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by: Nawal Bryant
Nawal Bryant

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Week of August 1st
Class Notes
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This 5 page Class Notes was uploaded by Nawal Bryant on Thursday August 4, 2016. The Class Notes belongs to at South Carolina State University taught by in Winter 2016. Since its upload, it has received 6 views.


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Date Created: 08/04/16
History of the Company In Latin America there are many different industries that are thriving and continue to be the world leaders in everything they do. Specifically in the candy market, Arcor Candy, also known as Grupo Arcor, is the leading Argentine food company that specializes in th confectionary. A private company that was founded on July 5 , 1951 in the city of Arroyito, Córdoba which is located in Argentina. Its leading brands are made in 39 industrial plants in Latin America, with 11 commercial offices around the world. Arcor makes candies, chocolate, marmalades, cookies, ice cream, desserts, and various other foods. Arcor has the greatest amount of open markets in the world and exports it products to more than 120 countries in the 5 continents. In 1951 a group of Italian immigrant entrepreneurs, with a background in industrial work, took the first two letters of the word “Arroyito” and the first three letters of the word “Córdoba” and created the name “Arcor”. Their vision was to offer quality foods, at a reasonable price to consumers all over the world. In 1924 Amos Pagani settled into Arroyito where he opened a bakery shop. He along with other immigrants helped to establish Arcor. By 1958, Arcor maximized its profit of about 60,000 kilograms of daily confectionary production. This allowed the company the ability to start producing others lines of products in combination with its strategic supplies. During the 1960s Arcor envisioned Latin America as an integrated and thriving common market. This spirit allowed them to be placed in an avant –garde (new and unusual experiments) position. Amos Pagani’s son, Fulvio S. Pagani continued the family business thorough his understanding of the importance of reaching new international markets. In 1964 the Group closed its first sale and by 1970 Arcor owned its own exhibit stand at the first Confectionary Trade Fair in Cologne, Germany. Export deals came into focus in European countries and confectionary products to the United States by 1968. The first export deal allowed the company to fix its flaws as well as see the difficulty in expanded to new markets. At that time if two containers of caramel candy were shipped on a regular hold then they would melt as they passed through the Equator. The shipment that arrived to the U.S. was ruined and Arcor decided to pay the invoice despite the high costs. This attitude gave the company positive creditability, and after a few months those same clients came to the company in person, which helped to consolidate a strong bond. As Arcor Company expanded to other Latin American countries such as Paraguay, Brazil, and Chile its business plan was to continuing its development where its presence was small but still potential for sustained growth. Arcor has always been committed to society. It’s goal is to have a balance between its own business activities as well as the interests of the different markets it relates to. In 1991 The Fundación Arcor was created to make contributions for the education of children. In 1993 Luis Pagani took on presidency and acquired the group Noel, a brand of foodstuff and sugar confectionary. In 1997 Arcor acquired LIA, a well- known cookies company in Argentina. Arcor celebrated this integration by opening an Arcor museum in Arroyito, that welcomes about 5,000 people every year. In 1998 Arcor acquired Dos en Uno, a Chilean leading company of sugar and chocolate. Exactly one year later the company opened the chocolate manufacturing plant with the most advanced technology of that time in Brazil. By 2002 the group had offices in Mexico, Colombia, Canada, and Europe. Three years later the company began to launch a new line of ice creams. Arcor serves customers worldwide with an annual revenue of 3.3 billion dollars while employing 20,000 people through its headquarters in Buenos Aires, Argentina. Over the course of Arcor’s history many companies and groups in the candy market have been acquired. Arcor is the Argentine group with the largest number of open markets in the world, while also being the world’s largest producer of candies. Arcor is extremely smart and inquisitive when it comes to finding companies to not only help but that will also help themselves. Arcor participates in more than 12 categories from jams to polenta, to fruit that is sold all over the world. Arcor seeks long lasting relationships of trust. Through sustainable management in the value chain Arcor achieves the best quality as well as efficient service in the best commercial conditions possible. A SWOT analysis is a study that is typically taken by an organization to help identify its internal strengths, weaknesses, external opportunities, and threats. It is extremely useful tool that is used to help understanding decision making for a business. SWOT analysis is idealand product development.strategic planning, and business SWOT Analysis: Arcor Group  Positive Negative  Strengths Weaknesses   Reduced labor costs  Existing distribution and sales ll business units l network  Investments in research  a  Monetary assistance provided  and development  r  Future competition t  Future profitability  n I Opportunities  Threats  Growing demand   External business risks   possibility of a lower   a profitability r t  Global economy  x  Tax changes  E  Increase in labor costs


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