Arnott's biscuit Australia Essay Example | Topics and Well Written Essays - 1500 words

Arnott's biscuit Australia - Essay Example to a market analysis for South Africa and suggest a suitable expansion strategy for Arnott’s biscuits as it moves into the market, based on their operation al strategy and strengths. The proposed expansion should roll out in several stages; the first of these could be establishment of packaging and distribution facilities in the region with the original products exported to South Arica from company bakeries in Australia. This will allow them to continue with minimal risk of jeopardizing the quality or essence of their product while forming connections with the local industry and community and capturing a suitable market base before the product can be manufactured directly from sources in the region. Arnott’s is known for its strict policies on the standard of raw material they use and their efficient modern production facilities. For the first stage they will require physical assets in form of packaging and storage facilities; distribution and transport vehicles and a labor force which can be comprised mainly of unskilled workers. A well developed infrastructure would be one of their requirements to be provided by the governing and civil bodies. Otherwise Arnotts will not need any special resources (equipment or raw material) to start their expansion process in South Africa. In order to be fully aware of the any challenges or opportunities they will find during the implementation of the expansion strategy, organizations have to do in depth analysis of the region or country they are considering as a viable option. PESTL analysis is a macroeconomic tool which helps organizations in making strategic management decisions; these decisions should be made after considering the internal factors which are in play for the organization. A PESTL analysis and SWOT analysis of the organization are presented in the paper to show the feasibility of the expansion strategy for Arnott’s biscuits. South Africa is a multiparty parliamentary democracy in which constitutional