Monsanto case analysis:

Company history:
Monsanto was created in 1901. The company's first product was the artificial sweetener saccharin. In the 1920s Monsanto expanded into basic industrial chemicals. During the 1940s Monsanto also become a leading manufacturer of synthetic fibres and plastics, including polystyrene - ranked its chemicals whose production generates the most total hazardous waste. By the 1980s Monsanto was being hit by a series of lawsuits. It was one of the companies named in 1987 in an $180 million settlement for Vietnam War veterans exposed to Agent Orange, Monsanto had by then re-launched itself as an agricultural biotechnology company. By 1990 with the help of Roundup, the agriculture division of Monsanto was significantly outperforming Monsanto's chemicals division in terms of operating income, and the gap was increasing. Monsanto's management knew that the last of the patents protecting Roundup in the United States, its biggest market, would expire in the year 2000, opening the field to potential competitors. The company urgently needed a strategy to negotiate this hurdle and prolong the useful life of its 'cash cow'." By 2000 the current Monsanto had emerged from various transactions, including a merger for a time with Pharmacia, as a legally different corporation from the Monsanto that had existed from 1901-2000 By 2003 the company focused more on genetically modified foods, by this it recovered and is now prospering.

Case analysis Introduction:

Monsanto Company an agricultural provider, the company produces different seed brands in large acre corps it also provides the seed trait technologies for farmers and manufactures. Its market is huge and their products cover wide range of places across the oceans especially in America, Europe, Australia and Africa. During its Long history it falls into many lawsuits which kind of affected its reputation and build bad brand image into its customers field so it paid millions of dollars to settle. The genetic modification that most of the products had undergone did not add value to the consumer side of the equation; Monsanto was trying to promote GMOs where there would be very little price reduction for consumers. The mandatory labeling legislation extends its requirement to all food and food ingredients produced from GMOs regardless of the detectable presence of DNA or protein within the final food product. These actions severely affected Monsanto, as labeling foods as GM would stigmatize/denounce the foods Monsanto was counting on the public support that normally followed from European government approval, but to no avail. In addition to these challenges, Monsanto had difficulty demonstrating the advantage of their biotechnology products to European countries

Monsanto legally:
Monsanto is the product of multiple deals that started in the late-1990 that saw its chemicals and pharmaceuticals units divested, leaving what became the world's largest crop-seed producer and maker of herbicides such as Roundup, used widely by farmers. Monsanto retained liabilities related to the legacy company that produced Agent Orange.

The company agreed to spend millions on medical testing and the cleanup of many homes

in different areas across the oceans where a legacy company once produced one of its bad chemicals products.

Environmental and health record:

Monsanto has been identified by the U.S. Environmental Protection Agency as being a "potentially responsible party". Monsanto has been sued, and has settled, multiple times for damaging the health of its employees or residents near its Superfund sites through pollution and poisoning. Monsanto is the largest producer of glyph sate herbicides through its popular brand, Roundup. A report released in June 2011 linked glyph sate to birth defects in frog and chicken embryos at dilutions much lower than those used in agricultural and garden spraying. Genetically modified organisms Many of Monsanto's seed products are specifically genetically modified to make them resistant to Monsanto produced agricultural chemicals, such as "Round Up" herbicide. Researchers applied a different statistical analysis on raw data obtained from Monsanto and concluded that these GM corn varieties induced a state of hepatorenal toxicity which is considered as bad and not healthy for humans. Monsanto was drawn into the Genetically modified food controversies over the Pusztai affair. experiments suggested that it was the process of genetic engineering. It was the process of genetic engineering itself, not the presence of pesticides caused by the engineering which caused the damage to rats.

