Proton

Topics: Food industry, Food processing, Food Pages: 6 (1852 words) Published: December 11, 2012
|The External Factor Evaluation (EFE) Matrix |  |  |  | |Key External Factors |Weight |Rating |Weighted Score | |Opportunities |  |  |  | |1. U.S. sales of organic food and beverage have increased from $1 billion (1990) to $26.7 |0.08 |3 |0.24 | |billion (2009) | | | | |2. Food manufacturers have experienced an increase in sales due to a higher number of |0.10 |4 |0.4 | |people dining out | | | | |3. Women are becoming more common in upper management (11.2% in 1995 to 16.4% in 2005) |0.06 |4 |0.24 | |4. Baked goods prices increased 10.7% compared to 2008 |0.03 |1 |0.03 | |5. Increased trends of flavor enhancer for bottled water |0.13 |4 |0.52 | |6. Growing environmental consensus |0.06 |3 |0.18 | |7. Increased demand for packaged and processed foods around the world due to change in |0.07 |3 |0.21 | |lifestyles | | | | | | | | | |Threats |  |  |  | |1. Increasing obesity rates in North America |0.03 |2 |0.06 | |2. Due to a weak economy and increased competition, the food processing industry saw a work|0.04 |1 |0.04 | |force reduction on average of 7.5% in 2009 | | | | |3. Rising costs of petroleum cause an increase in cost for food companies |0.05 |2 |0.1 | |4. Difficult to differentiate product pricing between competitors in the food processing |0.04 |2 |0.08 | |industry | | | | |5. Customers switching to generic brands |0.09 |3 |0.27 | |6. Increased intensity between competitors in European as well as other markets |0.07 |3 |0.21 | |7. North American competition is now primarily focused on the food industry |0.13 |4 |0.52 | |8. Declining value of the dollar with an increasing value of the Euro |0.02 |2 |0.04 | | | | | | |Total |1.00 |  |3.14 |

Our team conducted the External Factor Evaluation Matrix in order to evaluate...
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