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Kraft Foods Resource Based View

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KRAFT FOODS COMPANY
INTERNAL ANALYSIS
The starting of strategic management process is internal analysis where managers of the firm identify business strengths and weaknesses by analyzing its core competencies. For business to build competitive advantage and take advantage of profitability, it must be able to exploit and build upon its strengths and eliminate its weaknesses. Competencies for business are its resources and capabilities that allow the business to differentiate itself and its products and services, or reduce costs when compared to competitors (“The competitive advantage”, n.d). Assets can be tangible like equipment, land or technology, or intangible like brand, knowledge and expertise. When assets are utilized appropriately, they add value to output produced by the business. Similarly capabilities of the business, like skills, processes and structures are important to creating competitive advantage.
Along with internal analysis managers must conduct SWOT analysis. SWOT stands for strengths, weaknesses, opportunities and threats. Strengths and weaknesses make up business’s internal analysis and opportunities and threats come from external environment of the firm and hence form external analysis.
RESOURCES BASED VIEW FOR KRAFT FOODS
Kraft Foods is one of the largest Food and Beverage Company in North America with presence in more than 155 countries. Kraft has a deep portfolio of consumer’s favorite food, beverage, cheese, refrigerated meals and grocery brands (“Our Mission”, n.d).
Tangible Resources * Physical Resources
Kraft Foods has presence in more than 150 countries including 35 manufacturing centers and 3 research and development centers. This shows the extent of capital base of the company. The company has also form mergers with leading companies and acquired other large food & beverage companies to become one of the largest

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