pestle analysis chocolate industrypestle analysis chocolate industry

Traceability: Technology such as barcoding, RFID (radio frequency identification), and blockchain are being used to enhance traceability of the chocolate supply chain, from cocoa bean to finished product. Taxation: Changes in tax policies, such as changes in VAT or sugar taxes, can affect the prices of chocolate products and consumer demand. . The company was founded in 1924 and has gained much popularity now. - Data Protection Laws Chocolate Gourmet needs to assess what are the data laws in the country and what it needs to do to comply with them. - Environmental Standards and Regulations both at National & Local Levels Often the environment policy at national and local level can be different. Hi, We can write an analysis or assignment on any topic of your choice, PESTLE Analysis of Chocolate Industry in Uk. But its still a business at the end of the day; higher returns are most important for its survival. Some of the economic factors that affect the chocolate industry in the UK include: Consumer demand: Changes in consumer preferences and tastes can affect the demand for chocolate products, which can impact the industrys profitability. It will help Chocolate Gourmet in both developing environmentally friendly products and thwarting PR stumble blocks. 3. Definition of PESTEL / PEST / STEP Analysis. Some of the political factors are governance system, democracy & institutions, military coup chances, probability of armed conflict, law and order in market etc. 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. Government policies: Taxation, trade policies, and regulations can impact the cost of production and distribution of chocolate products, affecting the profitability of the industry. Chocolate Hawkins should carefully analyze the attitude towards authority before launching a marketing campaign for its products and services. Analyze Strengths and Weaknesses of Chocolate Hawkins. KitKat PESTLE Analysis examines the various external factors like political, economic, social, technological (PEST) which impacts its business along with legal & environmental factors. Cost Based Pricing could be a bad strategy under such conditions. Managers at Chocolate Gourmet need to examine three inter-related environments in order to come up with an effective strategy. - 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. PESTLE analysis of chocolate industry in JAPAN. PEST or PESTLE analysis is used to identify important external (macro-environment level) forces that could affect a company, creating opportunities or threats for the organization. Hence, Cadbury and its range of products are now owned by the American confectionary giant. Chocolate Hawkins has to assess whether it can live with the fast pace of technology disruption in its industry. By 2008, the company had expanded its operations into four countries and Digital Chocolate was one of the top developers of soloplayer games for standard mobile phones and iPhones. - Securities Law What are the securities law in the country and what are the conditions to list the company on national or regional stock exchange. The next element to address in the PESTEL analysis of Switzerland is the economic environment. It is also imperative to use technology to create competitive advantage in the industry. Cadbury 11. And even before that in 2007, Cadbury Schweppes decided to outsource a major portion of its accounting and HR to an Indian firm in the face of increasing operational expenses and reducing margins. Required fields are marked *. Social factors such as demography trends, power structure in the society, women participation in workforce etc have immense impact over not only the country's economy but also on workforce talent availability and level of consumer demand. Economic factors of a country and region have a direct impact on the potential attractiveness of a given market. Political environment and other factors not only impact the cost of doing business but also long term sustainability. Mars Incorporated. 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. Out of which, her per capita income was 50,844 US dollars and it's 10th highest in the world. Called consumer trips by the company, buying in stores went down by 2 percent that year. - Integration of Technology into Society & Business Processes Uber failed in China because it tried to enter before smartphone were widespread in China. Mass-market chocolatiers were defined as those selling chocolate at less than $10 per pound retail, whereas gourmet chocolatiers were defined as those selling chocolate at or more than $10 per pound retail. Legal factors often govern conditions to enter the market, laws to operate in the market, and procedure to resolve any dispute with other stakeholders. In doing so, theyre committed to being more transparent about the ingredients. Chocolate industry Presentation 1. The alcoholic beverage segment accounted for the largest share of the market in 2020, with beer being the most consumed alcoholic beverage worldwide. Macro Environment Analysis: PEST Analysis: Order custom essay Nestle: Macro Environment and Micro Environment Analysis with free plagiarism report GET ORIGINAL PAPER. INTRODUCTION * Indian chocolates industry is growing at a rapidly18-20% per annum. PESTEL analysis is mainly the assessment of macro environment factors. The Industrial Organization (I/O) approach advocates that for sustainable competitive