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PHANEENDRA KUMAR (1225111210)
Company profile
• Started in 1824
• By John Cadbury
• In Birmingham, England
• Headquarters : UK
• By 1842, John was selling 11 kinds of cocoa and 16 kinds of drinking
chocolates.
• By 1864, George and Richard, sons of John continued to expand the
product line.
• Cadbury manufactured its milk chocolate in 1897
• 1920’s The Cadbury script logo is first used.
• Today Cadbury is the largest confectionary company in the world.
• The company was known as Cadbury Schweppes plc from 1969–2008 until
its demerge
• On 19 January 2010, it was announced that Cadbury and Kraft Foods had
reached a deal and that Kraft would purchase Cadbury valuing Cadbury at
£11.5bn
• Cadbury India is a fully owned subsidy of Kraft Foods Inc.
The combination of Kraft Foods and Cadbury creates a global
powerhouse in snacks, confectionery and quick meals.
• With annual revenues of approximately $50 billion, the
combined company is the world's second largest food
company, making delicious products for billions of consumers
in more than 160 countries. We employ approximately 140,000
people and have operations in more than 70 countries.
• Our core purpose "make today delicious" captures the spirit of
what we are trying to achieve as a business. We make delicious
foods you can feel good about. Whether watching your weight
or preparing to celebrate, grabbing a quick bite or sitting down
to family night, we pour our hearts into creating foods that are
wholesome and delicious.
Mission
"Cadbury’s mission statement says simply: ‘Cadbury means quality’; this is
our promise. Our reputation is built upon quality; our commitment to
continuous improvement will ensure that our promise is delivered’
Vision
The Barrow Cadbury Trust’s vision is of a peaceful, equitable society, free
from discrimination and based on the principle of social justice for all.
Objective
• to make lots of chocolate.
• improve the quality of their chocolate.
• To Survive in the market.
• Have loads of stores worldwide
CHOCOLATE BAR MADE BY CADBURY.
BORN IN YEAR 1905. BOURNVILLE, U.K
• In India, Cadbury began its operations in 1948 by
importing chocolates. After over 60 years of
existence, it today has six company-owned
manufacturing facilities at Thane, Induri (Pune) and
Malanpur (Gwalior), Bangalore and Baddi (Himachal
Pradesh) Hyderabad and 4 sales offices (New Delhi,
Mumbai, Kolkata and Chennai). The corporate office
is in Mumbai.
Popular Brands in INDIA
C
h
o
c
o
l
a
t
e
s
S
n
a
c
k
s
Beverages
CANDy’s
G
U
M
S
Industry Analysis
• Chocolate consumption in India is extremely low.
• Cadbury dominates the chocolate market with about 70%
market share.
• Nestle has emerged as a significant competitor with about
20% market share.
• Leading national players are Parry's, Ravalgaon, Candico and
Nutrient.
• Indian chocolate market grew at the rate of 10% pa in 70's and
80's, driven mainly by the children
• segment.
• In the late 80's, when the market started stagnating, Cadbury
repositioned its Dairy
• Milk to any time product rather than an occasional luxury. Its
advertisement focused on
• adults rather than children.
• Cadbury had a market share of over 80 percent, but its party
was spoiled when Nestle appeared on the scene.
Five company-owned manufacturing
facilities:
Thane
Induri (Pune)
Malanpur (Gwalior)
Bangalore
Baddi (Himachal Pradesh)
Corporate/Head office:
Mumbai
Chocolate consumption And
Share in India
•
70%
20%
5%
5%
share
cadbury Nestle amul others
MANAGEMENT TEAM
• CEO
• Todd Stitzer
• CHAIRMAN OF THE BOARD
• Roger Carr
• DIRECTORS
• Raymond Viault, Ellen Marram ,
• Sanjiv Ahuja Guy Elliott, Chris Patten,
• Colin Day, Wolfgang Berndt, Baroness Hogg
• CFO
• Andrew Bonfield
PEST Analysis
P – Political
Political decisions can affect Cadbury’s, these can be either
advantages or disadvantages
E – Economical
There is no doubt that the Cadbury is making a big
contribution in the economies of India as well as in their own
country.
