THEO CHOCOLATE

CASE STUDY

MADE BY-

ANJALI (PGDM2-1504)

SHIVANI (PGDM2-1548)

SHUBHAM (PGDM2-1539)

BALJENDAR (PGDM2-1549)

IZHAAR (PGDM2-1533)

HAARIS (CMBA6-1524)

CASE SYNOPSIS

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•Theo is the first company that applies fair trade and organic chocolate product in their marketing on the cocoa market.

•Since its establishment, it is facing a lot of problems. The first few years Theo got loss on this business.

• In this case study we will analyze the reasons for the loss and suggest some best possible solutions.

•Should the company stay true to its socially responsible roots?

•Should it compromise its core principles to remain profitably viable?

•What are the possible solutions to increase its profit margins and compete in the market?

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ISSUES

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INFERENCES

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EXHIBIT 1

0

500000

1000000

1500000

2000000

2500000

3000000

3500000

Operating Expenses Operating Income

(Loss)

Net Income (loss) Net Sales

Income and Expenditures

Year 1 Year 2 Year 3

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INFERENCES

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EXHIBIT 2

0

0.5

1

1.5

2

2.5

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3.5

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4.5

5

Theo Cadbury Hershey Nestle Mars

Weight Retail Price

Price Comparison

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INFERENCES

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Classic

15%

Phinney

22%

theo origins

5%confections

21%

specailty

13%

Misc.other

24%

% of sales

Classic Phinney theo origins confections specailty Misc.other

Exhibit 8

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RECOMMENDATIONS

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Target Mainstream with new brand name.

Expand the Distribution channel

More focus on b2b markets

Hold on to their core value

Eye catching packaging

Focus more on retailers for higher profit margins

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CONCLUSION

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• Theo is high quality chocolate. Thus, for the experience of shops and consumers ,Theo chocolates have to be excellent as well .

• Theo had been facing many internal problems since this company established.

• Therefore; Theo need to apply new operation and new strategic plan in order to make this company can go further to compete in the market.

Thank you

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THANK YOU

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