Hershey Company Case Study

A Case Study

For

HERSHEY COMPANY - 2009

By Anne Walsh and Ellen Mansfield

La Salle University

Mission

* The mission of Hershey Company is "Bringing sweet moments of Hershey happiness to the world everyday"

* Winning with an aligned and empowered organization while having fun.

* Building collaborative relationships for profitable growth with our customer, suppliers, and partners.

* Creating sustainable value

* Honoring our heritage through continued commitment to making a positive difference.

* Undisputed Marketplace Leadership

Vision:

* Expects year-end 2009 of 6 to 8 percent

Objectives:

* To be able to deliver quality consumer driven confectionary experiences for all occasions.

* To extend beyond their school to both their products and supplier relationship

Strategies:

* Hershey's concentrates on advertising their iconic brands such as Hershey bars, Hershey Kisses, and Resse.

* The company also promotes the health benefits of flavonols in its Dark Chocolate products.

* The company relies on special promotions to increase holiday sales, and also uses advertising programs to supplement seasonal sales.

* Hershey also has special editions products that are themed with events.

* Hershey joint venture with different Confectionary Company to expand their markets both Asia and Unites States.

EXTERNAL OPPORTUNITIES

1. Shift to a service economy in the United States.

2. Worker productivity levels

3. Emerging market

4. Re-branding started strategy to drive consumer demand

5. Value of the dollar in world markets

6. has antioxidants benefits of their product

7. Demand shifts from different categories of goods & service

EXTERNAL THREATS

1. Competitive environment

2. Economic pressures

3. price fluctuation

4. Value of the dollar in world markets

5. Childbearing rates of laborer

6. Government regulations and deregulations

7. worldwide known of their competitor

8. Unfavorable currency exchange rates

INTERNAL STRENGHTS

1. global expansion

2. has a strong recognition of brands

3. increased consumer preferences for healthy & organic products

4. increased employee productivity

5. has antioxidants benefits of their product

6. Close relationship to the suppliers

7. extension to social responsibility

8. Direct research to the consumer

INTERNAL WEAKNESS

1. unstable prices of commodities

2. many of the ingredients used in the company are grown in West Africa, South America, & Far East

3. Decline of assets in 2007 due to long-term debt.

4. Unfavorable currency exchange rates.

5. Labor reduction

6. Faltered of product in 2009

7. Discontinued relationship of company partners.

EXTERNAL FACTOR EVALUATION

KEY EXTERNAL FACTORS WEIGHT RATING WEIGHTED SCORE