ROGER'S CHOCOLATE CASE STUDY

Roger's Chocolate Case Study

Roger's Chocolate Case Study

Problem/Issues Identification

Steve Parkhill was considering about his choices for increasing Rogers' Chocolates (Rogers'). It was March 2007, and he had just begun his new job as leader of the business, after teaching with the previous leader for two months. The board of controllers had inquired him to twice or triple the dimensions of the business inside 10 years. Each board constituent of the personally held business, and each constituent of the administration group (most of who furthermore held shares), had a distinct concept about what Rogers' required to manage to accomplish that growth. Parkhill required to develop a scheme that would fit the company's heritage, and then gain the support of the board, the administration group and the employees.

 

The Premium Chocolate Market

The Canadian market dimensions for sweets was US$167 million in 2006 and it was projected to augment at two percent annually.1 The development rate in the sweets commerce as a entire had been dropping, although, so customary manufacturers for example Hershey's and Cadburys were going into the premium sweets market through acquisitions or upmarket launches. The premium sweets market was increasing at 20 percent annually,2 as aging baby boomers bought more sweets and emphasized value and emblem in their purchases.  About one quarter of sweets sales normally happen in the eight weeks former to Christmas. Twenty percent of “heavy users” accounted for 54 percent of these pre-Christmas sales in 2006. These hefty users tended to be established families, middle elderly childless twosomes and empty nesters with high earnings, and they tended to buy more high value boxed sweets than bars or smaller value chocolate.3 The margins in premium sweets were much better than those in smaller value segments.

 

SWOT Analysis

Strength

Purchasers were furthermore requiring more from sweets than taste. In line with a very broad communal tendency for healthier eating sparingly, the demand for organic goods, encompassing organic sweets was growing. Consumers looked for goods with no trans fats.4 Demand for dark sweets, conventionally less well liked than milk sweets in North America, was increasing in part because of its heart-healthy anti-oxidant properties.

 

Weaknesses

At the identical time, although, bigger sweets manufacturers were searching a redefinition of the period “chocolate” under USFDA guidelines, in order that they could make lower versions of the merchandise and still call it chocolate.  Consumers and workers were furthermore requiring that sweets businesses (like other companies) pursued good business communal blame practices. Environmental anxieties, which were very powerful in Victoria, leveraged wrapping, procurement and operational decisions. Human privileges anxieties were furthermore high on the register for buyer anticipations of sweets businesses, as compelled work and progeny work were still utilised in some of the output of cocoa beans in West Africa.

 

Opportunity

One clientele internet note obtained by Rogers' read as follows:  I am drawing the deduction that Rogers' buys their raw merchandise from West Africa. Rogers' is uninterested in producing a genuine effort to eradicate this crisis. Furthermore, Rogers' is producing assistance to the unethical ...