J. M. Smucker's Case By John E. Gamble

J. M. Smucker's Case By John E. Gamble

Executive Summary

The strategic management requires the companies to consider various factors. Many companies develop and implement multiple strategies to get higher level of profit margins and to grow and expand their businesses. This paper has discussed the case study “Smucker's in 2011: Expanding the business lineup” which is written by John E. Gamble. In this case study it has been shown that how the small sized company has turned into the giant company over the period of time by attaining a number of small and medium sized companies. The J. M. Smucker Company started its business by selling the Apple cider and the apple butter product. Later on the company indulged itself in the production of jam, jellies, marmalades, beverages, fruit juices, and dessert toppings and in other fruit products. The company acquired a number of small and medium sized companies that were involved in the production of the similar products. The acquisition of other business assisted the J. M. Smucker Company to expand its product line and profitability margins. The J. M. Smucker Company adopted the acquisition strategy in order to response positively the increasing competition in the consolidated food industry of the North America. This paper has also done the in depth internal and external analysis as well as the SWOT analysis of the J. M. Smucker Company. The acquisition strategy of the J. M. Smucker Company has defended the competition with great effectiveness and it also has increased the contribution gains of the shareholders, but, the aggressive acquisition of the companies has also created the inefficiency of strategic management in many aspects of the business. The company will have to implement effective strategies in order to manage the large number of business units and to retain the business in the highly competitive environment.

Introduction

Every business company in the world has the aim to retain its position in the market and to attain the higher level of growth and profit margins. The companies, in order to attain the business objective, utilize many strategic actions. The implementation of different strategies within the business processes requires the companies to take careful consideration about the industry and about the potentiality of the company in serving the need and requirements of the company (Odies, C. F., Michael D. H., 2010). Having the growth and development in the businesses is the aim of every business company. In recent years, the competition among the companies has increased to great extent. There are many factors that have created the increased competition among the peer companies in the industries. Some of these factors involve the increased in innovations and technologies that are utilized by most of the companies in their business operations, the changing business trends and management strategies, the increase in globalization and the changing consumer behaviors and their tastes and the economic situations of the countries (Sadler, P., 2003). It has been found that the economies of the countries in recent years ...