University Of Trent Case Study Help

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Business is currently one of the biggest food chains worldwide. It was founded by Henri University Of Trent in 1866, a German Pharmacist who initially launched "FarineLactee"; a mix of flour and milk to feed babies and reduce death rate.
Business is now a global business. Unlike other multinational companies, it has senior executives from various nations and tries to make choices considering the whole world. University Of Trent presently has more than 500 factories around the world and a network spread throughout 86 countries.


The purpose of University Of Trent Corporation is to boost the quality of life of individuals by playing its part and supplying healthy food. It wishes to help the world in shaping a healthy and better future for it. It also wants to motivate individuals to live a healthy life. While ensuring that the company is prospering in the long run, that's how it plays its part for a better and healthy future


University Of Trent's vision is to supply its clients with food that is healthy, high in quality and safe to consume. It wishes to be ingenious and simultaneously understand the requirements and requirements of its clients. Its vision is to grow quickly and provide products that would satisfy the requirements of each age group. University Of Trent pictures to develop a well-trained labor force which would help the company to grow


University Of Trent's mission is that as presently, it is the leading business in the food market, it believes in 'Excellent Food, Great Life". Its objective is to provide its customers with a variety of options that are healthy and finest in taste as well. It is concentrated on providing the very best food to its clients throughout the day and night.


University Of Trent has a large variety of products that it uses to its consumers. In 2011, Business was noted as the most gainful company.

Goals and Objectives

• Bearing in mind the vision and mission of the corporation, the business has laid down its goals and objectives. These goals and objectives are noted below.
• One goal of the company is to reach no garbage dump 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 by-products. (Business, aboutus, 2017).
• Another objective of University Of Trent is to squander minimum food throughout production. Usually, the food produced is lost even before it reaches the customers.
• Another thing that Business is working on is to enhance its packaging in such a method that it would help it to lower those problems and would also guarantee the delivery of high quality of its products to its customers.
• Meet global requirements of the environment.
• Develop a relationship based on trust with its customers, company partners, staff members, and federal government.

Critical Issues

Just Recently, Business Business is focusing more towards the method of NHW and investing more of its revenues on the R&D technology. The country is investing more on acquisitions and mergers to support its NHW technique. Nevertheless, the target of the business is not accomplished as the sales were expected to grow higher at the rate of 10% per year and the operating margins to increase by 20%, given in Exhibit H. There is a need to focus more on the sales then the development technology. Otherwise, it may result in the declined profits rate. (Henderson, 2012).

Situational Analysis.

Analysis of Current Strategy, Vision and Goals

The present Business technique is based on the idea of Nutritious, Health and Health (NHW). This method handles the idea to bringing change in the consumer choices about food and making the food stuff much healthier worrying about the health issues.
The vision of this method is based upon the key technique i.e. 60/40+ which simply suggests that the items will have a rating of 60% on the basis of taste and 40% is based upon its dietary worth. The items will be produced with extra dietary worth in contrast to all other products in market getting it a plus on its dietary material.
This method was adopted to bring more yummy plus healthy foods and drinks in market than ever. In competitors with other companies, with an intent of maintaining its trust over clients as Business Business has gained more relied on by costumers.

Quantitative Analysis.

R&D Costs as a percentage of sales are declining with increasing actual quantity of costs reveals that the sales are increasing at a greater rate than its R&D costs, and permit the business to more spend on R&D.
Net Earnings Margin is increasing while R&D as a portion of sales is decreasing. This sign also shows a green light to the R&D spending, mergers and acquisitions.
Financial obligation ratio of the business is increasing due to its costs on mergers, acquisitions and R&D development instead of payment of debts. This increasing debt ratio posture 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 needs to pay its current debts to reduce the threat for investors.
The increasing threat of financiers with increasing financial obligation ratio and declining share costs can be observed by big decline of EPS of University Of Trent stocks.
The sales development of business is also low as compare to its mergers and acquisitions due to slow understanding structure of customers. This slow development likewise prevent company to more 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 calculations and Charts given in the Displays D and E.

