Renault-Volvo Strategic Alliance (B) Case Study Help

Home >> Robert F Bruner >> Renault-Volvo Strategic Alliance (B)

Renault-Volvo Strategic Alliance (B) Case Solution

Renault-Volvo Strategic Alliance (B) Case Study Analysis is a popular name of a New York based, world's leading company in the food and beverage market. Case Study Analysis is a prominent brand in convenient snacks, foods and beverages with its presence in about 200 nations. Significant brands of the company consist of; Pepsi-Cola, Frito-Lay, Tropicana, Quaker and Gatorade. The core competitive advantage of the company is its capability to market the item at far and wide places. The business is doing efforts to make item advancement as its brand-new source of competitive benefit.

The report includes a deep analysis of numerous elements of the social responsibilities of significant business in the food and beverage industry in general, and business in specific. The report also supplies an examination of the extent of sustainability and CSR in the Renault-Volvo Strategic Alliance (B) Case Study Analysis's service technique along with the determination of how Case Study Analysis produces value for its consumers.

Concerns Recognition

Case Study Analysis had taken specific essential steps relating to the environmental effects of its items, but, these steps are not enough to end up the criticism over the business's duty towards social and environmental concerns. This is required to take specific tactical actions to alter the market position of its specific popular brand names and present Case Study Solution as a business producing healthy products in the market. In this regard, company and other food and beverage companies need to utilize their power to shift the consumer taste towards much healthier items to eliminate the constraints in the growth of food industry.

Crucial Analysis

For the few years, customer food patterns have actually been changed drastically. The shift from making use of healthy food to produced food has actually highly impacted the health of the consumers. Despite of the discovery of contemporary health strategies, the overall health of people in few years have been highly impacted. Currently about 1 billion of individuals In US are obese and a minimum of 300 million of them have obesity. Kids likewise facing the problem of weight problems. The ratios of obesity in 1980s are rather various from the current ratios. Despite of discovery of health techniques and modern methods to control weight problems and other diseases, the ratio of weight problems has been doubled form the level of 1980. All of the information connected to the health issues with the incorporation of manufactured food in the market discuss the frequency of the health problems connected to food system. These problems are indirectly the outcome of various practices of the food and drink companies for creating worth for their customers.

Worth Creation at Renault-Volvo Strategic Alliance (B) Case Study Solution

Renault-Volvo Strategic Alliance (B) Case Study Solution being a huge company in the food and beverage market, offers high worth to its consumers by various methods. Value development in the food and drink industry is done through two ways i.e. taste and schedule of the product. Case Study Solution has a competitive advantage in providing its products far and wide worldwide. Its marketing capability makes it able to target a large base of consumers. The business is presented in about 200 nations with a large number of popular international brand names. The far and wide presence of the company items offers high value to customers.

Furthermore, the company produces value for its customers by ways of offering large number of yummy foodstuff consisting of salt, fat and sugar, which are the components that are straight connected with the psychological core of the customer's brain. The Renault-Volvo Strategic Alliance (B) Case Study Solution in addition to other huge food and beverages companies create value for its consumers by manipulating these ingredients in its products. Case Study Solution along with other giant companies is interested in discovering methods to increase the consumer worth from its products through making use of the vulnerability.

In addition to it, the company likewise creates value by ways of incorporating the healthy point in its products. The business has actually done particular efforts in order to supply healthy products and reduce the share of Renault-Volvo Strategic Alliance (B) Case Study Solution in total ecological devastation. Case Study Help has actually taken particular steps connected to the sustainability of people and environment consisting of the 2009 announcement of the enthusiastic goals and dedications related to Case Study Analysis items, market and the neighborhood.

All of these ways have been effective at developing worth for the Case Study Help consumers. Increasing health related problems have raised the criticism for Case Study Analysis.

Positive Role of Major Food and Drink Business in Resolving Social and Ecological Costs Associated with the Market

Major food and beverage companies consisting of Renault-Volvo Strategic Alliance (B) Case Study Solution etc. can play a constructive role in attending to social and ecological costs associated with the industry. The ecological expenses associated with food and beverage market consist of the ecological devastation due to the influx of nitrogen which has actually led to the reduced water drinking patterns, river contamination, and increased emission of greenhouse gases from soil and so on. All these factors leads to environmental devastation which might be a big hazard to the existence of humankind in future.

