This will help in better predicting the environment policy of the country. Some technology factors affecting the chocolate industry in the UK could include: Automation: Chocolate manufacturers in the UK are increasingly adopting automation technology to streamline their production processes and reduce labor costs. E - Economic. The PEST Analysis is quite similar to that of the SWOT analysis (Srdjevic et al. Due to the COVID-19 pandemic, the global Insulin Delivery Devices market size is estimated to be worth USD 11340 million in 2022 and is forecast to a readjusted size of USD 14100 million by 2028 . Chocolate Hawkins has to assess whether it can live with the fast pace of technology disruption in its industry. Amul Chocolates is a product category of the milk company Amul which is the brand name for the Gujarat Cooperative Milk Marketing Federation. - Business Laws Before entering into new market Chocolate Hawkins has to assess what are the business laws and how they are different from home market. PEST or PESTLE analysis is used to identify important external (macro-environment level) forces that could affect a company, creating opportunities or threats for the organization. Social factors such as demography trends, power structure in the society, women participation in workforce etc have immense impact over not only the country's economy but also on workforce talent availability and level of consumer demand. The Industrial Organization (I/O) approach advocates that for sustainable competitive advantage external factors are as important as internal factors of the Chocolate Gourmet. In this section, we present a brief analysis of each element in relation to the . This PEST analysis of the Hershey Company examines these issues, as well as their relationship with consumers and the use of cutting-edge technology. All Rights Reserved, Political factors: The politics and policies of chocolate, Economic factors: All problems, all the time, Social factors: A dedication to social responsibility and favor, then poor sales are obviously their fault, adopting new technology to create better treats, add this A.I technology to every one of their lines, the consumer pushback against their usage of the Ivory Coast (and potentially child labor), Twitter PESTLE Analysis: 6 Notable Factors Affecting the Social Network, How to Pursue a Career in Cybersecurity: 7 Professional Tips to Follow, General Mills SWOT Analysis: 3 Opportunities to Gain Competitive Advantage, Root Cause Analysis: An Easy 6-Step Complete Guide, Mayo Clinic SWOT Analysis 2023: Healthcare Business Checkup, 3 Top Tech Tools for the Modern Commercial Contractor. - Data Protection Laws Chocolate Gourmet needs to assess what are the data laws in the country and what it needs to do to comply with them. - Transparency & Digital Drive Chocolate Hawkins can use digitalization of various processes to overcome corruption in the local economy. - Recycle Policies What are the recycle policies in prospective market and how Chocolate Gourmet can adhere to those policies. The following is a PEST analysis of Cadbury which also will help to shed light on various external factors that affect the chocolate industry. SWOT analysis of Amul Chocolates. Tax rates were also terrible, according to Mr. Bilbrey. - Financial Market Structure and Availability of Capital at Reasonable Rates The quantitative easing policy of Federal Reserve has led to liquidity flooding all across the global financial markets. South Africa PESTLE Analysis & Macroeconomic Trends Market Research Report. The gender composition of labor market is a good indicator of disposal income of household, priorities of the households, and related needs. - Fiscal and Monetary Policies The Republican government tax break culture has increased the deficit and it can lead to fiscal trouble for the economy in coming years. - Mobile Phone & Internet Penetration Chocolate Gourmet should assess the level of internet and mobile phone penetration in the country as it will it in building a requisite business model based on local needs and realities. - Cost of Production and Trends Chocolate Gourmet should assess - What are the cost of production trends in the economy and level of automatization. . It is written by Glenn Carroll, Greg Powell and shed light on critical areas in field of Strategy & Execution, Entrepreneurship, Strategy that the protagonist in the case study is facing. Other factors may include regulations related to sustainability and greenhouse gas emissions, consumer demand for ethically and sustainably produced products, and the availability and cost of renewable energy sources. South Africa, officially the Republic of South Africa, is a country located at the southern tip of Africa, with over 1,739 miles of coastline that stretches along the South Atlantic and Indian oceans. we specialize at providing professional PESTEL analysis & other strategic management MBA resources. But even then, recession did play its part as the company managed only to hit the lower end of its 4%-6% revenue for 2009, the peak of the recession. This will help in better predicting the environment policy of the country. Show . In-depth industry statistics and market share insights of the Chocolate Market sector for 2020, 2021, and 2022. 1. Recent moves in this regard include the use of pathogen testing systems and filing patents for heat-resistant chocolate. At EMBA PRO,
