Vocational A level Business

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This report is being produced to fulfil the criteria requested for Unit 1 Business at work of the advanced VCE course in Business. My report is about Cadbury Ltd their in the confectionary market and produce and sell chocolate world wide. This report will include: 1 The objectives, organisational structure, culture and communication channels that operate with-in Cadbury ltd 2 An examination of how these factors interrelate in the way that can affect the success of the business 3 An explanation of how quality assurance and control systems help the business to add value to its products.

Consideration of alternative methods of quality assurance and control 5 Consideration of how well Cadbury Procedure Who Owns Cadbury Ltd? In 1824 a young Quaker, John Cadbury, opened a shop in a fashionable part of Birmingham. For over 100 years Cadbury was essentially a family business and although non-family directors were appointed for the first time in 1943, the company retained many features of a family business until 1962 when a public quoted company was formed. Cadbury grew from strength to strength with new technology being introduced to make the Cadbury confectionery business one of the most efficient in the world.

The merger of the Cadbury group in1969 with Schweppes and the subsequent development of the business have led to Cadbury Schweppes taking the lead in both confectionery and soft drinks markets in the Uk and becoming a major force in the international markets. Cadbury Schweppes is a major international beverage and confectionery company, selling much-loved brands in almost 200 countries worldwide. An example of some of the much-loved bands would be 7 up, Bassett’s, Hall’s, Turkish delight, Oasis and Jelly babies.

The history of Cadbury Limited shows not only the growth of a highly successful confectionery business but also the development of social and industrial reforms, which became a model for modern industrial relations. In 1824 John Cadbury opened the first shop, mainly trading tea and coffee In 1943 non-family directors were appointed. Which was a LTD. In 1989, one of the most important steps in the development of the company happened, the merger with Schweppes. Which is now a PLC. How being a private limited company affects Cadbury?

Limited and unlimited liability Shareholders in Cadbury have the legal protection of a limited liability, which means the, if Cadbury ltd goes bankrupt because it is unable to meet its debts, the shareholders will not be liable to lose their possessions to pay the money that is owed. The maximum amount they could lose is the amount that have put into their shares. Unless they have a loan on the company from the back ect. Limited liability is essential to Cadbury because it’s asking a great many shareholders to risk their capital in the business.

Without limited liability status, large numbers of employees will not be prepared to sink their capital into the business. This would mean not being able to expand or even able to maintain running the business. Access to sources of finance As Cadbury became larger it took on more sophisticated forms of business ownership and had access to a wider range of sources of finance. When Cadbury moved on to a corporate status it was able to draw on a much wider range of source of finance. This is for two reasons i. Having access to more finance and finding it easer to raise more finance because it’s seen as being more financially secure

Because of limited liability the shareholders knew that they were not risking their own personal assets Control Cadbury shares can only be sold with the permission the board of directors. By keeping shares in a small number of hands, the key shareholders are able to control the business. (Cadbury Schweppes) As Cadbury Schweppes owns Cadbury ltd, the danger of losing control really comes to the fore, as a public limited company. As the shares can be traded on the stock exchange, and individuals or groups of individuals can take over other companies by buying up to 51% of the shares.

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