Hershey company case analysis



Hershey company case analysis

Introduction

Hershey Foods is known as the leading chocolate manufacturing company operating from North America. During the period of 2008, the company witnessed a comprehensive increase in its sales of last year, as during 2007 company sales were $4.9 billion, which rose to $5.1 billion in year 2008. Because of increase in sales of the company product, it witnessed a comprehensive increase in its overall net income that from $311,405,000 in year 2007 rose to $214,154,000.

The company was initiated by Milton Hershey as “Hershey foods” during the year 1908, the founder of the company has initially started his professional career as candy manufacturer. During his initial days, the founder formulated his personal candy business and in year 1886, that company was renamed as “Lancaster Caramel Company” (Capps & Gissmeyer, 2012). Further, during the 1883, Hershey started manufacturing chocolate under “Hershey Chocolate Company” a subsidiary of Lancaster Caramel Company. After witnessing the initial success of his chocolate product, the founder along with his business associates have decided to make chocolate as their major brand and since then company has become the well-known chocolate manufacturer.

In addition to this, the company is extensively commitment to ensure enhancing the living standard of people of his country, through his innovative social responsibility program. Over the years, the company is enthusiastically occupied with Cocoa initiative foundation, World Cocoa foundation, and others. Moreover, Hershey for over the years is known for producing iconic products, like Hershey Bar, Hershey Kisses, and Reese's product, further, company is investing huge amount of money in research and development process, primarily to extend its product line, and improve the quality of its existing product (Chang & Huang, 2006).

Proposed Vision Statement

As per Hershey's current success within the chocolate industry of USA, its proposed vision statement would be as follows

“To change the perception of chocolate eating, by giving people scrumptious, mouthwatering chocolates with unique flavors”

Analysis of Hershey's mission statement

“Bringing sweet moments of Hershey happiness to the world every day”

The company mission statement provides a clear and detailed illustration of their goals and objectives that the company is striving to accomplish, and that primarily is to market its most valuable products to as many existing and potential customers on daily basis and ensuring positive experience throughout the pool of customers (Chen, 2011). On the other hand, the mission statement of the company is not comprehensive enough to described the technology that is being used by the company, strategies adopted by companies for sustaining their growth, relationship with customers, and internal issues related to employees. Meanwhile, the value of company's mission statement for some of its important stakeholders is discussed below.

Consumers: distributing excellence customer single-minded confectionery familiarity for all circumstances

Employees: captivating goals with the help of united and authorized association while ensuring fun-fill and relax environment.

Business Partners: enhancing and formulating mutual associations for advantageous expansion with our consumers, supplier, and other important associates

Shareholders: Formulating sustainable value among all the shareholders

Communities: devoting our legacy with unremitting obligation to ...