S – Social
Cadbury India has a tradition of caring for the environment and
enriching the quality of lives of the communities we live and work
in, through a variety of result-oriented programs
Various steps taken by Cadbury India are:
• MIGRATORY BIRDS STOP OVER AT OUR BANGALORE
FACTORY
• PIONEERING COCOA CULTIVATION IN INDIA
T – Technological
• New machinery
• Maintenance
• Cost of Equipment
PORTER’s FIVE FORCE MODEL
BARGAINING
POWER OF
SUPPLIERS
BARGAINING
POWER OF
BUYERS
INDUSTRY
COMPETITOR
S (Rivalry
among existing
firms)
THREAT OF NEW
ENTRANTS
THREAT OF
SUBSTITUTES
SWOT ANALYSIS
S
• Reputed topmost chocolate provider
• well known brand
• Priced according to Indian mindset.
• Strong marketing and distribution
channel
• Customers have positive perception
about the brand
• Well established market with vast
variety of products.
W
• Lack of penetration in rural market
• Large population suffers from diabetes,
cholesterol disorders etc.
O
• Occasion celebrations and festivals in
India.
• Increasing acceptance of Globalization.
• Increases in the recent chocolate
market(almost @ 30%)
• Besides the low calorie products they
also provides sugar free candies.
T
• No brand loyalty in the chocolate market
.
• Competition(Amul & Nestle)
• Preference and availability of other
substitutes (sweets and deserts)
• New brands are entering
• existing brands are introducing new
variants.
• Celebrating 1OO years in India.
• Market share-20%.
• Profit 22% with net income rising to
$3.4billion
• Sales growth-27%
• Rulling since 1942.
• 3rd larget chocolate industry in India followee
by Cadbury and Nestle.
• Market share-5%
CHOCOLATE SHARES
PROFIT AND SALES
1006.08 1149.24 1141.92
1751.24
2045.08
2652.03
3712.8
45.95 68.81 117.65 167.78 188.63 314 439.6
FY05 FY06 FY07 FY08 FY09 FY10 FY11
Chart Title
SALES PROFIT
DEBT EQUITY RATIO
0.02
0.09
0.02
0.03
0.02 0.02
FY 05 FY 06 FY 07 FY 08 FY 09 FY 10 FY 11
DEBT/EQUITY
DEBT/EQUITY
EARNING PER SHARE VALUE
12.87
20.03
35.43
51.51
59.08
67.02
FY 05 FY 06 FY 07 FY 08 FY 09 FY 10 FY 11
EPS
EPS
CHOCOLATES SALES AND PROFITS
2079.16
668.304
371.28 294.024 222.76
74.25
246.176
79.128 43.96 35.16 26.39 8.792
Chart Title
SALES PROFIT Column1
Cadbury Chocolates
Chocolate Industry
Cadbury Products
GE MATRIX
B.U
.S…I.A
5…
0% 0%
CHOCLATE
BISCUITS
B.U
.I
GUM
B
I.
BEVARAGES
B.U.I
I.A
CANDY
B.U.I
I.A
WHOLESELLER
RETAILER
 CDM ARE SOLD DIRECTLY TO WHOLESELLER AND RETAILERS.
CADBURY'S DISTRIBUTION NETWORK USED TO ENCOMPASSES
2100 DISTRIBUTORS AND 450,000 RETAILERS.
VALUE CHAIN ANALYSIS
Supplies&
Inbound logistics
Operations
Distribution
Outbound
logistics
Sales &
marketing
service
Profit
margin
• Marketing and Sales
• Finance
• Administration and IT support
• Operations
• Research and Development
• Production
• Customer Services
• Human Resources
1905 1930s
1960s
1970s
PACKAGING STYLES
STRATEGIES OF CADBURY
• PRODUCT STRATEGY
PROMOTION STRATEGY
POSITIONING STRATEGY
“For kids across India”
The word ‘Cadbury’ is synonymous with chocolates.
“CDM positioned as”
‘The perfect expression of love’
“Mazzaaagaya”
Spontaneous, carefree, special, real moments.
“KuchMeetha ho jaye”
The brand want itself to be synonymous with Sweet.
BRAND STRATEGY
Extensive and strong
distribution network
Price Range
Consistent Taste
PRICING STRATEGY
WEIGHT (gm) PRICE
10.5 5
22 10
40 20
42 CRACKLE 25
95 50
80 FRUIT & NUT 55
165 90
CONCLUSION
• There is an immense scope for chocolate industry
in India
• Indian chocolate industry is unique mix with
extreme consumption patterns, attitudes, beliefs,
income level and spending
• Understanding consumer preferences and
demands is the key to growth
• Pricing, quality , flavors and pack size are some
of the important factors
• Economical distribution using proper supply
chain management is necessity
• Brand loyalty should be maintained
http://www.cadburyindia.com/in/en/careers/pages/currentopportu
nities.aspx
www.businessstandard.com
www.moneycontrol.com
Swot analysis of Cadbury.