advantage external factors are as important as internal factors of the Chocolate Gourmet. It can enable Chocolate Hawkins to hire skilled workforce at competitive salaries. SWOT analysis of Amul Chocolates. Factors that should be consider while launching a new product i.e Political, Economic, Sociological, Technological, Legal and Environmental and the questions we should take under Consideration Add if theyre not, then poor sales are obviously their fault right? According to Michael Porter organizational performance is to large extend determined by various industry forces. - Intellectual Property Rights Protection Chocolate Hawkins should assess the level of protection that intellectual property rights get under the legal system of the country. They include political policies and stability as well as trade, taxation and fiscal policies ". - Corporate Social Responsibilities Culture Are Chocolate Hawkins present CSR efforts applicable in the new market or does it needs to have new initiative to cater to the prospective market. - Corporate Social Responsibilities Culture Are Chocolate Gourmet present CSR efforts applicable in the new market or does it needs to have new initiative to cater to the prospective market. With so many chocolate options and new additions for 2018, Mr. Buck seemed confident in the variety they offered, as well as the new marketing campaigns launched for the products. In highly hierarchical societies the power of decision making often reside at the top. S - Social. At EMBA PRO, 1. Thus significantly impacting the ability of Chocolate Hawkins to build sustainable competitive advantage - Consumer Protection Laws Chocolate Hawkins needs to know what are the consumer laws, what is the rate of enforcement, what is the attitude of authorities towards consumer protection laws, and what is the role activist groups in enforcement of consumer protection laws. PESTEL analysis is mainly the assessment of macro environment factors. This means less error in product development and packaging, possibly saving the company millions in expenses and product waste. - Securities Law What are the securities law in the country and what are the conditions to list the company on national or regional stock exchange. In practice, analyses based on the PESTEL model are used in conjunction with studies on the micro-environment as part of the overall . In 2011, it is seen that major chocolate . Chocolate ingredients are more expensive. 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. PESTEL analysis is mainly the assessment of macro environment factors. Since then, the PESTLE analysis has become a popular strategic tool to assess the macro environment of organisations . Research Methodology 4. It factors in temperature, rotations, pressure, and other necessary measurements to make the perfect candy. The Company has various popular products in the Petcare as well as in the chocolate category for example; in the Petcare industry Pedigree, Royal Canin, Whiskas etc. As an experiment, the company used a kiosk powered by Affectivas technology to encourage consumers to smile into the machine for a free sample. The American, Brazilian and Chinese dollars. In 2008, the Schweppes brand was sold to the Dr Pepper Group, and in 2010, Cadbury was acquired by Kraft foods in the US. A SWOT analysis is a tool used to evaluate the strengths, weaknesses, opportunities, and threats of a business or product. - Consumer Disposable Income The household income of the country has increased constantly in the last decade and half, compare to the USA market where household income is still below 2007 levels and not increased in real terms since early 1980s. - Political Governance System Based on the information provided in the Digital Chocolate case study, it seems that the country have a stable political system. For launching a new product we use PESTLE or SWOT strategies and let us Consider that we are launching a new chocolate product . Brazil Chocolate Market Analysis. - Intellectual Property Rights and Patents Protection Before entering new market Chocolate Hawkins should focus on the environment for intellectual property rights. For example, Value-added Tax rose by 2.5% in 2010 and increased chocolate prices and reduced sales. 5. Employment laws and regulations, such as those related to minimum wage, working hours, and health and safety. - Mobile Phone & Internet Penetration Chocolate Gourmet should assess the level of internet and mobile phone penetration in the country as it will it in building a requisite business model based on local needs and realities. The gender composition of labor market is a good indicator of disposal income of household, priorities of the households, and related needs. The Industrial Organization (I/O) approach advocates that for sustainable competitive advantage external factors are as important as internal factors of the Chocolate Hawkins. - Employment Laws What are the employment laws in the country and are they consistent with the business model of Chocolate Hawkins. Chapters Research Methodology Study of Global Market Study of Indian Market Product Profile Demand Determination of Chocolate Industry Distribution channel in chocolate industry Key issues & current trends PEST analysis Michel Porter's Five Force Model Other Portfolio Model Financial Analysis Opportunity . Cadbury is identical with the consumption of chocolate on a universal basis. Some of the political factors are governance system, democracy & institutions, military coup chances, probability of armed conflict, law and order in market etc. Market Overview 2023-2028: The India chocolate market size reached US$ 2.4 Billion in 2022. It is important to note that the Chocolate Confections Corporation PESTEL Analysis will be market specific, and the implications of the factors change for a company when the market . Economic Status. The A.I transmits data to the cloud. One way to start is by closely mapping the changes in consumer buying behavior and emerging value proposition. L - Legal. Feb 20, 2023 (The Expresswire) -- "Liqueur Chocolate Market" new research report for [2023] provides a comprehensive overview, including market size, share, growth rate, PESTEL analysis, SWOT . Know More Amul Chocolates also . Switzerland is one of the largest economies in the world. However, the stringent restrictions on the entry of skilled workers from rest of Europe can affect Cadburys hiring decisions in the future. - Foreign Exchange Rate Number of companies have incurred losses in past few years because of forex risk in Venezuela, Brazil, and Argentina. - Business Laws Before entering into new market Chocolate Hawkins has to assess what are the business laws and how they are different from home market. According to Jose Lopez, Nestle's Vice . All of this is rudimentary and basic, but playing the blame game doesnt leave a savory taste in consumers mouths. - Price Fluctuations in both Local and International Markets Compare to the level of quantitative easing in last decade the prices of Chocolate Gourmet products and prices of overall products have remained sticky in the US market. Mostly the unusual macroeconomic winds and generic challenges caused sales problems. In this essay, we will conduct a PESTEL analysis of the chocolate industry in the UK to identify the key external factors that could affect its future prospects. Environmental regulations, such as those related to waste disposal and sustainable sourcing of cocoa and other ingredients. Intellectual property laws, such as those related to trademarks and patents for unique chocolate products or manufacturing processes. Which dollar? Although the African government created an audit system to monitor child labor, its not easy to prosecute offenders offenders like the Hershey Company. Online sales: The growth of e-commerce and online sales has encouraged many chocolate manufacturers in the UK to invest in online sales channels and digital marketing strategies. 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. - Research and Development Investment Levels If there is high level of investment in technology development sector then there are high chances of building a self sustaining ecosystem that drives innovation. The conditions of a country affect the businesses within it, and PESTLE analysis helps these businesses understand the possible effects . This lack of clarity and responsibility highlights the company's failure to take action despite having all the resources and power to reduce child labour. 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. There is consistency in both policy making and implementations of those policies. - Societal Norms and Hierarchy What sort of hierarchy and norms are acceptable in society also influence the types and level of consumption in a society. A PESTEL analysis is used as a strategic tool to measure industry dynamics through recognition of the core political, economic, social, technological, legal and environmental forces/changes having influence on the industry (Henry, 2007, p.23). - Empowerment of Supply Chain Partners Chocolate Gourmet should analyze areas where technology can empower supply chain partners. Since then, chocolate and Cadbury have been part of the same sentence. Here are 7 professional tips that can, Our General Mills SWOT Analysis examines internal and external factors that impact the company's operations, What is root cause analysis, the goal, and why is it important? PESTLE analysis. But on the flip side it does increases both time and cost of doing business and getting certifications and clearances. Technology is fast disrupting business models across various industries. But this strategy entails risks when interest rate will go up. - 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. Even though the global economic downturn did affect Cadburys expansion plans (owing to a reduction in disposable income of customers and other stakeholders), sales actually remained quiet steady. The Chocolate Confections Corporation PESTEL Analysis will look at the external factors - political, economic, social, technological, environmental, and legal. - Role Local Governments Play Local governments are highly influential in the policy making process and implementation as most of the policies and regulations are implemented by the local government as enforcement agencies mostly report to local government in their own states regarding various laws. 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. 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. Chocolate Industry Contents Titles 1. Developing strategies that can capitalize on Chocolate Hawkins strengths and help mitigate weaknesses and impact of threats of macro-environment. - Laws regarding Monopoly and Restrictive Trade Practices As a new player Chocolate Gourmet shouldnt be worried about the monopoly and restrictive trade practices law.

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