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Irene Rosenfeld at Mondelēz International: Corporate Strategy Essay

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Updated: Dec 20th, 2020

Introduction

A CEO’s philosophy and strategies that it informs plays a critical role in the promotion of change at the corporate level. In the case under analysis, the CEO’s decision to focus on the changes in the emergent economies, as well as the adjustment to the macroeconomic setting, has allowed the organisation to succeed in the target market. The focus on the expansion into the global market and the introduction of new items into the company’s portfolio as a part of Rosenfeld’s vision of global economic growth and sensible investments has allowed Mondelēz International to become a world-renowned brand.

Analysis

The CEO of Mondelēz International has managed not only to introduce a positive change to the corporate setting but also to cement the specified alterations with the help of her global vision and the philosophy of the unceasing improvement. The willingness to expand into new markets and the diversity of corporate products can be regarded as the key areas of Rosenfeld’s concern (see Fig. 1). The CEO of Mondelēz International transformed the organisation by integrating her vision and philosophy into the company’s framework and altering the very principle of its functioning in the selected economic environment.

Mondelēz International in the global market: chocolate
Figure 1. Mondelēz International in the global market: chocolate (Collis et al. 26)

The change that Rosenfeld managed to implement in the setting of the Mondelēz International Company becomes all the more noteworthy when considering the circumstances under which they were made. Specifically, one should bear in mind that Mondelēz International was experiencing significant pressure from investors, which we’re expecting the organisation to have started returning profits by that point.

In addition, Rosenfeld had very little time to adjust to the rapid alterations in the global market and build relationships with possible partners in trade and merging. The flexibility and expeditiousness with which she approached the management of investments and the allocation of the corporate resources have shown that Rosenfeld’s initial strategy was sensible and effective. Thus, the CEO’s vision and behaviour have made it possible to transform Mondelēz International within a very short amount of time and under significant pressure from investors.

Rosenfeld’s ability to adjust to the high levels of market rivalry and help Mondelēz International to build its competitive advantage should also be seen as the direct outcomes of the CEO’s vision and behaviour. Rosenfeld initially showed that she was eager to introduce the idea of flexibility into the organisational system. The specified approach has proven to be exceptionally important in the setting of the global economy, where rapid changes and disruptive innovations affect the progress of organisations to a considerable extent.

Rosenfeld, in turn, has not hesitated to diversity the company’s products to align them with the globalisation trends and the need to embrace a wider range of customers. Similarly, the CEO has sought opportunities for expansion in merging with other entities. Therefore, one has to admit that Rosenfeld’s vision and especially her expansion-driven choices have helped Mondelēz International to become successful in the global market.

Learning Outcomes

The case study has shown that it is critical for a CEO to introduce the corporate vision that will prompt immediate change within the corporate context. Rosenfeld has integrated her concept of corporate progress into the setting of Mondelēz International, thus causing a rapid increase in the firm’s profits. With the focus on expansion and exploration of new markets, the outcomes of the case study can be interpreted as the importance of pushing the boundaries of one’s capabilities in order to excel in one’s performance.

Furthermore, the case of Mondelēz International can be seen as the prime example of a situation in which a CEO manages to introduce the concept of innovative thinking and effective change management into the context of an organisation. Indeed, a closer look at the way in which Mondelēz International used to function before Rosenfeld became the CEO of the firm will reveal that the company used to pay little attention to the idea of innovative thinking.

However, as Rosenfeld took charge of the organisation, innovative thinking and the application of the latest tools for managing corporate assets were introduced into Mondelēz International’s environment. Given the exponential rise in the organisation’s performance and an increase in its profit margins, one has to admit that the specified approach should be advised as the tool for addressing the issues associated with resource management. Thus, the significance of innovation as an integral part of corporate progress is another important learning outcome.

Conclusion

Due to Rosenfeld’s vision being oriented toward the global expansion, as well as her behaviour aimed at diversifying the company’s brand, Mondelēz International has managed to embrace new opportunities and advance in the target market. The case under analysis can be regarded as the prime example of an organisation being driven toward progress owing to the innovative thinking of its CEO. Rosenfeld has managed to capture the nature of global change by studying the demand in emergent markets and seeking the ways to cater to the requirements of new audiences. As a result, Mondelēz International has advanced significantly and currently takes a rather high position in the global ranking.

Work Cited

Collis, David J., et al. Irene Rosenfeld at Mondelēz International: Creating a Corporate Strategy. Harvard Business School, 2018.

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IvyPanda. (2020) 'Irene Rosenfeld at Mondelēz International: Corporate Strategy'. 20 December.

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