...Tootsie Roll Vs Hershey The purpose of this financial analysis is to compare Tootsie Roll and Hershey Inc to the industry average financial ratios to determine which company will be the best investment opportunity. This analysis will evaluate and compare the company’s liquidity, solvency and profitability ratios from 2004. Tootsie Roll, Inc. and Hershey Inc are both companies well known for the selling of confectionary goods. Hershey is publicly traded under NYSE: HSY, Tootsie Roll under NYSE: TR. Both are listed under SIC 2064, Candy and other Confectionary products. • Liquidity Liquidity ratios measure the short-term ability a company to pay its obligations and meet unexpected needs of cash. These numbers can be found by analyzing the company’s balance sheet. The company that closely matches or exceeds the industry averages in liquidity is Tootsie Roll. Tootsie Roll’s current ratio of 2.34 exceeds that of the industries 1.29. They also have a lower cash to debt ratio 1.05 (2.37 industry, days in inventory 63.98 (industry 72.7) and a quicker inventory turnover 5.7 (industry 6.05). The only ratio were Hershey exceeds Tootsie Roll is receivables turnover ratio. Hershey collects more of its receivables but Tootsie Roll collects faster. Tootsie Roll is better suited to collect cash quickly to pay its obligations and meet unexpected cash needs. • Solvency Solvency ratios measure a company’s ability to last over an extended period of time, or how a...
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...1&*" 1, / &0" 1%" / 1A> />:E HKIHK:M> 0HLIHGLB;BEBMR />IHKM ?HK MA> %>KLA>R HFI:GR TIME TO RAISE THE BAR: The Real Corporate Social Responsibility for the Hershey Company September 2010 Prepared by WWW.GLOBALEXCHANGE.ORG WWW.GREENAMERICATODAY.ORG WWW.LABORRIGHTS.ORG WWW.OASISUSA.ORG. 2 September 2010 1:;E> H? HGM>GML Executive Summary . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 Areas for Improvement. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 6 Desired Outcomes for a Fair Hershey’s . . . . . . . . . . . . . . . . . . . . . 7 Problems at the Source. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 Lack of Transparency . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 Lack of Certification . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 12 Commitment to Ethical Cocoa Sourcing . . . . . . . . . . . . . . . . . . . 15 Certification Chart . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 17 Other Corporate Social Responsibility Initiatives . . . . . . . . . . . . . . . 18 Job Losses and Worker Rights Abuses in the US . . . . . . . . . . . . . . . . 21 Conclusion . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 23 Desired Outcomes for a Fair Hershey’s . . . . . . . . . . . . . . . . . . . . 24 Appendices A. Breaking the...
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...A private club, with a rich community history, faces the challenge of membership declines and shrinking profits. Like many private clubs, the Hershey Italian Lodge’s declines are driven by economic downturns, aging membership, and increased competition. This document explores the hardships facing the club as well as some alternative action steps the lodge can take to meet those adversities head on. Marketing Plan The Hershey Italian Lodge Stamey 1 Company Overview The Hershey Italian Lodge (HIL) is in its 94th year of operation. Located in the heart of Hershey, PA, HIL was established by a small group of Italian men in 1920. The name Nuova Societa Italiana Indipendente Di Mutuo Soccorso Per Uomini was, and still is, the true name of the lodge. It means, Men’s New Independent Italian Mutual Benefit Society. HIL is a private men’s social club that includes a bar &restaurant serving a traditional style Italian menu, a banquet, and other activities and amenities. As a staple of the Hershey community for many years, the HIL is well known and respected throughout the area. The primary goal of the lodge is to preserve their heritage and build a strong, close community. The mission statement is, “…to provide a comfortable, friendly, affordable, family atmosphere for our members and guests.” The saying “Ieri, Oggi, Domain, Sempre Fratelli” is the motto of the organization and is printed at the bottom of each quarterly newsletter. Translated, this means, “Yesterday, Today...
