Sara Lee Case Study

Topics: Marketing, Strategic management, Food Pages: 3 (856 words) Published: March 3, 2013
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1. At the beginning the company corporate strategy was implementing acquisition strategies to expanding the company’s geographic coverage and into new business categories. The company started as a small wholesale distributor of sugar, coffee, and tea, then it acquire a food processing, packaging, and distribution, and then retail food business. For over 40 years the company had acquired a series of related and unrelated business. Over this course of time, management struggled to manage the company’s broadly diversified and geographically scattered operations. With the retrenchment strategy, Sara Lee Corporation is able to transform it into a more tightly focused food, beverage, and household products company. Management believed concentrating its financial and managerial resources on a smaller number of business segments in which market prospects were promising and Sara Lee’s brands were well positioned would help the company save cost and more profitable. The company had also implement an outsourcing strategy known as Project Accelerate. It a company-wide cost saving and productivity that focused on outsourcing, supply chain efficiencies, and overhead reduction.

2. Sara lee’s corporate strategy was implementing acquisition strategies. The retrenchment strategy changed the nature of its business lineup from a small wholesale distributor to acquiring retail food business. The business also acquired related and unrelated business. Sara lee corporations was able to transform it into a more tightly focused food, beverage and household products company. Sara Lee is returning to its roots of food service where name recognition is the strongest. industries represented in Sara Lee Corp.’s business portfolio? The retail, foodservice, and industries represent the most attractive long-term. Sara lee has name recognition in the retail industry. Sales of these products will likely remain high as consumers purchase...
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