Cadbury Swot Analysis

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SWOT Analysis - Strengths

The Company’s Long History.

Cadbury Schweppes is one of the biggest beverage and confectionery companies in the world. With a history stretching back over 200 years, today their products are enjoyed in almost every country around the world. Cadbury Schweppes plc was formed by our merger of these two great British household names in 1969. Since then they have expanded the business throughout the world by a program of organic and acquisition led growth. It was in 1783 that Jacob Schweppe perfected his process for manufacturing carbonated mineral water in Geneva, Switzerland. John Cadbury opened in Birmingham in the UK in 1824. Originally selling tea and coffee, it was, however, his marginal lines of cocoa and chocolate that, in just a few years, took over as the mainstay of the business and started the Cadbury success story. Cadbury Schweppes took the strategic decision in the mid 1980s to concentrate on our core international brands of beverages and confectionery and exit the general foods and hygiene sector with the sale of non-core brands such as Typhoo Tea, Kenco Coffee and Jeyes. Since then, we have strengthened our portfolio of key brands through the purchase of Mott's (1982), Canada Dry (1986), Trebor (1989), Bassett (1989), Dr Pepper and 7 UP (1995) and Hawaiian Punch (1999). The new millennium has seen us continue to make acquisitions concentrating our interests in North America, Europe and the Asian Pacific regions. Snapple and Hollywood were acquired in 2000, and in 2001 we became number two in the soft drinks market in France with the acquisition of Orangina. In 2002 Cadbury Schweppes catapulted to joint number one position worldwide in confectionery and number two worldwide in chewing gum, first by buying Dandy, the Danish chewing gum company and, at the end of the year, announcing our proposed $4.2 billion acquisition of Adams.

The American Customer Satisfaction Index report rates Cadbury Schweppes as number 1 on the beverages market.

Cadbury Schweppes plc

Cadbury Schweppes plc
NM N/A 85 86 83 88 85 86 85 86 89 84 83 86 86 0.0 1.2 Soft Drinks
86 N/A 86 86 83 83 84 86 82 85 84 83 83 84 84 0.0 -2.3 Coca -Cola Company, The
85 N/A 85 87 84 82 84 86 81 85 83 83 84 82 84 2.4 -1.2 PepsiCo, Inc.
86 N/A 87 86 83 83 82 85 84 86 83 83 82 86 84 -2.3 -2.3 All Others
NM N/A NM NM NM NM NM NM NM NM NM NM NM 83 83 0.0 0.0

Cadbury Schweppes has been number one on the American Customer Satisfaction Index for two years in a row now, even though they are competing with world giants in the beverage industry, Coca-Cola and Pepsi. This yet again presents their excellence in the beverage industry from a different angle and from a different source.

Acquisition of Dr. Pepper/ Seven Up Bottling group and distribution channels. On May 2, 2006, Cadbury Schweppes completed the acquisition of The Carlyle Group's 53% stake in Dr Pepper/Seven Up Bottling Group forming the Cadbury Schweppes Bottling Group. The Cadbury Schweppes Bottling Group (formerly Dr Pepper/Seven Up Bottling Group, Inc.) is the largest independent manufacturer, marketer and distributor of well-known and widely-consumed carbonated and non-carbonated soft drinks in the United States. They service more than one-third of the U.S. population with operations in 25 states. They operate ten manufacturing plants, over 100 distribution centers and employ over 9,000 employees.

The Company’s portfolio of carbonated soft drinks (CSD) and alternative beverages consist of highly recognizable national brands that are in many cases the first or second ranking brand in their flavor or product category. Dr Pepper, Seven Up, A&W, Sunkist, Canada Dry, Schweppes and Squirt are a few of the leading CSD...
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