Boston University Medical Center Hospital Case Study Help

Business is presently one of the greatest food chains worldwide. It was founded by Henri Boston University Medical Center Hospital in 1866, a German Pharmacist who initially launched "FarineLactee"; a combination of flour and milk to feed infants and decrease mortality rate.
Business is now a global company. Unlike other international companies, it has senior executives from various countries and tries to make choices considering the whole world. Boston University Medical Center Hospital presently has more than 500 factories worldwide and a network spread throughout 86 countries.

Purpose

The purpose of Business Corporation is to improve the quality of life of people by playing its part and supplying healthy food. While making sure that the company is being successful in the long run, that's how it plays its part for a better and healthy future

Vision

Boston University Medical Center Hospital's vision is to supply its consumers with food that is healthy, high in quality and safe to consume. It wants to be ingenious and simultaneously comprehend the requirements and requirements of its consumers. Its vision is to grow quick and provide products that would satisfy the requirements of each age group. Boston University Medical Center Hospital pictures to develop a trained labor force which would help the business to grow
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Mission

Boston University Medical Center Hospital's mission is that as presently, 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 options that are healthy and finest in taste as well. It is focused on supplying the very best food to its clients throughout the day and night.

Products.

Business has a vast array of items that it uses to its consumers. Its products include food for babies, cereals, dairy items, snacks, chocolates, food for animal and mineral water. It has around 4 hundred and fifty (450) factories around the globe and around 328,000 workers. In 2011, Business was noted as the most rewarding company.

Goals and Objectives

• Bearing in mind the vision and mission of the corporation, the company has put down its goals and objectives. These objectives and goals are listed below.
• One goal of the business is to reach zero garbage dump status. It is pursuing absolutely no waste, where no waste of the factory is landfilled. It motivates its employees to take the most out of the spin-offs. (Business, aboutus, 2017).
• Another objective of Boston University Medical Center Hospital is to lose minimum food during production. Usually, the food produced is lost even prior to it reaches the consumers.
• Another thing that Business is dealing with is to enhance its packaging in such a method that it would help it to decrease the above-mentioned problems and would likewise ensure the shipment of high quality of its products to its clients.
• Meet global standards of the environment.
• Construct a relationship based upon trust with its customers, service partners, staff members, and federal government.

Critical Issues

Just Recently, Business Company is focusing more towards the strategy of NHW and investing more of its revenues on the R&D innovation. The nation is investing more on acquisitions and mergers to support its NHW method. The target of the company is not attained as the sales were expected to grow greater at the rate of 10% per year and the operating margins to increase by 20%, offered in Display H.

Situational Analysis.

Analysis of Current Strategy, Vision and Goals

The current Business strategy is based on the concept of Nutritious, Health and Health (NHW). This method handles the idea to bringing modification in the consumer choices about food and making the food stuff much healthier concerning about the health problems.
The vision of this technique is based upon the secret method i.e. 60/40+ which simply implies that the items will have a rating of 60% on the basis of taste and 40% is based on its dietary value. The products will be made with extra dietary worth in contrast to all other products in market getting it a plus on its dietary content.
This method was embraced to bring more tasty plus healthy foods and beverages in market than ever. In competitors with other business, with an objective of maintaining its trust over consumers as Business Company has gained more trusted by clients.

Quantitative Analysis.

R&D Costs as a percentage of sales are decreasing with increasing real amount of costs reveals that the sales are increasing at a higher rate than its R&D costs, and permit the company to more spend on R&D.
Net Profit Margin is increasing while R&D as a percentage of sales is decreasing. This sign also shows a green light to the R&D spending, mergers and acquisitions.
Debt ratio of the company is increasing due to its costs on mergers, acquisitions and R&D advancement rather than payment of debts. This increasing debt ratio posture a hazard of default of Business to its financiers and might lead a declining share costs. In terms of increasing debt ratio, the company ought to not invest much on R&D and should pay its present financial obligations to reduce the threat for investors.
The increasing threat of investors with increasing financial obligation ratio and declining share rates can be observed by big decrease of EPS of Boston University Medical Center Hospital stocks.
The sales growth of business is also low as compare to its mergers and acquisitions due to slow understanding structure of consumers. This slow growth also impede business to further 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 Graphs given up the Displays D and E.

TWOS Analysis

2 analysis can be used to derive numerous techniques based upon the SWOT Analysis provided above. A short summary of TWOS Analysis is given in Display H.

Strategies to exploit Opportunities using Strengths

Business must present more ingenious items by big amount of R&D Spending and mergers and acquisitions. It could increase the marketplace share of Business and increase the revenue margins for the company. It could likewise supply Business a long term competitive advantage over its competitors.
The global expansion of Business should be concentrated on market capturing of developing countries by expansion, attracting more clients through customer's commitment. As establishing countries are more populated than industrialized nations, it could increase the consumer circle of Business.

