INTRODUCTION Around the world, there is one name synonymous with chocolates - Cadbury. Named after its founder John Cadbury in 1824, Cadbury - Headquartered in Cadbury House in the Uxbridge Business Park in Uxbridge, England - began only as a coffee stall producing coffee, tea and drinking chocolate, to a global chocolate and confectionary producing giant it is known today. With only a little over a decade shy of 2 centuries of operation, Cadbury has been in various mergers and acquisitions. This paper examine Cadbury’s performance in society, highlighting both areas of achievement and those requiring improvement. CADBURY’S ACHIEVEMENTS IN FULFILLING NEEDS WITHIN SOCIETY The formal definition os social responsibility is …show more content…
Cadbury Adams Mexico and Cadbury Schweppes Bebidas Mexico - certified as Socially Responsible Companies by the Mexican Philanthropy Centre. Cadbury Wedel - Best Corporate Citizen in the British Polish Chamber of Commerce Company of the Year Awards for activities involving colleagues that benefit the local community. Cadbury Nigeria - Social Enterprise Report & Award for its positive impact on society (Cadbury. Our Achievements, 2009). CADBURY’S ACTIONS AFFECTING SOCIETY 2006 SALMONELLA CONTAMINATION Cadbury Schweppes had a major recall of millions of chocolate bars in the middle of 2006. This was after notifying the Food Standards Agency that the Salmonella bacteria was found in several of their products. The bacteria was leaked into their chocolate crumb mixture which would eventually be turned into milk chocolate. After investigation, Birmingham City council had found that Cadbury Schweppes had knowledge of the leak which led to the contamination in January 2006, which resulted in Cadbury Schweppes prosecution relation to breaching health and safety investigation. Cadbury Schweppes were slapped with a 1 million Sterling pounds fine as the court found that they had already suffered 30 million Sterling Pounds in losses due to the recalls and also for pleading guilty immediately.
Cadbury is a British multinational confectionery company wholly owned by Mondelez International since 2010. It is the second-largest confectionery brand in the world after Wrigley's. Cadbury is internationally headquartered in Uxbridge, West London, and operates in more than 50 countries worldwide. It is famous for its Dairy Milk chocolate, the Creme Egg and Roses selection box, and many other confectionery products. Cadbury was established in Birmingham, England in 1824, by John Cadbury who sold tea, coffee and drinking chocolate. Cadbury developed the business with his brother Benjamin, followed by his sons Richard and George. George developed the Bournville estate, a model village designed to give the company's workers improved living conditions. Dairy Milk chocolate, introduced in 1905, used a higher proportion of milk within the recipe compared with rival products. By 1914, the chocolate was the company's best-selling product. Cadbury, alongside Rowntree's and Fry, were the big three British confectionery manufacturers throughout much of the nineteenth and twentieth centuries.
2. Kraft’s marketing strategy will benefit significantly from buying Cadbury in two different ways. Firstly, when we look at the brand portfolio of Kraft, which is the world’s second biggest food company. It is clear that there are plenty of old-timer cash cows, such as cheese, Nabisco and Suchard, but there are only very few rising stars. According to the Boston Matrix, cash cow means a product with a high share of a slow growth market, which can generate a stable
Tesco. (2016, November). Corporate Responsibility Update, UN Global Compact: Communication on progress. Retrieved from Tescoplc.com:
Moreover, consumers and employees are also demanding chocolate companies to follow good corporate social responsibility practices in addressing the environmental concerns in terms of how to design its packaging, procurement and operational decisions. Human rights concerns are also high in terms of consumer expectations of chocolate companies with respect of forced child labour in West Africa. All of these driving forces - societal concerns, attitudes and change in lifestyles, are strong enough to shape up the competition and impose the constraint on chocolate industry profitability and competitive survival.
Caddbory Chocolates primarily operates and competes in the retail gourmet chocolates and hot drinks store industry. This industry experienced a major slowdown in 2009 due to the economic crisis and changing consumer tastes. Before this, the industry had a decade of growth consistent. Even though to the economic slump and
In addition to its major businesses in Europe, North America and the Far East, it is also well established in India, China, Africa and Eastern Europe. Nestlé are one of Cadburys main competitors as they cover the same countries that Cadburys do and more so they are well known in many countries. Moreover they do other products like cereal, drinks and cakes.
