Breakfast, Macro Environment, Politics Cartoon, Australian


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Sanitarium Treat Wellbeing Firm is the operating/trading name of twin fod companies (New Zealand Wellness Association Limited. And Australian Health and Diet Association Ltd. ). Both of these companies are possessed and managed by the Seventh-Day Adventist Church. The company produces a wide range of breakfast time cereals and a wide range of vegan products. Sanitarium was founded in 1898 with Weet-Bix getting its range topping products that topped sales in the Fresh Zealand and Australian breakfast time market. Sanitarium also managed several well being food outlets in numerous towns before the 1980s. The company offers factories in several locations around New Zealand and Australia. In this daily news we execute the company’s Organisation, Environmental and Market analysis as well as a dedication of its segmentation and positioning approaches.

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A SWOT analysis of Sanatorium

In order to conquer and dominate a market, satisfactory information is necessary on the applicable market circumstances as well as the company micro and macro environment.

The SWOT analysis is a tool which can be very useful in both the understanding and the procedure for making decisions for various sorts of situations within a given business (Businessball, 2008). As observed by Kotler, a SWOT analysis concentrates on the strengths, weaknesses, opportunities as hazards of an organization from a major perspective. The SWOT analysis therefore distils the data that is certainly gathered by these observations in order to i9ndicate the essential items in the external and internal audits. The number of products is observed by Kotler et ing. (2005, s. 58) to get very small for virtually any form of powerful communications but are critical in showing the areas that the business needs to focus their attention to. Additionally , the internal and external elements have a very superb influence for the business’ advertising objectives since noted simply by Brassington Pettitt (2005).

The External Environment analysis

The external environment analysis requires the examination of the possibilities as well as risks. At this stage, the company’s main dangers and chances are identified. The purpose of this kind of analysis is usually to ensure that suitable developments are produced that can positively impact the company. The chances as well as risks can be considered coming from economic, market, technological, market-based, competition, politics as well as pressure perspectives (Kotler et ‘s., 2005)

The opportunities along with threats are noted to acquire s sharpened focus on both present as well as the future when taking a more external outlook. This is in consideration in the strategic opinions of the conceivable development alternatives. Several chances as well as risks are noted to finish the prevailing marketing environment. This is in consideration of the demographic as well as cultural elements (Brassington Pettitt, 2005). It really is worth noting that not all threats need the same kind of attention, It is therefore critical that all threat end up being assessed with the potential destruction of each staying evaluated.

Internal Environmental analysis

The strength along with weaknesses happen to be noted to possess a focus on both present plus the past. The internal environment analysis also focuses on the internally controlled elements like the 4Ps as well as the overall marketing strategy that is certainly employed towards a marketplace. The exterior environment must never always be ignored entirely. Several talents as well as disadvantages can therefore be described within a competitive context because noted simply by Brassington Pettitt (2005, g. 408).


Loyal consumer bottom

Strong brand portfolio

Exceptional product offering

Production of healthy veggie products

Good financial position backed by finances in the Seventh-day Adventist Church

Reliance on information technology to streamline its logistics and product sales

Weak points

A fragile management staff

Overdependence on the Australian and New Zealand markets

Legal proceedings influencing brand picture

Lack of a more sophisticated online marketing technique


Rising markets and expansion abroad

Diversification in regard to venturing into the provision of other products.

A growing pattern towards fitness and intake of vegan products


Venturing into the soft drink and beverage marketplace to complement the existing product



Hard competition

Difficult government restrictions

Low cost competition as well as imports

Existence of substitute products

Economic downturn which usually adversely impact consumer spending levels


Loyal customer base

Sanitarium can be noted to become very dominant player inside the New Zealand’s ready-to-eat (RTE) market. It is in fact the primary manufacturer of ready-to-eat (RTE) products. The business has a dedicated customer base which is drawn from their vegetarian products as well as breakfast serials.

Good brand stock portfolio

Being the number one manufacturer of ready-to-eat (RTE) products in New Zealand, the company has additionally managed to keep a very good brands portfolio that include the regular favourites like Weet-Bix, Ricies, Honey Puffs, Skippy and also other emerging brands like Mild ‘n’ Fruity, Up Get as well as Muesli (Hoh, 2008). The company also offers a new goods range that includes the Wet-Bix Fruity ‘Sultana Bran and Apple’ version that has so far witnessed more than 65% development in the value of the Weet-Bix Fruity Brand. This achieved it the most effective growing cereal product inside its category.

Unique item offering

The business offers exceptional products which can be tailored to its ever increasing client base. The company have of late resorted to the production of products that pinpoint different demographics like sensitive customers (with a focus upon then production of products that are gluten-free). The company also produces merchandise for women (with focus on the void of weight management) and kids ( using a strong focus on health as well as character merchandising).

Production of healthy vegan products

The corporation produces many healthy veggie products to be able to accommodate the needs of the vegetarian clientele as well as the health conscious ones.

Solid financial position supported by finances through the Seventh-day Adventist Church

The corporation has a good financial position due to its dominance with the marhet talk about in the two New Zealand and Sydney. This is coupled with the fact it is fully owned by Seventh day Adventist Church, a worldwide religious body system with strong financial backing

Reliance on information technology to streamline the logistics and product sales

The business uses several IT services such as the SAP option -Motorola MC9000 in order to reduces costs of operations in the warehouses and its particular logistical restaurants.


A weak administration team

The company does not have a good management crew. This is because evidenced from its Australian procedures where personnel protested the move by the management to obtain them sign contracts that violated their terms of service (Sanitarium Workers Plan For a Union Agreement, 2008)

Overdependence around the Australian and New Zealand markets

Legal proceedings impacting on brand image

The Company provides in certain situations been sued. These rules suits influence its company image in a negative way

Lack of an elaborate online marketing approach

The company is lacking in an elaborate online strategy for the marketing and sales of its products.


Rising markets and expansion in another country

The company can focus in international growth strategies produce its products and services available to the appearing markets is other locations

Diversification in regards to venturing in the provision of other product or service

The company can diversify the product portfolio to include the cold and hot beverage product lines

An evergrowing trend to healthy living and consumption of vegetarian goods

The general trend towards healthy living can in order to create a market niche for the company’s vegetarian products


The organization can undertake a franchising business model to be able to allow it reach a wider viewers abroad.

Venturing into the soda and drink market to complement the existing product portfolio

The organization can venture into the rewarding soft and hot drink market


Hoh (2008) indicated that premiumisation is a incoming craze that involves the expansion of product lines to satisfy the interest of consumers in exotic flavours along with quality ingredients.


A weak management team

The organization has a fragile management team as witnessed in the staff member complaints as well as its poor marriage with the member of staff unions.

Overdependence on the Australian and New Zealand markets

The company depends heavily upon its Australian and Fresh Zealand operations. This reveals it to risks if the economy of the two countries collapse.

A great analysis of the macro environment

A macro environmental examination involves the description from the business environment that is important for the formulation of business technique. These dimensions are observed by Fahey and Narayanan (1986). Therefore, it is crucial for managers to undertake analysis in the environment within which they run in order to fathom the current and also the potential business changes. The macro-environmental research in this case can be carried out by using a PESTEL analysis.

Sanitorium’s PESTEL analysis

Political factors

The operations of Sanitorium are vhighly inspired by the New zealand state policies. These policies are the ones that regulate the and food industry. Harmful products just like cholestrol which may cause unhealthy weight are snugly regulated by NZ federal government. The company is additionally ictated upon by the New Zealand policies regulating health, worker security as well as the environment. The company also has to fulfil its duty obligations consequently as dictated by

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