Real chocolate company Essay Example | Topics and Well Written Essays - 2750 words

Real drinking chocolate guild - Essay ExampleThe company sells its products through retail stores both company owned and franchised. It produces broad(a) variety of chocolates (that caters to the different tastes of the customers) at the company owned factory and delivers the same, to stores in a cost efficient manner. The products such as fudges and caramel apples are made within the store in order to take for the freshness. The convenience and the suitable tastes of the products are directly correlated with the number of foot-falls in the stores and overall sales.The key stakeholders of the company include all franchisees, employees, company owners and customers. With the company deriving a 72 percent of revenues by marketing the products to franchisees, the satisfaction of the franchisees stands crucial for the company in order to keep the sales growth intact in future years. Also, keeping abreast of the changing consumer preferences is becoming a must.While the company sal es growth and financials appear sound, many smaller and similar sized companies having variety of product offerings, fast changing consumer take habits with rising income levels, aggressive marketing strategies of market leaders, maturing and fragmented nature of the industry is posing challenges for the company to keep an eye on its current growth. This report evaluates the various external and internal factors related to the companys business, and presents a strategical solution for the current problem faced by the company.The analysis of the five competitive forces (suggested by Michael porter), that is to say threat of new entrants, threat of substitution, bargaining power of buyers, bargaining power of suppliers, and rivalry among the existing companies, make better explains the nature of confectionery industry and provides the basic road map to develop a competitive scheme for The Real Chocolate Company (Porter, 1998).The factors like, lack of