2028, exhibiting a growth rate (CAGR) of 8.8% during 2023-2028. 2. Employment laws and regulations, such as those related to minimum wage, working hours, and health and safety. In doing so, theyre committed to being more transparent about the ingredients. The PESTLE Analysis highlights the different extrinsic scenarios which impact the business of the brand. Then they scorned the dollar. PEST Analysis of Cadbury - Attitude towards Health & Safety The attitude towards health and safety is often reflected in the quality of the products and cost structures of manufacturing processes. Chocolate Hawkins should have capabilities to navigate under this hyper sensitive environment. - Regulatory Practices - The regulatory practices are streamlined with global norms which have helped the country to improve its ease of doing business ranking. Execution of the strategy and building a feedback loop, using which managers at Chocolate Hawkins can fine tune processes and strategies going forward. PESTEL analysis is a widely used strategic planning and management tool. If the legal system is not strong then Chocolate Hawkins can face numerous challenges from consumer petitions to shakedowns from authorities. Which dollar? Available to download is a free sample file of the Chocolate Market report PDF. Experience economy is one of the fastest growing segments both among millennials and among baby-boomers. Business Analysis: Kirkland. Developing strategies that can capitalize on Chocolate Gourmet strengths and help mitigate weaknesses and impact of threats of macro-environment. Managers at Chocolate Gourmet need to examine three inter-related environments in order to come up with an effective strategy. Environmental factors are fast gaining traction not only among consumers but also among regulators and policy makers. 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SWOT and PESTEL Analysis of Nestle - UKEssays.com These factors are Political, Legal, Economic and Social. Some of the political factors are governance system, democracy & institutions, military coup chances, probability of armed conflict, law and order in market etc. This can help Chocolate Hawkins in numerous decisions such as plant location, product development, and pricing strategy. Introduction 2. Macro Environment Analysis: PEST Analysis: Order custom essay Nestle: Macro Environment and Micro Environment Analysis with free plagiarism report GET ORIGINAL PAPER.