Classroom Presentation for Business policies & Strategic Management. A Case Analysis.
About Kraft… Largest food company in North America – An American Icon. Portfolio comprises of 61 brands. Sales worth $100 million in the last financial year. Acquired Nabisco Group holding Corp. Has a strong market in western Europe. Plans for an IPO in the mid June.
Other Given Facts Faint presence in most international markets. The only foreign market of Kraft, i.e. Western Europe seems as saturated as the US Domestic market. The company is quite keen to grow & make its presence felt in the international markets.
STRENGTHS Very Prominent in US Grocery Market
WEAKNESSES Dipping sales Limited product line
Strong hold on Western Europe Innovation has been the key to its success
Late entry in other emerging markets Faint international presence
61 Brand holdings. OPPORTUNITIES
& THREATS
Plans to diversify.
Global players like UL & Nestlé
Acquisition on cards.
Competition in domestic markets
Breaking into markets which are emerging.
Investor’s lack of confidence in the Co. Low sales in foreign markets
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PORTER MODEL
The
Alternatives…
New product line in the portfolio. Target existing market with a more aggressive marketing mix. New Products. Diversification.
Recommendations & Implementation Should go for Diversification Should try to move to new & emerging economies Offer new & customized products to them acc. to their culture. Should develop an aggressive marketing strategy to combat the existence of Cos. Like Nestle` & Unilever esp. in terms of pricing.
Thanking you… Avinash Tripathi
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74 Bhaskar Makwani
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Kumar Saket
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Kunal 15
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