In PESTEL analysis, you develop a detailed description of a company's macro-environment in terms of political, economic, socio-cultural, technological, environmental and legal factors as well as their effects. Two giants dominated: Hershey's controlled 32.6% of the market and Mars had 29.6%. Cultural norms: Chocolate is often associated with indulgence and gift-giving in UK culture, which may impact consumption patterns and marketing strategies. A PESTEL analysis is used as a strategic tool to measure industry dynamics through recognition of the core political, economic, social, technological, legal and environmental forces/changes having influence on the industry (Henry, 2007, p.23). Traceability: Technology such as barcoding, RFID (radio frequency identification), and blockchain are being used to enhance traceability of the chocolate supply chain, from cocoa bean to finished product. This analysis helps businesses to make informed decisions and take advantage of opportunities while mitigating potential risks. In addition, there are also concerns in the western world owing to rising cases of obesity, especially among children. Linda A. Hill, Alison Berkley Wagonfeld (2018), "Digital Chocolate Harvard Business Review Case Study. Choosing the vision, mission and the reason of existence for Chocolate Gourmet. - Consumer Protection Laws Chocolate Hawkins needs to know what are the consumer laws, what is the rate of enforcement, what is the attitude of authorities towards consumer protection laws, and what is the role activist groups in enforcement of consumer protection laws. Much of this gain in retail value could be attributed to a shift of U.S. consumers toward higher priced chocolates. - Influence of Climate Change How climate change will impact Chocolate Hawkins business model and supply chain. In the context of the UK, the change of government from the Labour party to the Conservative/Liberal Democrat is bound to influence Cadburys operations. In 2009, Hawkins was eager for Digital Chocolate to start developing new types of mobile games that could be played by multiple players over a period of time. Its a huge moral and ethical issue because the Ivory Coast is known to enforce child labor. Hi, We can write an analysis or assignment on any topic of your choice, PESTLE Analysis of Chocolate Industry in Uk. Research Methodology 4. - Attitude towards Authority Various cultures in different part of the world have different attitude towards authority. Table two below presents a PESTLE analysis for the industry Nestl are present . - Per Capita and National Carbon Emission What is the per capita carbon emission of the country and what is the overall level of carbon emissions of the country. - Health & Safety Laws What are the health and safety laws in the country and what Chocolate Gourmet needs to do to comply with them. Perhaps it was also the consumers, who (according to Hershey) werent going to stores. Out of which, her per capita income was 50,844 US dollars and it's 10th highest in the world. Sample Complete Report This is the sample complete report which will give you a glimpse of what your complete report will cover after purchase. According to an estimate, her annual GDP was 1.375 trillion US dollars in 2020. Note on the U.S. Chocolate Market case study (referred as Chocolate Gourmet for purpose of this article) is a Harvard Business School (HBR) case study covering topics such as Strategy & Execution and strategic management. And to also use simpler ingredients for planet sustainability. The Chocolate Market research report provides a comprehensive outlook of the market size and an industry growth forecast for 2023 to 2028. The Company has various popular products in the Petcare as well as in the chocolate category for example; in the Petcare industry Pedigree, Royal Canin, Whiskas etc. Cadbury is identical with the consumption of chocolate on a universal basis. These factors are Political, Legal, Economic and Social. It speaks out against child labor and slave labor, while also using sustainable practices for the environment. Some of the technology trends that are impacting the macro environment are developments in artificial intelligence, use of machine learning and big data analytics to predict consumer behavior, growing importance of platforms over service providers etc. The PESTLE Analysis highlights the different extrinsic scenarios which impact the business of the brand. PEST analysis is used to control the external factors of what happens outside the . - Environmental Regulation Impacting Absolute Cost Advantage Dynamics in the Industry. The remaining 35% of the chocolate industry was divided among Bourbon Corporation, Nestle S.A., Morinaga & Co, Fujiya, Kabaya Foods Corporation, and Cadbury. Cadbury made diverse sorts of chocolates and different items which are sold in a few nations around the globe. As such, theyre looking to bring more good into the world by building thriving communities and becoming better stewards of the planet. L - Legal. For example most of EU countries now want the EU citizen data to be saved in EU countries only. The PESTLE analysis is a concept first mentioned by Harvard Business School professor Francis J. Aguilar. 