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Trouble in Chocolate Town: A Look at Hershey Foods Corporation

Terence P. Curran (Siena College)
Linda L. Richardson (Siena College)
Andrea E. Smith-Hunter (Siena College)

The CASE Journal

ISSN: 1544-9106

Publication date: 1 December 2004

Abstract

This case presents an overview of the confectionary industry, a description of the Hershey Foods Corporation, and a look at the company's strategies and the impact of these strategies. The case focuses on the unintended consequences that result from the implementation of dramatic new strategies for a company and what occurs in a company town that displays a very strong paternalistic culture. Some analysts had previously thought that Hershey's profitability and its close relationship with the town, the trust and the school made the company untouchable, but events proved otherwise.

After reading this case, the reader will feel compelled to answer the following questions. What is the best strategy for future growth of Hershey? How important is organizational culture on a corporation's strategic direction? Should the company indeed be sold to a larger corporation?

Citation

Curran, T.P., Richardson, L.L. and Smith-Hunter, A.E. (2004), "Trouble in Chocolate Town: A Look at Hershey Foods Corporation", The CASE Journal, Vol. 1 No. 1, pp. 97-112. https://doi.org/10.1108/TCJ-01-2004-B008

Publisher

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Emerald Group Publishing Limited

Copyright © 2004, Emerald Group Publishing Limited

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