British American Tobacco In South Korea Case Study Analysis

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British American Tobacco In South Korea Case Analysis

British American Tobacco In South Korea Case Study Solution is a widely known name of a New York based, world's leading company in the food and drink market. Case Study Solution is a prominent brand name in hassle-free snacks, foods and beverages with its existence in about 200 countries. Major brands of the business consist of; Pepsi-Cola, Frito-Lay, Tropicana, Quaker and Gatorade. The core competitive benefit of the business is its capability to market the item at everywhere places. Moreover, the business is doing efforts to make item development as its brand-new source of competitive advantage.

The report includes a deep analysis of numerous aspects of the social responsibilities of significant companies in the food and beverage industry in general, and Case Solution in specific. It likewise offers an analysis of the growing health and environmental concerns consisting of weight problems, heart problem, ecological destruction etc. in the Western countries and the function of the companies in the food and drink market to deal with these issues. The report also provides an assessment of the level of sustainability and CSR in the British American Tobacco In South Korea Case Study Analysis's service method in addition to the determination of how Case Study Solution creates value for its customers. Additionally, the report likewise provides particular tactical alternatives for Case Help to integrate the criticism over its social obligation with particular recommendations and an implementation plan.

Issues Identification

Case Study Solution had taken certain important steps concerning the ecological effects of its items, however, these actions are not enough to end up the criticism over the company's duty towards social and eco-friendly concerns. This is required to take certain strategic steps to change the market position of its specific famous brand names and present Case Study Help as a business producing healthy products in the market. In this regard, company and other food and drink companies need to utilize their power to shift the customer taste towards healthier items to remove the restrictions in the growth of food market.

Crucial Analysis

The shift from the usage of natural food to produced food has extremely affected the health of the customers. All of the data related to the health problems with the incorporation of made food in the market explain the frequency of the health issues related to food system. These issues are indirectly the result of numerous practices of the food and drink business for producing worth for their consumers.

Worth Development at British American Tobacco In South Korea Case Study Analysis

British American Tobacco In South Korea Case Study Help being a giant company in the food and drink market, supplies high value to its customers by different methods. Worth production in the food and beverage industry is done through two ways i.e. taste and availability of the item. Case Study Solution has a competitive advantage in providing its items far and wide worldwide. Its marketing capability makes it able to target a big base of consumers. The company is presented in about 200 nations with a a great deal of popular global brands. The everywhere existence of the business items provides high value to consumers.

Additionally, the business produces worth for its consumers by methods of providing large number of delicious food including salt, fat and sugar, which are the components that are straight connected with the psychological core of the consumer's brain. The British American Tobacco In South Korea Case Study Solution along with other huge food and drinks business create value for its consumers by manipulating these ingredients in its items. Case Study Help along with other giant companies is interested in discovering ways to increase the consumer value from its products through exploiting the vulnerability.

Along with it, the company likewise develops worth by methods of incorporating the healthy point in its products. The company has done particular efforts in order to supply healthy products and decrease the share of British American Tobacco In South Korea Case Study Analysis in general ecological devastation. Case Study Solution has actually taken specific steps associated with the sustainability of people and environment consisting of the 2009 statement of the ambitious objectives and dedications connected to Case Study Solution products, marketplace and the community.

All of these means have achieved success at producing value for the company customers. These methods have also lead to the increased environmental issues and the criticism over the company's function in increasing health and ecological challenges. The incorporation of components like salt, fat and sugar in the business products for producing customer value deals with high quantity of criticism. These ingredients are the primary cause of specific deadly diseases in human including obesity, diabetes, heart diseases etc. Increasing health related problems have raised the criticism for British American Tobacco In South Korea Case Study Analysis.

Constructive Function of Major Food and Drink Companies in Addressing Social and Ecological Expenses Associated with the Market

Major food and drink business consisting of British American Tobacco In South Korea Case Study Analysis and so on can play a positive function in addressing social and ecological expenses associated with the market. The ecological expenses connected to food and drink market consist of the environmental destruction due to the increase of nitrogen which has actually led to the decreased water drinking patterns, river contamination, and increased emission of greenhouse gases from soil etc. All these factors results in ecological destruction which could be a huge hazard to the existence of humanity in future.

Major reason for these ecological modifications is mass usage of nitrogen rich fertilizers and the components by the food and drink companies. Therefore, food and drink companies must play a positive role in attending to these issues to remove their growth constraints connected to the criticism from the ecological neighborhoods.

In order to address these issues, the companies might either minimize their usage of nitrogen rich active ingredients or take particular actions to minimize the amount of nitrogen in the overall environment. The companies need to avoid usage of nitrogen fertilizers and must locate the items of those farmers that do not utilize fertilizers for their crop. Moreover, the companies might likewise buy lowering greenhouse gas emissions worldwide. For instance, the business could use renewable energy sources at their production plant to compensate the greenhouse gas emissions from using nitrogen-rich items.

Together with the ecological expenses there are specific social expenses associated with the food and drink market which need to be attended to by the huge food and drink business to achieve the market growth and to prevent the criticism from the ecological communities. Social costs associated with the industry includes the increasing health issues connected to obesity, cardiovascular disease, diabetes and so on. The giant companies could play a positive function in attending to these issues.

The companies could move towards more healthy products by lowering the amount of toxic compounds in their processed foods i.e. dioxin, which might lead to deadly human diseases. Along with it, the companies ought to use more nutritious ingredients rather than derivatives of Corn and Soy to increase number of calories from their products. The business might also do efforts to shift customer tastes towards healthy items as they have controlled the consumer taste for couple of decades. In this way the giant food and drink companies could play a constructive function in resolving social and environmental costs connected to the industry.

