Essays on Strategic Management and External Environment for Kraft Food Assignment

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The paper "Strategic Management and External Environment for Kraft Food" is an outstanding example of an assignment on marketing. Economic High commodity and input cost (page 357) Increase in income level due to both the member being wage earner (page 358) Slow growth in traditional grocery stores by 3% (page 359) Grocery sale was estimated to be $ 103.2 billion in 2003 (page 359) Socio-cultural Slow to change to the changing consumer demand as can be seen from increased consumer concern towards extra cholesterol made competitors move ahead (page 357) The increasing trend towards meals that were easy to serve and prepare because of the following (page 358) Increase in woman workforce to 46.4% in 2004 as compared to 34% in 1964 Increase in families of two was both were wage earner (page 358) Increase in Single working parent (page 358) Political Strong government legislation in regard to food adulteration and inspection (page 357) Strong government agricultural programs that affected commodities used as inputs (page 357) Demographic Increase concern towards health and hygiene (page 358) 54 million Americans were on a diet at any given time (page 358) 32 million Americans were altering their consumption behavior due to health issues Increase in health and wellness consumer base from 1% in 1990 to 5% (page 358) Aging population (page 358) 20 million American followed low carbon and high protein diet (page 358) 27% of the population preferred low carbohydrate compared to 20% a year ago (page 358) Change in the minority and non-Hispanic White population (page 358) The Hispanic population is 18% of the population (page 358) Having a population of 37 million which will reach 44 million by 2010 Increase in Asian American Population Will reach 14.6 million in 2010 and double by 2015 (page 358) Global Availability of product in 145 countries highlights global availability (page 353) Presence of different producers and opening of economies makes organization have a global effect Technological Matching technology advancement as can be seen from the fact that color advertising was used as it was launched.

(page 353) Increased media attention towards obesity and health-related issues (page 358) Increased use of a different form of advertising like billboards and elevated trains (page 354) Porter Five Force The porter five force model has been provided below Bargaining power of customer Low bargaining power of customer due to huge brand portfolio possessed by the company (page 354) Increase in health-conscious customers with fewer products reducing their bargaining power (page 358) Bargaining Power of Suppliers High bargaining power for a supplier as huge size due to consolidation provides better purchasing power for the company (page 354) Presence of many small manufacturers dealing with the local provides low bargaining power to those Availability of substitutes Availability if different products from different manufacturers provided an opportunity to use different product Low availability of health-conscious products

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