Four main customers in South America, North America, EU, and Austria
Grupo Bimbo (South America): the biggest bakery in the world, with the goal of
creating a highly efficient, sustainable, and incredibly compassionate business.
Kraft Heinz (North America): a large company in manufacturing food and beverages
Danone (based in France, EU): One of the biggest food and beverage corporations in
the world, specializing in four business groups: Essential Dairy, Plant-based Products,
Specialized Nutrition (including medical and early life nutrition), and Waters.
Spitz (Austria): Austrian food and beverage producer, based on more than 160 years
of experience with a wide range of syrups, fruit juices, energy drinks, spirits and fruit
preparations.
PEST analysis for four areas
Politics Economy Society Legal
South America Inequality, crime, High inflation, at Low demands for Regulations vary
corruption, drug 4%; economic fruits compared greatly by nation,
trafficking and social growth slows to with developed with some having
upheaval (Newman, 1.8% in 2024 (Adler countries (Silva et intricate legal
2023) et al., 2023) al., 2023) frameworks
(TFM Group,
2023).
North America High turbulence as a High inflation, at The sugar market Legal frameworks
consequence of Trump 3.2%; economic in North America are varied based
presidency (Keating, growth slows to is expected to on states, causing
2024) 2.5% in 2024 grow at the fastest the business to
(Owusu, 2024a) CAGR of 6.5% carefully
from 2024 to understand and
2030. follow each
state’s law
(KPMG, 2023)
EU Brexit, the rise of the Low inflation, at EU demands for Strict laws on
hard right (The 1.7%, economic sugar is low due competition and
Economist, 2024) growth also slows to to calls for intellectual
0.9% in 2024 healthy diets and property rights,
(European health protection with certain
Commission, 2024) (Laura et al., practices
2022) prohibited
(Europa, 2024)
Austria Unstable politics Slow growth at 0.3% Demands for Austria has a
recently, propelled by at the end of 4th fruits is low (- highly regulated
Austrians' grievances quarter 2024 24% in 2023) economy with a
against a sluggish Inflation rate Demands for mix of binding
economy, illegal remains 1.8% sugar stayed and non-binding
migration and a (Trading Economics, lowest since 1995 standards (ITA,
heightened Islamist 2024) in 2023 (per 2024).
extremist terrorist threat capita
(Rane, 2024). consumption of
sugar fell by 0.8
kg year-on-year
(Statistics
Austria, 2023)
Opportunities and threats for Argana
- South America: few opportunities, but high threats – high product prices, low
demands for products that hinder market expansion, lack of infrastructure and varied
legal frameworks for product development
- North America: High consumer demand for sugar development, which facilities
strong market presence. However, varied legal frameworks, high product prices due to
high inflation, and competition from established players
- EU: Reasonable product prices due to low inflation rate. However, low consumer
demands might hinder market expansion, strict laws on competition might restrict
company’s operation, and high competition from alternative healthy products by
existing players.
- Austria: Domestic market for brand presence, but low consumer demands restrict
market expansion, highly regulated economy with a mix of binding and non-binding
standards might cause the firm to be confused in operation, and slow economic growth
continues to hinder consumer spending for Argana’s products.
Conclusion: The most potential market for Argana is North America, supported by
high consumer demand for sugar that can be an ingredient to make different kinds of
fruit products, which facilities strong market presence. The most promising product
line from Argana is fruits, which reflects consumer preferences for sustainable and
natural components. Argana can take advantage of the market dynamics to strengthen
its position as a leader in the food processing sector and accelerate its expansion by
utilizing its experience in fruit processing.
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