Analyzing Challenges and Social Impact for Cranswick PLC Business

This report provides a comprehensive analysis of Cranswick PLC, a leading UK food producer and supplier. It delves into the challenges the company faces when trading across borders, including a lack of local market expertise, shipping and logistics issues, government regulations, additional costs, and marketing limitations. The report also examines the factors Cranswick PLC should consider to create a positive social impact, such as building strategic partnerships with non-profit organizations, investing in community development, and focusing on environmental sustainability. Furthermore, the report discusses strategies for enhancing business operations using appropriate theoretical tools, offering recommendations to overcome the identified challenges and improve overall performance in the international market.

Business Project

Table of Contents
INTRODUCTION...........................................................................................................................1
PART 1............................................................................................................................................2
Discuss the various challenges the Cranswick plc need to consider when trading across
borders....................................................................................................................................2
Discuss why and what factors should the Cranswick plc should consider when trying to create
positive social impact.............................................................................................................5
PART 2............................................................................................................................................9
Discuss what factors Cranswick plc needs to think about for enhancing their business using
appropriate theoretical tool.....................................................................................................9
CONCLUSION..............................................................................................................................10
References:.....................................................................................................................................12
Books and Journals...............................................................................................................12

INTRODUCTION
In the competitive business environment the organisation are always looking for the
opportunities that can boost their revenue and can help them in gaining the competitive
advantage. To understand the management of the business it is important for the organisations to
consistently use the business theories and analytical frame (Sheth, 2020). The globalisation has
also become the important part of business where company are turning themselves into
multinational companies by expanding their business operation in the foreign markets. The
present business project the study of “Cranswick plc” UK's leading food producer and supplier.
Cranswick PLC is famous for supplying premium quality fresh and value added food products in
its core market of UK and other market places such as Europe, South East Asian markets and
US. The company also listed in the London stock exchange and is a constituent part of FTSE 250
index. The company was established in 1974 by Jim Bloom Mike Field and many other farmers
of East Riding of Yorkshire those who produce pig feed in the name of Cranswick Mill. The
Cranswick plc has its headquarters are Hull, UK. In the period of time the company diversify its
business into the food production and recently has moved to breeding and rearing of British pigs.
The company has multiple acquisitions with different food factories, food producers and meat
suppliers for the organic growth of the company and to build leading market product for wider
audience. The Cranswick PLC produces wide range of products such as fresh pork, cooked meat,
premium cooked poultry, gourmet pastry products, sandwiches and air dried bacon. Translate
PLC is passionate and committed to produce high quality, sustainable and tasty food. The
company has a Mantra of "good in equals good out" which means Company ensures that
everyone outside who is consuming the product of Cranswick PLC enjoys its taste to the greatest
level. Cranswick PLC has different customer types such as retailers, exporting, manufactures,
and food to go, food service and approaching the £1.5 BILLION revenue in year 2020. The part
1 of the report will critically analyse the various challenges that cancer PLC need to consider
while trading across borders and what are the factors that company should and want to consider
in order to create the positive social impact (Gurca and et. al., 2021). Part 2 of the report will use
the appropriate theoretical tools in order to discuss the factors and strategies that company needs
to consider in order to enhance their business operations.
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PART 1
Discuss the various challenges the Cranswick plc need to consider when trading across borders
Trading across borders or the cross border trade is the term that simply used to define the
flow of logistics, good and services across the native country between the jurisdictions. In simple
business terms the cross border trading is the activity of importing and exporting. There are
many organisations that involve themselves into the cross border trading to expand their business
operations, to lower their manufacturing cost, to gain the understanding of other markets and
many other reasons that helps the company to enhance their business and to gain competitive
advantage. But it is not easy for the business to do trading across borders due to the occurrence
of some challenges that become barrier to their expansion (Cooley and Prescott, 2021).
Similarly, Crasnwick plc exports its products and services apart from UK to other places like US,
South East Asian market and Europe. The company has low revenue generation through the
export customer type due to the challenges faced by company when trading across borders.
