Renault-Volvo Strategic Alliance (A) March 1993 Case Study Analysis
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Renault-Volvo Strategic Alliance (A) March 1993 Case Solution
Renault-Volvo Strategic Alliance (A) March 1993 Case Study Solution is a popular name of a New York based, world's leading company in the food and drink industry. business is a prominent brand in practical snacks, foods and drinks with its existence in about 200 nations.
The report includes a deep analysis of various elements of the social duties of significant companies in the food and beverage market in general, and Case Analysis in particular. It also supplies an analysis of the growing health and environmental issues consisting of weight problems, cardiovascular disease, environmental devastation etc. in the Western countries and the function of the business in the food and beverage market to deal with these issues. The report likewise provides an examination of the extent of sustainability and CSR in the Renault-Volvo Strategic Alliance (A) March 1993 Case Study Help's business technique in addition to the determination of how Case Study Help develops value for its consumers. Moreover, the report likewise provides particular strategic options for Case Analysis to incorporate the criticism over its social responsibility with particular recommendations and an execution plan.
Problems Identification
Case Study Solution had taken particular essential actions regarding the ecological effects of its items, but, these actions are not enough to end up the criticism over the business's duty towards social and environmental concerns. This is required to take certain strategic steps to change the market position of its specific well-known brand names and present Case Study Analysis as a business producing healthy items in the market. In this regard, business and other food and beverage companies need to use their power to move the consumer taste towards much healthier products to get rid of the restraints in the growth of food industry.
Vital Analysis
The shift from the usage of natural food to produced food has highly impacted the health of the customers. All of the information related to the health issues with the incorporation of manufactured food in the market discuss the occurrence of the health problems related to food system. These issues are indirectly the outcome of various practices of the food and drink companies for producing value for their customers.
Value Production at Renault-Volvo Strategic Alliance (A) March 1993 Case Study Analysis
Renault-Volvo Strategic Alliance (A) March 1993 Case Study Help being a giant company in the food and beverage industry, supplies high worth to its clients by different methods. Worth production in the food and beverage industry is done through 2 ways i.e. taste and accessibility of the product. Case Study Solution has a competitive advantage in providing its items far and wide internationally. Its marketing capability makes it able to target a big base of customers. The company is presented in about 200 nations with a large number of popular global brands. The everywhere existence of the company items offers high worth to customers.
Additionally, the business produces value for its customers by ways of offering large number of delicious food consisting of salt, fat and sugar, which are the ingredients that are straight connected with the emotional core of the customer's brain. The Renault-Volvo Strategic Alliance (A) March 1993 Case Study Help together with other huge food and beverages business create value for its consumers by manipulating these active ingredients in its products. Case Study Help in addition to other huge companies has an interest in discovering ways to increase the consumer value from its products through exploiting the vulnerability.
Along with it, the business also creates value by ways of including the healthy point in its products. The company has done specific efforts in order to offer healthy items and decrease the share of Renault-Volvo Strategic Alliance (A) March 1993 Case Study Help in total environmental devastation. Case Study Solution has taken particular steps related to the sustainability of people and environment consisting of the 2009 announcement of the ambitious objectives and dedications related to Case Study Solution products, marketplace and the neighborhood.
All of these ways have been effective at producing worth for the Case Study Analysis consumers. Increasing health related concerns have raised the criticism for Case Study Solution.
Positive Role of Major Food and Beverage Business in Attending To Social and Ecological Costs Associated with the Market
Significant food and beverage business including Renault-Volvo Strategic Alliance (A) March 1993 Case Study Solution etc. can play a positive function in attending to social and eco-friendly costs associated with the market. The eco-friendly expenses associated with food and drink industry consist of the environmental destruction due to the increase of nitrogen which has actually resulted in the decreased water drinking patterns, river contamination, and increased emission of greenhouse gases from soil and so on. All these factors results in ecological devastation which might be a big danger to the existence of mankind in future.
Significant cause of these environmental modifications is mass use of nitrogen abundant fertilizers and the active ingredients by the food and drink companies. Food and beverage business should play a positive role in dealing with these concerns to eliminate their development constraints related to the criticism from the ecological neighborhoods.
In order to attend to these concerns, the companies might either decrease their use of nitrogen rich ingredients or take specific steps to minimize the quantity of nitrogen in the overall environment. The business should avoid use of nitrogen fertilizers and need to search out the items of those farmers that do not use fertilizers for their crop. Additionally, the companies might likewise buy decreasing greenhouse gas emissions worldwide. The companies could use sustainable energy sources at their production plant to compensate the greenhouse gas emissions from the use of nitrogen-rich items.
In addition to the environmental costs there are certain social expenses related to the food and beverage industry which must be addressed by the giant food and drink companies to accomplish the market development and to prevent the criticism from the environmental communities. Social expenses related to the market consists of the increasing health concerns related to weight problems, heart problem, diabetes and so on. However, the huge companies might play an useful role in addressing these issues.
The companies might move towards more healthy products by decreasing the quantity of harmful substances in their processed foods i.e. dioxin, which might result in lethal human illness. The companies could likewise do efforts to move customer tastes towards healthy products as they have controlled the consumer taste for few years.
