Cadbury employees are waking up this morning wondering what will happen to their jobs after their board of directors approved Kraft’s takeover proposal.
It’s certain there will be job losses, how many and exactly where, is yet to be announced. Kraft will already be working on the who and where but as yet, all that remains a closely guarded secret. There are legal implications and competitive consequences of divulging information about job cuts so we’ll just have to bide our time until the official announcements are made.
As with any business deal, Kraft believes there is a benefit to be derived from the acquisition of Cadbury. If there was not a financial return to be leveraged, why bother?
It’s possible though less likely that new products or markets can be sourced in an already mature marketplace, so it’s more likely that cost savings have been identified. Integration of ‘back-office’ systems as well as preferential buying terms from suppliers can also be anticipated but what about the human cost?
The takeover will mean significant change for those directly and indirectly associated with Cadbury.
We observers will likely have to wait for the passage of time to see whether this latest development benefits one of Great Britain’s world class brands.
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