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Case study chocolate industry
Case study chocolate industry
Case study chocolate industry
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Not surprisingly, chocolate is one of the most enjoyed sweets around the world, and it is sold in many places such as grocery stores, convenient stores, pharmacy stores, etc. Along with chocolate flavoured candy bars, many people also enjoy other foods that contain chocolate as well as chocolate flavoured beverages. In fact, chocolate is not limited to just food and beverage as it also exists as a scent in products such as Axe deodorant body spray. Chocolate is known for its sweet and sugary flavour, and it is associated with many things such as love during Valentine’s Day and with religious holidays such as Easter and Hanukkah. Whether people realize it or not, millions of people all over the world are involved with the chocolate industry in some way or another, whether it is through the consumption, the selling, the marketing, or even the production of chocolate products. Nowadays, the chocolate industry is very huge in countries such as the United States, and lots of Americans enjoy consuming chocolate products. On average, Americans consume a chocolate bar every other day, which is approximately twelve pounds of chocolate every year. Americans annually spend around $13 billion on cocoa-related products which makes the United States one of the largest consumers of cocoa in the world today (Caruth, 2008, p. 10). According to the International Cocoa Organization, three of the top ten confectionary corporations in the world that produce chocolate of any sort are American including Mars Inc. and Mondelēz International Inc. which hold the number one and two positions in the world respectively (International Cocoa Organization, 2013). In conclusion, it is easy to argue that the chocolate industry is very profitable. However, the av... ... middle of paper ... ...n in places like Ivory Coast might immediately decide not to buy a chocolate bar after seeing a label since he or she would instantly realize they are supporting slave labour willingly. In conclusion, many people around the world enjoy chocolate. Some are aware of the issues with human rights that occur in third world nations that are heavily involved with the production of cocoa into chocolate while others are not. Some people might even consume chocolate products despite the issues and controversies surrounding the chocolate industry. There are many possibilities to improve the chocolate industry as a whole such as organize it in a way so that everyone can benefits. However, it might not be in the best interest of those who make the greatest profits in the chocolate industry to make improvements, particularly those who are the worst off in the chocolate industry.
Unfortunately, not everyone involved in the production of this popular sweet benefits. Today, over 70 percent of the world’s chocolate is exported from Africa (“Who consumes the most chocolate,” 2012, para 10). While chocolate industry flourishes under international demand, the situation in Côte d’Ivoire in particular illustrates dependency theory and highlights the need for the promotion of Fair Trade. Chocolate has had a considerable impact on the country’s economic structure and labor practices.
The videos provided for this subject builds a great understanding on what happens behind the scenes and how the production cycle of chocolates turns deadly for few. The chocolate industry is being accused having legit involvement in human trafficking. The dark side of chocolate is all about big industries getting their coco from South America and Africa industries. However, it is an indirect involvement of Hersheys and all other gigantic brands in trafficking (Child Slavery and the Chocolate Factory, 2007).
Market research and information about the industry is very important to the organization because it will allow the organization to position itself well in terms of sourcing chocolate raw materials and in identifying the market for its products. For example, understanding that some chocolate product purchases are seasonal, e.g., at Christmas; around Mother’s Day; and, on Valentine’s Day, allows the organization to have more product on hand and to create displays, in store, that will increase purchases and attract more customers when existing customers tell their friends about the availability of high end products, at reasonable prices, in their store.
Chocolate or cacao was first discovered by the Europeans as a New World plant, as the seed of the tropical Theobroma cacao tree. In Latin, Theobroma literally means: “food of the Gods” (Bugbee, Cacao and Chocolate: A Short History of Their Production and Use). Originally found and cultivated in Mexico, Central America and Northern South America, its earliest documented use is around 1100 BC. The majority of the Mesoamerican people made chocolate beverages, including the Aztecs, who made it into a beverage known as xocolātl, a Nahuatl word meaning “bitter water” (Grivetti; Howard-Yana, Chocolate: History, Culture, and Heritage). It was also a beverage in Mayan tradition that served a function as a ceremonial item. The cacao plant is g...