3. - Societal Norms and Hierarchy What sort of hierarchy and norms are acceptable in society also influence the types and level of consumption in a society. 3. Amul Chocolates also . - Role Local Governments Play Local governments are highly influential in the policy making process and implementation as most of the policies and regulations are implemented by the local government as enforcement agencies mostly report to local government in their own states regarding various laws. Chocolate Gourmet should be aware of presence of such practices in a country. - Cost of Production and Trends Chocolate Hawkins should assess - What are the cost of production trends in the economy and level of automatization. SWOT analysis of Cadbury 12. Article. It factors in temperature, rotations, pressure, and other necessary measurements to make the perfect candy. Recommended: How to write a PEST analysis. Your email address will not be published. 988 Words4 Pages. Higher inflation may require Chocolate Hawkins to continuously increase prices in line of inflation which could lead to lower levels brand loyalty and constant endeavors to manage costs. - Time Taken for Court Proceedings Even if the country has best of the laws, it doesnt mean much if they cant be enforced in a timely manner. Cadbury is synonymous with chocolate consumption worldwide. Learn how to, Our Mayo Clinic SWOT Analysis examines the Strengths, Weaknesses, Opportunities and Threats of one of, Technology is now taking over, and almost all fields are turning most tasks into digital., Copyright 2020 Weberience LLC. It would focus on the macro-environmental factors that impact her growth and productivity. Often companies enter the arena without requisite infrastructure to support the technology oriented model. Lindt PESTLE Analysis examines the various external factors like political, economic, social, technological (PEST) which impacts its business along with legal & environmental factors. In this PEST analysis of Cadbury, we saw how this leading chocolate company has dealt with external factors in the UK and in many other countries as well. Chocolate Hawkins should do a primary research regarding how much time it often takes to conclude a court case in the country given the sort of legal challenges Chocolate Hawkins can face. - Intellectual Property Rights Protection Chocolate Hawkins should assess the level of protection that intellectual property rights get under the legal system of the country. It should evaluate the e-commerce infrastructure, technology infrastructure etc before entering a new market. Know More Egypt SWOT Analysis This market research report covers SWOT (strengths, weaknesses, opportunities and threats) analysis for Egypt. Legal factors often govern conditions to enter the market, laws to operate in the market, and procedure to resolve any dispute with other stakeholders. - Attitude towards Authority Various cultures in different part of the world have different attitude towards authority. A SWOT analysis of handbags, A SWOT (Strengths, Weaknesses, Opportunities, Threats) analysis is a strategic planning tool used to evaluate the internal and external factors that can impact the success, Your email address will not be published. Chocolate Gourmet should have capabilities to navigate under this hyper sensitive environment. Government policies: Taxation, trade policies, and regulations can impact the cost of production and distribution of chocolate products, affecting the profitability of the industry. Attitude towards immigration has come under sharp focus. For example, Value-added Tax rose by 2.5% in 2010 and increased chocolate prices and reduced sales. Chocolate Gourmet should be careful about the history of forex risk before entering new market. Global Chocolate Market - offers growth, outlook, trends, shares, Industry Analysis, opportunities, Key Players Forecast 2019 to 2025 IND: (+91) 949418 5556 , USA: (+1) 408-915-5456 sales@envisioninteligence.com Government support: Government policies and initiatives to support the growth and development of the food industry can benefit the chocolate industry in the UK. The company was founded in 1924 and has gained much popularity now. Chocolate industry Presentation 1. Chocolate Hawkins needs to be careful about building marketing strategy that is dependent on Purchase on Credit consumer behavior. Choosing the vision, mission and the reason of existence for Chocolate Hawkins. The Industrial Organization (I/O) approach advocates that for sustainable competitive advantage external factors are as important as internal factors of the Chocolate Hawkins.