Sinopec Corporation Of China Setting Standards In Corporate Governance Case Study Solution

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Sinopec Corporation Of China Setting Standards In Corporate Governance Case Solution

Sinopec Corporation Of China Setting Standards In Corporate Governance Case Study Help is a widely known name of a New York based, world's leading organization in the food and drink market. business is a leading brand name in convenient snacks, foods and drinks with its existence in about 200 countries.

The report consists of a deep analysis of various aspects of the social obligations of significant business in the food and beverage market in basic, and Case Help in specific. It also offers an analysis of the growing health and environmental issues consisting of weight problems, cardiovascular disease, ecological devastation and so on in the Western nations and the role of the business in the food and drink industry to deal with these concerns. The report also offers an assessment of the level of sustainability and CSR in the Sinopec Corporation Of China Setting Standards In Corporate Governance Case Study Solution's company method together with the decision of how Case Study Help produces value for its customers. Moreover, the report also provides certain strategic options for Case Help to integrate the criticism over its social obligation with certain recommendations and an application plan.

Issues Recognition

Case Study Analysis had actually taken certain important steps relating to the environmental impacts of its items, but, these actions are not enough to end up the criticism over the company's obligation towards social and ecological problems. This is needed to take specific tactical actions to alter the market position of its certain popular brand names and present Case Study Solution as a business producing healthy items in the market. In this regard, business and other food and drink business need to use their power to shift the consumer taste towards much healthier products to get rid of the restraints in the growth of food industry.

Vital Analysis

For the few decades, consumer food patterns have been altered considerably. The shift from the use of healthy food to produced food has actually highly affected the health of the customers. Despite of the discovery of modern-day health methods, the general health of people in couple of years have been highly impacted. Presently about 1 billion of the people In US are overweight and at least 300 million of them have weight problems. Children also dealing with the issue of obesity. The ratios of weight problems in 1980s are rather various from the current ratios. Despite of discovery of health methods and modern-day ways to control weight problems and other illness, the ratio of obesity has actually been doubled form the level of 1980. All of the information related to the health problems with the incorporation of manufactured food in the market describe the prevalence of the health issues associated with food system. These concerns are indirectly the outcome of different practices of the food and drink business for producing worth for their consumers.

Worth Creation at Sinopec Corporation Of China Setting Standards In Corporate Governance Case Study Analysis

Sinopec Corporation Of China Setting Standards In Corporate Governance Case Study Solution being a huge business in the food and beverage industry, supplies high value to its customers by numerous methods. Worth creation in the food and drink industry is done through 2 methods i.e. taste and schedule of the product. Case Study Analysis has a competitive advantage in offering its products far and wide globally. Its marketing capability makes it able to target a big base of customers. The business is presented in about 200 countries with a a great deal of popular global brand names. The everywhere presence of the company products supplies high worth to customers.

Furthermore, the business develops worth for its consumers by means of offering a great deal of delicious foodstuff consisting of salt, fat and sugar, which are the ingredients that are directly connected with the emotional core of the consumer's brain. The Sinopec Corporation Of China Setting Standards In Corporate Governance Case Study Analysis in addition to other huge food and beverages business produce worth for its consumers by manipulating these ingredients in its items. Case Study Help in addition to other huge companies is interested in finding ways to increase the customer worth from its products through exploiting the vulnerability.

Along with it, the company also produces worth by means of incorporating the healthy point in its items. The company has actually done certain efforts in order to supply healthy products and minimize the share of Sinopec Corporation Of China Setting Standards In Corporate Governance Case Study Help in general environmental devastation. Case Study Analysis has taken particular actions associated with the sustainability of people and environment consisting of the 2009 announcement of the enthusiastic goals and commitments associated with Case Study Solution products, market and the community.

All of these ways have been successful at producing value for the Case Study Solution consumers. Increasing health associated problems have raised the criticism for Case Study Analysis.