Examination of Sustainability at Renault-Volvo Strategic Alliance (A) March 1993 Case Study Solution
There was a potential shift in the business method and objectives at Case Study Analysis. The new CEO was focused on investing in healthier items for attaining sustainable growth for the company in addition to supplying much healthier future for individuals and the planet both. Under the brand-new vision, the motto of the company was also altered from the "enjoyable for you" to "much better for you".
Human Sustainability
business obtained Quake Oats producing TrueNorth nut snacks and SoBe, and Naked Juice producing soy drinks and organic beverages to introduce various healthier products in its portfolio. Despite of being thought about a Case Help's healthy brand, the products of Quaker Oats included several ingredients which were hazardous to health.
Along with the inculcation of healthy brands in its portfolio through acquisitions, Renault-Volvo Strategic Alliance (A) March 1993 Case Study Analysis has actually taken particular sustainability actions for its market places. Among significant examples in this regard is the Company's marketing strategy related to schools. The business markets just low calories and nutritious drinks choices in schools.
Another step taken by Case Study Help towards human sustainability is the shift of its focus towards research study and development for introducing new and healthy items in its portfolio. The business has increased its research study and advancement budget plan and has presented an army of health scientists to develop certain healthy items.
Ecological Sustainability
In this regard, the company devoted to minimize its product packaging by millions of tones to avoid high amount of wastes. The company has devoted to decrease greenhouse gas emissions along with the achievement of effectiveness in the energy usage.
On the basis of above analysis, it could be determined that the company has taken a number of steps towards human and environmental sustainability. These actions are still not sufficient to attain the preferred commercial development and to reduce the criticism over the social obligation of Case Study Help.
Alternatives
Specific long term strategic options could be obtained for the company on the basis of above analysis. These alternatives can be assessed on the basis of the fact that how the alternative would enable the company to achieve its goal of potential growth and reduce the criticism over the company. The options might be examined on the basis of the time frame that would be taken by an alternative to be carried out along with the expense and risks related to the alternative
Alternative-1: introduction of a New Product line Connected to Healthy Foods and Beverages
The first action that Renault-Volvo Strategic Alliance (A) March 1993 Case Study Analysis could take is to introduce a brand-new item line related to healthy food and drinks. The business should present a broad range of healthier items by utilizing its significant research and development expenditures.
Pros:
• Ability to target a great deal of customers i.e. health mindful consumers.
• Reduction of the criticism of ecological worried societies and community advancement companies.
• Satisfaction of the social obligation by payment of the hazardous items with healthy items.
• Might be executed within couple of years i.e. 3 to 5 years.
Cons:
• Danger of failure of the new items in the market i.e. consumers might not like the taste and might not accept the healthier items due to the addictive nature of harmful products.
• The hazardous products in the item portfolio may make the incorporation of healthy items stop working to reduce criticism.
• Big expense of research and advancement required to build new healthy items.
Alternative-2: High level Acquisition of Health associated Companies
Another alternative option to achieve the possible growth and lower the criticism is to obtain the health associated business at a high level. Investment in these kind of business would allow Renault-Volvo Strategic Alliance (A) March 1993 Case Study Solution to introduce a big range of healthier items within a short time period without any need of considerable research and advancement expenses. The advantages and disadvantages associated with alternative 3 are offered listed below:
Pros:
• Conserving of substantial quantity of research study and development costs for new product advancement.
• Incorporation of new products within two years.
• Capability to target a great deal of customers i.e. health conscious customers.
• Reduction of the criticism of environmental worried societies and community advancement companies.
• Fulfillment of the social responsibility by settlement of the hazardous items with healthy items.
Cons:
• The acquisition might not show to alter the image of Renault-Volvo Strategic Alliance (A) March 1993 Case Study Analysis as in case of Quaker Oats.
• Requirement of huge quantity of capital.
• Danger of failure of the new products in the market i.e. customers may not like the taste and may decline the healthier items due to the addicting nature of dangerous items.
• The hazardous products in the product portfolio might make the incorporation of healthy products fail to decrease criticism.
Aletrnative-3: Replacement of Hazardous Products with Healthy Products in the Portfolio
Another alternative choice for Renault-Volvo Strategic Alliance (A) March 1993 Case Study Solution is to change all of its hazardous products with healthier products. The replacement of dangerous items with much healthier products would completely change the market position of the business and would require a big number of necessary steps to be taken.
Pros:
• Change of market position of Renault-Volvo Strategic Alliance (A) March 1993 Case Study Solution
• Ability to target a great deal of consumers i.e. health conscious customers.
• End of all of the criticism of ecological concerned societies and community advancement organizations.
• Satisfaction of the social duty
Cons:
• Threat of failure of the brand-new products in the market i.e. consumers may not like the taste and may decline the healthier products due to the addicting nature of hazardous products.
• Huge cost of research study and advancement needed to develop new healthy products.
• Employee might resist over the change in business model and company strategy.
• Number of years needed for the implementation.
• Shift of focus from the core competencies.
Recommendations
With the deep analysis of the company's CSR, problems dealt with by the company and the present market situation, Case Study Solution is advised to think about alternative 2 of high level of acquisition of health associated companies. As the acquisitions would enable the business to conserve of huge amount of research and advancement costs for brand-new item advancement. Along with it, acquisitions would allow incorporation of new items within two years along with the ability to target large number of customers.
This Renault-Volvo Strategic Alliance (A) March 1993 case study is writen by : Robert F Bruner
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