Strategies to Overcome Weaknesses to Exploit Opportunities

Boston University Medical Center Hospital ought to do cautious acquisition and merger of organizations, as it could impact the client's and society's perceptions about Business. It should obtain and merge with those business which have a market reputation of healthy and nutritious companies. It would improve the perceptions of consumers about Business.
Business should not just invest its R&D on innovation, instead of it must likewise concentrate on the R&D spending over examination of cost of numerous healthy items. This would increase expense performance of its items, which will result in increasing its sales, due to decreasing rates, and margins.

Strategies to use strengths to overcome threats

Business must move to not only developing but likewise to developed nations. It ought to widens its geographical growth. This wide geographical expansion towards developing and developed countries would reduce the risk of prospective losses in times of instability in different countries. It must broaden its circle to various nations like Unilever which runs in about 170 plus countries.

Strategies to overcome weaknesses to avoid threats

Boston University Medical Center Hospital should wisely control its acquisitions to prevent the risk of mistaken belief from the consumers about Business. It needs to acquire and merge with those nations having a goodwill of being a healthy business in the market. This would not just improve the perception of consumers about Business but would also increase the sales, revenue margins and market share of Business. It would likewise enable the company to use its potential resources effectively on its other operations instead of acquisitions of those companies slowing the NHW technique growth.

Segmentation Analysis

Demographic Segmentation

The demographic segmentation of Business is based upon four aspects; age, gender, income and profession. For example, Business produces several products connected to babies i.e. Cerelac, Nido, etc. and related to adults i.e. confectionary products. Boston University Medical Center Hospital products are rather economical by almost all levels, however its major targeted customers, in regards to earnings level are middle and upper middle level customers.

Geographical Segmentation

Geographical segmentation of Business is made up of its presence in practically 86 nations. Its geographical segmentation is based upon two main aspects i.e. average income level of the consumer in addition to the climate of the area. For example, Singapore Business Company's segmentation 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 lifestyle of the client. For instance, Business 3 in 1 Coffee target those customers whose life style is rather busy and do not have much time.

Behavioral Segmentation

Boston University Medical Center Hospital behavioral segmentation is based upon the mindset knowledge and awareness of the customer. Its highly healthy products target those clients who have a health conscious attitude towards their consumptions.

Boston University Medical Center Hospital Alternatives

In order to sustain the brand name in the market and keep the consumer intact with the brand name, there are 2 options:
Option: 1
The Company needs to spend more on acquisitions than on the R&D.
Pros:
1. Acquisitions would increase overall properties of the business, increasing the wealth of the business. Costs on R&D would be sunk cost.
2. The company can resell the acquired systems in the market, if it fails to implement its strategy. Quantity invest on the R&D might not be revived, and it will be considered totally sunk expense, if it do not offer potential results.
3. Spending on R&D provide sluggish growth in sales, as it takes very long time to introduce a product. Acquisitions offer quick results, as it provide the business currently established product, which can be marketed soon after the acquisition.
Cons:
1. Acquisition of company's which do not fit with the business's values like Kraftz foods can lead the business to deal with misunderstanding of customers about Business core values of healthy and healthy products.
2 Big spending on acquisitions than R&D would send out a signal of business's inefficiency of establishing ingenious items, and would lead to customer's dissatisfaction as well.
3. Large acquisitions than R&D would extend the line of product of the business by the products which are currently present in the market, making company unable to present new innovative items.
Option: 2.
The Company ought to invest more on its R&D rather than acquisitions.
Pros:
1. It would allow the company to produce more ingenious items.
2. It would supply the business a strong competitive position in the market.
3. It would enable the business to increase its targeted clients by presenting those items which can be offered to an entirely new market sector.
4. Ingenious items will provide long term advantages and high market share in long run.
Cons:
1. It would reduce the earnings margins of the company.
2. In case of failure, the entire spending on R&D would be thought about as sunk expense, and would impact the business at large. The risk is not in the case of acquisitions.
3. It would not increase the wealth of business, which could offer an unfavorable signal to the financiers, and could result I declining stock costs.
Alternative 3:
Continue its acquisitions and mergers with significant spending on in R&D Program.
Pros:
1. It would enable the business to present brand-new ingenious products with less danger of converting the spending on R&D into sunk expense.
2. It would supply a favorable signal to the financiers, as the general possessions of the company would increase with its substantial R&D spending.
3. It would not affect the profit margins of the business at a large rate as compare to alternative 2.
4. It would provide the company 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 cost, greater than alternative 1 lesser than alternative 2.
2. Threat of misunderstanding about the acquisitions, greater than alternative 2 and lower than option 1.
3. Intro of less number of ingenious products than alternative 2 and high variety of innovative items than alternative 1.

Boston University Medical Center Hospital Conclusion

It has actually institutionalized its strategies and culture to align itself with the market changes and consumer habits, which has eventually allowed it to sustain its market share. Business has actually established considerable market share and brand name identity in the city markets, it is advised that the business must focus on the rural areas in terms of developing brand loyalty, awareness, and equity, such can be done by creating a specific brand allocation technique through trade marketing strategies, that draw clear distinction between Boston University Medical Center Hospital items and other rival items.

Boston University Medical Center Hospital Exhibits