It was founded by Mr. Milton S. Hershey (Hershey’s, n.d.) in the year 1894 and was named the Hershey Chocolate Company that was also a subsidiary unit of the Lancaster Caramel Company (Stock Market Game, 2009, p.1). It is specially known for its milk bar chocolates, chocolate bars, candies and baking products. Apart from its chocolate products, the company is also well known for its philanthropic activities.
The paper is a full scale elaboration of how Hershey’s company developed itself from a small scale unit to a global leader in the chocolate industry. Appropriate management tools are taken and the performance of the company is tested on the basis of those tools with provision of rational justifications.
2. Internal Analysis
The internal analysis of a company provides information about its core competencies, as well as functional analysis; in order to establish the firm’s core competencies, Porter’s value chain model can be used.
2.1 Core Competences and Unique Resources - The core competencies should possess four traits. They should be valuable to the customer, the competencies need to be unique, the competencies should be durable and difficult to imitate and the competencies need to be developed in a way that they cannot be substituted by any other means. The core competencies of Hershey’s lie in the fact that the company is a well known organization in the chocolate and confectionary industry. ...