Parmalada Dairy Industry Analysis
The Canadian food economy has been greatly influenced by the dairy industry. With dairy products being an essential part of consumer purchases, industries work hard to supply Canadians with a vast amount of high quality dairy products. One of these industries is Parmalat Canada. This industry has operated in Canada since 1997, under Parmalat S.p.A of Italy. With its roots reaching back to over 120 years, Parmalat Canada has become the premier provider of dairy and food products to Canadian consumers. Parmalat Canada’s most successful products have been sold from the milk, spoon-able yogurt, drinkable yogurt, snack cheese, and natural cheese market segments. Some examples of the products are natural cheeses, process cheeses, milk, cream, yogurt,
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Shares of Parmalat S.p.A are traded on the Italian Stock Exchange. By investing in foreign markets, Canadians benefit by having access to a bigger market and diversified assets. Additionally, foreign investments will help Canadian companies to expand and increase productivity. This is because Parmalat Canada’s parent company now has increased profits to help the growth of their companies.
This company is also able to find new ways to improve productive resources. This company does so with technological innovations, research, and development policy. Some of Parmalat’s most significant technological resources have allowed for the production of UHT Milk with infusion, and ESL Milk with microfiltration. Another example is how they improved their packaging. This was done by moving from glass to paper boxes. With the development of new technology, Parmalat is able to increase the quality of their products, which will lead to an eventual increase in …show more content…
Since Parmalat Canada is owned by Parmalat of Italy, Parmalat Canada has foreign loyalties. This leads to the eventual revenue earned in Canada being sent to Italy to pay head office costs. Additionally, smaller Canadian companies will lose money by not being able to export their own dairy products. This is because, the Italian company has no reason to buy dairy products from Canada, when they can make a profit from importing products to Canada. Overall, since Parmalat is not Canadian owned, its parent company will receive more benefits than the Canadian
Shares of Parmalat S.p.A are traded on the Italian Stock Exchange. By investing in foreign markets, Canadians benefit by having access to a bigger market and diversified assets. Additionally, foreign investments will help Canadian companies to expand and increase productivity. This is because Parmalat Canada’s parent company now has increased profits to help the growth of their companies.
This company is also able to find new ways to improve productive resources. This company does so with technological innovations, research, and development policy. Some of Parmalat’s most significant technological resources have allowed for the production of UHT Milk with infusion, and ESL Milk with microfiltration. Another example is how they improved their packaging. This was done by moving from glass to paper boxes. With the development of new technology, Parmalat is able to increase the quality of their products, which will lead to an eventual increase in …show more content…
Since Parmalat Canada is owned by Parmalat of Italy, Parmalat Canada has foreign loyalties. This leads to the eventual revenue earned in Canada being sent to Italy to pay head office costs. Additionally, smaller Canadian companies will lose money by not being able to export their own dairy products. This is because, the Italian company has no reason to buy dairy products from Canada, when they can make a profit from importing products to Canada. Overall, since Parmalat is not Canadian owned, its parent company will receive more benefits than the Canadian