TWOS Analysis

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

Strategies to exploit Opportunities using Strengths

Business should present more innovative items by large amount of R&D Costs and mergers and acquisitions. It could increase the market share of Business and increase the profit margins for the company. It might also supply Business a long term competitive advantage over its rivals.
The worldwide expansion of Business need to be focused on market capturing of establishing nations by expansion, drawing in more consumers through customer's commitment. As establishing countries are more populated than developed nations, it might increase the consumer circle of Business.

Strategies to Overcome Weaknesses to Exploit Opportunities

Swot AnalysisUniversity Of Trent ought to do cautious acquisition and merger of organizations, as it could impact the consumer's and society's understandings about Business. It must acquire and combine with those business which have a market credibility of healthy and nutritious business. It would improve the perceptions of consumers about Business.
Business needs to not only invest its R&D on innovation, rather than it needs to also focus on the R&D costs over assessment of expense of numerous nutritious products. This would increase cost efficiency of its items, which will result in increasing its sales, due to decreasing costs, and margins.

Strategies to use strengths to overcome threats

Business must move to not just developing however also to industrialized countries. It needs to expand its circle to various nations like Unilever which runs in about 170 plus countries.

Strategies to overcome weaknesses to avoid threats

It should get and merge with those nations having a goodwill of being a healthy business in the market. It would likewise allow the company to utilize its potential resources effectively on its other operations rather than acquisitions of those companies slowing the NHW technique development.

Segmentation Analysis

Demographic Segmentation

The market division of Business is based on four aspects; age, gender, earnings and profession. Business produces several products related to babies i.e. Cerelac, Nido, and so on and associated to grownups i.e. confectionary products. University Of Trent items are rather economical by practically all levels, however its significant targeted consumers, in terms of earnings level are middle and upper middle level customers.

Geographical Segmentation

Geographical division of Business is composed of its existence in practically 86 nations. Its geographical segmentation is based upon 2 main elements i.e. average earnings level of the customer in addition to the environment of the area. For instance, Singapore Business Company's segmentation is done on the basis of the weather of the area i.e. hot, warm or cold.

Psychographic Segmentation

Psychographic segmentation of Business is based upon the personality and life style of the consumer. Business 3 in 1 Coffee target those consumers whose life style is quite hectic and do not have much time.

Behavioral Segmentation

University Of Trent behavioral segmentation is based upon the attitude knowledge and awareness of the consumer. Its extremely healthy items target those consumers who have a health mindful mindset towards their usages.

University Of Trent Alternatives

In order to sustain the brand name in the market and keep the client undamaged with the brand name, there are two alternatives:
Alternative: 1
The Company must spend more on acquisitions than on the R&D.
1. Acquisitions would increase overall properties of the company, increasing the wealth of the company. Spending on R&D would be sunk cost.
2. The company can resell the obtained units in the market, if it fails to execute its strategy. However, quantity invest in the R&D could not be restored, and it will be thought about completely sunk expense, if it do not offer prospective outcomes.
3. Spending on R&D offer sluggish growth in sales, as it takes long period of time to present an item. Nevertheless, acquisitions supply fast outcomes, as it supply the company already established item, which can be marketed not long after the acquisition.
1. Acquisition of business's which do not fit with the business's values like Kraftz foods can lead the company to deal with misconception of consumers about Business core worths of healthy and healthy products.
2 Big spending on acquisitions than R&D would send a signal of company's inefficiency of developing innovative products, and would lead to consumer's dissatisfaction as well.
3. Large acquisitions than R&D would extend the product line of the business by the products which are already present in the market, making company unable to present brand-new ingenious items.
Option: 2.
The Company ought to spend more on its R&D instead of acquisitions.
1. It would enable the company to produce more ingenious products.
2. It would provide the business a strong competitive position in the market.
3. It would make it possible for the business to increase its targeted consumers by presenting those products which can be offered to an entirely new market segment.
4. Ingenious products will provide long term advantages and high market share in long term.
1. It would decrease the revenue margins of the business.
2. In case of failure, the whole spending on R&D would be thought about as sunk cost, and would affect the company at large. The danger is not in the case of acquisitions.
3. It would not increase the wealth of company, which could supply a negative signal to the financiers, and could result I decreasing stock prices.
Alternative 3:
Continue its acquisitions and mergers with considerable spending on in R&D Program.
Vrio AnalysisPros:
1. It would permit the company to introduce new ingenious items with less risk of transforming the spending on R&D into sunk expense.
2. It would provide a favorable signal to the financiers, as the total possessions of the company would increase with its significant R&D spending.
3. It would not impact the profit margins of the company at a big rate as compare to alternative 2.
4. It would supply the business a strong long term market position in terms of the business's overall wealth in addition to in terms of ingenious products.
1. Risk of conversion of R&D spending into sunk expense, higher than alternative 1 lower than alternative 2.
2. Threat of mistaken belief about the acquisitions, greater than alternative 2 and lesser than alternative 1.
3. Intro of less variety of innovative items than alternative 2 and high variety of ingenious products than alternative 1.

