Supplier Power The suppliers in this market are dairy farmers and their power is assessed as being moderate. Dairy products are made of milk, and there are no real substitutes to this raw input. In most industries, if a firm’s inputs are limited and can only come in a few forms, they have a narrower range of choices, which limits their capacity to shop for the best deals. That typically increases bargaining power of suppliers. But, in the dairy industry, since the government sets the prices of milk, for players like Saputo there are virtually no differences between buying from one farmer to another, which significantly reduces supplier power.
The two major shocks to the Russian economy in 1991 (fall of the Soviet Union) and 1998 (financial crisis) had major impacts on the ice cream industry as well (Appendix A and B). While 1991 ushered in foreign competitors with the opening of the Russian market, 1998 brought in a lot of other industry players such as frozen food wholesalers into the ice cream business. Both events increased competition. The industry we are analysing is the Russian ice cream manufacturing industry. Porter’s five force analysis (Appendix C) shows high levels of competitive rivalry, buyer power and threat of substitutes.
Ben and Jerry’s Case Study Analysis Situational Analysis: In 2000, Ben and Jerry’s Homemade Ice-cream Inc. went from an independent maker to a multinational corporation as they merged with Unilever. Prior to merging with Unilever, Ben and Jerry’s was a socially conscious company. Ben and Jerry’s had their own foundation that was used to donate money to a variety of organizations that they felt would benefit society. They also donated 1% of revenue before taxes to world peace. In addition to their socially responsible actions, Ben and Jerry’s treated their employees very well with day care for employee’s kids, a no lay-off policy, and a fun working environment.
Is the real estate subsidiary a good idea? If the managers buy more stock, what is the appropriate price? There are two major concerns which are gaining competitive advantage and determining comparable valuations. Brazos should allow the company to sell the managers some stock of the business to benefit the managers. But the amount that a manager can hold stocks should be limited because the ownership would be split in this way as it is not good for Brazos itself to decrease its ownership.
CAGR: Operating income, % Operating income (EBIT) measures a company's earning power from ongoing operations and it largely used by investor because it excludes the effects of different capital structures and tax rates used in different companies. EBIT is "capital structure neutral" and is therefore a more appropriate way of comparing the earnings of different companies than net income
The value to the separate transitions would be higher than a combined one. Being the value of the disk drive business diluted in the Veritas stock value, a separation based deal would trigger a valuation of the Veritas business close to its stock price value, plus a higher price for the disk drive business. Finally Silver Lake Partners’ aims to acquire the disk drive operations and probably are not interested in the Veritas stock, that is a very close exchange of money for stock. Transaction Winners and Losers: Main winners would be Seagate shareholders. Will avoid taxes on the Veritas stock swap and acquire a more liquid asset.
|Strategic Analysis of Ben and Jerry's Homeade Inc. | | | Uploaded by butter ball on Jun 14, 2006 | | |[pic] | | | | | |INTRODUCTION | | | | | |Ben & Jerry’s is an innovative leader in the super premium ice cream industry. The company blends a commitment to provide all natural, high quality ice cream | | |with a commitment towards social activism and environmental responsibility. This report will analyze both the company’s environmental strategy and general | | |corporate strategy in order to identify the consistencies and disparities (if any) between these strategies and to determine whether a “green” company such as | | |Ben & Jerry’s can sustain a competitive advantage. We will also discuss the potential impacts on the company’s strategic vision in light of the recent | | |acquisition by Unilever. Our analysis will focus on examining the strengths and weaknesses of the environmental and general corporate strategies in light of its| | |internal resources and external competitive and non-market forces.
It doesn’t give on a scale the far difference or relevance between low and high for either project. Project Janus could have been judge against because of departmental biases. Project Janus gives a good strategic score and a better financial expected profit. Furthermore, one feels that top management will be more concerns with the overall profit gain of the projects and which one will cost the least and that’s where Project Janus stands above Project
Ice-Filli | Russian Ice Cream Market | Porters Five Force analysis | | | | | Executive summery In the Russian ice cream market many economic factors have caused the market to fluctuate up and down over the years. These economic factors have affected the barriers to entry, power of suppliers, power of buyers, substitutes, and competitive rivalry within the industry. In this paper I am going to cover each one of these five forces, discus whether these forces are high or low within the ice cream market, and how the economic factors were a big part of how the market came to be. Barriers to Entry There are a variety of factors in regarding the barriers to entry for competitors to establish themselves in the Russian ice cream market, I will go on to list and describe them. Supply-side economics of sale are high because companies must enter the market on a large scale in order to compete in price and distribution levels.
7. The meltdown of the won during 1997-98 was a major disaster since it tremendously increased the import costs, and most of the ice cream was imported. 8. The contamination scare and following that the finding of a dangerous strain of bacteria on one of the American brands made the people apprehensive about using American brands of foods. 2.