Academic English for Tertiary Studies: EAP 4 WK 7 THUR F 8 Case Study: Model - Baiada - Steggles Introduction This case study concerns the merger of two chicken producing companies, Baiada and Steggles. The Baiada company was an Australian family owned company which was established in the 1940s. In 2008, it acquired the Bartter Steagles company. Although the Baiada company was a market leader in Australian poultry, Steggles had the higher consumer profile. This case study provides a SWOT analysis of the merged companies and a business strategy derived from it. Recommended courses of action From the SWOT analysis, the following recommendations are made: + close 7 of the operational work sites + withdraw beef, pork and lamb products + focus on producing the best Australian poultry + add new fresh chicken products to existing extensive value added range ie chicken nuggets, chicken fingers etc + phase out the Baiada brand + concentrate on strengthening the Steggles brand + continue community involvement through supporting charities - especially children’s charities + raise the profile of the Stegg/es brand’s commitment to support for charities + do this by: + appointing ‘charity champions’ at the 9 major business sites to involve staff becoming the major sponsor of the Sydney Roosters - an Australian professional rugby league football clubAcademic English for Tertiary Studies: EAP 4 WK 7 THUR F 8 Appraisal of recommended courses of action With increased consumer awareness of the quality of the new Steggles brand, there will be increased demand for Steggles products. Because consumers associate freshness with quality, a new fresh range of Steagles products would, undoubtedly, be popular with consumers, despite the higher price entailed. Since there is little competition in this category, it is recommended that a Steggles ‘family feast whole chicken’ would be a successful product innovation. The relaunch of the new Steggles brand will also strengthen the relationship between Steggles and associated businesses. Chicken and butcher shops will be able to leverage the Steggles quality message for their own businesses while, at the same time, advertising Steggles as their chicken supplier. By emphasising the responsible farming practices of the Steggles brand and by renewing the company’s commitment to the support of charities, the image of the Steggles company will be enhanced. This will result in increased consumer support as well as increased employee pride. Conclusion By implementing the above strategy, the new Steggles company will strengthen its corporate identity as well as its consumer market. It will cement its place as an Australian business which focuses on quality and family.Academic English for Tertiary Studies: EAP 4 Case stud’ Strengths SWOT analysis Baiada - Steggles Weaknesses WK 7 THUR F 8 Opportunities Threats + Baiada = market leader in poultry prod” + merger - doubled operational facilities, brands & product range + Steggles brand = 90% of brand awareness + Baiada company ~ strong family & community involvement products competed for market share merger - doubled operational facilities, brands & product range no clear brand identity merger = 2 different work cultures change > uncertainty & drop in morale price is not the only | + reason that consumers buy products other competitors - providing good value and gaining market share no competitor had strong representation in fresh chicken category fresh products drive a stronger quality message a brand relaunch gives a common goal Page 3 of 3 © UWSCollege Pty Ltd