Sunday, February 2, 2020

Business finance and legal service coursework(writing a report ) Essay

Business finance and legal service coursework(writing a report ) - Essay Example One of the eminent brands of the company is IRN-BRU which the company wished to develop for more than 100 years. The other well known brands in soft drinks launched by the company include Red Kola, Tizer, Simply juice drinks, KA, DNB, Rubycon, Strathmore etc (A.G.Barr Plc, 2013, p.1). A G Barr is a franchisee partner of Schweppes International Ltd. where the company is involved in a partnership of production and sale of soft drinks. Rockstar Inc. of USA is another partner of A G Barr. The Rockstar drinks are sold in the UK market through distribution channels of A G Barr. The volume of sales of soft drinks as well as revenues from the sales of its brands has increased over the years. The company sells twelve cans of 330 ml capacity of IRN-BRU per second in the Scottish markets. For its operations, A G Barr has invested over ?50 million for the production and distribution of soft drinks in Cumbernauld. The company produced over 180 million litres of soft drinks in this site. This oper ation unit of A G Barr is able to manufacture 690 million cans per year. The Industry The company under consideration operates in the soft drinks market of UK. The soft drinks industry can be categorised into three segments. The three segments are take-home segments, the impulse segment and the premise segment. The take-home segment distributes soft drinks through the retail groceries, the impulse segment is the outlet shops in order to satisfy impulsive demands, the premise segment comprises the clubs, hotels, restaurants, etc. The soft drinks industry is governed by the British Soft Drinks Association which protects the interests of the soft drinks manufacturer and distributors by communicating with the government and the media and also promoting a competitive and sustainable environment for the soft drinks industry. The various categories of soft drinks are carbonated soft drinks, still and juice drinks, sports drinks, energy drinks, water, etc. The competitors of A G Barr in the soft drinks industry include Pepsi Co. Inc, Coca Cola Company, etc. Strategy and Assessment The assessment and strategies of A G Barr is based upon the two forms of analysis, namely the SWOT Analysis and the Balance Score Card Analysis. The SWOT analysis highlights the strength, weakness, opportunities and threats of A G Barr. The balanced scorecard analysis categorises the operational targets of the company from the perspective of financial growth, customer growth, quality of products and services and determine actual values to compare with the set targets. SWOT analysis The SWOT analysis for A G Barr has been given below in the form of a chart. Â   Internal External Positive Strength Opportunities 1. The IRN BRU brand of soft drinks has been voted as the best brand of A G Barr and also holds a Guinness record for the largest can of soft drinks. 1. The suppliers of A G Barr have lesser bargaining power due to the availability of substitute product for sugar and substitute for pac kaging. 2. The company has a large market share and the operations are diversified with the help of several brands in different markets. 2. A G Barr can leverage on its strong brand to expand its operations in the emerging markets of the world like Latin America, Asia, etc. Negative Weaknesses Threats 1. The buyers of the soft drinks of A G Barr have a higher bargaining power due to the availability of several brands of soft drinks in the market. 1. There exists a fierce

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