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...2012 Hershey Company Financial Report 2012 Hershey Company Financial Report Audrey Goldman Chloe Bellewoar Maria Sharpe Jenna Fischer Jean Zhao Audrey Goldman Chloe Bellewoar Maria Sharpe Jenna Fischer Jean Zhao Table of Contents Introduction………..……………………………………………………….3 Financial Analysis………………………………………..……………..5-18 Cash Flow Adequacy Ratios………………………………………….5 Liquidity Ratios……………………………………………………..6-7 Vertical Analysis-Balance Sheet……………………………………8-9 Vertical Analysis-Income Statement……………………………..10-11 Trend Analysis……………………………………………………….11 Market Strength Ratios……………………………………………...12 Long Term Solvency Ratios………………………………………….13 Dupont Analysis……………………………………………………..14 Profitability Analysis…………………………………………….15-16 Coverage Ratios………………………………………………….16-17 Horizontal Analysis……………………………………………...17-18 Comparative Industry Analysis………………………………………….19 Direct Competitor Analysis……………………………….…………19 Market Capitalization……………………………………………….19 Price per Earnings…………………………………………………..20 Revenue Growth…...………………………………………………...20 Competitor Stock Graph Comparison……………………………….20 Profit Margin………………………………………………………..21 Cash Flow to Sales…………………………………………………..22 Investment Analysis…………………………………………………...23-25 DCF Analysis…………………………………………………….23-24 Buy-Hold-Sell Decision……………………………………………...25 Bibliography………………………………………………………………..26 Introduction Introduction Hershey’s Story The Hershey Company began in 1894, just a subsidiary...
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...37 Targeting 38 Positioning 38 Strategy Execution 40 Product 41 Goals and Product Description 41 Process Description 42 Life Cycle Stage 43 Place 43 Goals and Market Exposure 43 Channels Used 44 Supply Chain System 45 Promotion 46 Goals 46 Promotional Blend 47 Price 50 Goals 50 Value Proposition and Price Sensitivity 50 Pricing Strategy (Short Term/Long Term) 51 Breakeven Analysis 52 Implementation and Control 53 Timing and Implementation Activities 54 Sales Estimates (Forecast) 54 Forecast/Estimates 56 Scenario Analysis and Discussion 57 Sensitivity Analysis and Discussion 59 Comprehensive Financial Analysis 64 Conclusions 65 Appendix 67 Citations 75 Executive Summary The Hershey Company is known for bringing goodness to the world through its chocolate, sweets, mints and other great-tasting snacks. Our Company has mentioned this statement several...
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...appeal to the diverse groups that it employs. I will analyze how I would interpret the values that Hershey embraces in relation to my role, if I were a Hershey employee. My research will also discuss the trends identified in the chapter and describe which one may impact Hershey the most. Lastly, I will describe the effects that mentoring could have on integrating values into the Hershey culture. Recommend the redesign of Hershey’s performance management system to appeal to the diverse groups that it employs. Because Hershey’s employs such diverse groups it could benefit from knowledge workers. Organizations need a management style that focuses on developing and empowering employees. (Noe, 2011) Knowledge workers are employees whose key contribution to the organization is specialized knowledge, such as knowledge of customers, a process or a profession. Employees are then held accountable for products and services, and in return share losses and rewards. (Noe, 2011) When an organization competes for employees, depend on skilled knowledge workers, or are in need of a workforce that cares about customer’s satisfaction, a pure focus on efficiency will not achieve human resource objectives. (Noe, 2011) To improve job satisfaction, organizations need to design jobs that take into account factors that make jobs motivating and satisfying for employees across the board. (Noe...
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...The Hershey Company Worldwide Educators OR/5000 May 7, 2013 The Hershey Company Introduction The founder of the Hershey Company was Milton S. Hershey. He was raised in rural central Pennsylvania. Even though he lacked formal education and went nearly bankrupt by the time he was 30 years of age, Milton S. Hershey became one of the wealthiest men in the world. He started Lancaster Caramel Company in 1876, in Philadelphia, hiring about 1400 people, in his chocolate factory. By the time the year 1900 came in the picture Milton S. Hershey made 1 million dollars. This was the name before it was Hershey. Soon the Lancaster Caramel Company was shipping all over the U.S. and Europe. As time progressed on, Mr. Hershey opened a school for orphan boys called the Milton Hershey School; it has since opened its doors to girls as well. In 1918, Hershey transferred the bulk of his considerable wealth, including his ownership in the Hershey Chocolate Company and other enterprises, to the Hershey Trust to be held for the Hershey Industrial School. The Hershey’s Company many products to choose from such as Hershey’s milk chocolate bar, Reese’s peanut butter cups, Kit Kat wafer bars, Hershey’s Kisses, Jolly Ranchers, Ice Breakers, and many more. These products are only, to name a few. Hershey does not only offer sweets to eat also offer job opportunities, or if one would like to be an investor in the company. Mission Statement Hershey’s considers their mission as...
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...this whole thing of what's happening. I was on this team called, “Hershey Quebec Team.” The team is very special and in February, the team goes to the biggest hockey tournament in the world called “ Quebec Pee-Wee Hockey Tournament,” which is held in Quebec. On February 10th, 2017...
