Information of this business
Advantages and Disadvantages with Merging, it would solve financial problems immediately, but could change important relationships with other companies. They could Loose their ID, Loose control over their business, Could create job losses. Does not solve problems. On Core Businesses More money is available to spend on the department. Looses sales in other departments though. Changing Image Encourages new customers Change for modern times Reputation at stake Branding Encourage new customers but it Looses sales in St Michael’s name The differences between Marks and Spencer’s and Cadbury Schweppes.
Activity. The two companies are totally different when it comes to the business activities. They are in different business sectors; Cadbury Schweppes is in the secondary sector where they make the products from the raw materials. Marks and Spencer’s is in the tertiary sector which means if marks and Spencer’s where selling Cadbury chocolate goods, they will buy it from the secondary sector (Cadbury world) to sell in their tertiary sector (marks and Spencer’s) Ownership. Both of the companies Cadbury Schweppes and marks and Spencer’s have the same ownership they are both Public Limited Companies, So both of the companies can have public shareholders (the public can buy shares.) they also have limited liability.
Location. The both companies are located in different places (marks and Spencer’s have a head office in London)(Cadbury have their office in their original location of Bourneville, Birmingham). Marks and Spencer’s head office is located in London to enable them to be close to the financial centre. As a lot of their business is based all over Europe, with retail centres in most major towns and city’s. It makes more sense to have a central office for control and administration within the financial community.
Where as Cadbury have their head office based at the original family owned location of bourneville. This is due to this being the original manufacturing base of the company, plus they do not have as many factories/facilities to administer around the country. Aims. Both the companies are on the same lines with their products. They want to spend more time on each of there products to bring the customer all the needs and satisfactions they want. Marks and Spencer’s both produce clear and SMART objectives. Cadburys more aimed at purely chocolates, marks and Spencer’s
Changes I think the two businesses they should do to all their areas. Recommended changes for marks and Spencer’s and Cadburys: I think that the two companies have good ownership because they do not loose anything if they do not have enough money. They do not loose any of their belongings because they are a big company Location The locations are both different marks and Spencer’s head office is in London which is a big city full of different businesses.
Cadburys is situated in Bourville in Birmingham, which is another big city. Cadburys get their raw materials from abroad so I think to save travel and a lot of money they should move down to the south coast of the united kingdom. With being in Birmingham it is harder to get their raw material to the base because of it being in the middle of the country. When the company first opened Birmingham was know for its canals but now these days they do not get used as much. But with moving down to the south coast it will save travel ands also they could have docks there for when their raw materials arrived by boat. Aims It is good that the two companies are not just thinking about their profits but they are thinking about their customers and the quality of their products. I think the company’s aims should be also to improve and design new products.