Category : Articles
Camp Soup Company has made itself a household name throughout the world by offering everything from soups , to cookies, chocolate, pastries and juices. Campbell Soup Company, originally called, ??? Anderson & Campbell???, started as a small business and worked its way up to be one of the most identified brands in world. The company??™s product was the first of its kind and it took an exceptional advertisement strategy to gain the vast customer base it has today.
By 1905 Campbell offered 21 varieties of soup and continued to capture the hearts of women around the world by publishing cook-books for there condensed soup. Innovative and winning advertising created a huge request for the products outside of the United States. In 1926, a Canadian subsidiary, Campbells Soup Company Ltd., was organized, sparking the creation of the company??™s international operations (Campbell Soup, history).
Campbell had take pleasure in its gigantic accomplishment in the United States and the interest and demand for its products had reached across international boundaries. International production in Canada was followed by the opening of a soup plant in Sacramento, California, in 1947. The official International Division was established in 1957 with the new corporate headquarters in Camden, New Jersey. Two years later, the company jumped into the Mexican market with Campbell??™s de Mexico, S.A. de C.V. (Campbell Soup, history)
This was just the beginning for Campbell??™s international operations. According to the companies website, today, the company has reached almost every corner of the world selling products in 120 countries around the world which contribute 1.9 billion dollars of sales annually. These are just a few countries that call Campbell soup home: Canada, Germany, Ireland, Asia and Japan.
Over the last 25 years, Campbell??™s Soup has been managed by different CEO??™s, each bringing his own ideas , vision and strategy for making certain that Campbell expanded in terms of size and profitability. One CEO, Gordon McGovern, his strategic approach was to introduce as many new products as possible. He encouraged his employees to be knowledgeable and creative. His international strategy was to expand and strengthen Campbell??™s performance in foreign markets. The overseas acquisitions made by McGovern were companies that specialized in domestic food production such as, the German specialty food importer, the Italian food producer, and Arnott??™s the Australian cookie company.
David Johnson, a second CEO, his strategy was to better market it??™s products overseas while preparing foods that would cater to each countries tastes and preferences. Johnson hoped that this strategy would increase the confidence of the heirs of Campbells (Campbell??™s website).
A third CEO, Dale Morrison, followed the transnational mindset and believed that in order to grow and be profitable, Campbell needed to focus on premium brands that had the highest growth potential and were differentiated compared to competitor brands. He also realigned the three divisions of Soups and Sauces, Biscuit and Confectionary and Away from Home. The spinoff of several poor performing businesses contributed to his international strategy.
Campbell Soup is a global multinational company where more than 25 percent of Campbell??™s sales come from international markets. It is almost a necessity for Campbell to use a geographical departmentalization approach. The advantages are that Campbell can be more effective in the handling of specific regional issues that arise and will allow them to better serve the need s of unique geographical markets. Explicitly, Campbell Soup specializes in food products. Moreover, they are able to accommodate each geographical region in terms of tastes and preferences. This is a important feature in the ongoing success of the company.
Internationally, Campbell will have to continue to rely upon its??™ aggressive marketing skills. In order for them to achieve this goal, they must continue to increase their sales. For this to continue to progress globally, Campbell must continue to create affiliations and strategic coalitions with other businesses that are a great match for the company. Campbell also must continue to create a strategic Global Supply Chain which will generate a highly-flavored connection between Campbell??™s business strategy and global corporate unit strategy and operations, making the company operate more efficient in the international arena.