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Red Bull And Energy Drinks Case SWOT Analysis

Case Study Solution And Analysis


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Red Bull And Energy Drinks Case Study Solution

The internal analysis and external of the company likewise can be done through SWOT Analysis, summed up in the Display F.

Strengths

• Red Bull And Energy Drinks has an experience of about 140 years, allowing company to better carry out, in different scenarios.
• Nestlé's has existence in about 86 countries, making it an international leader in Food and Beverage Industry.
• Red Bull And Energy Drinks has more than 2000 brands, which increase the circle of its target customers. These brands consist of baby foods, animal food, confectionary items, drinks etc. Famous brands of Red Bull And Energy Drinks consist of; Maggi, Kit-Kat, Nescafe, etc.
• Red Bull And Energy Drinks has big amount of spending on R&D as compare to its rivals, making the company to release more innovative and nutritious items. This development provides the company a high competitive position in long term.
• After embracing its NHW Technique, the company has actually done big amount of mergers and acquisitions which increase the sales development and improve market position of Red Bull And Energy Drinks.
• Red Bull And Energy Drinks is a popular brand with high customer's commitment and brand recall. This brand loyalty of consumers increases the opportunities of easy market adoption of numerous new brand names of Red Bull And Energy Drinks.

Weaknesses

• Acquisitions of those business, like; Kraft frozen Pizza company can give a negative signal to Red Bull And Energy Drinks clients about their compromise over their core proficiency of healthier foods.
• The growth I sales as compare to the company's investment in NHW Method are quite different. It will take long to alter the understanding of individuals ab out Red Bull And Energy Drinks as a business offering healthy and nutritious items.

Opportunities

• Introducing more health associated items enables the business to record the marketplace in which customers are quite conscious about health.
• Developing countries like India and China has biggest markets worldwide. Expanding the market towards establishing nations can increase the Red Bull And Energy Drinks company by increasing sales volume.
• Continue acquisitions and joint ventures increases the market share of the business.
• Increased relationships with schools, hotel chains, restaurants etc. can likewise increase the number of Red Bull And Energy Drinks customers. For instance, instructors can suggest their students to buy Red Bull And Energy Drinks items.

Threats

• Financial instability in countries, which are the prospective markets for Red Bull And Energy Drinks, can produce numerous problems for Red Bull And Energy Drinks.
• Shifting of items from typical to healthier, leads to additional costs and can result in decline company's earnings margins.
• As Red Bull And Energy Drinks has an intricate supply chain, for that reason failure of any of the level of supply chain can lead the company to face certain problems.

Exhibit F: SWOT Analysis