Significant reason for these ecological changes is mass usage of nitrogen abundant fertilizers and the ingredients by the food and beverage companies. For that reason, food and beverage companies need to play an useful role in attending to these concerns to eliminate their development restrictions connected to the criticism from the ecological communities.

In order to deal with these problems, the business could either decrease their usage of nitrogen rich ingredients or take specific steps to lower the quantity of nitrogen in the overall environment. The companies ought to prevent usage of nitrogen fertilizers and need to locate the products of those farmers that do not utilize fertilizers for their crop. Additionally, the business could also purchase lowering greenhouse gas emissions worldwide. For example, the companies might utilize renewable energy sources at their production plant to compensate the greenhouse gas emissions from making use of nitrogen-rich items.

Together with the eco-friendly expenses there are certain social costs related to the food and drink industry which must be attended to by the giant food and drink companies to accomplish the industry growth and to prevent the criticism from the environmental communities. Social expenses associated with the market includes the increasing health problems related to obesity, heart disease, diabetes and so on. Nevertheless, the huge business might play a positive function in attending to these problems.

The business might move towards more healthy items by lowering the quantity of harmful compounds in their processed foods i.e. dioxin, which could result in lethal human diseases. The companies could likewise do efforts to shift customer tastes towards healthy products as they have managed the customer taste for few decades.

Assessment of Sustainability at Renault-Volvo Strategic Alliance (B) Case Study Help

There was a potential shift in the business technique and goals at Case Study Solution. The new CEO was focused on investing in healthier items for accomplishing sustainable development for the business together with providing healthier future for individuals and the planet both. Under the brand-new vision, the motto of the business was also altered from the "fun for you" to "better for you".

Human Sustainability

company got Quaker Oats producing TrueNorth nut treats and SoBe, and Naked Juice producing soy beverages and organic beverages to introduce different healthier products in its portfolio. Despite of being thought about a Case Analysis's healthy brand name, the products of Quaker Oats consisted of a number of ingredients which were harmful to health.

In addition to the inculcation of healthy brand names in its portfolio through acquisitions, Renault-Volvo Strategic Alliance (B) Case Study Solution has actually taken specific sustainability actions for its market places. Among significant examples in this regard is the Company's marketing strategy related to schools. The business markets only low calories and healthy drinks choices in schools.

Another action taken by Case Study Help towards human sustainability is the shift of its focus towards research study and development for introducing new and healthy products in its portfolio. The business has increased its research and advancement budget and has actually presented an army of health researchers to design particular healthy products.

Ecological Sustainability

In addition to the human sustainability, Renault-Volvo Strategic Alliance (B) Case Study Help has actually taken numerous steps towards ecological sustainability. The business has actually committed to different objectives related to water, land, packaging, environment modification and community. In this regard, the company committed to decrease its product packaging by millions of tones to prevent high quantity of wastages. The company has dedicated to lower greenhouse gas emissions along with the accomplishment of efficiency in the energy usage. company has also attempted specific philanthropic activities consisting of a dedication to supply safe drinking water to 3 million individuals in establishing nations by 2015.

On the basis of above analysis, it might be identified that the company has actually taken numerous actions towards human and ecological sustainability. However these actions are still not sufficient to achieve the wanted industrial growth and to minimize the criticism over the social obligation of Renault-Volvo Strategic Alliance (B) Case Study Solution.