Useful Role of Significant Food and Drink Companies in Resolving Social and Ecological Expenses Associated with the Market

Major food and beverage business including Sinopec Corporation Of China Setting Standards In Corporate Governance Case Study Analysis and so on can play a positive function in dealing with social and ecological costs associated with the market. The ecological expenses related to food and drink industry consist of the ecological destruction due to the influx of nitrogen which has led to the minimized water drinking patterns, river contamination, and increased emission of greenhouse gases from soil etc. All these factors results in environmental devastation which could be a big threat to the presence of mankind in future.

Major reason for these environmental modifications is mass usage of nitrogen rich fertilizers and the components by the food and drink business. Food and drink business need to play a constructive role in dealing with these issues to remove their development constraints related to the criticism from the ecological communities.

The companies need to prevent use of nitrogen fertilizers and ought to browse out the products of those farmers that do not use fertilizers for their crop. The companies could utilize 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 expenses there are certain social expenses connected with the food and drink market which need to be attended to by the huge food and drink companies to accomplish the market development and to prevent the criticism from the ecological communities. Social expenses associated with the market includes the increasing health concerns related to obesity, cardiovascular disease, diabetes and so on. The giant business might play a constructive function in attending to these concerns.

The business might move towards more healthy items by minimizing the amount of toxic substances in their processed foods i.e. dioxin, which might result in fatal human diseases. The business could also do efforts to shift customer tastes towards healthy items as they have actually managed the customer taste for few decades.

Assessment of Sustainability at Sinopec Corporation Of China Setting Standards In Corporate Governance Case Study Help

There was a potential shift in the business strategy and goals at Case Study Help. The brand-new CEO was concentrated on investing in much healthier products for attaining sustainable growth for the company in addition to supplying healthier future for the people and the world both. Under the new vision, the motto of the business was also changed from the "enjoyable for you" to "much better for you".

Human Sustainability

The company announced certain goals and commitments connected to human sustainability and the ecological sustainability. Sinopec Corporation Of China Setting Standards In Corporate Governance Case Study Analysis got Quake Oats producing TrueNorth nut treats and SoBe, and Naked Juice producing soy beverages and natural beverages to present numerous healthier items in its portfolio. However, despite of being considered a Case Study Help's healthy brand name, the items of Quaker Oats consisted of numerous active ingredients which were hazardous to health. These harmful active ingredients were not marketed which have actually ended up being the base for criticism over the healthy brands of Sinopec Corporation Of China Setting Standards In Corporate Governance Case Study Solution.

In addition to the inculcation of healthy brand names in its portfolio through acquisitions, Sinopec Corporation Of China Setting Standards In Corporate Governance Case Study Solution has actually taken certain sustainability steps for its market places. One of major examples in this regard is the Business's marketing technique related to schools. The company markets just low calories and healthy drinks options in schools.

Another step taken by Case Study Help towards human sustainability is the shift of its focus towards research study and development for presenting new and healthy products in its portfolio. The business has actually increased its research study and advancement spending plan and has introduced an army of health scientists to design particular healthy items.

Ecological Sustainability

In this regard, the business dedicated to decrease its product packaging by millions of tones to avoid high quantity of wastages. The business has devoted to minimize greenhouse gas emissions along with the accomplishment of effectiveness in the energy usage.

On the basis of above analysis, it could be identified that the business has taken a number of steps towards human and environmental sustainability. Nevertheless these actions are still not enough to accomplish the desired industrial development and to lower the criticism over the social responsibility of Sinopec Corporation Of China Setting Standards In Corporate Governance Case Study Analysis.