Today, production and consumption of chocolate is a global affair. People crave chocolate more than any other food. In the United States, the typical person eats 11.5 pounds of chocolate annually (2). What makes chocolate the food that is craved more often than any other food? Yes, chocolate tastes good, has a beautiful texture and melts in your mouth, but there must be more to chocolate than what meets the lips. In fact, chocolate is made up of chemicals associated with mood, emotion and addiction. Many people eat chocolate as a comfort food when they are depressed or stressed. The question is, do people crave chocolate because their bodies and brains are addicted to the chemicals in it or do people crave chocolate because they have a psychological attachment to it?
The Columbian Exchange was a critical episode in history that created the first truly global network between the Old and New Worlds (Green). Many goods were recognized for their value instantaneously while the potential profits that other assets could offer were overlooked (Mcneill). Modest in appearance, the cacao bean would eventually develop into one of the most delectable, sought-after beverages by the elite of Spain, Portugal, Italy, the Netherlands, Germany, and eventually France and England. Nonetheless, the history of the cacao bean is a very bittersweet one. Its prominence among Europeans can ultimately be traced to the inhumane labor imposed on Native American captives and African slaves to cultivate cocoa beans as demand in Western Europe augmented by exponential numbers.
Chocolate bars are thought of as impulse buys, which means they require no thought. This is due to how inexpensive they are. However, if an ingredient such as sugar was to rise drastically, so will the cost of the chocolate bar therefore changing the buyer's perspective on the product class.
Chocolate companies changed from minimal production to massive manufacturing. Thus, targeting different market segments that weren’t possible to reach due to the high cost of the good. The market was able to shift because of the industrialization process that includes several innovations, such as van Houten’s process, this allowed a broad production and distribution of chocolate that spread around the globe.
social class citizens. Thus, there was a coffee house for every walk of life. During this
The market can be further divided according to gender because both men and women have different tastes (chocolate shapes, packaging, and type of liquor). It is known that women are already consuming chocolate. In fact, the numbers of women that consume chocolate far outnumber the numbers of men that consume chocolate. It follows that there is a ready market for the commodity in question. Nonetheless, the reality that introducing alcohol to make liquor-filled chocolates increases the market.
Central Idea: Explain how cocoa beans are processed to produce the chocolate we all know and love
From 2008 to 2012, the exports value (in current prices) of chocolate and other food preparations containing cocoa increased on average by 5.6% to reach its peak of 24.1 bln US$. During the same period, imports showed a similar development with an average increase of 5.5% to amount t...
In 2013, about 7.4 million tons of chocolate is expected to be consumed globally, totaling to nearly $110 billion (Pardomuan, Nicholson). I can honestly say that I will be one of the many people who contribute immensely to those massive quantities. Chocolate has always been one of my guilty pleasures, leading me to consider myself a “chocoholic.” After 20 years of eating chocolate, I learned there is more to chocolate than meets the eye. Many chemicals compose each delicious piece creating multiple psychological effects on the mind. With the knowledge of the chemical and psychological influences that chocolate has on the human mind and body and my own curiosity as to why I love it so much, this led me to ask: Why is chocolate considered such a pleasurable and craveable food?
The Theobroma cacao tree is where it all started. Olmecs, Aztecs, and Mayans were the original consumers of cocoa: they would form it into a drink and ingest it for medicinal reasons (Allen Par. 7). The Spanish then brought it back to Europe and continued to treat a variety of ailments with it (Allen Par. 7). In the last 40 years people have started to question the health benefits of chocolate, but new research is starting to prove that the Olmecs, Aztecs, Mayans and Spaniards were not too far off. Now, the pods from the tree containing cocoa beans are collected, and the cocoa beans are taken out of the pod (Healing Foods Pyramid Par. 15). The beans are then fermented, dried, roasted, then ground to make cocoa liquor (Healing Foods Pyramid Par. 15). The cocoa liquor is then combined with sugar, vanilla, and cocoa butter to make what is now known as chocolate (Healing Foods Pyramid Par. 15). Controversy over the health benefits and detriments of chocolate is slowly subsiding, but there are many things that a lot of people still do not know about how chocolate can affect ones health. Chocolate is misunderstood.
This means that each party can make choices. However in chocolate manufacturing one of the parties is often a large multi million dollar corporation and the other is a small farming company. Concern about the impact of this on small primary producers in developing countries lead to the Fairtrade agreement which Cadburys is a part of. By signing up to the Fairtrade agreement Cadburys agree to buy cocoa at a certain value. Last year Cadburys sold over 7 million chocolate products made with Fair Trade cocoa and this supported 65,000 jobs in