Ikeas Environmental Practices Making Good Business Sense Case Study Analysis

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Ikeas Environmental Practices Making Good Business Sense Case Solution

Ikeas Environmental Practices Making Good Business Sense Case Study Solution is a widely known name of a New York based, world's leading organization in the food and beverage market. Case Study Help is a leading brand in convenient snacks, foods and beverages with its existence in about 200 countries. Significant brand names of the business 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 everywhere places. The company is doing efforts to make product advancement as its brand-new source of competitive benefit.

The report contains a deep analysis of different elements of the social obligations of major business in the food and beverage industry in basic, and Case Help in particular. It likewise provides an analysis of the growing health and environmental issues including weight problems, heart diseases, ecological destruction and so on in the Western countries and the function of the business in the food and beverage industry to attend to these issues. The report also supplies an assessment of the level of sustainability and CSR in the Ikeas Environmental Practices Making Good Business Sense Case Study Analysis's organisation method along with the determination of how Case Study Analysis creates worth for its consumers. The report also provides particular tactical alternatives for business to integrate the criticism over its social responsibility with certain recommendations and an implementation plan.

Issues Identification

The giant food and beverage business was going through a criticism over its obligation towards different social and ecological problems consisting of; weight problems, heart diseases, ecological devastation and so on. These criticisms lead, to rethink about the business strategy of Ikeas Environmental Practices Making Good Business Sense Case Study Help. The Vivek Gupta has actually realized that the total society, the way of life of individuals and the people at whole have actually been altered now. In this scenario with increasing trends towards much healthier items and the increasing environmental issues, Case Study Solution ought to change its direction towards healthier items. Although, Case Study Solution had actually taken particular important actions concerning the environmental impacts of its products, however, these actions are not enough to wind up the criticism over the business's obligation towards social and ecological concerns. Therefore, the is needed to take certain strategic actions to change the market position of its certain well-known brand names and present Ikeas Environmental Practices Making Good Business Sense Case Study Analysis as a business producing healthy products in the market. In this regard, Case Study Analysis and other food and drink business should utilize their power to move the customer taste towards much healthier products to remove the restrictions in the growth of food market.

Important Analysis

The shift from the usage of natural food to manufactured food has extremely impacted the health of the customers. All of the information related to the health problems with the incorporation of manufactured food in the market describe the frequency of the health concerns related to food system. These problems are indirectly the outcome of different practices of the food and beverage business for creating value for their customers.

Value Creation at Ikeas Environmental Practices Making Good Business Sense Case Study Analysis

Ikeas Environmental Practices Making Good Business Sense Case Study Analysis being a huge company in the food and drink market, provides high worth to its consumers by numerous methods. Value creation in the food and beverage industry is done through two ways i.e. taste and schedule of the item. Case Study Solution has a competitive advantage in providing its products far and wide internationally. Its marketing ability makes it able to target a large base of customers. The company is presented in about 200 nations with a large number of famous global brands. The everywhere existence of the company items provides high value to consumers.

The company develops value for its consumers by methods of providing large number of yummy food items including salt, fat and sugar, which are the active ingredients that are directly linked with the emotional core of the consumer's brain. The Ikeas Environmental Practices Making Good Business Sense Case Study Solution in addition to other giant food and drinks business produce worth for its consumers by manipulating these ingredients in its products. Case Study Help along with other giant business has an interest in discovering ways to increase the consumer value from its products through exploiting the vulnerability.

Together with it, the company likewise creates value by methods of incorporating the healthy point in its products. The company has actually done certain efforts in order to supply healthy items and minimize the share of Ikeas Environmental Practices Making Good Business Sense Case Study Analysis in total environmental devastation. Case Study Solution has taken particular steps associated with the sustainability of people and environment including the 2009 statement of the ambitious objectives and commitments associated with Case Study Help products, market and the neighborhood.

All of these means have been successful at creating worth for the company consumers. These methods have also lead to the increased ecological issues and the criticism over the company's role in increasing health and ecological difficulties. The incorporation of components like salt, fat and sugar in the business products for developing consumer value deals with high amount of criticism. These components are the main cause of specific deadly illness in human including obesity, diabetes, heart diseases etc. Increasing health associated problems have actually raised the criticism for Ikeas Environmental Practices Making Good Business Sense Case Study Analysis.

Useful Function of Major Food and Drink Business in Dealing With Social and Ecological Costs Related To the Market

Major food and drink companies including Ikeas Environmental Practices Making Good Business Sense Case Study Help etc. can play an useful function in dealing with social and environmental expenses associated with the market. The environmental expenses related to food and beverage industry consist of the ecological destruction due to the influx of nitrogen which has actually resulted in the reduced water drinking patterns, river contamination, and increased emission of greenhouse gases from soil etc. All these factors leads to ecological destruction which could be a huge risk to the presence of humankind in future.

Major reason for these environmental changes is mass usage of nitrogen abundant fertilizers and the ingredients by the food and beverage business. For that reason, food and beverage companies must play a constructive role in attending to these problems to remove their growth restrictions connected to the criticism from the environmental communities.

The business ought to prevent usage of nitrogen fertilizers and ought to browse out the items of those farmers that do not use fertilizers for their crop. The companies might use sustainable energy sources at their production plant to compensate the greenhouse gas emissions from the use of nitrogen-rich items.

Together with the environmental costs there are specific social expenses connected with the food and drink market which must be attended to by the giant food and drink companies to achieve the market development and to prevent the criticism from the environmental neighborhoods. Social expenses associated with the industry includes the increasing health problems related to obesity, heart disease, diabetes etc. However, the huge business could play a constructive role in addressing these problems.

