Resources are essential factors of production in a company. They can be physical, tangible, or intangible and play a critical role in defining the distinctive capabilities of a company. This study focuses on the resources essential to Kraft Foods Company success and how they can be harnessed. These resources are valuable because they enhance the company's strategic realization of success in the industry in which it operates.
Internal Analysis SWOT Analysis
Resource-Based View (RBV) analysis in Kraft Foods Company
Resources in Kraft Foods Company
Physical resources
Kraft Foods Company has an advance of physical resources. These resources are meant for production and creation of a sustainable environment of productivity. Within the notion of productivity, Kraft Foods Company benefits from the resources since they offer the company a positive strength or capability to perform in the market. Increase in the amounts of resources translates to increase in productivity within the organization. Therefore, fullness of resources within the company has fostered its existence and strength of productivity in the market. Physical resources are the tangible facets that are used in production. For instance, the company relies on manufacturing structures, tools, and transportation mechanisms like trucks. These tangible resources are of immense assistance when it comes to productivity within the organization.
The physical resources give the company strength of productivity. The availability of the resources enables the company to have opportunities of increased production through the opposite of the matter is a weakness and a threat to continued productivity.
Financial resources
Financial resources are categorical of the monetary strengths within Kraft Foods Company. Many resources are financial in nature within Kraft Foods Company. For instance, manufactured food materials are financial resources since they can be converted into money. They are strengths to increased productivity within the organization. Financial resources offer the organization an opportunity to increase production by venturing into new mechanisms of production. These resources hold the capability of the organization to continue production and trading in the market. Therefore, depletion of financial resources is a threat to the general performance of Kraft Foods Company. Kraft Foods Company has not exemplified a stable structure in financial performance over the last five years and hence this has been its main weakness.
Human resources
Human resources refer to human intervention measures that ensure productivity within the organization. Human resources work together with other resources in order to foster an increase in productivity, venturing into opportunistic avenues of production, and overcoming threats of insufficiency in skill and expertise within the human resources. The only weakness with human resources within Kraft Foods Company is that these resources are prone to wear and tear and hence needs regular maintenance through motivation and encouragement (Henry, 2007).
Intangible resources
Technical resources
Kraft Foods Company uses technical resources within its production mechanisms. For instance, the company has myriad intangible resources that ensure growth and stability in production within the company. Some of the technical resources like principles of production within the machinery are relevant to boost on performance of the organization. Technical resources have a serious weakness of wear and tear. They are durable only when maintained. Moreover, they pose opportunities to venture into increased levels of production when they are manufactured with intensified technologies.
Intellectual resources
Intellectual resources are natural within the human resources. Increased intellectual resources are a key strength within Kraft Foods Company. Increase in training of employees and motivating production is an opportunity to increase the output within the organization. Lack of dominant maintenance of productivity within the organization is a possible threat and a weakness within Kraft Foods Company.
Good will resources
Good will resources boost productivity within the company. They are sources of opportunities to increase productivity and declare productive avenues of production within the company. Good will resources are meant to encourage productivity when the seasons are low and inevitable. Insufficiency of good will resources is a threat to the existence and productivity within an organization. For instance, lack of good will resources could be a difficult struggle towards increased marketing strategies in Kraft Foods Company.
Step two: Distinctive capabilities of the Kraft Foods Company
Architectural
The architectural designs of Kraft Foods Company are categorical of increase in productivity that has been experienced by the company in the market. The evolution of new structures and mechanisms of managing growth and development within the company has participated in increasing productivity and fruitfulness of Kraft Foods Company. The architectural designs have enabled Kraft Foods Company to dwell on manufacturing products that are innovative and in line with modern technology in the world. Processing of conglomerate is a technological activity that requires structures of high intensity. As part of production processes, the company has established mechanisms that are designed at ensuring equitable growth and development in producing its products like cheese.
Kraft Foods Company is a proud sponsor of a soccer club in the United States of America. Through this sponsorship, the company has established basic structures for the club and its production agencies in the market. This has been one of the successful undertakings taken by the company. Real opportunities have been created through sponsorship and sale of products to clients. Though the company has suffered intensified losses while establishing a number of projects, it has benefited from the plans established within production. The strategy has proved to be strength to the company.
Reputation
Kraft Foods Company has established a wide reputation through its products and services to the people. The company is concerned with the manufacture of steady food substances like cheese and trading them to markets within and outside Illinois. In order to foster equitable marketing, the company has involved the social media. The social media have given the company real opportunities and strengths of performance in the market. Though the reputation of the company could fall in case of threats from other competitive companies, Kraft Foods Company has established new mechanisms of dealing with challenges. Hence, it stands a chance of making the most out of its weaknesses and opportunities in the market (The Value Chain, 2007).
Through the creation of products and services of varied components and brands, Kraft Foods Company has managed to capture the interests and likeness of many producers in the market. As a challenge towards the creation of a new environment for production, the company has involved the social media and sponsored a soccer club. Through such sponsorships, the company has established equitable grounds through which it has managed to live within the sphere of productivity in the market. The reputation of the company is high. This is with respect to the notion that has managed to challenge for new avenues of productivity in the market.
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