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Hershey can be considered a mature company that has moderate growth. The company continues to have a significant presence on the national and international market when it comes to its industry. After conducting the Internal Factor Evaluation of Hershey, there are a few concerns and challenges that the organization would have to address and come up with solutions for. The purpose of doing an IFE is to evaluate the strengths and weaknesses of an organization’s functional areas. The IFE Matrix provides vital information for strategy formulation (David & David, 2017).  Overall, Hershey’s financial strength is considered stable, and it has a stock that is tremendously reliable at giving out dividends.  It has beaten Wall Street expectations two quarters in a row, and it is doing an excellent job of diversifying its portfolio by acquiring snacks and healthy food companies.  According to Kalogeropoulos (2019), the recent acquisition of the One Brands franchise was able to increase the company’s sales by 3%.  Hershey also got a small boost in sales from Amplify and Pirate, which are two salty snack brands it brought under its vast umbrella.  Hershey does not only have a reputation for paying a dividend every year since 1930; it has a long history of raising that payout annually. 

Duprey, Bromels, and Carnette (2019) noted that Hershey’s stock, along with Apple and BP, were the top 3 stocks they felt investors could grow old with.  CEO Michele Buck says Hershey remains in the market for more acquisitions in the healthy-snack market.  This diversification will help the company in the long run, especially since the core candy portfolio has not been performing as well, and since the healthy food market has shown considerable growth over the years.   According to Kalogeropoulos, D. (2019), sales volumes have declined slightly in the US and has been made worse by pressure added by price increases.  Another major issue the company will have to address is the ethical branding schemes; if any bad publicity comes out about sourcing for the cocoa the company uses, that could have the potential of causing a significant impact on not only the company’s financials but the brand as a whole.  Hershey, along with Mars and Nestle, has been spending millions of dollars to set up their cocoa sustainability schemes (Aboa, 2019).  Many of the company’s ratios seem to either be holding steady or improving.  Looking over the past three years, total revenue, gross profit, stockholder’s equity, assets, and net income have all been increasing steadily. 



Aboa, A. (2019, October 15). Chocolate makers face ethical branding dilemma. Retrieved March 26, 2020, from


Cannivet, M. (2019, February 14). Hershey Offers Investors Certainty In An Uncertain Time. Retrieved March 26, 2020, from

David, F. R. & David, F. R. (2017). Strategic management: competitive advantage approach, concepts & cases (16th ed.). Boston: Pearson.


Duprey, R., Bromels, J., & Carnette, J. (2019, August 8). 3 Dividend Stocks That Should Pay You the Rest of Your Life. Retrieved March 26, 2020, from


 Globe News Wire. (2019, April 25). Hershey Reports First-Quarter 2019 Financial Results; Reaffirms 2019 Net Sales and Earnings Outlook. Retrieved March 26, 2020, from


Kalogeropoulos, D. (2019, October 29). Hershey Earnings: Steady Growth and Rising Profitability. Retrieved March 26, 2020, from

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