Between the Graham Crackers and the Marshmallow The Hershey Company is the largest manufacture of chocolate and candy in the United States. The Hershey Company produces and sells a wide variety of sweets, including gluten-free and sugar-free sweets (The Hershey Company). Some famous brands produce by The Hershey Company include, Hershey, Reese’s, York, Kit-Kat, Ice Breakers, Twizzlers, Almond Joy, and Mounds (The Hershey Company). Milton Hershey changed the candy making industry by turning his caramel business into a chocolate industry, caring enough to influence his company to help organizations and individuals, and by remaining successful for over a hundred years. Before Milton Hershey had a world wide known chocolate business, he had a small, not so well known caramel business.
Mondelez International Inc. is a global snacking powerhouse with 2012 revenue of $35billion. ("Mondelez international reports," 2013) Mondelez International Inc. is selling its products in 165 countries, and it is a leader in the world in selling candy, coffee, chocolate, biscuits, etc, with brands such as Milka Chocolate, Cadbury Dairy Milk, Cadbury, LU, Jacobs coffee, Oreo biscuits and Nabisco, Trident Gum and Tang. ("Mondelez international reports," 2013) In the second quarter of 2013, Net Revenues were $8.6billions (increased by 0.8%). ("Mondelez international reports," 2013) Organic Net Revenues increased by 3.8%, they were leaded by strong/ volume mix of 3.6% points as well as favorable pricing of 0.2% points. ("Mondelez international reports," 2013) Power Brands are growing continually by up of 7.9%, and Milka is posting double-digit increase.
4. Situational Analyses 4.1 Market analysis 4.1.1 Market Size Every year 120 million chocolate bars are sold in New Zealand with about 60 million of these produced by Cadbury and 40 million produced by Whittaker’s. (Margolin, 2014). The New Zealand chocolate market size equates to approximately $490 million dollars annually, with the average New Zealander consuming 4kg of chocolate confectionery ever... ... middle of paper ... ...y chocolate, premium chocolate and seasonal chocolate. (Morkel, 2014) 4.2 Competitor analysis In New Zealand and around the world, the confectionery market is highly competitive.
Nestle is the world's biggest food manufacturer, with well over 500 factories in 85 countries, and a portfolio that ranges from baby foods to pet care, from chocolate to mineral water. Its world-famous brands include Nescafe and Perrier, among many others. The group also owns a large shareholding in cosmetics company L'Oreal. As with other food companies, recent years have seen a greater concentration on a focused food and beverage business, its most successful line is its confectionery section. Nestle Rowntree is the UK's #3 confectionery company (after Cadbury, and now behind Mars).
The worldwide product lines include several hundred brands that have been estimated to produce nearly $108 billion in cumulative annual retail sales. To be designated as a food and beverage industry main brand PepsiCo had to reach annual sales of over $1 billion which it achieved in 2009. PepsiCo has a significant presence in Mexico through its acquisition of the Gamesa cookie company and the Sabritas snack company. The corporation has a division in Europe that includes all operations in Europe and South Africa. PepsiCo also has a Middle East and Africa division that includes all operations in Asia, the Middle East, and Africa.
3) Nestle India Market Capitalization: Rs.49,856.7 Crore Nestle is headquartered in Gurgaon, India and is known for its wide variety of milk and milk products. It also has a strong presence in chocolates and confectionary items, beverages and ready to eat foods. Nestle has a variety of brands like Munch, KitKat, Maggi, Nescafe, Everyday etc and its products are sold in more than 3.5 million outlets across the country. OPPURTUNITIES FOR NEW PLAYERS: • Changing lifestyle and urbanization will lead to more demand for domestic
Introduction Kit Kat is one of the most famous chocolate in the world with 150 chocolate consumed per second globally. (Nestle 2013 March 18, 2013). In this report, the following topics of the product will be discussed includes the product information, development of countries, location factors of manufacturers and sources, stakeholders and how they are affected by the product, alternatives, decisions on the consequences and also a map displaying the countries of manufacturers and sources. 1. Product information Kit Kat is brand of chocolate owned by Nestle which is one of the biggest Multinational Corporation in the world.
The fact that Japan’s economy has been suffering from a recession for the last five years has not had much bearing on Hershey and Nestlé chocolates wanting to break into the Japanese market. Japan is no longer the third-largest economy in the world; Japan’s economic woes began in 2008 (Irwin, 2013). To break into the Japanese market these companies must understand the government and economic climate of Japan, while being aware of the taste and culture of the Japanese people. The Chocolate and Cocoa Association of Japan (CCAJ) reported in 2009 that Japan is the largest buyer of chocolate in Asia. “Japan produced 196,553 tons of chocolate with a manufacturer’s value of $38 million.
While chocolate industry flourishes under international demand, the situation in Côte d’Ivoire in particular illustrates dependency theory and highlights the need for the promotion of Fair Trade. Chocolate has had a considerable impact on the country’s economic structure and labor practices. During Valentine’s week alone, millions of pounds of chocolate candies alone are sold (“Who consumes the most chocolate,” 2012, para 8). This naturally creates a demand for product, which in turns causes a need for ingredients. The main component in chocolate, of course, is cocoa.
And demand for chocolate is going up, as a growing number of consumers in countries like China and India have more disposable income. The price of cocoa surged 13% in 2015 even as prices for most raw materials were dropping. Meanwhile the average farmer in each country still lives well below the international poverty line. (Fortune Investigation, Brian O'Keefe, march, 2016). It is notoriously hard to get accurate figures on trafficking.