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...(717) 534-7556 Fax: (717) 534-6550 E-mail: mpogharian@hersheys.com Matthew F. Miller Investor Relations Manager Tele: (717) 534-7554 Fax: (717) 534-6550 E-mail: mfmiller@hersheys.com Prepared by: The Hershey Company Investor Relations Department 100 Crystal A Drive, P.O. Box 810 Hershey, PA 17033-0810 Internet: www.hersheys.com The Hershey Company Fact Book Table of Contents Page(S) 3 4 5-24 Mission Statement Acquisition/Divestiture Summary Key Corporate Events Financial Data Summary of Statements of Income - GAAP: 2010 & 2009 Summary of Statements of Income - Pro Forma: 2010 & 2009 Six-Year Consolidated Financial Summary Quarterly Performance (2010, 2009 & 2008) 2002 – 2010 GAAP & Non-GAAP Annual EPS Capitalization Financing Arrangements Long Term Financial Objectives Capital Expenditures Depreciation Cash Flow Analysis Share Repurchases Economic-ROIC HSY Stock Statistics Key Management Hershey Executive Team Operations U.S. Confectionery Industry U.S. Market Share U.S. Classes of Trade U.S. Snack Market Hershey Products Hershey Canada Hershey Mexico Hershey International Commodities Cocoa Sugar Hershey Manufacturing and Distribution 25 26 27 28 29 30 31 32 33 33 34 35-36 37 38-39 40 41-42 43-44 45 45 46-47 48-50 51 52-53 54-55 56 57 The Hershey Company What it means to stakeholders Consumers Delivering quality consumer-driven confectionery experiences for all occasions Employees Winning with an aligned and empowered organization…while having...
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...Relations Tele: (717) 534-7556 Fax: (717) 534-6550 E-mail: mpogharian@hersheys.com Matthew F. Miller Investor Relations Manager Tele: (717) 534-7554 Fax: (717) 534-6550 E-mail: mfmiller@hersheys.com Prepared by: The Hershey Company Investor Relations Department 100 Crystal A Drive, P.O. Box 810 Hershey, PA 17033-0810 Internet: www.hersheys.com The Hershey Company Fact Book Table of Contents Page(s) 3 4 5-24 Mission Statement Acquisition/Divestiture Summary Key Corporate Events Financial Data Summary of Statements of Income - GAAP: 2011 & 2010 Summary of Statements of Income - Pro Forma: 2011 & 2010 Six-Year Consolidated Financial Summary Quarterly Performance (2010, 2009 & 2008) 2002 – 2010 GAAP & Non-GAAP Annual EPS Capitalization Financing Arrangements Long Term Financial Objectives Capital Expenditures Depreciation Cash Flow Analysis Share Repurchases Economic-ROIC HSY Stock Statistics Key Management Hershey Executive Team Operations U.S. Confectionery Industry U.S. Market Share U.S. Classes of Trade U.S. Snack Market Hershey Products Hershey Canada Hershey International Commodities Cocoa Sugar Hershey Manufacturing and Distribution 25 26 27 28 29 30 31 32 33 33 34 35-36 37 38-39 40 41-42 43-44 45 45 46-47 48-50 51-52 53-54 55 56 The Hershey Company What it means to stakeholders Consumers Delivering quality consumer-driven confectionery experiences for all occasions Employees Winning with an aligned and empowered organization…while having fun ...
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...A. TWO KEY LESSONS LEARNT FROM THIS CASE Hershey Company is famous known for being the biggest manufacturer of chocolates and confectionery products in North America and grocery products in over 60 countries worldwide. In 2009, Hershey sales up to 3.23 percent. Advertising expenses increased by 46 percent as the company continued to promote iconic brands such as the Hershey Kiss and Reese’s products. Due to lower commodity prices, the company plans to discontinue their Cacao Reserve brand as well as their Starbucks chocolate partnership. The company also plans to close their online gift business. The company expanded its global presence via joint ventures in china and India. From this case, we found two key lessons as following: (a) The first lesson is about the important of expanding to global market (b) The second lesson is about the importance for the firm to keep developing customer preferences. It is important for company to focus on how to formulate global product strategy to penetrate growing international markets. Therefore, Hershey should come up with new strategies in finance, marketing and production department to complete globally and to increase the customer satisfaction and market share. B. Vision Statement Since we could not find a vision statement of Hershey company then we suggest a vision as below: “Achieving consumers needs which making chocolate more healthy, delicious and delightful for life” From our opinion, this...
