Strategic Analysis of Campbell Soup Company: A Case Study Review

This case study analyzes Campbell Soup's business strategies, examining its performance from 2010 to 2013 under different CEOs. It delves into the company's grand strategies, encompassing marketing, finance, operations, human resources, information management, and overall corporate strategy. The analysis includes key factors in the competitive environment, both globally and within the United States, along with a SWOT analysis identifying strengths, weaknesses, opportunities, and threats. Porter's Five Forces and the product life cycle are also assessed to understand the industry dynamics and Campbell Soup's position within it. The case study concludes with actions the company can take to remain competitive, emphasizing strategic improvements in its product lines, technological advancements, distribution, diversity, corporate social responsibility, and sustainability efforts. The company's financial health, employee engagement, and the competitive landscape are all considered within the analysis.

Running head: CASE STUDY ANALYSIS: CAMPBELL SOUP
Case Study Analysis: Campbell Soup
Name of the Student
Name of the University
Author Note

1CASE STUDY ANALYSIS: CAMPBELL SOUP
Table of Contents
STRATEGIES............................................................................................................................3
2013 Grand strategy under Morris.........................................................................................3
2010 Strategy under previous CEO Douglas.........................................................................3
Overall corporate strategy......................................................................................................3
Marketing...............................................................................................................................4
Finance...................................................................................................................................4
Operations..............................................................................................................................4
Human Resources...................................................................................................................5
Information.............................................................................................................................5
Management...........................................................................................................................5
KEY FACTORS IN THE COMPETITIVE ENVIRONMENT.................................................5
Global/World..........................................................................................................................5
In the United States................................................................................................................5
The Industry...........................................................................................................................5
Internal Expertise and Experience.........................................................................................5
SWOT Analysis.........................................................................................................................5
Actions to remain competitive and atop of the soup business...................................................6
Porter 5 Forces...........................................................................................................................6
Product Life Cycle.....................................................................................................................7
References..................................................................................................................................8

2CASE STUDY ANALYSIS: CAMPBELL SOUP
STRATEGIES
2013 Grand strategy under Morris
The strategic frameworks are utilized for strengthening the core business operations
that will lead to the development of the aspects that will be leading to the growth of the
organization. The strategies that have been taken by Morris is inclusive of the different
aspects such as expansion to the newer spaces along with introducing new categories and
segments for Campbell soups. There was another factor that is associated with the
development of the segments based on the geographical locations and help the organization
to incorporate new channels for distribution. Another strategy that has been taken into the
considerations are inclusive of the targeting the new customer such as millennials, Hispanics
and other segments.
2010 Strategy under previous CEO Douglas
CEO Douglas was one of the most integral part for the policy making of the
organization. There were strategies adopted by the CEO, for the betterment of the
organization. The key strategies that have been taken was to expand its product line to easy
meals, healthy beverage and snacks. There was another strategy adopted by the organization
that is inclusive of the aspects such as innovation for the providing value products and
improving the quality of the product. CEO Douglas also made an attempt to ensure the
expansion to the newer markets. There was another attempt made to ensure that there is a
significant growth that will be liable for the development of the culture that promotes
sustainability and corporate social responsibility. CEO Douglas also attempted to improve the
requisite organizational excellence and overall diversity along with engagement of the
employees in the organization.

3CASE STUDY ANALYSIS: CAMPBELL SOUP
Overall corporate strategy
There is significant of the corporate strategies that are consisting of the activities that
incorporates several measures such as marketing, operations, finance, human resources,
information and management (Ansoff et al. 2019). Overall corporate strategies does inclusive
of the aspects such as increasing the value of the shareholders along with profitability of the
organization. There was also another consideration that is related to increasing the sales of
the organization. This is one of the major contributor towards the development of the aspects
that influences organization. The following are the strategies observed from the case study;
Marketing
There is significant factor that will be liable for the development of the aspects that
are related to the marketing activities of the organization (McDonald and Wilson 2016). The
key marketing strategies that has been observed is inclusive of the aspects such as cultivating
marketing strategies for the Asian countries including Russia and China. There is a vital part
for the organization that will be creating a strong market presence in the global market. There
is another marketing strategy that is associated with the development of the activities that will
be projecting to return the Chunkys marketing focus on their fundamental business activities.
The organization can incorporate the global strategies that are going to enhance the brand
appeal towards the family and children and increase the activities related to marketing in
China and Russia.
Finance
From the case study it has been observed that the company is publically funded
company. This was also observed that there is significance presence of debt in the capital
structure of the company. Their debt are inclusive of USD 4.51 Billion along with total cash
of USD 416 Million. However, it was also observed that their profit margin is 9.12% which is