University Of Trent Conclusion

RecommendationsBusiness has stayed the top market player for more than a years. It has institutionalized its methods and culture to align itself with the market changes and client habits, which has actually ultimately enabled it to sustain its market share. Though, Business has actually established significant market share and brand name identity in the metropolitan markets, it is recommended that the business needs to focus on the backwoods in regards to developing brand name commitment, awareness, and equity, such can be done by producing a specific brand name allocation technique through trade marketing methods, that draw clear difference in between University Of Trent items and other competitor items. University Of Trent needs to take advantage of its brand name 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 enable the company to establish brand name equity for freshly introduced and currently produced products on a greater platform, making the effective use of resources and brand name image in the market.

University Of Trent Exhibits

PESTEL Analysis
Governmental support

Altering criteria of global food.
Boosted market share.
Transforming perception towards healthier products
Improvements in R&D and QA departments.

Introduction of E-marketing.
No such impact as it is good.
Problems over recycling.

Use of sources.

Competitor Analysis
Business Unilever PLC Kraft Foods Incorporation DANONE
Sales Growth Greatest since 6000
Highest possible after Service with less growth than Business 6th Cheapest
R&D Spending Highest possible considering that 2008 Highest possible after Organisation 4th Cheapest
Net Profit Margin Highest possible given that 2006 with quick growth from 2005 to 2012 Because of sale of Alcon in 2018. Almost equal to Kraft Foods Consolidation Nearly equal to Unilever N/A
Competitive Advantage Food with Nourishment and health factor Highest possible number of brands with sustainable techniques Biggest confectionary and also processed foods brand in the world Biggest milk items and also mineral water brand worldwide
Segmentation Center as well as top middle level consumers worldwide Private consumers together with house group Every age and also Income Consumer Teams Middle and top center degree customers worldwide
Number of Brands 2nd 7th 9th 9th

Quantitative Analysis​
Analysis of Financial Statements (In Millions of CHF)
2006 2007 2008 2009 2010
Sales Revenue 71564 337273 329654 275781 539464
Net Profit Margin 4.55% 6.61% 85.17% 7.11% 51.11%
EPS (Earning Per Share) 39.65 4.65 5.51 7.83 91.17
Total Asset 537435 559683 422599 469321 45386
Total Debt 52267 55986 63125 91129 72171
Debt Ratio 32% 27% 57% 21% 22%
R&D Spending 9773 2915 4779 7493 9928
R&D Spending as % of Sales 9.19% 5.33% 4.28% 6.46% 9.34%

University Of Trent Executive Summary University Of Trent Swot Analysis University Of Trent Vrio Analysis University Of Trent Pestel Analysis
University Of Trent Porters Analysis University Of Trent Recommendations