For the SWOT Analysis we have the Strengths and Weaknesses of the company and the Opportunities and Threats that the company might face in the new Market of Morocco.
We acknowledge as strengths the high in quality products that Ferrero produces and more specific Nutella and also the worldwide awareness the Ferrero Brand causes. With these main factors Ferrero can depend on for its expansion among the globe and be able to attract more and more customers every day, every hour. People just by hearing the name Ferrero or Nutella will be always more keen to buy a product from this company than from another more infamous one. Furthermore the packaging of the product by itself can promote it and have an instant customer…show more content… PESTEL ANALYSIS
Our pestel analysis is concentrated on the country of Morocco and how the different aspects of this country will facilitate or complicate Ferrero's entry there with Nutella.
Morocco is a country of almost 34 million citizens and has around 10 million tourists from around the world visiting it annually. This makes it a considerable market for a company to enter.
First of all, for the Political factor we must mention that Morocco is a Constitutional monarchy with an elected parliament. It has a stable government for more than 20 years and in contrary with other African countries does not suffer from riots or civil wars which is very appealing for foreign companies if they want to introduce themselves to the African markets.
To continue with the Economic factors, we must say that despite the Financial Crisis, Morocco has a growing GDP with an average of 4.15% for the past four years and 3.7% for 2012. Its currency is the Moroccan Dirham and has a very uneven exchange rate with the EURO and USD. The prices of the commodities are very low in comparison with other EU countries which the foreign countries must deal with. The disposable income is €6090.43 and its annual growth for 2012 is 32.4% and this is a very fortunate thing for the companies to consider and maybe invest to that market. We should not forget to mention also the purchasing power index is 28.14%.
Moving on the