4CASE STUDY ANALYSIS: CAMPBELL SOUP
a positive indicator. The income statement from the case study stated about the decline in the
net income of the organization. It was also observed that there is a significant
Operations
It has been observed that there is significant decline in the operating profit for
Campbell Soup from 1,348,000 in 2010 to 1,212,000 in 2012. There was a significant decline
due to the restructuring of the charges. It was also observed that there is a significant change
in supply chain to improve and make it efficient. The sufferings in operating incomes was
also due to acquisition of Bolthouse Farms. These transactional costs have influenced the
operations of the organization.
Human Resources
The human resources of the company is one of the plus points for the organization
(Daft 2015). They are involved in the process of developing the key areas that will be
projecting the aspects that are related to managing te employees of the organization. It has
been observed from the case study that there is a very strong employee engagement in
Campbell. It was also observed that there is significant training across the organization along
with tremendous focus on the learning and development of the employees. This learning and
development program also emphasizes on the activities that are associated with incorporating
the strong engagement values within the employees of the organization. It was also observed
from the case study that there is a significant utilization for the incorporation of team spirit
and the employee motivation. The low turnover rate is a projection of efficient human
resources in the organization.
Information
The dependency on secondary and primary data, provides a higher chance for
innovation in the product line-up. This case study depicts that there is a significant utilization
of the resources that are focused on assessing the new emerging markets. The company is

5CASE STUDY ANALYSIS: CAMPBELL SOUP
involved in the process of researching with this aspect. The failure to produce the right
product was one of the most unfavorable event that has been caused by marketing team of the
organization. The company does influences the customer by providing them requisite
information via the trademarks. The key information for the company is inclusive of the
aspects such as patents and copyrights. This will be influencing the various aspects that are
associated with the information system of the organization which includes, trade secrets,
processes and the technological advancements. They are inclusive of the aspects such as
intellectual properties that can influence the organization and the processes that are associated
with the organization.
Management
Management functions does plays an important role in the development of the growth
path of the organization (DeCenzo, Robbins and Verhulst 2016). Campbell being one of the
major player in the industry does incorporates a decentralized platform form that will be
leading to the development of the organization. This is one of the major factor that will be
projecting the activities that will be consisting of the delegation of the responsibilities from
the top management to the lower level management. This is one of the major positives for
Campbell that will be liable for their projection towards the development of the right
management culture within the organization.
KEY FACTORS IN THE COMPETITIVE ENVIRONMENT
Global/World
Global perspectives are higher for the organization as the slowing down of the
economy is serving towards declining performance of the organization. There are
realignments within the various economies that have influenced the strategies of the

6CASE STUDY ANALYSIS: CAMPBELL SOUP
organization. The key consumers within the market is a large chunk of people that consists of
middle class families and the projections states that it will rather increase in the near future.
In the United States
This is one of the strongest economies globally, which is a positive market for the
company. This is a significant factor that will be liable for the development of the aspects that
will be contributing towards the growth of the employment. The labour market of USA does
influences the organization and it does have a positive impact on the organization as this
growth in the labour market can impact the organization positively.
The Industry
There are several factors that influences the industry. These influencing factors are
inclusive of the aspects such as image of the brand, taste and quality of the food, pricing and
advertising and promotion. These are one of the key drivers in industry (Andrews and Shimp
2017). However, there is significant influence of consumer behavior that changes time to
time. Middle class and lower middle class of the sector was influenced by the recession,
which have impacted the organization in an adverse way. The changes in food preferences
are also influencing the organization.
Internal Expertise and Experience
SWOT Analysis
Strengths Weaknesses
 The presence of the organization in more than
120 countries is one of the major strength of
Campbell.
 Different product lines are important strength
of the organization.
 Strong human resource management is
another positive for the organization.
 There is a significantly robust employee
benefits package that is one of the major
strengths of the organization.
 The strong culture within the organization is
 The sales management of the organization is
one of the weakest points of the organization
that is consistently failing to achieve the
goals.
 Their attempt to expand the product line will
be influencing the various aspects that will be
leading towards the development of the
activities that are associated with the negative
impact of the organization.
 One of the key weak points of Campbell is
the market research team that has failed to

