Dole Company

DoleCompany

DoleCompany

Abstract

DoleFood Company is an international company that deals with productionand supply of food materials. These materials vary from vegetables tofruits to salads. It started in the year 1819 in Hawaii. It has,however, changed ownership severally. It managed to get into theinternational market successfully in the year 1990s. Since thenthrough advertisements, it has managed to acquire significant marketshare especially in Asia, North America and Europe. However, it hasmanaged to have a supply center even in South Africa. This impliesthat the ’s products are being consumed globally. It ishence in context to argue that the international market is offeringthe company with numerous benefits.

Discussion

DoleCompany is an international company popularly known for itspineapples. It deals with the processes of growing, sourcing,processing, marketing and distributing fresh fruits and vegetablesworldwide (Dole Food Company, Inc., n.d). It is the largest produceras well as distributor of vegetables and fresh fruits in the world.Although the company is based on Hawaii, it manages to market anddistribute its products in the entire globe. This is made possible bythe outlets they have in various countries across the globe. Theysource their products from various parts of the world such as Asiaand others from Caribbean and Latin American nations. Dole companygains a lot from its international operations as the documentanalyzes.

Thecompany has sales points which stretch from South Africa to Sweden,Middle East to Russia and Portugal. They also have sales points inNorth America as well as in South America. This implies that theyhave sales points in every continent. This makes the marketing anddistribution processes across the globe a success. Their policieswhich advocate supply of high-quality products also play a pivotalrole in ensuring the international markets of succeed.It has a corporate philosophy of adherence to high ethical conduct inemployees’ treatment, business dealings, environmental and socialpolicies (Dole Food Company, Inc., n.d). This makes it possible forcustomers across the globe to receive quality services. Similarly,the high quality of their brand makes it compete favorably in theinternational markets.

Fora business to handle an international market effectively it has todevelop efficient and effective strategies. Every aspect has to bestandard from the employees to policies. All the employees of DoleCompany operate under a code of conduct. This code of conductprovides guidelines of the way they should operate. This plays asignificant role in building the company’s reputation. Customerswill always prefer a place where they receive quality andprofessional services (Itochucorporation, 2012).Every nation has its policies and laws which govern the marketespecially foods meant for human consumption. Failure to adhere tothese policies, a company cannot be allowed to make its sales in thatcountry.

DoleCompany, however, operates strictly within the specifications of thePerishable Agricultural Commodities Act. Although it is a federalstatute of USA, it matches with most of the policies of other nationsof the world. Similarly, it ensures that customers receive productsof good quality (Itochucorporation, 2012).This Act has, therefore been employed in its code of conduct and hasplayed a vital role in ensuring that all operations are carried outin a lawful manner. The Act prohibits fraudulent or unethical andunfair business practices connected with sales, purchases orimportation of all perishable products. This triggered the company toinitiate several regulations which govern the employee’s code ofconduct and enhance full implementation of the Act in all thecompany’s operations.

Oneof the conditions is that no employee is allowed to make a misleadingor false statement for a fraudulent purpose connected with sale,purchase, consignment or any other transaction which involveperishable agricultural commodities. Secondly, no employee is allowedto provide a sale accounting or a document that do not provideaccurate transaction’s details as the third party of the company.No employee is also allowed to alter, counterfeit or forge or assistin forgery or altering the inspection certificate offered. Thenecessary documents related to transactions involved with qualityassurance boards need to be well retained. For example, alltransactions related PACA should be retained for at least duration oftwo years (Itochucorporation, 2012).These are the key factors which facilitate effective operations of.

Thereare various benefits receives as a result of itsinternational marketing. The international marketing in the Dole’sperspective can be considered through the sourcing and salesperspectives. is able to acquire products that satisfyall their customers across the globe. Similarly, it achieves a widemarket share (Mason &amp Sanjyot, n.d). This helps it to make moresales and consequently more profit. The international market plays apivotal role in enhancing increased sales for the company. Everybusiness makes profit on the basis of the sales it is making. Themore sales it makes the more the profit earned. Similarly, it helpsin marketing itself. The fact that its products are being sold innearly every part of the world, helps the company’s products togain more demand. In most cases the availability of a product in themarket is enough advertisement. This implies that the existence ofthe Dole’s products across the globe helps the company’s marketshare to continue expanding day after day. This reveals that thereare numerous benefits that can be attributed to the operating internationally.