Assessment of Sustainability at British American Tobacco In South Korea Case Study Analysis

There was a possible shift in the business method and objectives at Case Study Help. The new CEO was concentrated on investing in much healthier items for achieving sustainable growth for the business in addition to providing healthier future for the people and the world both. Under the new vision, the slogan of the company was also altered from the "fun for you" to "better for you".

Human Sustainability

business obtained Quake Oats producing TrueNorth nut snacks and SoBe, and Naked Juice producing soy drinks and natural beverages to introduce various much healthier items in its portfolio. Despite of being thought about a Case Analysis's healthy brand name, the items of Quaker Oats consisted of numerous active ingredients which were dangerous to health.

Along with the inculcation of healthy brands in its portfolio through acquisitions, British American Tobacco In South Korea Case Study Help has taken particular sustainability steps for its market places. One of major examples in this regard is the Company's marketing strategy associated to schools. The company markets only low calories and healthy beverages options in schools.

Another action taken by Case Study Analysis towards human sustainability is the shift of its focus towards research and advancement for presenting brand-new and healthy products in its portfolio. The company has actually increased its research study and advancement spending plan and has actually presented an army of health scientists to develop particular healthy items.

Ecological Sustainability

In addition to the human sustainability, British American Tobacco In South Korea Case Study Help has taken several actions towards ecological sustainability. The business has actually committed to various goals connected to water, land, packaging, climate change and neighborhood. In this regard, the business devoted to lower its packaging by millions of tones to prevent high quantity of wastes. The business has devoted to decrease greenhouse gas emissions along with the accomplishment of efficiency in the energy usage. company has actually likewise attempted specific philanthropic activities consisting of a dedication to offer safe drinking water to 3 million individuals in establishing countries by 2015.

On the basis of above analysis, it could be figured out that the business has taken several actions towards human and environmental sustainability. Nevertheless these actions are still not adequate to accomplish the wanted commercial development and to minimize the criticism over the social obligation of British American Tobacco In South Korea Case Study Help.

Alternatives

Certain long term strategic alternatives could be derived for the business on the basis of above analysis. These options can be examined on the basis of the reality that how the alternative would allow the company to attain its objective of prospective growth and minimize the criticism over the company. Moreover, the alternatives could be assessed on the basis of the time frame that would be taken by an option to be carried out in addition to the cost and dangers connected to the alternative

Alternative-1: intro of a New Product line Associated with Healthy Foods and Beverages

The very first action that British American Tobacco In South Korea Case Study Solution could take is to introduce a brand-new product line related to healthy food and drinks. The business ought to introduce a broad variety of healthier products by utilizing its considerable research study and development expenditures.

Pros:

• Capability to target large number of consumers i.e. health conscious customers.
• Decrease of the criticism of ecological concerned societies and community development companies.
• Satisfaction of the social duty by settlement of the harmful products with healthy products.
• Might be carried out within few years i.e. 3 to 5 years.

Cons:

• Threat of failure of the new items in the market i.e. customers might not like the taste and may decline the much healthier products due to the addicting nature of harmful items.
• The harmful items in the product portfolio might make the incorporation of healthy items stop working to decrease criticism.
• Huge expense of research study and development needed to develop new healthy products.

Alternative-2: High level Acquisition of Health associated Companies

Another alternative option to accomplish the potential growth and reduce the criticism is to get the health associated business at a high level. Financial investment in these kind of business would allow British American Tobacco In South Korea Case Study Analysis to present a big range of much healthier products within a brief time period with no need of considerable research study and development expenses. The pros and cons related to alternative 3 are offered listed below:

Pros:

• Conserving of big amount of research and development expenses for brand-new item advancement.
• Incorporation of brand-new products within two years.
• Ability to target large number of customers i.e. health conscious customers.
• Reduction of the criticism of environmental worried societies and community development organizations.
• Satisfaction of the social responsibility by compensation of the harmful items with healthy items.

Cons:

• The acquisition might not show to change the image of British American Tobacco In South Korea Case Study Analysis as in case of Quake Oats.
• Requirement of huge amount of capital.
• Threat of failure of the new products in the market i.e. consumers might not like the taste and might decline the much healthier products due to the addicting nature of harmful products.
• The dangerous products in the item portfolio might make the incorporation of healthy items fail to lower criticism.

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

Another alternative choice for British American Tobacco In South Korea Case Study Help is to replace all of its hazardous items with healthier items. This might be a huge shift in the business technique and the business model at company. The replacement of dangerous items with much healthier products would totally alter the market position of the company and would need a a great deal of required actions to be taken. The advantages and disadvantages related to alternative 3 are provided listed below:

Pros:

• Change of market position of British American Tobacco In South Korea Case Study Help
• Capability to target a great deal of customers i.e. health mindful consumers.
• End of all of the criticism of environmental concerned societies and neighborhood development organizations.
• Satisfaction 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 healthier items due to the addictive nature of harmful items.
• Big expense of research and advancement required to develop brand-new healthy products.
• Employee may withstand over the change in business design and service method.
• Number of years required for the application.
• Shift of focus from the core proficiencies.

Recommendations

With the deep analysis of the business's CSR, problems dealt with by the company and the existing market situation, Case Study Analysis 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 substantial amount of research and advancement expenses for new product advancement. Along with it, acquisitions would enable incorporation of new products within two years along with the ability to target big number of customers.

This British American Tobacco In South Korea case study is writen by : Vivek Gupta

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