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Broadmoor Lives A New Orleans Neighborhoods Battle To Recover From Hurricane Katrina B Case Study Solution

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Broadmoor Lives A New Orleans Neighborhoods Battle To Recover From Hurricane Katrina B Case Study Analysis

Broadmoor Lives A New Orleans Neighborhoods Battle To Recover From Hurricane Katrina B is presently one of the biggest food cycle worldwide. It was founded by Chicago Booth in 1866, a German Pharmacist who initially released "FarineLactee"; a combination of flour and milk to feed babies and reduce mortality rate. At the same time, the Page brothers from Switzerland likewise found The Anglo-Swiss Condensed Milk Company. The 2 ended up being competitors at first however in the future combined in 1905, leading to the birth of Broadmoor Lives A New Orleans Neighborhoods Battle To Recover From Hurricane Katrina B.
Business is now a global company. Unlike other multinational business, it has senior executives from various nations and attempts to make decisions thinking about the whole world. Broadmoor Lives A New Orleans Neighborhoods Battle To Recover From Hurricane Katrina B presently has more than 500 factories worldwide and a network spread across 86 nations.

Purpose

The function of Broadmoor Lives A New Orleans Neighborhoods Battle To Recover From Hurricane Katrina B Corporation is to boost the lifestyle of people by playing its part and offering healthy food. It wants to help the world in forming a healthy and much better future for it. It likewise wants to encourage people to live a healthy life. While making sure that the company is succeeding in the long run, that's how it plays its part for a better and healthy future

Vision

Broadmoor Lives A New Orleans Neighborhoods Battle To Recover From Hurricane Katrina B's vision is to offer its customers with food that is healthy, high in quality and safe to consume. Business imagines to develop a trained labor force which would help the company to grow
.

Mission

Broadmoor Lives A New Orleans Neighborhoods Battle To Recover From Hurricane Katrina B's mission is that as currently, it is the leading company in the food market, it thinks in 'Excellent Food, Great Life". Its mission is to provide its consumers with a range of choices that are healthy and finest in taste. It is focused on supplying the very best food to its customers throughout the day and night.

Products.

Business has a wide variety of products that it provides to its customers. Its products include food for infants, cereals, dairy items, snacks, chocolates, food for family pet and bottled water. It has around four hundred and fifty (450) factories all over the world and around 328,000 workers. In 2011, Business was listed as the most rewarding organization.

Goals and Objectives

• Remembering the vision and mission of the corporation, the business has laid down its goals and objectives. These goals and goals are noted below.
• One objective of the company is to reach zero landfill status. It is working toward no waste, where no waste of the factory is landfilled. It encourages its workers to take the most out of the spin-offs. (Business, aboutus, 2017).
• Another objective of Broadmoor Lives A New Orleans Neighborhoods Battle To Recover From Hurricane Katrina B is to squander minimum food during production. Frequently, the food produced is lost even before it reaches the consumers.
• Another thing that Business is working on is to enhance its product packaging in such a method that it would help it to minimize those complications and would also guarantee the delivery of high quality of its products to its customers.
• Meet global standards of the environment.
• Build a relationship based on trust with its consumers, organisation partners, employees, and federal government.

Critical Issues

Just Recently, Business Company is focusing more towards the strategy of NHW and investing more of its profits on the R&D innovation. The nation is investing more on acquisitions and mergers to support its NHW strategy. The target of the business is not achieved as the sales were anticipated to grow higher at the rate of 10% per year and the operating margins to increase by 20%, given in Exhibition H.

Situational Analysis.

Analysis of Current Strategy, Vision and Goals

The current Business strategy is based on the concept of Nutritious, Health and Wellness (NHW). This strategy handles the idea to bringing change in the customer preferences about food and making the food things much healthier worrying about the health issues.
The vision of this technique is based upon the secret technique i.e. 60/40+ which just indicates that the items will have a score of 60% on the basis of taste and 40% is based on its nutritional worth. The items will be manufactured with additional dietary worth in contrast to all other products in market gaining it a plus on its dietary content.
This strategy was adopted to bring more yummy plus healthy foods and drinks in market than ever. In competitors with other companies, with an objective of retaining its trust over clients as Business Company has actually acquired more relied on by costumers.

Quantitative Analysis.

R&D Costs as a portion of sales are decreasing with increasing actual amount of costs reveals that the sales are increasing at a higher rate than its R&D spending, and allow the business to more invest in R&D.
Net Earnings Margin is increasing while R&D as a portion of sales is declining. This sign likewise shows a thumbs-up to the R&D spending, mergers and acquisitions.
Debt ratio of the business is increasing due to its costs on mergers, acquisitions and R&D advancement rather than payment of debts. This increasing financial obligation ratio pose a hazard of default of Business to its financiers and might lead a decreasing share prices. In terms of increasing financial obligation ratio, the company ought to not spend much on R&D and should pay its existing financial obligations to reduce the danger for financiers.
The increasing risk of financiers with increasing financial obligation ratio and decreasing share prices can be observed by big decrease of EPS of Broadmoor Lives A New Orleans Neighborhoods Battle To Recover From Hurricane Katrina B stocks.
The sales growth of business is likewise low as compare to its mergers and acquisitions due to slow perception building of customers. This slow development likewise hinder company to additional invest in its mergers and acquisitions.( Business, Business Financial Reports, 2006-2010).
Keep in mind: All the above analysis is done on the basis of estimations and Charts given up the Exhibitions D and E.

