Kellogg's: A Fortune 500 Company - Business Strategy

Introduction

This paper is based on business strategy for Kellogg's, a Fortune 500 company. Kellogg's is a leading firm in food grain and is the only reason for choosing this company. The paper describes the current Kellogg's, strategy and future plans for sustainable growth.Kellogg's Business

Kellogg's, located in Battle Creek, Michigan, is the world's largest producer of cereals, with annual sales of more than nine billion dollars. Their cereal-line products contain different flavors of corn flakes, and also some brands such as Rice Krispies, Frosted Flakes and Special K in particular (Junior 29). Additional supply lines include Keebler, Pop tarts, Eggo, Nutri-Cereal and.Cereals Market

In recent years a high level of innovative new products and promotion were typical for the market of breakfast cereals. In line with broader trends in health, the focus is shifting to more expensive health-oriented snacks. The demand for breakfast cereals in national markets is largely dependent on cultural traditions (Noe 14).New marketing structure in the Kellogg's

Kellogg's new marketing strategy should not repeat the mistakes of the past, and brand protection from attacks by the private label. Kellogg has always been known for consistent quality, while applying the high standards that distinguish the products to the marketing practices. Kellogg Marketing Department has been developing the company's entire marketing initiatives, including business strategy for each brand of Kellogg (Maisela 59). Kellogg's marketing plan focuses on:1. Product Management2. New Product Development3. Understanding of consumer4. Consumer Affairs5. Marketing Promotion6. Catering Affairs7. Technical Communication / PR

The Challenges for Kellogg's

Cereal industry is faced up with oligopoly with three major companies and a few very small niche companies. Price competition is virtually not one of these companies and no company has a clear dominance over others (Capelli, 111).

Potential competitors

Absence of potential competitors, the grain company makes so much power. ...