Fyffes Strategy

3178 WordsMay 1, 201213 Pages
Strategic Management- Second Assessment Mr Paul Goodwin 20 March 2012 Completed by: Lara Ciora David Hegarty Alan Kenny Daniel O’Byrne Michael Ryan Jingbo Wang Lili Zhu The company’s overall Strategy Fyffes follows a low cost strategy, but what does a low cost strategy mean for Fyffes? The market size for tropical fruit is really large, bananas being the fifth most important agricultural commodity in world trade after cereals, sugar, coffee and cocoa. Six countries (India, Brazil, Ecuador, Philippines, China and Indonesia) account for 55% of total world production. Bananas and pineapples are common fruits, on average 10 kg of bananas are consumed by each of the 350 million EU citizens; therefore it is not really possible for companies…show more content…
Increase the degree of concentration of the Group's management. * Personnel selection of organizational strategy adjustment. First, the ability of key figure should meet the requirements of strategy. Second, use incumbent managers to implement the new strategy. Third, through introduce talents to implement the new strategy. Last, implement incentive to key figures. * In order to save time and make the delivery more efficiently, Fyffes took a step to solve one of the largest difficulties in transporting bananas and preventing them from ripening during the voyage itself. A breakthrough in the banana industry came when it was discovered that maintaining bananas below a certain temperature inhibited the ripening process. * According to research published today by the cost, purchase and supplier management company, organisations should focus on improving relationships with suppliers, look to encourage a cost conscious culture amongst SBUs and benchmark performance to ensure competitiveness. Acquisitions (EU and Other) * As the BCG map shows, EU and Other market business have a fast growth rate, but market share is lower. They can use acquisition to solve this problem. Acquisition is the fastest form of growing a market share; it also can gain the resources or competence from the initial company, such as the equipment, market share and distributors. Growth through acquisition is quicker, cheaper, and far less risky. Furthermore, acquisition offers

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