TWOS Analysis


2 analysis can be used to obtain numerous techniques based upon the SWOT Analysis offered above. A short summary of TWOS Analysis is given up Exhibition H.

Strategies to exploit Opportunities using Strengths

Business needs to present more ingenious products by large quantity of R&D Spending and mergers and acquisitions. It could increase the market share of Business and increase the revenue margins for the business. It might likewise offer Business a long term competitive benefit over its competitors.
The worldwide growth of Business should be concentrated on market capturing of developing countries by expansion, attracting more customers through client's commitment. As establishing countries are more populated than industrialized countries, it might increase the client circle of Business.

Strategies to Overcome Weaknesses to Exploit Opportunities

Swot AnalysisBroadmoor Lives A New Orleans Neighborhoods Battle To Recover From Hurricane Katrina B must do cautious acquisition and merger of organizations, as it might impact the customer's and society's perceptions about Business. It ought to get and combine with those business which have a market credibility of healthy and healthy business. It would enhance the perceptions of customers about Business.
Business needs to not just spend its R&D on development, rather than it must likewise focus on the R&D spending over examination of expense of different healthy products. This would increase expense performance of its products, which will result in increasing its sales, due to declining rates, and margins.

Strategies to use strengths to overcome threats

Business must move to not just developing but likewise to developed nations. It needs to widen its circle to various countries like Unilever which runs in about 170 plus countries.

Strategies to overcome weaknesses to avoid threats

Broadmoor Lives A New Orleans Neighborhoods Battle To Recover From Hurricane Katrina B needs to carefully manage its acquisitions to avoid the threat of mistaken belief from the customers about Business. It needs to obtain and merge with those countries having a goodwill of being a healthy company in the market. This would not only improve the understanding of consumers about Business however would likewise increase the sales, earnings margins and market share of Business. It would also allow the company to utilize its potential resources effectively on its other operations rather than acquisitions of those organizations slowing the NHW technique growth.

Segmentation Analysis

Demographic Segmentation

The demographic segmentation of Business is based upon four aspects; age, gender, income and occupation. For instance, Business produces a number of items associated with children i.e. Cerelac, Nido, etc. and related to grownups i.e. confectionary products. Broadmoor Lives A New Orleans Neighborhoods Battle To Recover From Hurricane Katrina B items are quite inexpensive by nearly all levels, but its major targeted consumers, in terms of income level are middle and upper middle level customers.

Geographical Segmentation

Geographical segmentation of Business is composed of its presence in almost 86 nations. Its geographical segmentation is based upon two primary elements i.e. average income level of the customer along with the climate of the area. For example, Singapore Business Company's division is done on the basis of the weather condition of the area i.e. hot, warm or cold.

Psychographic Segmentation

Psychographic division of Business is based upon the personality and life style of the client. Business 3 in 1 Coffee target those clients whose life style is rather hectic and do not have much time.

Behavioral Segmentation

Broadmoor Lives A New Orleans Neighborhoods Battle To Recover From Hurricane Katrina B behavioral division is based upon the attitude understanding and awareness of the client. Its highly healthy products target those clients who have a health conscious attitude towards their consumptions.

Broadmoor Lives A New Orleans Neighborhoods Battle To Recover From Hurricane Katrina B Alternatives

In order to sustain the brand name in the market and keep the consumer intact with the brand, there are 2 choices:
Option: 1
The Business ought to spend more on acquisitions than on the R&D.
Pros:
1. Acquisitions would increase total assets of the business, increasing the wealth of the company. Spending on R&D would be sunk expense.
2. The business can resell the acquired units in the market, if it stops working to execute its technique. However, amount invest in the R&D might not be revived, and it will be considered completely sunk expense, if it do not give possible outcomes.
3. Spending on R&D supply sluggish development in sales, as it takes long period of time to present a product. Acquisitions provide quick results, as it offer the business already developed product, which can be marketed quickly after the acquisition.
Cons:
1. Acquisition of business's which do not fit with the business's worths like Kraftz foods can lead the business to face mistaken belief of customers about Business core worths of healthy and healthy products.
2 Large costs on acquisitions than R&D would send a signal of company's inadequacy of developing ingenious products, and would results in consumer's dissatisfaction also.
3. Big acquisitions than R&D would extend the line of product of the company by the products which are already present in the market, making company unable to introduce brand-new ingenious items.
Alternative: 2.
The Company should invest more on its R&D instead of acquisitions.
Pros:
1. It would allow the business to produce more ingenious products.
2. It would provide the business a strong competitive position in the market.
3. It would allow the business to increase its targeted customers by presenting those items which can be used to an entirely brand-new market section.
4. Ingenious products will supply long term benefits and high market share in long term.
Cons:
1. It would reduce the revenue margins of the company.
2. In case of failure, the whole spending on R&D would be thought about as sunk expense, and would impact the business at large. The threat is not in the case of acquisitions.
3. It would not increase the wealth of business, which could provide an unfavorable signal to the investors, and might result I decreasing stock costs.
Alternative 3:
Continue its acquisitions and mergers with significant costs on in R&D Program.
Vrio AnalysisPros:
1. It would permit the company to introduce brand-new ingenious products with less risk of transforming the costs on R&D into sunk expense.
2. It would provide a favorable signal to the investors, as the general assets of the company would increase with its considerable R&D costs.
3. It would not affect the earnings margins of the business at a large rate as compare to alternative 2.
4. It would provide the business a strong long term market position in terms of the company's general wealth in addition to in terms of ingenious items.
Cons:
1. Threat of conversion of R&D costs into sunk expense, greater than option 1 lesser than alternative 2.
2. Risk of misconception about the acquisitions, higher than alternative 2 and lower than alternative 1.
3. Intro of less variety of ingenious products than alternative 2 and high number of innovative items than alternative 1.

