• Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

The type of ownership Cadbury Schweppes PLC.

Extracts from this document...

Introduction

The type of ownership Cadbury Schweppes PLC Introduction Cadbury Schweppes plc operates in the Food, Beverage and Tobacco sector of the market. Specific industry operation is in the Beverage- Soft Drinks category. This quickly expanding company holds licenses too many of the world's favourite drinks including: Dr. Pepper, 7-UP, Mott's, Snapple, Canada Dry and Hawaiian Punch. In addition to beverages, the company also produces confections including chocolates and gums, many under the Cadbury name e.g. perhaps the best known in the United States is the Cadbury Cr�me Egg. Cadbury Schweppes products are enjoyed in almost 200 countries across the world. The company employs over 36,000 people, is the third largest soft drink company, and the fourth largest confectionary company in the world. Competitors include Coca-Cola, Pepsi-Cola and Mars. Confection production in the United States is licensed to Hershey. Ownership Change The third-largest soft drink maker has an interesting history spanning over 200 years. Cadbury Schweppes plc was actually founded in 1969 when Schweppes Ltd. merged with Cadbury Group Ltd. Sole Trader: The Cadbury family was the start of the business. John Cadbury started the beginning of the company in 1824. John Cadbury started the business alone, working as a one man business. He mainly was trading tea and coffee at this time; this was the form of Cadburys as a sole trader. ...read more.

Middle

* Cadburys depended and is determined by one person. If that one person looses interest or dies then the business will come to a close. Cadbury Limited: While the company wasn't making much growth, John Cadbury needed a more help. He received that help from changing Cadbury sole trader in to a limited company but he still didn't employ anyone. John was receiving the help that he needed form his family and the Quaker family. The Cadbury family and the Quaker family were both fully committed to the growth of the business. This type of ownership was working very well for Cadbury Limited because the company was expanding fast. The Cadbury family now could afford a rented factory to manufacture and a few shops to sell their products. However, at this point they still didn't employ because of the shortage of money but they were still working as a committed family business. Also to increase the businesses growth, John Cadbury had an advertisement: "John Cadbury is desirous of introducing to particular notice 'Cocoa Nibs,' prepared by himself, an article affording a most nutritious beverage for breakfast." This advertisement was placed in a plate glass window which attracted many people and increased his company's growth. Another reason that John Cadbury chosen to change his company into a limited company because it allows the Cadbury family to accept limited ...read more.

Conclusion

Their owners are not personally liable for the firm's debts (limited liability). Cadbury Schweppes plc is divided up into equal parts called shares. Whoever owns one or more of these is called a shareholder. Cadbury Schweppes plc can sell its shares on the Stock Market, while a Private Limited Company (LTD) cannot. This is another reason why Cadbury joined Schweppes to become a public limited company. Advantages for Cadbury Schweppes PLC: * Raise large amount of capital from share issue. * Benefit from economies of scale, e.g. bulk buying, cheaper borrowing. * Produce goods at lower unit cost. * The size of Cadbury Schweppes plc can sometimes control the market. Disadvantages for Cadbury Schweppes PLC: * Become too large resulting in poor labour relations. * Conflict of interest between shareholders and the Board of Directors. * Possibility of takeover or merger because shares can be bought by anyone. * Setting up the business is very expensive. * The size of the company doesn't let them deal with their customers at a personal level. * Cadbury Schweppes plc competitors can use their accounts to their advantage. The public can also use this information. Cadbury Schweppes plc now: Today, Cadbury Schweppes employs over 40,000 people and its products are available in almost 200 countries across the world. Cadbury Schweppes plc is proud to be the world's third largest soft drinks company and the fourth largest confectionery company. ...read more.

The above preview is unformatted text

This student written piece of work is one of many that can be found in our GCSE Business, Companies and Organisation, Activity section.

Found what you're looking for?

  • Start learning 29% faster today
  • 150,000+ documents available
  • Just £6.99 a month

Not the one? Search for your essay title...
  • Join over 1.2 million students every month
  • Accelerate your learning by 29%
  • Unlimited access from just £6.99 per month

See related essaysSee related essays

Related GCSE Business, Companies and Organisation, Activity essays

  1. A Brief History of John Lewis.

    The low figure may have been due to people spending less. It was not just John Lewis that was affected, the whole country would have been, and this is because the country is in a ression stage of the economy.

  2. In this section I will explain every one the different types of business ownership. ...

    suppliers, which may lead to having to buy high-priced products, but with many powerful shareholders they can overwhelm suppliers and force them into selling products for a much cheaper price, this if why Tesco is a PLC. The credit terms with suppliers would not be as good because the more

  1. English for business

    -always have some water with you. � You may depend on a travel agent or your firm's travel department to make your travel arrangements but there may be times when you want to change an itinerary for a visitor or yourself. Some phrases you might need to use: ?

  2. Business Studies

    sets out the minimum working conditions and wages; - Hours of employment - Type of work - Pay - Holidays Agreements: > Under work choices - Employee collective agreement: employees negotiate collectively with their employer - Union collective agreement: negotiated between unions and the employer - Australian workplace agreements: negotiated

  1. Business studies - Business Plan

    I achieved all of my figures by researching information and though speculation and calculations, the price of a cart was �1000 which I looked up as well as the price of the generator. I decided on my wage which I will pay to myself every month, I expect to sell

  2. Business Ownership

    Consumer co-operative Co-operative societies have more than 8 million members and a turnover of �7.5 billion a year. However, they still have many smaller shops that find it difficult to compete with big supermarkets. These local stores are kept partly for idealistic reasons, as some of their older or less

  1. Different types of ownership of business ranging from the simple to the complex. Here ...

    Because of the owner's status as a sole trader, she does not need to publish her accounts. Therefore she can keep her business private which can be a big advantage if she doesn't want to let competitors see how she is doing.

  2. Business Studies- Unit 1- Business Ownership

    Although ultimately an agreement between the partners, a solicitor is usually hired to write up the final deed so that any loopholes are covered. An example of a partnership is Axholme estate agent partnership- Grice and Hunter. Although Grice and Hunter will benefit from having up to twenty partners allowed

  • Over 160,000 pieces
    of student written work
  • Annotated by
    experienced teachers
  • Ideas and feedback to
    improve your own work