Therefore, to enhance its customer base in the foreign market place the company is required
consider and understand the limitations of trading across border so that they can take initiatives
to mitigate them for smooth and flexible trading across borders. The challenges related to the
cross border trading are:
Lack of local market expertise: Often there are times when organisation those to export or sell
their product in the foreign market fails in conducting proper market research before indulging
themselves into the international trading. An inadequate knowledge about the foreign market is
the major challenge for the organisation as every market has a different buying trends therefore it
is essential to learn the pattern of market, preferred payment main modes, customers taste and
behaviour etc. For Cranswick PLC it is a biggest challenge if company has less expertise of local
market of meat and the meat producers because there is the major influence of festivals, holidays
and competitors in the buying and selling pattern of retailers and the consumers of different
region and due to this sometimes Cranswick plc can come across undesirable demand of meat or
no demand therefore conducting a market research is highly important to analyse the local
market and to gain the experience and expertise to present unique selling proposition in front of
the customers (Koehler, Rasool and Ibrahimkhel, 2021). Hence the lack of local expertise can
lead to backlashes for the Cranswick plc due to the misalignment of inventory at the time of
demand.
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Shipping and logistics: Managing shipping and logistic is a significant challenge for the
businesses to enter into international market when venture had to export through the international
waters. In order to supply your products and services to shipping it requires the proper packaging
for which organisation was a challenge in finding a partner for suitable shipping. It is very
essential for Cranswick PLC to tie up with a shipping partner that can offer high class shipping
along with a discount on the shipping that's and the rate (van Tulder, 2020). Cranswick PLC is a
UK leading mid producer has a wide range of products services therefore it is not easy for a
company to fulfil all its export orders from one courier service therefore company is required to
negotiated price with different shipping partners there which becomes highly expensive therefore
negotiation becomes a complex process of managing shipping and logistics because this can lead
to alteration in the prices of a product their by cutting out the margin of a company.
Government increasing trading standards and regulations: This challenge is a major challenge
as it can stop the company to even start a business in a foreign market if company is not ethically
and legally complied with the legal restrictions implemented by the government. It is highly
complex as there is the constant change in the regulatory standards of the different countries of
the world which is very diverse and the complex subject to be understand and updated (Shibasaki
and Kawasaki, 2021). Therefore this is a major challenge for cranswick PLC expansion for an
export business with the alterations of regulatory standards as government is also growing its
restrictions and safety protection standards in order to trade in a foreign market. The government
has also increased its legal rules regarding the safety quality of the product in the environment so
that company can make sure that their products satisfy the set requirements related to the legal
trading across the borders in order to avoid any kind of malpractice in between trading across the
border.
Additional and overhead cost: Due to the increasing regulations and restrictions over the
international trading the manufacturing and the production cost has also effectively increased as
there is the high risk in trading across the border in order to trust the other company in terms of
shipping and logistic or in the partnership. This challenge is very important to overcome as
setting a business in an international market for exporting the products and services requires the
financial investment. For this company is required to have International pricing model so that the
buyers of the international market can understand the prices offered by the company on their
products and also to convert their currency as per the new market currency system
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(Krasnokutskaya, Terwiesch and Tiererova, 2018). There are also an added taxes in order to
convert currency and also there are the custom charges and taxes on each product therefore
Cranswick plc are required to have a strong financial resource to investment for trading across
the border for which companies also required to have complete paperwork and formalities to
conduct international trade smoothly.
Marketing and local promotions: Understanding the needs and demands of the audience and
also to understand the target audience is highly essential before launching or commercializing
the product in the new market. The organisation faces the challenge of analysing the strategic
initiative for local promotion and marketing. Cranswick PLC face difficulty attracting the
customers for its product as company has feast various barriers related to the cultural language
festivals trends that declines the quality and influential power of promotion and marketing in the
content of advertisement of Cranswick PLC. It is very important to understand the target
audience before planning the strategies and the plan of advertisement because your
advertisement must be oriented towards the target audience and fulfils the requirements that can
influence the audience for which collaborative creativity is highly essential to overcome the
challenge and to gain the organic output to get in touch with customers (Mungiu-Pippidi, 2019).
