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Sysco Weaknesses

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Subject: Company Analysis Project - Sysco
Started on January 2016, the CEO of Takeover, Inc. has requested the Research Department to select and analyze a company from the S&P 500 that could be a potential target for Takeover, Inc. Over the past three months, we studied the Systems and Services Company (SYSCO) according to the data available and the guideline provided for this purpose. From the findings of our analysis, we came to the conclusion that the Sysco Corporation may present some weaknesses in its system but its future potentials deserve a particular attention.
Strengths
Sysco is an established company in the foodservice industry. It has a strong market position. In fact, Sysco is the leader in selling marketing and distributing food products to restaurants, healthcare and educational facilities, lodging establishments and other customers who prepare meals away from home. The company has developed a strong and reputable supply chain over the United States and Canada. It owns more than …show more content…

In fact, the company network is concentrate in north America especially in United States and Canada. As of 2015, about 10 per cent of the operating income was made internationally. The other 90 per cent was made nationally. This fact means that the company may account for a small part of the international foodservices. This may be a weakness today but, the company can change it in an opportunity to increase its position as leader in the near future. As the economy in US is no more growing fast as it used to be, emerging markets such as Brazil or China could become an opportunity for the firm. Sysco are facing intensive competition from Costco Wholesale and Sam's Club which are courting small business owners, including restaurants, and convenience stores. It also faced the competition of many small regional distributors that are preferred by many

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