Concerns about the Bovine Growth Hormone

Monsanto sparked controversy nationwide with the introduction of recombinant Bovine somatotropin, abbreviated as rBST and commonly known as rBGH. It is a synthetic hormone that is injected into cows to increase milk production. Though this IGF-1 occurs naturally in mothers' milk to be fed to their infants it produces adverse effects in non-infants, behaving as a cancer accelerator in adults and noninfants; this biologically active hormone is associated with breast cancer (correlation shown in premenopausal women), prostate cancer, lung cancer and colon cancers. But many negative consumer response regarding the advertising of this product because of the labeling changes method

Environment Pollution.
Monsanto is wanted for questioning in relation to the genetic pollution of the planet Earth, force feeding global citizens genetically engineered foods and the global take over of the planet's food sources. The US and Canadian governments not only ignored the inherent risks of genetic engineering, they have aided Monsanto setting up an inadequate regulatory system that relies on risk assessment, industry science and voluntary compliance. The environmental crime: As if polluting the planet with noxious PCBs, dioxins and harmful pesticides wasn't enough, now this leader in the genetic engineering industry is threatening to alter the genes of every food crop on Earth. The US and Canadian governments must hold Monsanto accountable for their crimes against the environment and the global food supply. World governments need to agree on legally binding rules for corporations that hold them responsible for the actions next week at the Earth Summit.

SWOT Analysis:
Strengths 1. It is one of the biggest agricultural product providers in addition it experienced the agricultural business since 1901. 2. It has many customers across the world. 3. Leading producer of genetically engineered (GE)seed. 4. Strong and well-known brand. 5. Strong financial growth Weaknesses 1. Aggressive litigation regarding the way it produces its products. 2. Practices political problems. 3. It does not have well marketing and sales programs for budgeting problems and lack of financial resources. 4. Distributor concentration. 5. Business practice considered controversial around the world regarding way it produces its products. 6. Seed patents violation by farmers Opportunities 1. Improving Biotechnology processes and chemicals 2. Proposed launch of new product 3. Entering new market and enlarge the distribution of its products 4. Cooperation with chemical companies for development and marketing purposes.

5. Interrelationships and acquisitions of companies will be the vehicles by which they can go forward and commercialize new product... Threats 1. Lawsuits regarding environmental violations 2. Inter-country Economies 3. Seed mutation possibilities cause more diseases 4. Culture barrier different views on GE foods 5. Technology taking over farmers role, causing unemployment

Monsanto ethical concerns and corporate responsibility:

Ethical culture that effectively responds to various stakeholders: During the past decade, Monsanto re-made itself into a seed and biotech company, as opposed to once focus on agrochemicals. This way, Monsanto was able to reduce some of the opposition to stakeholders. Shifting to corporate responsibility, Many critics are wary the long-term effects of safety of GM foods and environmental effects. Representations in media (Secondary stakeholders) such documentaries as seeds of deception The world according Monsanto and Food Inc. Conclusion: Monsanto has lots of potentials. Tying up with firms can push them more beyond their limits and eliminate unnecessary duplications and high activity costs. Establishing interrelationships is a capability driver and if it would be matched with opportunities, it would eventually lead to the achievement of their goal- world's leading life sciences company. The Europeans have been resisting genetically modified (GM) food for a long time. Monsanto has been facing stiff resistance from the EU over its portfolio of GM foods.

Their approval is important for Monsanto as the EU position on GM foods influences the global debate. Monsantos Roundup Ready variety of GM soybeans was among them. GM soybeans could only be sold in US, Canadian and UK markets, the EU new ruling allowed GM soybeans into Europe had significantly increased Monsantos potential market. Unfortunately, following the introduction, field trials were sabotaged and destroyed as environmental protection organizations were vocally protesting GMOs, and European public opinion of GM technologies began a steady decline. Monsanto made a decision to market and sell controversial products in areas that did not receive the benefit. Monsanto was unable to convince Europeans with either economic or environmental arguments supporting GMOs. The genetic modification that most of the products had undergone did not add value to the consumer side of the equation; Monsanto was trying to promote GMOs where there would be very little price reduction for consumers. Many Europeans argued that US farmers who exported their GMO crops to Europe received all the benefits with none of the costs Recommendations: Monsanto must create linkage to companies that would complement its strengths and overcome its weaknesses. In acquiring, the company must make sure that it would add to the value of the organization. Safe and secure global food supply, a healthy environment and the chance to properly tackle the inadequate distribution of food to the world's hungry.