Dolehas managed to successfully venture in numerous nations across theglobe. Dole has managed to own various farms which help them to getraw materials them to achieve the raw materials to sustain theircustomers. They also have crucial assets like ripening, shipping andprocessing facilities. These facilities production and distributionof bananas, packaged fruits and pineapples and other items handlingall the processes of supplying products to all nations across theglobe (Mason &amp Sanjyot, n.d). Its market share has been growingconstantly. It has been accredited to be one of the biggest suppliersof pineapples and bananas in the globe. In the year 2011, itpossessed a 25% of the Asian bananas market as well as 42% ofpineapples.

Thefact that the market share is growing year in year out is a clearindication that is benefiting greatly from itsinternational transactions. The larger the markets share of thebusiness the more the sales and consequently profit increases. Insuch a condition the business is liable to improve and developconstantly (Itochucorporation, 2012).This increased demand of products has triggered it to be innovative,therefore, developing new products like Sweetio Pineapple and Sweetiobanana. This development reveals that the company is growing andmaking steps forward. In the year 2011 managed to makesales of 57% of pineapple juice, 56% of fruit bottles and 56% ofcanned pineapples in North America.

Thereare various challenges however, faces as a result ofits international market operations (Dole Food Company Inc., 2015).One of the challenges is unfavorable competition. In some nations,where the company produces enough fruits and vegetables for its own,subjects the products of into a hostile competition.This takes place because the local products gain a pricing advantagedue to reduced expenses. This makes the ’s productslose demand and hence the company is liable to incur some losses. Forexample in the early 1990s, had to launch a significantmultimedia advertising campaign for it to be able to win customers.

Competitionis always the main challenge that kills most of the businesses. Everybusiness is struggling to win a share in the available market. Theunfortunate part of it is that businesses erupt daily while themarket share tends to remain intact. In its international activities,the competition was not very easy since it has been struggling withlocal companies in the respective nations. Dole happens to bedisadvantaged as opposed to other companies because of the proximityto the market (Mason &amp Sanjyot, n.d). This makes it to spend morecash than expected in advertising so as to win customers.

However,it has done well in beating the challenge since the advertisementshas helped it to win a reasonable market share. Similarly, supply ofits products constantly and products of good quality has helped thecustomers to gain loyalty to its products. However, Dole has facedanother challenge of drastic market changes. This takes place that insome countries the consumption of its products drops instantly. Thismakes the company lose money as a result of the products which hadbeen produced. Similarly, some of the deployed workers are not loyalto the company. They end up doing activities which tarnish thecompany’s reputation hence facilitating loss of customers. Otheremployees involve themselves in corrupt activities making the companyto incur some losses.

Anotherchallenge that features is imposition of unfavorable policies by thegovernments of the nations where makes sales. Forexample, a sudden increase in import tax will have a negative impactin the prices of the products. This contributes to sudden increase inthe price of products and consequently reduced sales. This may makethe company to incur losses. Another challenge that Dole company hasbeen a victim of is the fluctuations of monetary values. Forinstance, the net revenues of in the year 2000 were lessthan those of 1999 as a result of reduction in the profits ofbananas. This was as a result of deterioration in euro to US dollarexchange rate (Mason &amp Sanjyot, n.d). This facilitated inescalation of fuel rates, bananas’ oversupply and the durationbecame longer than expected for achieving the profitability of thecompany’s consolidated flower operations.

References

DoleFood Company Inc. (2015). Dole worldwide.https://www.dole.com/Company%20Info/Dole%20Worldwide

DoleFood Company, Inc. (n.d). CompanyProfile, Information, Business Description, History, BackgroundInformation on Dole Food Company, Inc.Reference for Business.http://www.referenceforbusiness.com/history2/22/Dole-Food-Company-Inc.html

DoleFood Company Inc. (n.d). Company’s code of conduct.http://www.bananalink.org.uk/sites/bananalink.neontribe.co.uk/files/documents/Companies/dole%20code%20of%20conduct.pdf

Itochucorporation. (2012). Acquisition of Asian Fresh Produce Business andWorldwide Packaged Foods Business of Dole, World`s Largest Producerand Marketer of Fresh Fruits and Vegetables.NewsReleases 2012, December 25, 2012http://www.itochu.co.jp/en/news/2012/1212251.html

MasonA. C. &amp Sanjyot P. D. (n.d). GlobalSourcing and Distribution.International Business: Opportunities and Challenges in a FlatteningWorld.http://catalog.flatworldknowledge.com/bookhub/3158?e=fwk-168388-ch14_s04