Alternatives

Particular long term strategic alternatives might be derived for the company on the basis of above analysis. These alternatives can be examined on the basis of the truth that how the alternative would allow the company to attain its goal of potential development and minimize the criticism over the company. Furthermore, the options might be assessed on the basis of the time frame that would be taken by an alternative to be implemented in addition to the cost and risks associated with the option

Alternative-1: intro of a New Line of product Connected to Healthy Foods and Beverages

The first step that Sinopec Corporation Of China Setting Standards In Corporate Governance Case Study Analysis could take is to present a brand-new product line related to healthy food and beverages. The business has currently introduced certain heath associated brands, however, the number of these brands in its portfolio is not prospective to lower the criticism and accomplish possible development. For that reason, the company ought to introduce a large range of healthier products by using its substantial research and development expenses. The pros and cons connected to the introduction of a healthy line of product in the portfolio are given below:

Pros:

• Ability to target a great deal of customers i.e. health conscious consumers.
• Decrease of the criticism of environmental concerned societies and neighborhood development companies.
• Satisfaction of the social duty by settlement of the hazardous items with healthy items.
• Might be implemented within few years i.e. 3 to 5 years.

Cons:

• Risk of failure of the new items in the market i.e. consumers might not like the taste and might decline the healthier products due to the addictive nature of hazardous items.
• The hazardous products in the product portfolio might make the incorporation of healthy items stop working to reduce criticism.
• Huge cost of research study and advancement required to build brand-new healthy products.

Alternative-2: High level Acquisition of Health associated Business

Another alternative option to attain the prospective growth and reduce the criticism is to acquire the health associated companies at a high level. Investment in these kind of business would enable Sinopec Corporation Of China Setting Standards In Corporate Governance Case Study Help to present a big variety of much healthier items within a short time period without any need of significant research study and development expenses. The benefits and drawbacks associated with alternative 3 are given below:

Pros:

• Saving of huge amount of research and advancement expenses for brand-new product advancement.
• Incorporation of new products within two years.
• Capability to target large number of consumers i.e. health mindful customers.
• Decrease of the criticism of ecological concerned societies and neighborhood advancement organizations.
• Fulfillment of the social duty by settlement of the dangerous items with healthy items.

Cons:

• The acquisition may not prove to change the image of Sinopec Corporation Of China Setting Standards In Corporate Governance Case Study Help as in case of Quake Oats.
• Requirement of big quantity of capital.
• Risk of failure of the brand-new items in the market i.e. customers might not like the taste and might not accept the much healthier products due to the addicting nature of hazardous items.
• The dangerous products in the product 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 choice for Sinopec Corporation Of China Setting Standards In Corporate Governance Case Study Analysis is to change all of its harmful items with much healthier items. This might be a big shift in the business strategy and the business design at business. The replacement of dangerous products with much healthier items would entirely change the marketplace position of the company and would require a large number of essential steps to be taken. The advantages and disadvantages associated with alternative 3 are offered below:

Pros:

• Modification of market position of Sinopec Corporation Of China Setting Standards In Corporate Governance Case Study Analysis
• Capability to target a great deal of consumers i.e. health conscious customers.
• End of all of the criticism of ecological worried societies and community development companies.
• 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 items due to the addictive nature of hazardous items.
• Substantial expense of research study and development needed to construct brand-new healthy items.
• Employee might withstand over the change in business model and organisation technique.
• Variety of years required for the execution.
• Shift of focus from the core proficiencies.

Recommendations

With the deep analysis of the company's CSR, issues faced by the company and the current market situation, Sinopec Corporation Of China Setting Standards In Corporate Governance Case Study Help is recommended to think about alternative 2 of high level of acquisition of health related business. As the acquisitions would allow the business to conserve of big quantity of research and advancement costs for brand-new item development. Together with it, acquisitions would allow incorporation of brand-new items within two years along with the ability to target a great deal of consumers. Furthermore, the acquisitions would result in the decrease of the criticism from the concerned organizations.However, the alternative would need big quantity of mutual fund. Furthermore, the companies may not be able to decrease the criticism. However, with a careful analysis of the acquisition with an aggressive marketing projects, Sinopec Corporation Of China Setting Standards In Corporate Governance Case Study Analysis might prove to be successful in accomplishing the targets.

This Sinopec Corporation Of China Setting Standards In Corporate Governance case study is writen by : Vivek Gupta

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