An inadequate local promotion of marketing can be a challenge for cranswick PLC to reach out
correct target audience thereby declining the revenue and stability in a new market.
Recommendations
After analysing the above challenges faced during the cross border trade it is recommended
to Cranswick PLC to conduct proper market research together with primary survey to get the
deeper insights about the local market such as their culture and language and about the customers
trends taste so that grand can present their differentiation compared to the competitors of the
market thereby gaining the competitive advantage this will help them in overcoming the
challenge of lack of local market expertise and also help in aligning with the customers demand.
It is also recommended have an acquisition width shipping and logistic company in order to get
cheap rates of shipping also to avoid the breaching of products and services during
transportation. It is also recommended to the Cranswick plc to hire the best lawsuit to understand
the legal rights and constantly changing rules and restrictions of government for trading in the
foreign market.
4

Discuss why and what factors should the Cranswick plc should consider when trying to create
positive social impact
In early days when the business was set up a highly focused on maximizing the profit by
selling the products and services to the customers currently the business organisations also
focuses over creating a positive impact on the society through their offerings and meeting the
needs and demands of the customers by providing them highest satisfaction level. Along with
this business is also getting concerned for their employee’s environment and the planet in order
to save the resources provided by the planet for the future generation (Ernst and Haar, 2019). The
social impact is the combination of experience gained by the planet, outside communities,
employees and people. The Cranswick PLC are executing their process of framing to fork with
initiatives that can create positive impact on the people of the society and the environment
thereby gaining the ethical image which also helps in gaining competitive advantage as well as
help in gaining good reputation. There are some significant factors that Cranswick PLC should
consider while building a positive social impact is discussed below:
Build strategic partnership with the non profitable organisation: It requires the deep
understanding in order to mitigate the problems of society and to create the social impact.
Partnership with the non profit organisation is a direct method by which organisations can bring
an effective and positive social impact there by boosting finance of non profit organisations like
charitable trust old age homes child care centres community hospitals etc. Cranswick PLC
initiative of letting out the poverty based people from the hunger of food by distributing the food
to the local communities was a good initiative to contribute to the communities thereby
improving their lives.
Create social impact while promoting the growth of company: In earlier businesses the business
models for completely designed to generate the wealth and to gain the more customers but
currently business models considered sustainability, value for their employees, expectations of
their customers and social factors as their strategic pillars and principles (Mattoo and Meltzer,
2018). Model of Cranswick PLC is sustainability produced with the three principles to provide
quality, value and innovation to the customers thereby driving the core growth through high
quality products and seeking new opportunities that can bring sustainability and reduce the
environmental impact in the entire supply chain from farm to fork.
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Understanding core competency of the company: It is very important to understand the unique
assets on the resources of the company that provides the worth under value to the organisation in
the market by conducting outstanding activities. Organisations that respect their human resource
and try to work ethically are considered to create the most positive impact on the society. In
Cranswick PLC the management of the organisation is passionate to provide the food that is high
in quality to gain the trust of their consumers and customers. The company is also passionate to
provide training and development to their people and provide the mentoring to drive innovation
and entrepreneurial environment within the organisation for the growth of their people. Company
highly supports and engage with the local communities and local farmers in terms of
employment thereby creating the vision to become more sustainable meat business with greater
transparency and traceability with the producers in the suppliers in order to expand the business
with value proposition so that companies operations can bring a positive impact on the mindset
of the society (La Torre and et. al., 2019).
Some Sustainability and CSR Initiatives taken by the Cranswick plc to create the positive
impact on the society is:
Diversity, equality and safety of employees: Cranswick PLC is underpinning the principles of
diversity and equality in its business culture that not only provides the positive impact on the
employees also to the organisation image and its stakeholders. The company is strive to comply
with health and safety standards for their employees thereby providing them treatments for the
disease and other medications regularly in order to maintain their health safety. This initiative of
Cranswick PLC is an investment for the long-term success of the business and to attract the
stakeholders and talented people towards the organisation.
