In this case study an international sugar company engaged CPL Business Consultants to benchmark the ingredient strategies used by its competitors. The aim was to provide context to inform the client’s corporate strategy. 

This project examined the strategies of 11 sugar companies which, for example, had attempted to diversify into other food and feed ingredients.

Sugar companies have tried to diversify into ingredients by two methods: ‘organic’ growth from within and also acquisition. Organic growth requires many years and also the patient investment of considerable resources. However, the most successful company had built a world-class ingredients company based on numerous acquisitions.

We overviewed the ingredients business indicating the relative size and growth rates of strategic sectors as potential targets for diversification.

CPL discussed alternative strategies for diversification, including organic and inorganic growth and vertical integration. We presented these in the context of examples from the European sugar industry.

Click here for a PDF of the contents of the study, or look below for an outline.

Sugar Company Ingredient Strategy

Overview

  • Segmentation and analysis of strategies used

Ingredient Strategy

  • Value-added products from sugar
  • Acquisition of other businesses

11 Sugar Company profiles and strategy descriptions

Another example of a strategy review project can be found here.

Have a look at our Introduction and Brochure for a description of our consultancy work. You can also review Eight Case Studies

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