Case Analysis Campbell Soup

Campbell Soup Ltd.Case Analysis by Philipp Muedder

Overview

Introduction

SWOT Analysis

Recommendations

Conclusion

References

Introduction

Problem Statement:

“What actions does Campbell Soup Ltd. needs to take in order to keep growing and outpacing the competition in the next five years?”

•Introduction

•SWOT Analysis

•Recommendation

•Conclusion

•References

Introduction

Company founded by Joseph Campbell & Abraham Jefferson in 1869

In 1896 major restructure of the firm took place due to Jefferson’s resign

John Dorrance is hired (former MIT graduate in chemistry)

In 1899 Dorrance developed a commercially viable method for condensing soup

•Introduction

•SWOT Analysis

•Recommendation

•Conclusion

•References

Introduction

Sold 16 million cans of soup by 1904

1922 – Company got incorporated

1954 – Campbell Soup’s IPO on the New York Stock Exchange

Campbell strongly believed in expanding through acquisitions

•Introduction

•SWOT Analysis

•Recommendation

•Conclusion

•References

Introduction

1930 - Campbell started operating in the Canadian market By the time as a subsidiary of Campbell Soup ltd.

1983 – Campbell decided to go public on the Toronto Stock Exchange Had to offer 30% of the shares to Canadian

Investors

•Introduction

•SWOT Analysis

•Recommendation

•Conclusion

•References

SWOT Analysis

Strength:

Strong ties between Canadian CEO and overall CEO

Efficient use of the suppliers Using two suppliers for every product that needs

to be acquired Results are lower costs and supply security

•Introduction

•SWOT Analysis

•Recommendation

•Conclusion

•References

SWOT Analysis

Strength:

Efficient & flexible operation of plants

•Introduction

•SWOT Analysis

•Recommendation

•Conclusion

•References

Exhibit 8. Comparative Unit Cost and Plant Capacity Data on Two Products 1988 (in Cdn$). ((Crossan M. et. al., 2008)

SWOT Analysis

Weaknesses:

Problems regarding the Chicken and mushroom farms 1988 – Diseases killed 80% of mushroom crop Same summer decimated 30% of Chicken yield

In past worked to closely with headquarters on issues such as strategic decision making & operations management

•Introduction

•SWOT Analysis

•Recommendation

•Conclusion

•References

SWOT Analysis

Opportunities:

IPO provided company to win & retain talent

Knowing what the competition will do next!

The change of the grocery store environment Box stores Private label brands

•Introduction

•SWOT Analysis

•Recommendation

•Conclusion

•References

Great opportunity to get a head start

SWOT Analysis

Threats:

Main threat lies internally Company is resting on the very good past year

performances

The dismantling of the FIRA Companies don’t have to benefit the Canadians

anymore in the sense of offering shares

Introduction of the FTA

•Introduction

•SWOT Analysis

•Recommendation

•Conclusion

•References

SWOT Analysis

Threats:

Introduction of the FTA The Free trade agreement lowers barriers of

entry for American firms entering the Canadian market

Former 25% tariffs on food will be abolished within next 2 years

•Introduction

•SWOT Analysis

•Recommendation

•Conclusion

•References

Recommendation

Get further into the Private label market Will become very profitable

Continue improving the already efficient running plants

Further cutting ties with the headquarters to not make same mistakes as competition Regarding product introductions Do own market research

•Introduction

•SWOT Analysis

•Recommendation

•Conclusion

•References

Conclusion

Problem Statement:

“What actions does Campbell Soup Ltd. needs to take in order to keep growing and outpacing the competition in the next five years?”

•Introduction

•SWOT Analysis

•Recommendation

•Conclusion

•References

Conclusion

•Introduction

•SWOT Analysis

•Recommendation

•Conclusion

•References

Thank you for listening!

References

•Introduction

•SWOT Analysis

•Recommendation

•Conclusion

•References