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Godiva Europe

Submitted by tcknox on April 22, 2006

Category: Business
Words: 5426 | Pages: 22
Views: 427
Popularity Rank: 23,660
Average Member Grade: N/A (Add a Comment / Grade this Paper)

I. Introduction

Based out of Belgium, chocolate giant Godiva has built their business around an image of quality and luxury. Financial resources became abundant when Godiva was acquired by the powerful multinational Campbell Soup Company in 1974. Initially Godiva began as a Belgian company and branched out into the global market as opportunities allowed. Godiva International is comprised of three decision centers – Godiva Europe, Godiva USA and Godiva Japan – called the triadic enterprise.
A recent reorganization effort by Charles van der Veken led to an operating profit of 13 million Belgian francs although he inherited a 10 million franc deficit when he inherited his responsibilities as president of Godiva Europe. Despite a recent surge in operating profits, Godiva Europe faces some challenges in their home market as well as the global market. Sales and consumer reactions to recent advertising campaigns have been negative in Godiva's home of Belgium. The company faces a challenge in presenting a new face of the company to consumers who are very familiar, yet also very indifferent to distinguishing brand names in chocolate.
Godiva International is fortunate to be experiencing growth and positive reactions to the company's products in several markets around the world. The markets of Spain, Portugal, France, Japan and the United States appreciate and enjoy the quality that comes from the hand made chocolates by Godiva. However, these areas must be treated with care to ensure continued success.
II. Situational Analysis
To facilitate a discussion of the Godiva Europe internal and external environmental factors, the S.W.O.T. analysis will be used to help identify key issues presented in the case. The S.W.O.T. analysis provides information about a company's strengths, weaknesses, opportunities, and threats. Each component is outlined below:
Exhibit 1 – S.W.O.T. Analysis
Strengths Weaknesses

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