The companies could move towards more healthy items by reducing the amount of harmful compounds in their processed foods i.e. dioxin, which might lead to fatal human diseases. In addition to it, the business need to utilize more healthy components rather than derivatives of Corn and Soy to increase number of calories from their products. The business might likewise do efforts to move consumer tastes towards healthy products as they have actually controlled the customer taste for couple of years. In this method the huge food and drink companies could play an useful role in resolving social and eco-friendly expenses connected to the market.

Assessment of Sustainability at Ikeas Environmental Practices Making Good Business Sense Case Study Analysis

There was a potential shift in the corporate strategy and objectives at Case Study Solution. The new CEO was concentrated on buying healthier products for attaining sustainable development for the company together with supplying much healthier future for the people and the planet both. Under the new vision, the motto of the company was likewise changed from the "enjoyable for you" to "much better for you".

Human Sustainability

company obtained Quake Oats producing TrueNorth nut treats and SoBe, and Naked Juice producing soy beverages and natural beverages to introduce various healthier items in its portfolio. Despite of being thought about a Case Analysis's healthy brand, the items of Quaker Oats contained a number of components which were harmful to health.

Along with the inculcation of healthy brand names in its portfolio through acquisitions, Ikeas Environmental Practices Making Good Business Sense Case Study Analysis has taken particular sustainability steps for its market places. One of significant examples in this regard is the Business's marketing method associated to schools. The company markets just low calories and healthy drinks options in schools.

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

Ecological Sustainability

In this regard, the business devoted to decrease its product packaging by millions of tones to avoid high amount of wastes. The company has actually committed to reduce greenhouse gas emissions along with the accomplishment of efficiency in the energy use.

On the basis of above analysis, it might be figured out that the business has taken numerous actions towards human and environmental sustainability. These actions are still not sufficient to accomplish the preferred commercial growth and to decrease the criticism over the social responsibility of Case Study Analysis.

Alternatives

Specific long term strategic alternatives could be derived for the business on the basis of above analysis. These alternatives can be examined on the basis of the reality that how the option would make it possible for the business to attain its goal of potential growth and decrease the criticism over the business. The alternatives might be examined on the basis of the time frame that would be taken by an option to be executed along with the expense and risks related to the alternative

Alternative-1: intro of a New Line of product Associated with Healthy Foods and Beverages

The first step that Ikeas Environmental Practices Making Good Business Sense Case Study Solution might take is to introduce a brand-new product line related to healthy food and drinks. The company must introduce a wide variety of healthier items by using its considerable research study and advancement expenses.

Pros:

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

Cons:

• Risk of failure of the brand-new items in the market i.e. consumers might not like the taste and may not accept the healthier items due to the addicting nature of hazardous items.
• The hazardous items in the product portfolio may make the incorporation of healthy items fail to reduce criticism.
• Big expense of research and development required to develop brand-new healthy items.

Alternative-2: High level Acquisition of Health related Companies

Another alternative option to attain the prospective development and minimize the criticism is to get the health associated companies at a high level. Investment in these type of business would allow Ikeas Environmental Practices Making Good Business Sense Case Study Analysis to introduce a large variety of much healthier products within a short time duration without any need of substantial research and advancement expenses. The benefits and drawbacks related to alternative 3 are offered listed below:

Pros:

• Saving of big quantity of research and development costs for brand-new item advancement.
• Incorporation of brand-new products within two years.
• Capability to target a great deal of consumers i.e. health conscious customers.
• Decrease of the criticism of environmental worried societies and community advancement companies.
• Satisfaction of the social responsibility by settlement of the hazardous items with healthy products.

Cons:

• The acquisition may not show to alter the image of Ikeas Environmental Practices Making Good Business Sense Case Study Analysis as in case of Quake Oats.
• Requirement of huge amount of capital.
• Threat of failure of the brand-new products in the market i.e. consumers might not like the taste and might not accept the healthier products due to the addicting nature of dangerous items.
• The harmful products in the product portfolio may make the incorporation of healthy items fail to lower criticism.

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

Another alternative option for Ikeas Environmental Practices Making Good Business Sense Case Study Analysis is to replace all of its dangerous items with much healthier products. The replacement of dangerous products with much healthier items would entirely alter the market position of the company and would need a big number of needed actions to be taken.

Pros:

• Change of market position of Ikeas Environmental Practices Making Good Business Sense Case Study Help
• Ability to target a great deal of consumers i.e. health mindful customers.
• End of all of the criticism of ecological worried societies and community advancement organizations.
• Satisfaction of the social obligation

Cons:

• Danger of failure of the new items in the market i.e. customers may not like the taste and may decline the healthier items due to the addictive nature of hazardous items.
• Huge expense of research and development required to develop brand-new healthy items.
• Employee may resist over the change in the business design and organisation technique.
• Number of years required for the application.
• Shift of focus from the core competencies.

Recommendations

With the deep analysis of the business's CSR, issues faced by the business and the present market scenario, Ikeas Environmental Practices Making Good Business Sense Case Study Solution is recommended to think about alternative 2 of high level of acquisition of health associated business. As the acquisitions would allow the company to save of substantial amount of research study and development costs for brand-new item development. In addition to it, acquisitions would allow incorporation of brand-new products within 2 years in addition to the ability to target a great deal of customers. Moreover, the acquisitions would result in the decrease of the criticism from the worried organizations.However, the option would need big amount of investment funds. Additionally, the organizations might not have the ability to minimize the criticism. However, with a cautious analysis of the acquisition with an aggressive marketing projects, Ikeas Environmental Practices Making Good Business Sense Case Study Solution might prove to be successful in achieving the targets.

This Ikeas Environmental Practices Making Good Business Sense case study is writen by : Vivek Gupta

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