Analysis of Cadbury's

Analysis of Cadbury's

Background to business

The Cadbury’s company started manufacturing chocolate in Birmingham in

1824. It was set up by Mr. John Cadbury. In the year 1847 the company

changed when John and his brother Benjamin became partners and the

company became known as the Cadbury Brothers of Birmingham. A year

later the retail side of the business, which was allocated in Bull

Street was passed to nephew, Richard Cadbury Barrow. In February 1854

the company received their first Royal warrant as ‘manufacturers of

cocoa and chocolate to Queen Victoria. The company still holds the

royal warrants of appointment.

In 1861 both Richard and George Cadbury took over the business when

their father retired. The Cadbury brothers were dissatisfied with the

quality of cocoa products that were being produced by manufacturers

including their own, for this reason the brothers wished to improve

the quality of Cadbury cocoa products as to help the business to

survive and prosper. The brother visited to the Van Houten Factory in

Holland, after the visited the Cadbury brothers, started using a new

processing technique. The Cadbury brothers introduced this new process

for pressing cocoa butter from cocoa beans, the process made a more

palatable cocoa essence.

The company remained in Birmingham for 32 years and by then the

factory had become too small for the worker force. The brothers

decided that they had to move the factory to larger premises. The

source of the quote below is cadburys.co.uk site.

"Why should an industrial area be squalid and depressing?" Both

brothers asked.

"Why should not the industrial worker enjoy country air and

occupations without being separated from his work?"

"If the country is a good place to live in, why not to work in?"

In 1878 the company was move to Bournville. After the death of Richard

Cadbury in 1899, the Cadbury business became a private limited

company: Cadbury Brothers Limited. George Cadbury became the Chairman

of the Company’s new Board. The other directors were Barrow and

William A. Cadbury (sons of Richard) and George’s own two sons, Edward

and George Cadbury Junior.

The Bournville factory site became a 'series of factories within a

factory', as everything needed for the business was produced on site,

with tin box pressing plants, carton making units, a design studio and

pri...

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quality to their chocolate.

PRICE

Cadburys price their products competitively with their competitors.

Cadburys products can be found in most local corner shops, Cadburys

chocolates are price at the same price as their competitor:

Example; Cadbury whole nut would cost 35 pence, while a Mars bar and

Galaxy bar could also cost 35 pence.

PLACE

Cadbury sells anywhere where there is a demand for their products,

special if there many customers that want to buy their products.

Cadbury would sell their products to shops (business) that deals with

beverages and confectionery like (Iceland, Sainsbury, Kwick Save,

Tesco, Asda, Safeway) and also in post offices and newsagents and in

vending machines.

PROMOTION

Through Cadburys promotional activities it can be clearly seen that

they have been guided by their promotional and marketing objectives of

"maximising profit” and also “to increase the sales”.

Achievement of these objectives enables the business to meet the

business objectives of being “Number one product in a given market”.

Cadburys Company are the number one seller of chocolate confectionary

product on the market, in the Europe and world-wide.