Reducing poverty hunger: Cranswick PLC took an initiative called Hull Food Save Project to
tackle the hunger of food and poverty in Hull, UK. The project was creating social value by
contributing to the society through positive force of change (Vanclay, 2020). The company
committed to redistribute its additional edible product to the local communities in order to tackle
with the food hunger and food poverty. By this company also resolve the issue of food wastage.
Charity fundraising: Company has partnership with National level trusts and the companies that
can ensure that food is distributed in the local community as the part of food donation. The
company also supports multiple charitable trusts such as bluebell children's hospital, air
ambulance and Macmillan cancer support. The company also has a focus of raising the money
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for the good cause of the society by volunteering as staff to contribute to support children's
charity (Ajina and et. al., 2019).
Second nature project: the leader of the Cranswick plc embraces the opportunities that bring
positive change in the society therefore company is committed to CSR and sustainability. The
second nature is one the initiative for the sustainability taken by Cranswick plc in Feb. 2018. The
project is the sustainability approach that contains the environmental and community pledge. by
this company has increased its competitive advantage and gain the attention of many investors
and customers that conscious of environmental safety and community welfare. some of the
practices within this approach are:
 Eliminating plastic: From 2017 the company has removed tons of plastic from its
business operation and is aiming to make the company use zero plastic till 2025.
Company has removed PVC films from its food packaging rather than switching to the
sustainable alternative (Bhattacharyya and Verma, 2020). Reduce and eliminate the
plastic the company has invested into new number series that can transform the plastic
into recyclables materials and also phased out the use of black plastic in all over its food
trays this plastic pact commitment is one of the sustainable initiative that is creating the
positive impact to the environment and the society to reduce uses of plastic and increase
the shelf for recyclable materials.
 Food wastage prevention: The Company has taken a commitment to make reduction in
food wastage for which company searched the Hotspots of food wastage and the reasons
of food loss in order to understand where and why food is wasted. The company is
resolving this issue by investing and highly technical food processing machinery that can
reduce wastage during production and also distributing the edible food waste to the
poverty hunger.
 Animal welfare: The Cranswick PLC is awarded 4 times consecutively for or benchmark
on farm animal welfare standards by this company is bringing the positive impact over
the society to create the welfare of animals and pets. Cranswick continuous to have
commercial farming welfare standards in order to drive the collaboration with the
retailers and other governmental bodies (Chowdhury, Agarwal and Quaddus, 2019). The
company e undertakes improvement in the well been of newly hatched chicks in order to
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promote the responsible use of antibiotics to reduce the food fraud and to increase the
traceability and meet provenance. Reducing carbon footprint and emission of GHG (Green House Gas): Cranswick plc
has commitment of net zero GHG emission and reduce the carbon footprint. for this
company is improving its refrigeration system, by replacing renewable grid resources and
electricity. The Cranswick plc has taken effective initiative of installation of solar plants
for the turbines and to save the electricity.
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PART 2
Discuss what factors Cranswick plc needs to think about for enhancing their business using
appropriate theoretical tool
In order to survive in the competitive business environment it is very necessary for the
organisation to enhance their operations, products and services in order to seek the attention of
the stakeholders consistently. Therefore the Cranswick plc should also regularly enhance their
services, process, methods and product for their better performance and to grab the attention of
the target audience and also to gain more profitability (Arasanmi and Krishna, 2019). Hence, to
enhance the business the most important things to change some factors that are acting as
drawback to Cranswick plc and to adopt the strategies that can help in gaining competitive
advantage. For the enhancement of the business it very important to manage the change so that
company can meet the new changes and increase its view point for the future of the Cranswick
plc.
Ansoff Growth Matrix Model
The theoretical frame work that can help the Cranswick plc to analyse the factor that the
company consider to enhance its business is the Ansoff matrix. The Ansoff matrix model consist
four growth strategies that leads the company to increase its value of products and its revenue.