Eventually, the globalization of cocoa beans brought an idea to the minds of two young men in the 1800s. According to an article “The Creation of a Company Culture: Cadburys” by Charles Dellheim, the start of Cadbury wasn’t even chocolate. Instead, John Cadbury, the founder of the company, traded tea and coffee in Birmingham which later grew to become a factory process. However, when his sons George and Richard Cadbury took over, the company was already dwindling and on the verge of collapse when they ingeniously changed the product from tea and coffee to cocoa and chocolate. They also changed the process of cocoa making and utilized the Dutch process to make the chocolate taste better and it resulted in a much higher quality chocolate (Dellheim, 17). Even from the very start, the Cadbury company might not have succeeded without globalization, as it was the Dutch process of chocolate-making that allowed the British firm to really take off in the mid-19th century, with its signature Dairy Milk bar released in 1905. The family-run business gradually expanded over the years throughout England and then built its first overseas factory in Australia in 1919. This was during the modern period when other brand names such as Coca-Cola, Remington, and Campbell started making themselves known on the global market
As a starting point for this assignment, I used the Oxfam report “Walking the Talk, Food and beverage companies slowly start turning policy into practice in Oxfam’s Behind the Brands campaign” (Smith, 2015). After reading the report, I selected Kellogg’s as the large multinational company for which I will answer the questions for one simple reason. According to the Behind the Brands Scorecard, they started from the 9th place in February 2013 and were in the 4th in April 2016 (Oxfam, n.d.), which means that they have identified and corrected some of their practises..
One of the customer also mentioned that people are aware about the services that Haigh`s Chocolate takes part in regarding protection of environment and using the sustainable methods of farming. So through Haigh`s Chocolate customers believe to contribute something into this social act.
This factor can be critically evaluated. Whereas, Apple mainly relies on factors related to technological innovations and development, Cadbury's main focus is on the taste of the chocolate. Thus, Cadbury often faces challenging situations because consumers can deal with the exclusion of technological advancements to some extent but they never compromise in the case of the taste of food. But, most experts agree on the fact that these companies have hardly ever taken or implemented a wrong decision. This is the reason why Apple and Cadbury are the leaders in their respective segments.
Moving on, the great Canadian company also involves in fundraising efforts and social awareness programs through their campaigns such as; their promotion of, “Buy a cookie. Help make a Difference”. This is a unique way of fundraising where proceeds will go to the charities of the local community. Producing these cookies would not cost in high production cost, since the economic worth buying of this cookie maybe considered in the inferior good, but the greater social impact has proven to be effective as raising an annual proceed off $103,320 for kids ability(kidsability, 2010).This shows a great picture of understanding that how socially responsible a company can be.
The average lifespan of family firms is 24 years which is close to average working life of the corporate founder. There are 30 percent of family firms can be transferred to the second generation, and no more than two thirds of them can be transferred to the next generation (MBA lib, 2015). It seems hard to operate the family firms over two generations, because to transmit the firms to the next generation is strenuous. To choose the right successors is uneasy, to run the business properly as successful as the last generation is not easy as well. However, Cadbury is still alive till now. John Cadbury sold tea and cocoa also drinking chocolate and cocoa in a grocer’s shop in 1824 at Birmingham. The little shop became the first step of family firm of Cadbury. Cadbury then worked with his brother Benjamin, followed by his sons Richard and George. George Cadbury and Birmingham architect, George H. Gadd worked together to draw up plans for the factory. In 1893, George Cadbury bought another 120 acres to build houses with the ideals of the embryonic Garden City movement. After two years, 143 cottages were built on the land he had bought which was called as Bournville village. In 1904, George Cadbury developed a milk chocolate bar with more milk and made a huge success. In 1919, Cadbury bought Frys and the company suddenly grew. In 1969, Cadbury merged with Schweppes and developed the
Industry Analysis: Cadbury Schweppes (CS) is comprised of a global confectionery and beverage company. For the purpose of this case we will maintain our focus on the confectionery business and the assessment of adding to their sugar confectionery portfolio. CS is number three in the beverage business but see the opportunity to become the largest confectionery in the world. The categories are chocolates, sugar and chewing gum. At this time Adams is the number two sized in the gum business. This industry operates on “bigger is better in confectionery”. Their strategic discussions and ambitions appear to stay true, in mentality, to this mantra. This mantra could be potentially dangerous to the business. CS had a presence in over 70
Britain really is a nation of chocolate lovers. Among the whole world, UK has the seventh highest consumption of chocolate. A British eats an average 17.49lbs of chocolate per year (The World Atlas of Chocolate, 2011). Switzerland takes the top spot. In Britain, an estimated 660,900 tones of chocolate are eaten per year which is an average of 11kg per person. The UK chocolate industry is worth £3.6billion and sales of chocolate just keep growing and growing. The chocolate industry is a fast growing industry in UK, and the competition among the main brands is getting more and fiercer. For the investors, it is important to know the market share and the share price information of a company. These
The purpose of this literature review is to evaluate the viability of combining business and Corporate Social Responsibility by examining the success and drawbacks of this combination of Ben & Jerry’s as a typical case. Although there is some criticism on Ben & Jerry’s combination of corporate social