Mars and Ferrero Key Success Factors in Terms of Internationalising
Introduction
Internationalization has been viewed as a process of increasing involvement of organizations in international markets (Welch & Luostarinen 1988). It is also defined as developing networks of business relationships in other countries through Network-based perspective (Johnson & Turner 2010). It occurs when a firm expands its operations in another country, by acquiring the property of the assets that are abroad, penetrating to market by developing market positioning and resource commitments and lastly integrating into the local market.
Globalization shares some common characteristic as Internationalization. It is the ‘integration of technology, markets, politics, culture, labor and commerce on a global scale. It can be seen as both the process and the results’ (Kelly & Booth 2004).
Mars and Ferrero are two world-leading food (especially Chocolate) manufacturers. But what makes these 2 companies successful internationally and globally? What are the factors contributing to their success? In this essay, we will evaluate on their success factors and what changes could have been taken to make the companies more competitive and profitable.
Background
Mars (2012) has provided a milestone of the company starting in 1882, where Frank C. Mars was born, and in 1911 where he starts making and selling butter cream candy from home and this is how it started for Mars. Mars carries a product mix of petcare, chocolate, wrigley, food and drinks. As we are looking at chocolate product line, names like Mars, Snickers, M&Ms or Dove will always be the first few that ring the bell.
Ferrero (2009) on the other hand is an Italian manufacturer started off as a foundation in 1946 by Pietro Ferror, and later achieved its success by his son, Michael Ferrero. The Ferrero family continues to excite its global consumer with an extensive; high-quality products. Their product mix consists of Chocolate, sugar confectionary, crème and even drinks. And its’ chocolate/crème product
Internationalization has been viewed as a process of increasing involvement of organizations in international markets (Welch & Luostarinen 1988). It is also defined as developing networks of business relationships in other countries through Network-based perspective (Johnson & Turner 2010). It occurs when a firm expands its operations in another country, by acquiring the property of the assets that are abroad, penetrating to market by developing market positioning and resource commitments and lastly integrating into the local market.
Globalization shares some common characteristic as Internationalization. It is the ‘integration of technology, markets, politics, culture, labor and commerce on a global scale. It can be seen as both the process and the results’ (Kelly & Booth 2004).
Mars and Ferrero are two world-leading food (especially Chocolate) manufacturers. But what makes these 2 companies successful internationally and globally? What are the factors contributing to their success? In this essay, we will evaluate on their success factors and what changes could have been taken to make the companies more competitive and profitable.
Background
Mars (2012) has provided a milestone of the company starting in 1882, where Frank C. Mars was born, and in 1911 where he starts making and selling butter cream candy from home and this is how it started for Mars. Mars carries a product mix of petcare, chocolate, wrigley, food and drinks. As we are looking at chocolate product line, names like Mars, Snickers, M&Ms or Dove will always be the first few that ring the bell.
Ferrero (2009) on the other hand is an Italian manufacturer started off as a foundation in 1946 by Pietro Ferror, and later achieved its success by his son, Michael Ferrero. The Ferrero family continues to excite its global consumer with an extensive; high-quality products. Their product mix consists of Chocolate, sugar confectionary, crème and even drinks. And its’ chocolate/crème product