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Cafe Coffee Day Case SWOT Analysis

Case Study Solution And Analysis


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Cafe Coffee Day Case Study Analysis

The internal analysis and external of the company also can be done through SWOT Analysis, summarized in the Exhibit F.

Strengths

• Cafe Coffee Day has an experience of about 140 years, making it possible for business to better carry out, in various scenarios.
• Nestlé's has presence in about 86 countries, making it an international leader in Food and Beverage Industry.
• Cafe Coffee Day has more than 2000 brand names, which increase the circle of its target customers. These brand names consist of infant foods, pet food, confectionary items, drinks and so on. Famous brand names of Cafe Coffee Day include; Maggi, Kit-Kat, Nescafe, and so on
• Cafe Coffee Day has large amount of costs on R&D as compare to its competitors, making the company to launch more innovative and healthy items. This development offers the company a high competitive position in long term.
• After adopting its NHW Method, the business has actually done big quantity of mergers and acquisitions which increase the sales growth and improve market position of Cafe Coffee Day.
• Cafe Coffee Day is a popular brand name with high consumer's loyalty and brand recall. This brand name commitment of customers increases the possibilities of easy market adoption of different new brand names of Cafe Coffee Day.

Weaknesses

• Acquisitions of those service, like; Kraft frozen Pizza service can provide an unfavorable signal to Cafe Coffee Day consumers about their compromise over their core competency of healthier foods.
• The growth I sales as compare to the business's financial investment in NHW Strategy are quite different. It will take long to alter the perception of people ab out Cafe Coffee Day as a company offering healthy and nutritious items.

Opportunities

• Introducing more health associated products allows the company to catch the market in which consumers are quite mindful about health.
• Developing nations like India and China has largest markets in the world. Expanding the market towards developing countries can improve the Cafe Coffee Day company by increasing sales volume.
• Continue acquisitions and joint endeavors increases the market share of the company.
• Increased relationships with schools, hotel chains, dining establishments and so on can also increase the variety of Cafe Coffee Day consumers. For instance, teachers can recommend their trainees to acquire Cafe Coffee Day items.

Threats

• Economic instability in nations, which are the potential markets for Cafe Coffee Day, can develop a number of concerns for Cafe Coffee Day.
• Shifting of products from typical to much healthier, causes extra expenses and can cause decline company's profit margins.
• As Cafe Coffee Day has an intricate supply chain, for that reason failure of any of the level of supply chain can lead the business to face certain issues.

Exhibit F: SWOT Analysis