Berkshire Hathaway Company Essay Example | Topics and Well Written Essays - 1750 words

Berkshire Hathaway Company - Essay recitationThe company is now a holding company that holds many an(prenominal) diverse subsidiaries. What is the companys billing Statement? What is the companys Vision Statement? Who be the Primary Stakeholders of the company? Primary stakeholders argon those who have a direct interest or stake in the organization. The stakeholders of almost all the companies atomic number 18 same. Stakeholders can affect or be affected by the actions of a course. The primary stakeholders of Berkshire Hathaway include the owner of the company, the employees, its customers, suppliers, its creditors, the trade unions, its stockholders and the government. The employees of Berkshire have a great stake in the organization because they are directly cerebrate to the companys performance (BERKSHIRE HATHAWAY, INC 2010) Similarly the stockholders share the same stake in the business of Berkshire Hathaway. What are the five forces of Competition and how they impact on the company? The five forces of competition present in the surround and that affect the competition include the competitors of a firm, bargaining power of suppliers, bargaining power of the customers, new entrants and the substitutes available. Competitors of a firm result in rivalry. ... Berkshire Hathaway has very good relations with its suppliers. Plus the company owns so many subsidiaries that it has a large numbers of suppliers, thus resulting in a low bargaining power of the suppliers. flavour at the customers as a force, they have a high bargaining power as contrary to the suppliers. Berkshire Hathaway honors its customers in every possible way. Then comes the threat of the substitutes. Berkshire has a very diverse range of business activities and it offers so many products to so many different markets. There is a threat of substitutes moreover Berkshire Hathaway has a very strong financial and capital position that whenever there is an alternative investment available in the market, it does not hesitate in acquiring that alternative. Berkshire faces competition but the competition is not very massive because the number of firms present in the holding industry is not very large. There are merely few holding firms that equal the size of Berkshire Hathaway. So the competition is low as compared to other industries. either the forces of competition lead to rivalry, but in the case of Berkshire these forces are not that intense and thus do not result in huge rivalry. SWOT Analysis SWOT analysis is a rooster that is used to look into the strengths and weaknesses of the company. It helps to determine the opportunities and threats posed by the external environment. Basically the analysis sets a caution for the organization as to how it should use its strengths to minimize the threats posed by the external environment and also to commit use of the opportunities in order to overcome its weaknesses. Though Berkshire Hathaway is well established holding c ompany but still it is not possible that it wont have any weaknesses or