Sargento Foods Case Study

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Sargento Foods Inc. Expansion
Our groups company that we want to expand internationally is Sargento Foods Inc. Sargento Foods Inc. is a family-owned company founded in 1949. They employ roughly 1,500 employees in the state of Wisconsin. Their plants are located in Plymouth, Kiel, Hilbert, and Elkhart Lake as well as out of state facilities in Washington and South Dakota. Sargento Foods Inc consists of four types of business divisions: Consumers Products, Food Service, Food Ingredients, and Culinary Solutions. The Consumer Products division of Sargento in the United States is number one in packaging of cheese products and does the marketing of different products of cheese such as shredded, cheese snacks, and sliced. The Food Service division focuses on preparing cheese products for restaurants chains such. The Food Ingredients division helps other food manufacturing businesses with special cheese orders. The Culinary Solutions division provides cheese to deli operators (Sargento). We decided to expand our products to be recognized internationally. As owners of the company, we have come to a business decision to expand our company to the country of Toronto, Canada. Sargento Foods Inc being a family-owned company provides multiple strengths and opportunities to aid our acts in expansion such as long history, quality of product, and other essential factors. Enter a new market internationally also causes some threats that may affect our success on expanding to Toronto, Canada such as political, economic issues, and cultural issues.
When looking at what country and city best fits for Sargento Foods Inc type of business Toronto, Canada stood out the best. Toronto has many appealing benefits as a city for doing business such as cost of...

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...ength which assistances with stimulating growth. Our targeted market for Toronto would be the top four ethnic groups Caucasian, south Asian, Chinese, and African American, ages from 20-60+. For our products we will start making less sodium cheese because of government regulations. We will introduce goat cheese local Toronto cheeses, gluten free, and lactose free cheeses to compete with local businesses there. For our products we will have to change the labels on products for ounces to grams because Canada goes by the metric system. We will have to face political, economic, and cultural issues when entering Toronto, but we believe that we can make many changes in our company so these issues don’t have a drastic affect on us. Overall we believe that Sargento Foods Inc entering Toronto would be a smart business decision because of the profitable gain Toronto imposes.

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