Business Avce Unit 5: Cadbury Case Study

4408 Words Mar 1st, 2005 18 Pages
Introduction

The person, who created the Cadbury business, is John Cadbury in 1824. The business started as a shop in a fashionable place in Birmingham. It sold things such as tea and coffee, mustard and a new sideline - cocoa and drinking chocolate, which John Cadbury prepared himself using a mortar and pestle. In 1847 the Cadbury business became a partnership. This is because John Cadbury took his brother, which also made it a family business. The business was now known as The Cadbury Brothers. A factory in Birmingham was rented, to produce their products. In 1854 the company received its first Royal Warrant as 'manufacturers of cocoa and chocolate to Queen Victoria '. In 1856 John Cadbury 's son Richard joined the company, followed
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This gives opportunities to competitors to get information about Cadbury. For example if Cadbury makes a loss, investors (competitors) will know about it and use it to their advantage.
¨ It 's a complicated business. Cadbury is a large business it has many different departments for different jobs, all these departments have to work together. Information passes between departments can be confusing.
¨ Cadbury has many assets, which contain many capitals, which are very costly to use.
¨ Since Cadbury is a large business, formatting and running, its costs can be expensive
¨ Since Cadbury is a plc, Heavy penalties are imposed if "rules" are broken.

Objectives

Public limited companies like Cadbury will have objectives such as: v Maximise profit v To be the number one product in a given market v To maximise sales v To grow v To operate in a wide range of markets v To give satisfaction to customers v Have a good reputation v To provide the freedom for workers to express them selves and suggest ideas to help the business v Achieve best possible financial return on capital v Boost or maintain share market values

These objectives will ensure Cadburys success as a business. From the statistics I have, it shows that Cadbury is a very successful business.
Statistics from 1994 to 1998.
The statistics from the financial overview show the finance has just been increasing positively.
They have satisfied

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