The Real Chocolate company Assignment Example | Topics and Well Written Essays - 3000 words

The Real Chocolate company - Assignment Example The company strategically positions its retail stores in tourist environments, regional malls, airports and entertainment oriented sites where it mainly targets outgoing people. Apart from a choice of about 300 chocolates, the company also offers an assortment of other confectionary products. However, its major challenge it is facing is the growing competition from other chocolatiers in the industry. Usually, unfavourable elements within a business environment often threaten its viability and can lead to failure in some cases hence require concerted efforts to counter them. In this particular case, competition from other rival competitors is the major threat to the Real Chocolate Company. According to statistics by the National Chocolate Association, gourmet chocolates in particular account for about 10% of the chocolate industry and there are about 15 competitors in the industry. The major competitors of Real Chocolate Company are Godiva chocolatier with annual sales of five million, Russell Stover as well as See's Candies with an annual sales of five million. Stiff competition can often lead to saturation of markets which would also negatively affect the sales as a result of monotony likely to be created as a result of lack of choice emanating from flooding of the markets. Only very innovative companies stand better chances of winning the hearts of their trusted customers in s uch a scenario which is regarded as a major threat to the operations of a company's business. If the situation is not properly managed, a company can be easily kicked out of business through the loss of customers to competitors. The chocolate and confectionary industry must comply with numerous regulations that cover health, education, sanitary and franchise operations especially with regards to registration and privacy. Things such as labelling must comply with the Nutrition and Labelling Education Act of 1990. Whilst the laws are promulgated to protect the interests of the citizens, in some instances the provisions of some sections of the legislation may be a bit heavy especially on Small Scale Enterprises (SMEs) whose budgets may prohibit full compliance with some of the regulations. Such pieces of legislation often threaten the viability of small scale companies that are still trying to establish themselves in the market. For instance, the prescribed packaging for chocolates can be costly to companies still in their infancy hence it's a threat that needs to be given due consideration. Unfavourable climatic conditions can also negatively affect the chocolate industry in many ways. For example, adverse climatic conditions in areas where the crop which provides the basic ingredient in chocolate production is grown, can lead to negative growth in the chocolate industry. The cocoa bean is the main fruit used hence an outbreak of a disease in the areas where it is produced would mean a slump in production of chocolate. The world is also face with unprecedented climatic changes brought about by global warming. In the event that extreme weather conditions occur, production of cocoa is also likely to be negatively affected which translate into a decline in chocolate production. Natural environmental conditions are uncontrollable in most cases and their effects should not be undermined. Opportunities The Real Chocolate Company is also exposed to certain opportunities which can lead to growth of business. In this case, these include the use of franchise

Management Essay Example | Topics and Well Written Essays - 1500 words - 16

Management - Essay Example e world has changed and in the 21st century corporate responsibility and sustainable business practices are important elements that should be an integral part of a company’s strategy. This paper analyzes and studies business sustainability in order to determine if the subject should be included in future business textbooks as an important business discipline that students should educate themselves on. Sustainability are the policies and processes which enhance the financial, environmental, societal, human and other resources on which the company depends for its long-term health (Economic Intelligence Unit). It involves a major commitment from a company in order to satisfy the needs of its internal and external stakeholders as well as placing a high level of importance in mother earth. The practice can not be applied through a single linear approach, since in order for sustainability in the business world to be effective a company must apply an integrated approach throughout the enterprise. The globalization movement made companies around the world located in different location and societies realized that the actions of companies affect the global economy. Since the turn of the century companies have made sustainability a priority. Executive are utilizing a strategic approach called corporate responsibility in order to attend the sustainability issue. Corporate responsibility is the continuing commitment by businesses to behave ethically and contribute to the economic development while improving the quality of life behind the workforce (Corporate-responsibility). Sustainability can help companies increase their profitability and shareholders value. The principles of sustainability state that the long term results are more important than short term gains. An example of how the principle of sustainability affects the corporate the case of Nike apparel. Nike Corporation in the late 1990’s incurred in unethical human labor practices in developing nation by