Menu

Social Media Content Strategy At Ayojak Case Study Analysis

Case Study Solution And Analysis


Home >> Kelloggs >> Social Media Content Strategy At Ayojak >>

Social Media Content Strategy At Ayojak Case Study Analysis

Social Media Content Strategy At Ayojak is presently among the most significant food chains worldwide. It was founded by Kelloggs in 1866, a German Pharmacist who first introduced "FarineLactee"; a mix of flour and milk to feed babies and decrease death rate. At the same time, the Page siblings from Switzerland likewise found The Anglo-Swiss Condensed Milk Company. The 2 became competitors in the beginning however in the future merged in 1905, leading to the birth of Social Media Content Strategy At Ayojak.
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. Social Media Content Strategy At Ayojak currently has more than 500 factories around the world and a network spread throughout 86 countries.

Purpose

The function of Social Media Content Strategy At Ayojak Corporation is to boost the lifestyle of individuals by playing its part and supplying healthy food. It wishes to help the world in forming a healthy and much better future for it. It likewise wishes to motivate people to live a healthy life. While ensuring that the business is being successful in the long run, that's how it plays its part for a better and healthy future

Vision

Social Media Content Strategy At Ayojak's vision is to supply its customers with food that is healthy, high in quality and safe to consume. It wants to be ingenious and all at once understand the needs and requirements of its customers. Its vision is to grow quick and offer products that would please the requirements of each age group. Social Media Content Strategy At Ayojak visualizes to establish a well-trained workforce which would help the company to grow
.

Mission

Social Media Content Strategy At Ayojak's objective is that as currently, it is the leading company in the food industry, it believes in 'Good Food, Excellent Life". Its objective is to supply its consumers with a range of choices that are healthy and best in taste. It is focused on offering the very best food to its consumers throughout the day and night.

Products.

Social Media Content Strategy At Ayojak has a broad variety of items that it provides to its clients. In 2011, Business was listed as the most rewarding organization.

Goals and Objectives

• Keeping in mind the vision and objective of the corporation, the company has put down its objectives and objectives. These goals and goals are listed below.
• One objective of the business is to reach absolutely no landfill status. (Business, aboutus, 2017).
• Another goal of Social Media Content Strategy At Ayojak is to squander minimum food during production. Most often, the food produced is lost even prior to it reaches the clients.
• Another thing that Business is dealing with is to enhance its product packaging in such a method that it would help it to lower those issues and would also guarantee the shipment of high quality of its items to its consumers.
• Meet worldwide standards of the environment.
• Construct a relationship based upon trust with its customers, service partners, employees, and 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 technology. The nation is investing more on acquisitions and mergers to support its NHW technique. 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%, provided in Exhibition H.

Situational Analysis.

Analysis of Current Strategy, Vision and Goals

The current Business method is based on the idea of Nutritious, Health and Wellness (NHW). This method deals with the concept to bringing change in the customer choices about food and making the food stuff much healthier concerning about the health issues.
The vision of this technique is based on the secret method i.e. 60/40+ which merely means that the products will have a rating of 60% on the basis of taste and 40% is based on its dietary worth. The items will be manufactured with extra dietary value in contrast to all other products in market gaining it a plus on its nutritional content.
This strategy was adopted to bring more tasty plus healthy foods and drinks in market than ever. In competitors with other business, with an objective of maintaining its trust over clients as Business Business has actually gotten more relied on by customers.

Quantitative Analysis.

R&D Spending as a percentage of sales are declining with increasing actual quantity of costs reveals that the sales are increasing at a higher rate than its R&D spending, and permit the company to more invest in R&D.
Net Earnings Margin is increasing while R&D as a percentage of sales is decreasing. This sign also shows a thumbs-up to the R&D costs, 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 financial obligations. This increasing debt ratio present a threat of default of Business to its financiers and could lead a declining share rates. Therefore, in regards to increasing financial obligation ratio, the company needs to not invest much on R&D and should pay its current financial obligations to decrease the danger for financiers.
The increasing threat of investors with increasing debt ratio and declining share rates can be observed by huge decrease of EPS of Social Media Content Strategy At Ayojak stocks.
The sales development of company is also low as compare to its mergers and acquisitions due to slow perception structure of customers. This slow development also impede company to additional invest in its mergers and acquisitions.( Business, Business Financial Reports, 2006-2010).
Note: All the above analysis is done on the basis of estimations and Graphs given up the Exhibitions D and E.

TWOS Analysis


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

Strategies to exploit Opportunities using Strengths

Business ought to present more ingenious products by large amount of R&D Spending and mergers and acquisitions. It might increase the marketplace share of Business and increase the revenue margins for the company. It could also supply Business a long term competitive benefit over its competitors.
The worldwide expansion of Business ought to be concentrated on market recording of establishing countries by expansion, bring in more consumers through customer's loyalty. As establishing countries are more populous than industrialized countries, it might increase the consumer circle of Business.

Strategies to Overcome Weaknesses to Exploit Opportunities

Swot AnalysisSocial Media Content Strategy At Ayojak must do cautious acquisition and merger of companies, as it might impact the consumer's and society's perceptions about Business. It should acquire and merge with those business which have a market reputation of healthy and nutritious companies. It would enhance the understandings of consumers about Business.
Business needs to not just spend its R&D on innovation, rather than it ought to likewise focus on the R&D spending over evaluation of expense of various healthy items. This would increase expense effectiveness of its items, which will lead to increasing its sales, due to decreasing prices, and margins.

Strategies to use strengths to overcome threats

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

Strategies to overcome weaknesses to avoid threats

It ought to acquire and merge with those countries having a goodwill of being a healthy company in the market. It would likewise make it possible for the business to use its possible resources efficiently on its other operations rather than acquisitions of those organizations slowing the NHW technique development.

