Mondelez International SWOT and PESTLE Analysis

Strength

This section is available only in the 'Complete Report' on purchase.

Weakness

This section is available only in the 'Complete Report' on purchase.

Opportunity

1. Reduction in Biscuit sales in Latin America: Biscuits constitute more than 40% of the net revenue of Mondelez International and hence is the most important segment. However, in 2016 the revenue of biscuits in Latin America has reduced from $1,605 million to $734 million which is around 54% reduction. There is a need for increase the sales in Latin America.

2. Markets in developing countries: Mondelez has been receiving more than 70% of its income from Europe and North America over the past years. The markets in developing countries have a huge potential which needs to be focused. As of 2016, only 24.9% of total income has come from Latin America and AMEA region. There are many parts of the developing economies that need to be tapped by Mondelez International to increase its revenue and income.

Threat

This section is available only in the 'Complete Report' on purchase.

Political

1. Political risk in European markets: Mondelez generates more than 40% of its revenue from the European region. Events like Brexit tend to disturb the stability of the region leading to political risks. Brexit has also motivated other countries like France and Germany to think of leaving European union. This will result in change in strategies of operations for Mondelez. Some rules and regulations are not uniform across countries in the European Union which tends to make it difficult for Mondelez to operate.

Economic

This section is available only in the 'Complete Report' on purchase.

Social

This section is available only in the 'Complete Report' on purchase.

Technological

This section is available only in the 'Complete Report' on purchase.

Legal

This section is available only in the 'Complete Report' on purchase.

Environmental

1. Environmental regulations: Environment protection laws in every country have their guidelines to ensure minimum harm caused to the environment. Companies need to set up programs to meet the environmental compliance requirements. In the United States, the laws and regulations acts include the clean water act, the clean air act, the resource conservation and recovery act, compensation and liability acts.

2. Sustainability goals: One of the fundamental pillars of sustainability goals is to reduce the environmental impact of operations of the company. Various steps have been taken by Mondelez to continue sustainable growth like sustainable supply of cocoa $400 million Cocoa Life program. Due to various steps taken by Mondelez, they have been listed again in Dow Jones Sustainability Index (DJSI). DJSI selects top 10% of global companies based on extensive review of financial and sustainability programs within each industry.