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Global Chocolate Industry - Written Assignment PDF
Global Chocolate Industry - Written Assignment PDF
Global Chocolate Industry - Written Assignment PDF
Table of Contents
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Parth Shah
Global Chocolate Industry
1.0 Introduction
1.1 B ACKGROUND
Chocolate is certainly one of the most lucrative elements of the
international confection market. The chocolate industry has been
demonstrating a multibillion dollar market since the past few decades and
is anticipated to undergo further growth within the years to come. Growing
health consciousness amongst adolescents as well as adults, and the
growing comprehension of the health benefits of consuming chocolates
will play an important role in boosting the sales of the global chocolate
market.
The global chocolate market which was worth $83.2 billion in 2010, has
grown by a compound annual growth rate of over 2.7% to reach a
staggering $98.3 billion in 2016. This almost a $100 billion industry owes
it to many factors for the incredible growth that it has experienced within
the last decade. Some of the chief drivers of the industry are increasing
health consciousness, health benefits, enormous diversity of uses, and
sales during festivities.
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Parth Shah
Global Chocolate Industry
White Chocolate
Dark Chocolate
Milk Chocolate
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Parth Shah
Global Chocolate Industry
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Parth Shah
Global Chocolate Industry
3.2 B Y GEOGRAPHY
The global consumption of chocolate can be divided into four regions for
this group:
Europe
Asia-Pacific
North and South America Europe Asia-Pacific Middle East and Africa
North and South America Europe Asia-Pacific Middle East and Africa
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Parth Shah
Global Chocolate Industry
In 2016, Europe was accountable for delivery of over 2 and a half million
tons of chocolate, of which Western Europe registered the highest per
capita consumption in the area. Moreover, various chocolate producers
with a global presence, in conjunction with many private establishments
function from this part of the world. These two elements are accountable
for the supremacy of this market segment.
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Global Chocolate Industry
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Global Chocolate Industry
Other niche products, for example: chocolate drinks, fudge, mousse, rolls,
and sandwich are identified to be attractive revenue generators.
Furthermore, a diversity in gourmet chocolate is also likely to help create
significant prospects in the worldwide chocolate market. Advancements in
organic chocolates could totally alter the market scenario during the years
to come.
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Global Chocolate Industry
Nestlé SA (Switzerland)
9%
Hershey Co (USA)
Arcor (Argentina)
As can be seen from the analysis provided above, half of the global
chocolate market’s share is owned by the three major brands in the
international chocolate industry – Mars Inc (USA), Mondelez International
(USA) and the Ferrero Group (Luxembourg/Italy).
With the changing health trends in people all over the globe wanting to eat
healthier, Mars Inc. will launch a new “lifestyle” campaign to promote its
Goodness Knows, Mars protein, and Snickers protein variants in 2018.
This move is synonymous with the expected shift in consumer mindset
which will open up new avenues for the key players in the global
chocolate market.
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Parth Shah
Global Chocolate Industry
5.0 Conclusion
During the approaching years, the global chocolate industry could see a wind of
change, whose breeze is already being felt. With the decline in growth of global
chocolate industry, due to changing consumer mindsets a lot is at stake for the
organizations to stay competitive in the industry.
The industry needs to tackle the issues of relying on unstable economies for the
supply of cocoa. Not only will this create a surge in production and sales price,
but it would also decrease the competitiveness in the market. Thus, any
organization willing to be competitive needs to be able to locate several vendors
of cocoa, so that, in scenarios of unavailability from one seller, they can still
continue their operation without inconvenience.
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