Broadmoor Lives A New Orleans Neighborhoods Battle To Recover From Hurricane Katrina B Conclusion

RecommendationsBusiness has stayed the top market player for more than a decade. It has actually institutionalized its strategies and culture to align itself with the market modifications and client behavior, which has actually eventually enabled it to sustain its market share. Business has established significant market share and brand name identity in the urban markets, it is suggested that the company should focus on the rural locations in terms of developing brand loyalty, awareness, and equity, such can be done by producing a particular brand name allotment strategy through trade marketing tactics, that draw clear distinction between Broadmoor Lives A New Orleans Neighborhoods Battle To Recover From Hurricane Katrina B items and other rival products. Broadmoor Lives A New Orleans Neighborhoods Battle To Recover From Hurricane Katrina B must utilize its brand image of safe and healthy food in catering the rural markets and likewise to upscale the offerings in other categories such as nutrition. This will permit the business to develop brand equity for recently introduced and already produced items on a greater platform, making the effective usage of resources and brand image in the market.

Broadmoor Lives A New Orleans Neighborhoods Battle To Recover From Hurricane Katrina B Exhibits

PESTEL Analysis
P
Political
E
Economic
S
Social
T
Technology
L
Legal
E
Environment
Governmental support

Altering standards of worldwide food.
Boosted market share.
Changing understanding towards healthier items
Improvements in R&D and QA departments.

Intro of E-marketing.
No such impact as it is favourable.
Issues over recycling.

Use of sources.

Competitor Analysis
Business Unilever PLC Kraft Foods Incorporation DANONE
Sales Growth Greatest given that 8000
Highest possible after Business with much less development than Organisation 1st Lowest
R&D Spending Highest possible considering that 2005 Greatest after Organisation 1st Least expensive
Net Profit Margin Highest considering that 2004 with fast growth from 2006 to 2018 Due to sale of Alcon in 2011. Nearly equal to Kraft Foods Incorporation Practically equal to Unilever N/A
Competitive Advantage Food with Nutrition as well as health and wellness factor Greatest number of brand names with sustainable techniques Biggest confectionary and also processed foods brand name in the world Biggest dairy products and mineral water brand name in the world
Segmentation Middle and also top center degree consumers worldwide Specific consumers together with house group Any age and also Income Customer Groups Middle and also top center degree customers worldwide
Number of Brands 5th 6th 1st 7th

Quantitative Analysis​
Analysis of Financial Statements (In Millions of CHF)
2006 2007 2008 2009 2010
Sales Revenue 13523 494452 166929 958283 964212
Net Profit Margin 2.89% 2.97% 81.19% 6.87% 87.39%
EPS (Earning Per Share) 66.91 6.89 8.38 2.61 54.85
Total Asset 253825 566289 141631 316299 91183
Total Debt 14191 18838 58182 21762 29469
Debt Ratio 92% 19% 76% 62% 38%
R&D Spending 9796 3276 9824 6728 7513
R&D Spending as % of Sales 2.23% 3.94% 7.88% 3.17% 2.46%

Broadmoor Lives A New Orleans Neighborhoods Battle To Recover From Hurricane Katrina B Executive Summary Broadmoor Lives A New Orleans Neighborhoods Battle To Recover From Hurricane Katrina B Swot Analysis Broadmoor Lives A New Orleans Neighborhoods Battle To Recover From Hurricane Katrina B Vrio Analysis Broadmoor Lives A New Orleans Neighborhoods Battle To Recover From Hurricane Katrina B Pestel Analysis
Broadmoor Lives A New Orleans Neighborhoods Battle To Recover From Hurricane Katrina B Porters Analysis Broadmoor Lives A New Orleans Neighborhoods Battle To Recover From Hurricane Katrina B Recommendations