The meat industry
The meat industry has grown tremendously as the economic development of the world advances. People have started shifting for meat as a source of protein. Back in the industrial era, meat was often consumed by the wealthy and well-abled individuals since it was viewed as a luxury. The pollution in the world has also grown to attract international attention, thus making governments opting to go green. One of the factors contributing to carbon emissions is animal waste. An alternative source of meat protein was tested, and thus cultured meat came into place. The cultured meat is one that is produced through the in vitro cell culture of the desired animal cell. The art of cell replication and multiplication bears some weight as cellular agriculture seeks to have an accomplishment. This argumentative report analysis the position of a plant-based manufacturer, Beyond Meat Inc.
Beyond meat, inc is a company that has majored in the production and manufacture of cultured meat. The establishment of cultured meat came as an alternative for slaughtering animals. The company traces its roots in 2009 by Ethan Brown, and it took three years, 2012, for it to avail products in the market. Since then, the company has grown to establish almost 60 stores, and its products are currently available in most grocery stores. Their products are made to simulate or mimic the taste of pork sausage, beef, and chicken. The valuation of the company as of the second half of 2019 came to an estimate of 11.7 billion US dollars. The expansion of the company has seen growth, thus market penetration into the international scale having its products available in 50 countries.
The essential nature of conducting a strategic analysis is to deduce its market position. The SWOT analysis has been used as a measure of strategy deduction. The company’s strengths include that they have high distribution and links; it has a low-cost structure depending on consumers and has a strong financial position. Also, the company has a diversified workforce, thus engaging in promotional ideas. The weaknesses in the industry include delays in sales inventory, failure in attaining mergers for vertical integration, and quality control and consistency.
The external strategic analysis using the PESTLE framework also avails much about the external factors affecting the company. Since the company has grown to an international scale, it is essential to conduct political analysis. The political stability of a country, the integrity of politicians, laws, and their enforcement, taxation, and trade barriers are some of the political factors affecting the company. Politics in a country contributes to the degree of development. The various issues in the world have primarily concerned the position in which industries hold. The department of foreign affairs, relations, and industrialization have the mandate to create a rapport that aims to establish the best atmosphere for sectors. Many countries are assimilating dynamism and diversity; thus, Beyond meat has the potential of influencing development and market penetration in different geographical locations. The international barriers have been eased with an attempt to promote trade despite few who have tightened the restrictions. The future is bright for Beyond meat as there is optimism in the assimilation of dynamism and diversity.
Also, the economic ones include GDP growth rate, interest rates, and unemployment rate. The current economic climate tends to accommodate the establishment of such industries. The future is also the same as people look for other modes of wealth distribution through employment creation. The places where the industry has penetrated its market might be cozy in an attempt to allow further progress.
The social factors include population demographics, class, education, and health standard. The buying habits are also important since they provide an evaluation of the buying potential. The Americans are spenders thus have high buying habits while the international trend suggests a copy of the western world. Technological impact deals with the available breakthroughs, assimilation of technology, and the transformational impact of technology. The advances in technology avail instruments of production, thus impacting the number of goods being produced. The result is future expansion due to increased supply. Environmental issues include weather patterns and sources of energy.
The company’s focus relies on influencing the capability to change the eating habits of individuals. This strategy would affect the market of the products. https://www.toptal.com/finance/market-research-analysts/beyond-meat
From the diagram above, there should be a decrease in the production cost since the comparison has to be proportional. The organization is currently on the right track and thus should focus on research work to satisfy the needs of the consumers. Also, in the food industry of the sought, customer satisfaction should be the core principle governing progress.
In conclusion, Beyond Meat is a company that has a promising capability that should not be undermined. The company has embarked on a journey that suits the market as there is support from the public. After making it free for public investment, the company grew by over 3 billion dollars, thus showing dedication and support. Al efforts should be merged to ensure that the company is spearheaded to more exceptional achievements on the international scale.