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Swot analysis of Cadbury.

  • 2.
  • 3.
  • 4. Company profile • Started in 1824 • By John Cadbury • In Birmingham, England • Headquarters : UK • By 1842, John was selling 11 kinds of cocoa and 16 kinds of drinking chocolates. • By 1864, George and Richard, sons of John continued to expand the product line. • Cadbury manufactured its milk chocolate in 1897 • 1920’s The Cadbury script logo is first used. • Today Cadbury is the largest confectionary company in the world. • The company was known as Cadbury Schweppes plc from 1969–2008 until its demerge • On 19 January 2010, it was announced that Cadbury and Kraft Foods had reached a deal and that Kraft would purchase Cadbury valuing Cadbury at £11.5bn
  • 5. • Cadbury India is a fully owned subsidy of Kraft Foods Inc. The combination of Kraft Foods and Cadbury creates a global powerhouse in snacks, confectionery and quick meals. • With annual revenues of approximately $50 billion, the combined company is the world's second largest food company, making delicious products for billions of consumers in more than 160 countries. We employ approximately 140,000 people and have operations in more than 70 countries. • Our core purpose "make today delicious" captures the spirit of what we are trying to achieve as a business. We make delicious foods you can feel good about. Whether watching your weight or preparing to celebrate, grabbing a quick bite or sitting down to family night, we pour our hearts into creating foods that are wholesome and delicious.
  • 6. Mission "Cadbury’s mission statement says simply: ‘Cadbury means quality’; this is our promise. Our reputation is built upon quality; our commitment to continuous improvement will ensure that our promise is delivered’ Vision The Barrow Cadbury Trust’s vision is of a peaceful, equitable society, free from discrimination and based on the principle of social justice for all. Objective • to make lots of chocolate. • improve the quality of their chocolate. • To Survive in the market. • Have loads of stores worldwide
  • 7. CHOCOLATE BAR MADE BY CADBURY. BORN IN YEAR 1905. BOURNVILLE, U.K • In India, Cadbury began its operations in 1948 by importing chocolates. After over 60 years of existence, it today has six company-owned manufacturing facilities at Thane, Induri (Pune) and Malanpur (Gwalior), Bangalore and Baddi (Himachal Pradesh) Hyderabad and 4 sales offices (New Delhi, Mumbai, Kolkata and Chennai). The corporate office is in Mumbai.
  • 8. Popular Brands in INDIA C h o c o l a t e s S n a c k s Beverages CANDy’s G U M S
  • 9. Industry Analysis • Chocolate consumption in India is extremely low. • Cadbury dominates the chocolate market with about 70% market share. • Nestle has emerged as a significant competitor with about 20% market share. • Leading national players are Parry's, Ravalgaon, Candico and Nutrient. • Indian chocolate market grew at the rate of 10% pa in 70's and 80's, driven mainly by the children • segment. • In the late 80's, when the market started stagnating, Cadbury repositioned its Dairy
  • 10. • Milk to any time product rather than an occasional luxury. Its advertisement focused on • adults rather than children. • Cadbury had a market share of over 80 percent, but its party was spoiled when Nestle appeared on the scene. Five company-owned manufacturing facilities: Thane Induri (Pune) Malanpur (Gwalior) Bangalore Baddi (Himachal Pradesh) Corporate/Head office: Mumbai
  • 11. Chocolate consumption And Share in India • 70% 20% 5% 5% share cadbury Nestle amul others
  • 12. MANAGEMENT TEAM • CEO • Todd Stitzer • CHAIRMAN OF THE BOARD • Roger Carr • DIRECTORS • Raymond Viault, Ellen Marram , • Sanjiv Ahuja Guy Elliott, Chris Patten, • Colin Day, Wolfgang Berndt, Baroness Hogg • CFO • Andrew Bonfield
  • 13. PEST Analysis P – Political Political decisions can affect Cadbury’s, these can be either advantages or disadvantages E – Economical There is no doubt that the Cadbury is making a big contribution in the economies of India as well as in their own country.
