Essay on Poverty and Danone

The company that I chose for my final project is the Dannon Company. The Dannon Company was established in the United States in 1942 in New York City. Dannon is a subsidiary of global company Groupe Danone, whose headquarters are in Paris, France. Danone has operations in the United States, France, and Canada and is one of the largest health-focused food companies in the world today. Danone has four major business lines: fresh dairy products, water, early life nutrition and medical nutrition.

This initial setback with dairy products drove Danone to copy in China the alliance strategy used with great success to expand into Italy and Spain in the 1980s. Danone decided to capitalize successful local businesses rather than build its own businesses from scratch, resulting in a strong focus on joint ventures and acquisitions. Unlike most multinationals, Danone gave these acquired local businesses a great deal of autonomy. The joint ventures and acquired firms continued to sell their products under their own brands. Until late 2002, 80 per cent of Danone’s sales in China were under local brands. Furthermore, Danone let the former executives run the businesses and didn’t get involved much in daily operations. In fact, Danone functioned more like a capital investor, linking its joint ventures through capital investment rather than joint products. This expansion strategy in China worked very well. In 2001, Danone had become one of the largest food concerns in China, with $1.2 billion in sales, more than 50 plants and around 25,000 employees.14 Accounting for 9 per cent of Danone’s international sales in 2003, China became Danone’s third largest

Grameen- Danone Foods Limited has embarked alleviating poverty in one of India’s poorest community by supplying yogurt that’s packed with a lot of nutrients and vitamins at a very cheap price. This enables the company’s underlying motive and the rationale behind producing yoghurt for a social cause lie in the irrefutable relationship that exists between poverty and health. Bad health and poverty impacts greatly on human development efforts with children being the first to suffer from diseases caused by dirty water and poor

Poverty in America is severe. One third of our population lives under the poverty line. The poverty line being a family of three or more surviving on $36,000 or less. This transfers to 20.5 million people. Seven million of these people being women with children. 6.7% of our population has an income less than 9,000 for a family of three. These numbers are astounding and they are only on the rise. This means that more families are going without food. This means more children are starving and getting sick and dying. One in four families are going without food. This is a huge problem. Everyone says that poverty is a problem but most people are ignorant to the fact that it is beyond our comprehension how big it is.

According to The History of Danone (2009), Isaac Carasso was inspired by the research of Elie Metchnikof, and in 1919 he began using ferments from the Pasteur Institute to manufacture yogurts to sell on prescription to pharmacies in Barcelona, Spain. Carasso began this work, because he saw an opportunity to help the number of children suffering from intestinal disorders, due the lack of healthy nutrition following the First World War. By 1929, Daniel Carasso, Isaac’s son, continued to grow the company by launching the company Danone in Paris. Business for Danone continued to prosper in Paris until 1941, when Daniel

Natureview Farm (Natureview) needs to increase revenue over 50 % (or $20 Million) before the end of 2001 due to one major investor has to pull out investment. The major product line is refrigerated yogurt included 8 Oz (12 flavors, 86% revenues) and 32 Oz (4 flavors, 14% revenues), the average shelf life is 50 days. Yogurt industry had $1.8 billion markets in 1999; and 97% of sales from Supermarket channels and rest from natural food chains. The market expects to grow to next level. Yogurt is health diary that used by 40% of population and female buys 70% of yogurt. Company’s vision is to provide health and low-cost product to all people while helping channels and retails.

Danone felt that the U.S. was an emerging market for yogurt and hence, Dannon focused its marketing strategy on increasing the yogurt consumption and expanding the category. Dannon had to follow Danone and maintain a strong commitment to CSR. At Danone, local decision making and was trusted and encouraged. Also, Dannon had a responsibility to its parent company and was accountable for a set of deliverables and data for reporting purposes. It believed in collaborative decision making and therefore major strategy

The Dannon Company is a subsidiary of Danone whose heritage dates back to 1919 and founded by Isaac Carasso in Spain. When Carasso immigrated into the United States in 1942, he established Dannon Milk Products, Inc. in New York, changing Danone into “Dannon” to make the name sound more American. Like most startup companies, Dannon faced challenges as a company until several decades after, in 1988, when Dannon capitalized on the advantages of having an FDA approval that they had one of their first most successful product launches. Since

The central pit of this article was to briefly describe the process in which Greek yogurt is made and the leftover asset in which many industries discard, in this case the whey. Based on the information presented, this article is meant to tell its readers about the unwanted whey, which is drained from yogurt and leads us to think from a different perspective of Greek yogurt. I feel that the way industries display Greek yogurt in society shows how they lack common sense and understanding. Not only are industries wasting precious economic opportunities with whey, but also they are oblivious of the fact of how it can be used for a variety of uses that can fulfill many people’s needs with the nourishment that is contained in them. Without it being

The company constrained itself within the already available marketing budget that significantly cut down the cost that could have used to advertise the new company plans, that in turn increased the revenues. The company also succeeds due to the unique flavor that it offered in the yoghurt, which was organic and naturally made unlike the competitors who at time incorporated artificial flavors. Finally the company focused on the target consumer group that comprised of women and children. This helped the company to increase its sales that contributed to its success.

The parent company Danone, as part of its social activity teaches and educates Corporate Social Responsibility initiative across its subsidiary. Internal and external communication program help blend corporate global culture and shapes the best practices in the U.S where Dannon operates. Dannon views U.S market as a growth oriented with per person consumption, which is much less than other part of Europe. Dannon executives identified this opportunity as a high growth area and used its Corporate Social Responsibility programs in its communication with customers. According to Arevalo, & Fallon (2008), corporate citizenship initiative is to embrace, support, and carryout values in the areas of human development and environment within the business

American factories can comprise of about up to 1000 workers. If American factories are shut down and moved to other countries, this takes many American people out of work. Companies are now also importing jobs. This is where employers hire people such as immigrants to work less than minimum wage. For that reason, many Americans are stuck with the other minimum wage, and low-paying jobs that barely get them through life. Because of this, many Americans are working full time jobs that are below the Federal poverty line. These types of people are often called the “working poor”. Due to this the working poor have to run to welfare. This affects all Americans because taxpayers are the ones paying for welfare. The more jobs that are taken

Poverty and inequality exist in every developed culture and often are only patched in order for society to continue upwardly. Poverty and inequality in the United States exists for many reasons; reasons that very from the prospective lens. Interpretive theories in particular ask us to question our reality and its constructs. Interpretive theories require us to looks at the world as a social realm, one that we created and constantly change. Interpretive theories study the relationship between power and the construction of social roles as well as the invisible collection of patterns and habits that make up domination, (Delgado & Stefanic, 2001). Susan Kemp argues that the view of the world is dominated by the experiences of white western

Meanwhile, Danone pay attention on organization sustainability and Danone has a flexible and reliable supply chain is key to ensure resource fluidity. On the other hand, agility generated few threats for Danone, the availability of raw material and price instability can pose significant threat to an organization’s agility. In addition, Danone is operating in highly competitive market, which involves large international food producers, and Danone’s growth and activities are highly depending on the economic condition of its major operating markets. In the end, strategic and operational recommendations are provided in this paper, Danone should expand its business presence in emerging nations and develop new markets, and Danone should invest more on research and development, enhance the channel of directly communicating with customers, in order to improve the brand

In fact, after a deep analysis of the internal and external competencies of DANONE and macro business environment of the industry, we have noticed that DANONE has been associated with the strong level support from the own resources and capabilities which are the driving mechanism to push the company toward to reaching goal and target that are proposed by stakeholder.