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Arla Food

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Submitted By odji
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Pages 9
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Arla Food
Set Industry Assignment 2
Bayarsaikhan Oyunjargal

Contents Introduction 3 Critical Success factors 3 Bowman’s Strategic Clock 4 Key Resources and Competences 5 Ansoff Matrix 7 Conclusion 9 References 9

Introduction

Arla food is dairy company, operating in local and global markets. The home markets are in Denmak, UK and Sweden. Arla food is owned by Danish and Swedish dairy farmers. It is also a supplier for variety of dairy products to the Northern European and United Kingdom market.( Arla Foods, 2013)
Very well known brands such as Arla, Lurpark and Castello are present in 100 countries. Arla Food has over 18 000 employees. Has democratic structure in the company, makes sure everyone’s voice is heard. Yearly, approximately 3.2 billion of liters of milk collected. According to the Arla foods site (Arla Foods, 2013) “Arla’s milk pool is made up of three groups, Arla Milk Link, Arla Foods Milk Partnership (AFMP) and Arla Milk Link directs.” It is important to mention that Arla controls the value chain, fully and thus produced milk by farmers are sold or turned to another dairy product, which then are sold to global market.

Critical Success factors

Arla Foods had it big success for the past five years due to following factors and focuses. First of all, the origin country is Denmark. Denmark according to (World Bank, 2012) is 14th country in terms of DGP and being the wealthy and developed country, it has a high purchasing power. As Arla Foods positioned its price for its products not cheap, the capability of customers to buy plays a very important role. Secondly, the cultural background, old heritage of cheese culture, and its long manufacturing history contributes to the high consummation of designated products. Thirdly, is the top management decision to highly invest in the Research and Development of dairy products,

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