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...BUS 520 The Hershey Company is famously known for being the biggest manufacturer of chocolates and confectionery products in USA, having hired over 15,000 employees worldwide and exporting their products to ninety different countries over the world. They have several popular brands, some of most notable ones being Hershey’s Chocolate Bar, Kit Kat, Hershey’s Kisses, Reese’s, York Peppermint Pattie, Rolo and Krackle Bar. With the help of these brands, Hershey gained success and popularity, making the company’s net worth over $4 billion dollars. As the preeminent chocolate empire in the United States, Hershey has rewarded its owners as it showered them with profits from sales of chocolate bars, chocolate kisses, candy, cocoa, and baking supplies. The problem has always been that the market recognizes how phenomenal of a business it is and prices it accordingly. Hershey is not a stock you can buy cheaply; at least not at any point in the past quarter century. “Hershey has been riding high on a wave of lower expenses brought about because sugar prices are at a three-year low.”2 With costs low, Hershey has been able to simply keep pace with inflation on its pricing while keeping its marketing budget at bay and relying on its brand name to drive margin and sales growth. The worry here, though, is that neither sales trends nor sugar prices are going to work in Hershey's favor in the long run. The company is vulnerable to market prices of key ingredients all of which saw price increases...
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...Organizational Change in Modern Corporations – Success Strategies and Failures Alphonso Varnado University of Saint Francis Abstract Drastic change can be hard for any organization. Even the most powerful leader must realize that it takes the cooperation of others to implement drastic change. This paper looks at effective strategies for drastic change in organizational culture and examines case studies where this has worked and where it has failed. Keywords: Organizational Culture, Change Management Organizational Change in Modern Corporations – Success Strategies and Failures What is Change Management anyway? “The management of change and development within a business or similar organization”. In other words, it is the systematic approach to dealing with change, both from the perspective of an organization and on the individual level. General Principles of Organizational Change Management It is the leader’s responsibility to manage change. Employees are only responsible for doing their best. Leaders must provide the necessary tools for employees to execute the change they desire. Change should not be enforced on the people (Kotter, 2008). Whenever people are forced to do things without engagement, there will be problems? Workshops can ease this burden and develop a collective understanding to the new polices approach, and its effect on their lives and work. Surveys are another way to minimize distrust amongst staff. The employee’s direct supervisors must facilitate...
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...HERSHEY FOODS CORPORATION: BITTER TIMES IN A SWEET PLACE Teaching Note Synopsis and Objectives The proposed sale of Hershey Foods Corporation (HFC) during the summer of 2002 captured headlines and imaginations. After all, Hershey was an American icon, and when the company’s largest shareholder, the Hershey Trust Company (HSY), asked HFC management to explore a sale, the story drew national and international attention. The company’s unusual governance structure put the Hershey Trust’s board in the difficult position of making both an economic and a governance decision. On the one hand, the board faced a challenging economic decision that centered on determining whether the solicited bids provided a fair premium for HFC shareholders. On the other hand, the governance decision required the board to balance its fiduciary responsibility against the original mandate of Milton Hershey to support the Hershey School in perpetuity. The fiduciary responsibility is relatively simple compared with satisfying a broad array of constituents, including the Hershey community, HFC employees, and Pennsylvania’s attorney general. In addition to this teaching note, we provide a variety of teaching supplements to support a discussion of the complex issues presented by the case: • Video footage of the Hershey community and key players in the case • Excel spreadsheets for key case exhibits • Excel spreadsheets for key teaching-note exhibits • Projection-ready...
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...Jessica Anderson, Bryan Bennett, Emily Gutmann December 5, 2013 Management 306 The Hershey Company Introduction Trying to make chocolate chip cookies without eating all the chocolate chips first. Finally achieving the ever elusive perfect peel of a Reese’s cup wrapper. Breaking off a piece of a Kit Kat bar only to eat the whole thing anyways. These are all things everyone associates with one of the world’s leading candy companies, and that company is Hershey’s. The Hershey Company is one of the world’s leading manufacturers of chocolate and chocolate confectionary products. Hershey is a publicly owned company with over 14,000 employees and locations in over 90 countries. Hershey is known to manufacture many different products, including but not limited to Hershey Chocolate Chips and Chocolate Syrup; Kit Kat, Reese’s, Heath bars, Milk Duds, Goodbar, and many more. Hershey is a very interesting company, with a storied history, and proven business success. History The Hershey Chocolate Company began as a wholly owned subsidiary of Milton Hershey’s Lancaster Caramel Company in 1893. Soon after that William Murrie was hired to sell the excess product to other confectioners and he quickly turned the Hershey Company into a successful venture on its own. By 1895 the Hershey Company was making more than 114 chocolate products, and marketed several specifically to women and athletes. Hershey then realized the real market was in milk chocolate; he just needed to find a way to...
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