Kellogg's business executive summary - Research Paper Example

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In this deranged business environment organizations are facing a set of issues, which may defy their operational capability and marketing functionality and even in some extreme cases withhold or impede an organization’s overall business. These issues or the problems are reliant on the mode of operation of the organization. But there are some common challenges, which majority of the organizations are facing. …
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Kelloggs business executive summary
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Download file to see previous pages There are many other external challenges which an organization faces apart from its internal challenges and problems. In order to conduct the study on organizational problems Kellogg’s has been chosen as the organization. There is no specific reason for choosing this organization but given its presence in the market for over a hundred years and a huge brand value will certainly help the cause. The study is aimed to provide more insights which determines and gives rise to some of the organizational problem and also to evaluate the required solutions for assisting the organization in the formation of a new strategy or a course of action. The report will highlight the problems that Kellogg’s has faced recently. Apart from this the report will also try to put some of the ways by which the problems can be sorted out. After the recommended plan it will be illustrating some of the techniques by which the proposed solutions can be implemented and further evaluated. After studying the subject and conducting the required researches the key findings of the report are the problems which Kellogg’s is facing presently or has faced in the recent past. The problems are the common problems which an organization usually faces in their operations and some other specific issues. The significant issues which have been taken into are the rising cost of raw materials, reduces bargaining power, issues related to packaging and the traditional problem with competitors. Among the aforementioned issues this report will principally focus on the rising cost of raw materials. The report will also highlight the core reasons for which there is an increase in the price of raw materials. Now in order to get rid from the focused problem it has been recommended that Kellogg’s must have mutual contracts with their suppliers for pre booking the raw materials in the current market price by paying in advance. The company should also make sure that they purchase large amount of raw materials for availing discounts. The company must also focus on cutting down the cost of some superfluous factors which will help the company to strengthen its current financial position. Position Kellogg’s company along with its subsidiaries, is affianced in the production and marketing of ready to consume cereals and other convenience foods (Companydatabase n.d.). Kellogg’s was founded in the year 1906 by Will Keith Kellogg and John Harvey Kellogg in the name of ‘Battle Creek Toasted Corn Flake Company’ (Kellogg’s n.d.). And the organization got renamed as Kellogg Company during the year 1922. The company is presently headquartered at Battle Creek, Michigan, USA. It is presently headed by David McKay. The company started its operation with only 44 employees but today it has made its presence in more than 180 countries around the world and manufactures in 18 countries (Kelloggcompany n.d.). In order to sell their product in the market the company uses brokers or distribution channels. They principally targets grocery shops for the distribution of products which are intended for the end users or the consumers. Some of the essential products of the company ...Download file to see next pagesRead More
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