Alternatives

Specific long term tactical options could be derived for the company on the basis of above analysis. These options can be examined on the basis of the fact that how the alternative would enable the business to achieve its objective of potential growth and reduce the criticism over the business. The alternatives could be examined on the basis of the time frame that would be taken by an option to be executed along with the expense and threats related to the option

Alternative-1: introduction of a New Product line Related to Healthy Foods and Beverages

The initial step that Renault-Volvo Strategic Alliance (B) Case Study Help might take is to introduce a brand-new product line connected to healthy food and beverages. Although, the company has already presented specific heath associated brands, but, the variety of these brands in its portfolio is not possible to reduce the criticism and attain possible development. Therefore, the business must present a vast array of healthier items by utilizing its substantial research and development expenditures. The pros and cons related to the intro of a healthy product line in the portfolio are given below:

Pros:

• Capability to target large number of consumers i.e. health conscious consumers.
• Reduction of the criticism of environmental worried societies and community advancement organizations.
• Fulfillment of the social responsibility by compensation of the hazardous products with healthy items.
• Might be implemented within few years i.e. 3 to 5 years.

Cons:

• Threat of failure of the brand-new products in the market i.e. consumers might not like the taste and may decline the much healthier items due to the addictive nature of harmful items.
• The hazardous items in the item portfolio might make the incorporation of healthy items fail to decrease criticism.
• Big expense of research study and development required to construct brand-new healthy products.

Alternative-2: High level Acquisition of Health related Companies

Another alternative choice to accomplish the prospective development and reduce the criticism is to acquire the health related companies at a high level. Financial investment in these type of business would enable Renault-Volvo Strategic Alliance (B) Case Study Analysis to introduce a large range of much healthier items within a brief time period without any need of considerable research study and development expenditures. The benefits and drawbacks connected to alternative 3 are provided listed below:

Pros:

• Saving of huge quantity of research study and development expenses for new item advancement.
• Incorporation of brand-new products within two years.
• Capability to target a great deal of consumers i.e. health mindful customers.
• Decrease of the criticism of environmental concerned societies and community development companies.
• Satisfaction of the social responsibility by compensation of the harmful items with healthy products.

Cons:

• The acquisition might not show to change the image of Renault-Volvo Strategic Alliance (B) Case Study Analysis as in case of Quaker Oats.
• Requirement of huge quantity of capital.
• Risk of failure of the brand-new products in the market i.e. consumers might not like the taste and may decline the healthier items due to the addicting nature of dangerous products.
• The dangerous products in the item portfolio might make the incorporation of healthy items fail to minimize criticism.

Aletrnative-3: Replacement of Hazardous Products with Healthy Products in the Portfolio

Another alternative option for Renault-Volvo Strategic Alliance (B) Case Study Help is to replace all of its dangerous products with much healthier products. This could be a huge shift in the business technique and the business model at business. The replacement of hazardous products with healthier products would totally alter the market position of the company and would require a a great deal of needed steps to be taken. The advantages and disadvantages connected to alternative 3 are provided listed below:

Pros:

• Change of market position of Renault-Volvo Strategic Alliance (B) Case Study Help
• Ability to target large number of consumers i.e. health mindful consumers.
• End of all of the criticism of ecological worried societies and community development organizations.
• Fulfillment of the social duty

Cons:

• Threat of failure of the brand-new items in the market i.e. customers may not like the taste and may not accept the much healthier items due to the addictive nature of harmful products.
• Substantial expense of research study and advancement needed to construct new healthy products.
• Employee might resist over the modification in the business model and business strategy.
• Variety of years required for the application.
• Shift of focus from the core competencies.

Recommendations

With the deep analysis of the business's CSR, issues dealt with by the company and the current industry situation, Renault-Volvo Strategic Alliance (B) Case Study Solution is recommended to think about alternative 2 of high level of acquisition of health associated business. As the acquisitions would enable the company to conserve of huge quantity of research study and advancement expenses for brand-new item advancement. Together with it, acquisitions would enable incorporation of brand-new products within 2 years together with the ability to target large number of consumers. Additionally, the acquisitions would result in the decrease of the criticism from the concerned organizations.However, the option would need huge quantity of mutual fund. The companies may not be able to lower the criticism. With a cautious analysis of the acquisition with an aggressive marketing campaigns, business could prove to be successful in achieving the targets.

This Renault-Volvo Strategic Alliance (B) case study is writen by : Robert F Bruner

Executive Summary	Swot Analysis	Vrio Analysis	Pestel Analysis
Porters Analysis	Recommendations