Reference for Pest analysis

POLITICAL (info as to what is means) Political decisions can affect Cadburys, these can be either advantages or disadvantages, if taxes increase, therefore consumers decrease and sales of stock decrease. However if taxes decrease the likelihood is consumers will buy more. Laws can also change Cadburys income because if a law was brought out, that you could only work from 9am till 5pm, factory hours would be cut short resulting in less chocolates being produced. The Government is very concerned about obesity. Heart problems are costing the NHS more each year.

ECONOMIC (info as to what is means) The interest rates can have an affect on Cadburys. If the interest rates were high then Cadbury would not want to borrow as much money for expansion. Also if consumers themselves were under pressure due to their loans they would again have less disposable income to buy luxury items. If the minimum wage was brought down, this would mean more money for Cadburys but would also result in low sales from the consumers.

SOCIAL (info as to what is means) Trend in snacking increase in people eating on the go (Vending machines) Local residents with small businesses near Cadburys World would benefit from the money that is being brought in by visitors. More people are health conscious will read ingredient content. TECHNOLOGICAL (info as to what is means) Better equipment Cost of machinery New machinery Maintenance

2) Political and Economic A change in government will cause a change in polices.. If the interest rates go up it will mean that there is no capital expenditure and no new jobs will be created which will therefore affect employment. If inflation went up/down it would affect the cost of materials and therefore their profit would increase/decrease accordingly.

 If pensions and national insurance went up then Cadburys costs would go up meaning that their profit would go down. If taxation went up then it would increase the production costs meaning that their profit would go down. If unemployment was high then people will have less money to spend on luxury goods like chocolate, again their profit would decrease. If exchange rates changed it would affect the cost of exporting, so a change to the euro would mean that it was better for exporting If the national income went down people would have less money to spend on luxury items such as chocolate. Social If the population size decreased then their would be less people to buy their products therefore less profit. If peoples lifestyles changed e.g. more people wanting to get fit and lose weight, then they will stop eating chocolate and spend there money on gym memberships etc. This means that Cadburys profits will decrease. Technological An increase in capital expenditure e.g. more up to date equipment would mean that the goods where produced quicker and cheaper but would also result in job loses. Research and development- keep developing new products to keep up with competition and customer needs. Foucault refuted Legal More legislation in place to make sure that the workplace is safe and the worker is better protected. Expensive costs to Cadburys to implement. Environmental Cadburys is built on a river which at one time they would have been able to dispose waste in, but now that they can't its expensive to dispose of waste properly.

3)

Political factor:If government increases the tax rate on chocolates than customer have to pay more for it If tax increase by10% than normal dairy milk of 5 Rs will be of 5.50. If some party such as congress comes into power than it will affect positively or Negatively depending on tax and norms.

If inflation rate increases than it will affect fmcg sector so dairy milk also will be affected.

Economic:

In festival seasons the demand of chocolates increases. More demand will depend upon the buying power of consumers. Willingness to buy:-demand of chocolates will depend on the persons willingness to buy, this will depend on the quality of the dairy milk and need. Taste and preference:- Cadbury has wide variety of products and 1 of them is dairy milk. Its different varieties are fruit and nut, raisins, almond. So the demand will be according to the taste and preferences of the variety. Income:-variation in income will affect positively or negatively on dairy milk. More the income than more will people buy.

Social:Cadbury India has a tradition of caring for the environment and enriching the quality of lives of the communities we live and work in, through a variety of resultoriented programs. Various steps taken by Cadbury India are: MIGRATORY BIRDS STOP OVER AT OUR BANGALORE FACTORY! Water is a precious resource. As part of Cadbury India's efforts to continuously increase water conservation its Bangalore factory has constructed a check dam to store the rainwater. This dam not only acts as a major ground water replenishing source for the bore wells in the factories and surrounding community, but is also a stopover location for some of the migratory birds! PIONEERING COCOA CULTIVATION IN INDIA :-Since 1974 Cadbury has pioneered the development of cocoa cultivation in India. For over two decades, it has worked with the Kerala Agriculture University to undertake cocoa research and released hybrids that improve the cocoa yield. its efforts have increased cocoa productivity and touched the lives of thousands of farmers. Hardly surprising then that the Cocoa tree is called the Cadbury tree! Technological:

Milk quality can be improved much by technology. Refrigeration power can be improved by new technology so that cold storage product such as dairy milk and other milk products can be stored well and long for much more time