Segmentation Analysis

Demographic Segmentation

The demographic segmentation of Business is based upon four aspects; age, gender, earnings and profession. For instance, Business produces several products connected to babies i.e. Cerelac, Nido, and so on and associated to grownups i.e. confectionary items. Social Media Content Strategy At Ayojak products are quite budget friendly by practically all levels, but its major targeted consumers, in terms of earnings level are middle and upper middle level clients.

Geographical Segmentation

Geographical division of Business is composed of its presence in practically 86 nations. Its geographical segmentation is based upon 2 primary aspects i.e. average income level of the consumer along with the environment of the region. Singapore Business Business'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 consumer. Business 3 in 1 Coffee target those consumers whose life design is quite hectic and do not have much time.

Behavioral Segmentation

Social Media Content Strategy At Ayojak behavioral segmentation is based upon the attitude knowledge and awareness of the client. For instance its highly nutritious products target those customers who have a health conscious attitude towards their intakes.

Social Media Content Strategy At Ayojak 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 must invest more on acquisitions than on the R&D.
Pros:
1. Acquisitions would increase total properties of the company, increasing the wealth of the business. Spending on R&D would be sunk cost.
2. The company can resell the gotten systems in the market, if it stops working to execute its technique. However, quantity spend on the R&D could not be revived, and it will be thought about completely sunk expense, if it do not provide potential outcomes.
3. Spending on R&D offer sluggish growth in sales, as it takes long period of time to present an item. Acquisitions provide fast outcomes, as it supply the business already developed product, which can be marketed soon after the acquisition.
Cons:
1. Acquisition of company's which do not fit with the company's worths like Kraftz foods can lead the business to deal with misunderstanding of customers about Business core worths of healthy and healthy products.
2 Big spending on acquisitions than R&D would send a signal of company's inadequacy of establishing ingenious products, and would lead to consumer's dissatisfaction also.
3. Big acquisitions than R&D would extend the product line of the business by the items which are already present in the market, making company not able to introduce brand-new innovative products.
Option: 2.
The Company ought to invest more on its R&D instead of acquisitions.
Pros:
1. It would enable the business to produce more innovative items.
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 introducing those products which can be provided to a totally new market segment.
4. Ingenious products will supply long term advantages and high market share in long term.
Cons:
1. It would decrease the profit margins of the business.
2. In case of failure, the whole costs on R&D would be considered as sunk cost, and would affect the business at big. The threat is not when it comes to acquisitions.
3. It would not increase the wealth of business, which could offer a negative signal to the financiers, and might result I declining 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 products with less threat of transforming the costs on R&D into sunk cost.
2. It would supply a positive signal to the investors, as the overall assets of the business would increase with its substantial R&D spending.
3. It would not affect the revenue margins of the business at a large rate as compare to alternative 2.
4. It would offer the company a strong long term market position in regards to the business's overall wealth as well as in terms of innovative products.
Cons:
1. Threat of conversion of R&D costs into sunk cost, greater than option 1 lesser than alternative 2.
2. Threat of mistaken belief about the acquisitions, higher than alternative 2 and lesser than option 1.
3. Intro of less number of innovative items than alternative 2 and high variety of innovative products than alternative 1.

Social Media Content Strategy At Ayojak Conclusion

RecommendationsIt has institutionalised its methods and culture to align itself with the market changes and consumer behavior, which has ultimately enabled it to sustain its market share. Business has actually developed considerable market share and brand identity in the urban markets, it is advised that the company must focus on the rural locations in terms of developing brand commitment, awareness, and equity, such can be done by creating a specific brand name allotment method through trade marketing strategies, that draw clear difference in between Social Media Content Strategy At Ayojak items and other competitor products.

Social Media Content Strategy At Ayojak Exhibits

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

Changing standards of worldwide food.
Enhanced market share.
Changing understanding in the direction of healthier items
Improvements in R&D and QA departments.

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

Use of sources.

Competitor Analysis
Business Unilever PLC Kraft Foods Incorporation DANONE
Sales Growth Greatest because 6000
Highest possible after Business with less growth than Business 1st Least expensive
R&D Spending Highest given that 2005 Highest after Business 5th Cheapest
Net Profit Margin Highest possible because 2002 with fast development from 2005 to 2011 As a result of sale of Alcon in 2014. Nearly equal to Kraft Foods Unification Practically equal to Unilever N/A
Competitive Advantage Food with Nourishment and also wellness aspect Highest number of brand names with lasting methods Largest confectionary and also refined foods brand name on the planet Largest milk items and bottled water brand name in the world
Segmentation Center and upper middle degree consumers worldwide Individual consumers together with family group Every age as well as Revenue Client Teams Middle and also top middle level customers worldwide
Number of Brands 3rd 1st 7th 4th

Quantitative Analysis​
Analysis of Financial Statements (In Millions of CHF)
2006 2007 2008 2009 2010
Sales Revenue 78954 457716 875711 682275 356388
Net Profit Margin 8.77% 7.52% 45.61% 8.62% 84.76%
EPS (Earning Per Share) 68.39 4.45 3.33 9.23 83.36
Total Asset 114291 343393 556739 213248 27865
Total Debt 21633 52266 22185 99671 53762
Debt Ratio 71% 44% 26% 39% 78%
R&D Spending 3668 6816 3163 1764 9697
R&D Spending as % of Sales 3.49% 1.17% 1.34% 7.96% 5.96%

Social Media Content Strategy At Ayojak Executive Summary Social Media Content Strategy At Ayojak Swot Analysis Social Media Content Strategy At Ayojak Vrio Analysis Social Media Content Strategy At Ayojak Pestel Analysis
Social Media Content Strategy At Ayojak Porters Analysis Social Media Content Strategy At Ayojak Recommendations