  • 14. S – Social Cadbury India has a tradition of caring for the environment and enriching the quality of lives of the communities we live and work in, through a variety of result-oriented programs Various steps taken by Cadbury India are: • MIGRATORY BIRDS STOP OVER AT OUR BANGALORE FACTORY • PIONEERING COCOA CULTIVATION IN INDIA T – Technological • New machinery • Maintenance • Cost of Equipment
  • 16. BARGAINING POWER OF SUPPLIERS BARGAINING POWER OF BUYERS INDUSTRY COMPETITOR S (Rivalry among existing firms) THREAT OF NEW ENTRANTS THREAT OF SUBSTITUTES
  • 17. SWOT ANALYSIS S • Reputed topmost chocolate provider • well known brand • Priced according to Indian mindset. • Strong marketing and distribution channel • Customers have positive perception about the brand • Well established market with vast variety of products. W • Lack of penetration in rural market • Large population suffers from diabetes, cholesterol disorders etc. O • Occasion celebrations and festivals in India. • Increasing acceptance of Globalization. • Increases in the recent chocolate market(almost @ 30%) • Besides the low calorie products they also provides sugar free candies. T • No brand loyalty in the chocolate market . • Competition(Amul & Nestle) • Preference and availability of other substitutes (sweets and deserts) • New brands are entering • existing brands are introducing new variants.
  • 18. • Celebrating 1OO years in India. • Market share-20%. • Profit 22% with net income rising to $3.4billion • Sales growth-27%
  • 19. • Rulling since 1942. • 3rd larget chocolate industry in India followee by Cadbury and Nestle. • Market share-5%
  • 20.
  • 22. PROFIT AND SALES 1006.08 1149.24 1141.92 1751.24 2045.08 2652.03 3712.8 45.95 68.81 117.65 167.78 188.63 314 439.6 FY05 FY06 FY07 FY08 FY09 FY10 FY11 Chart Title SALES PROFIT
  • 23. DEBT EQUITY RATIO 0.02 0.09 0.02 0.03 0.02 0.02 FY 05 FY 06 FY 07 FY 08 FY 09 FY 10 FY 11 DEBT/EQUITY DEBT/EQUITY
  • 24. EARNING PER SHARE VALUE 12.87 20.03 35.43 51.51 59.08 67.02 FY 05 FY 06 FY 07 FY 08 FY 09 FY 10 FY 11 EPS EPS
  • 25. CHOCOLATES SALES AND PROFITS 2079.16 668.304 371.28 294.024 222.76 74.25 246.176 79.128 43.96 35.16 26.39 8.792 Chart Title SALES PROFIT Column1
  • 30. WHOLESELLER RETAILER  CDM ARE SOLD DIRECTLY TO WHOLESELLER AND RETAILERS. CADBURY'S DISTRIBUTION NETWORK USED TO ENCOMPASSES 2100 DISTRIBUTORS AND 450,000 RETAILERS.
  • 31. VALUE CHAIN ANALYSIS Supplies& Inbound logistics Operations Distribution Outbound logistics Sales & marketing service Profit margin
  • 32. • Marketing and Sales • Finance • Administration and IT support • Operations • Research and Development • Production • Customer Services • Human Resources
  • 34. STRATEGIES OF CADBURY • PRODUCT STRATEGY
  • 36.
  • 37. POSITIONING STRATEGY “For kids across India” The word ‘Cadbury’ is synonymous with chocolates. “CDM positioned as” ‘The perfect expression of love’ “Mazzaaagaya” Spontaneous, carefree, special, real moments. “KuchMeetha ho jaye” The brand want itself to be synonymous with Sweet.
  • 38. BRAND STRATEGY Extensive and strong distribution network Price Range Consistent Taste
  • 39. PRICING STRATEGY WEIGHT (gm) PRICE 10.5 5 22 10 40 20 42 CRACKLE 25 95 50 80 FRUIT & NUT 55 165 90
  • 40. CONCLUSION • There is an immense scope for chocolate industry in India • Indian chocolate industry is unique mix with extreme consumption patterns, attitudes, beliefs, income level and spending • Understanding consumer preferences and demands is the key to growth • Pricing, quality , flavors and pack size are some of the important factors • Economical distribution using proper supply chain management is necessity • Brand loyalty should be maintained