The theoretical discussion of Ansoff matrix model in context of Cranswick plc is highlighted
below:
Market penetration: Market penetration is the strategy by which organisations can increase their
sales and revenue by entering with same product in same existing market through discounts or
offers (Mousavi and et. al., 2021). This strategy has power of gaining customers attention and
influencing them with extra ordinary and additional offers on products that pushes the customers
to buy the product. Cranswick plc can also enhance its business by increasing its sales and
revenue through this strategy.
Product development: the product development is the outstanding strategy by which
organisations can increase their product portfolio and also drive the innovation. In this strategy
the organisation launch new product in existing market place (Kamura, 2020). The Cranswick
plc utilize this strategy effectively in its organisation by continuous acquisition with multiple
brands and company thereby diversifying it product range from pig meet to air dried beacons,
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gourmet pastry products etc. Through this the Cranswick plc has enhance the quality and taste of
its food effectively thereby increasing its revenue in current years.
Market development: The market development is the risk oriented strategy if not properly
examined and utilized but it also generates larger revenue, helps in gaining new customer base.
This strategy refers to the entering new market with the existing products (Afriani and Yanti,
2021). The Cranswick plc has its core market UK and exports in the US, Europe and South East
Asian markets. The Cranswick plc has least revenue from the export and also does not enter in
other market entry modes rather that export.
Diversification: The diversification is the integration of market and product development
strategy where the organisation enters new market with new product line. This is the high risk
oriented strategy and but also has biggest advantage for enhancing the business in terms of
revenue, customers, competitiveness and other important factors (Sun, 2021). The Cranswick plc
has never attempted to utilize this strategy as company operates and innovates in its core market
of UK and only exports in the other countries.
Recommendation: After analysing the above strategies it is analysed that all the strategies has its
own advantage and disadvantage but has the main purpose of enhancing the business of an
organisation. It is analysed that the Cranswick plc is effectively gaining the advantage of product
development strategy in its organisation to enhance it products quality and value also to improve
its service to make the customers experience joy while consuming the food of cranswick plc. But
it is suggested to Cranswick plc to adopt market development and diversification strategy to
improve it current methods of trading to explore the other market to gain potential opportunities
to increase their sales and revenue. The market development will help the cranswick in gaining
the potential customers of new market and also help in driving innovation with new resources of
new market.
CONCLUSION
It is concluded from the above report that there is the growing competition among the
businesses organisation due to the changing demands of consumers and globalisation. The
organisations are consistently adopting strategies and initiatives that can enhance the company’s
business as well as help them in gaining competitive advantage. It is critically analysed that most
of businesses are choosing the option of trading the across the borders in order to become
multinational organisation and to leverage the resources and the potential opportunities of the
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other markets. The internationalization in the form of import and export activity helps the
business to reduce their cost of raw materials, manufacturing cost etc. but trading across the
borders is the tough job. The report concludes that there are several challenges that organisations
are required to pay attention to trade across borders such as payment methods, logistics, lack of
market research, government restriction over trading, government rules and standards, culture,
language etc. but among all the challenges the government rules and standards for trading is
major challenge as it is very necessary to comply with legal standards and regulatory so that
business can enter a market. The report also concludes that to create the positive impact on the
society the CSR and sustainability in the resources and practices of organisation are very
important. The CSR adds the value to the organisations image and also create the positive impact
within the organisation and outside the organisation. Sustainability is also one the factor that
creates the positive social impact and for the long term. Sustainability and CSR are now
becoming the major part of the organisations operations so that company can maintain the ethical
and environmental friendly working system and also the system that can serve the nation and
needful people. Reduction of carbon emission has been a biggest initiative taken by government
and organisations to save the plant and its valuable resource for the future generation. Therefore
to stand out among the competitors and to gain sustainable competitive advantage the businesses
are enhancing their business operation by adopting the different strategies like market
development, product development, diversification and market penetration. The strategies help
the business to launch new product and enter new market to gain presence all across the globe
and to utilize the resources of other market to develop new product and to drive innovation in
company culture thereby improving its performance and profitability.
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References:
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context of corporate social responsibility (CSR) initiatives; development of collaboration
typology. World Journal of Entrepreneurship, Management and Sustainable
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