7CASE STUDY ANALYSIS: CAMPBELL SOUP
one of the major positives for the
organization. The culture that is being
developed by incorporation of such training
and development is one of the major
strengths of the organization.
address the Russian market properly.
 This is another weak point that is related to
the cost of the materials that is rising day by
day.
 The company does not have an assessment
program that can lead to the development of
the aspects that are going to project the
benefits that are associated with the
development of the factors that can help the
organization to evaluate the productivity of
the employees.
Opportunities Threats
 There is one of the major opportunities that
are associated with the stabilization of the
aspects that related to the profitability of the
organization.
 The acquisition of the Bolthouse Farm can be
one of the major opportunity for Campbell.
 Recessions does have a negative influence on
the organization. However, it can also
influence the customer to increase the
consumption of the customers.
 Investing in the technological advancements
can be an opportunity for the organization.
 There is also opportunity in terms of research
and development of the products.
 Growth of the emerging markets are an
opportunity, however the threat is the weak
assessment of the market.
 Political instability is one of the major
challenge for the Campbell
 Currency exchange rates are one of the major
challenge for the company. This can
influence the profitability of the
organizations.
 Effective and efficient allocation of the
resources in the research and development is
one of the key threats for the organization.
 Being one of the most regulated industry is
one of the major threat as it requires
consistent monitoring and development.
Actions to remain competitive and atop of the soup business
 The company must focus on the improvement of its icon brand among the consumers by
introducing different product lines and in different stock keeping units
 The company can focus on incorporating technological advancements that will ultimately
result in making healthy foods for the consumers
 They can also improve their distribution and increase the availability of their different
products
 Improve diversity and incorporate a culture that will be beneficial for the organization
 Incorporate corporate social responsibilities to gain the attention of the customers
 Integrate sustainability initiative to improve different aspects such as economic, social and
environmental

8CASE STUDY ANALYSIS: CAMPBELL SOUP
Porter 5 Forces
New entrants
(Not a risk to
Campbell)
 The barrier to entry is significantly high and there needs to be significant
investments needed for the organization.
 Machinery for matching the same level of production does requires heavy
investments.
 The distribution channels are also one of the major factor that will be liable for
the development of the aspects that is one of the most difficult aspect for any
new entrant.
Substitute
(Potential
Risk)
 There are numerous substitute in the organization.
 People in home is one of the major target who are involved in buying such
substitute
 On the other hand there is a significant factor that is the offered value by the
organization
Buyers
(Potential
Risk)
 The switching cost is relatively low.
 On the other hand the low loyalty of the customers are one of the major factor
that have makes it a potential risk for the organization
Suppliers
(High Risk)
 The cost of the materials are one of the major concerns in the industry. The
rise in the materials are one of the most significant aspect for the organization.
 Campbell can utilise the aspects that will be liable for the aspects that are
going to include the aspects that will be liable for the development of the
factor are inclusive of higher bargain power of the customers.
 The influence of the suppliers in the supply chain is significantly high
Intensity of
Rivalry
 There is significant increase in the competition among the different companies
that are involved in this industry
 There is significantly high competitive response on the basis of
advertisements, price and promotion.
Product Life Cycle
Introduction: The new product line-ups are inclusive of the factors such as sales promotion. At this
stage the new products are in the process of awareness that will be projecting the development of the
awareness for the product.
Growth: This is the stage when the manufacturing costs are relatively low for the product and the
sales volume of the products are in increase. The growth stage for Campbell can be enabled in
different markets such as China and India. These are one of the most growing markets in the global
arena.

9CASE STUDY ANALYSIS: CAMPBELL SOUP
Maturity: This is one of the major factor that have influenced the various aspects of the organization.
The main products are soup that have reached the maturity stage. This is one of the key factor that
influence the organization to adopt to the different aspects that are consisting of the activities such as
advertisements, sales promotion and many more.
Decline: This is one of the most important stages of a product when the sales and market share both
are declining and manufacturing costs are relatively getting higher. This stage was reflected at the
Russian market where they failed to develop a product according to the need of the market.

10CASE STUDY ANALYSIS: CAMPBELL SOUP
References and Bibliography
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Australia.
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