Final Post

I chose Hershey as my company to follow this semester because:
1. I love chocolate
2. Milton Hershey's story is quite inspiring
3. I still love chocolate!

I'm really glad this is the company I chose.  There have been many things I have learned about them through this process.  With a classmate focusing on the rival Mars company, it made it even more interesting! 

The most interesting thing I learned about Hershey was the scandal involving the purchase of the golf course.  The inflated purchase seems to go directly against Mr. Hershey's wishes. 

Would I work for Hershey?  I probably would.  They are a solid company that seems to take good care of their employees.

Hershey's suing over wrappers

http://www.boston.com/business/articles/2010/11/27/hershey_suing_mars_over_candy_wrappers/

Final Stock Price Update

11/15:  $47.00
11/16:  $46.40
11/17:  $46.24
11/18:  $46.55
11/19:  $46.52

11/22:  $46.62
11/23:  $46.70
11/24:  $47.13
11/26:  $47.22

11/29:  $46.69
11/30:  $46.80
12/1:    $47.23


$1,000 invested 9/1/10 @ $47.79=20.92488 shares

20.92488 shares @ 12/1/10 = $988.28

So $1,000 invested on September 1st would be worth $988.28 on December 1st.

Although I would have lost $11.72 on my investment in the last 3 months, I would still invest in Hershey.  They have some areas to work on and competition in the industry is becoming tighter..... but they are still the leader and will likely always have a significant presence in the market.  They are still the first thing that comes to most American's minds when you say the words "milk chocolate"!

Hershey Culture

Milton Hershey took culture to a whole new level with The Hershey Company.  He not only instilled a "fair treatment" culture within the company, he also developed a whole town around it.  Read more about Hershey's culture at the link below.

It seems that Hershey is having a difficult time maintaining a competitive advantage while still keeping with the culture that Mr. Hershey envisioned for the company.  In order to remain competitive, they have to look to outsourcing and foreign production to reduce costs.  However, Mr. Hershey's vision was to keep business in the community and provide as well as possible the company's employees. 
 
http://www.washingtoniv.com/?p=71

Scandals

I have already posted regarding Hershey & Fair Trade http://jenniferhersheyformgt656.blogspot.com/2010/10/hershey-falling-short-on-fair-trade.html

& the scandal regarding the CEO & others profiting on the purchase of the golf course with MHS trust money
http://jenniferhersheyformgt656.blogspot.com/2010/10/probe-of-hershey-trust-purchase-of-golf.html

Others scandals I found:

Sex abuse case at Hershey School
http://www.philly.com/inquirer/front_page/20100520_Sex-abuse_case_shatters_Hershey_School.html

Salmonella scare sparks Hershey recall
http://articles.moneycentral.msn.com/Investing/Extra/SalmonellaScarePromptsHersheyRecall.aspx

Feel the Frost

The Hershey Company invites consumers to embark on a new powerfully cool taste experience with the launch of Ice BreakersFrost^(TM) sugar-free mints. The only mint coated with an intense combination of xylitol, cooling and flavor crystals, new Ice Breakers Frost mints deliver a surprisingly powerful and enjoyable experience. Ice Breakers Frost mints are now available at retail in two intensely cool flavors - Wintercool^(TM) and peppermint.

http://www.thehersheycompany.com/newsroom/news-release-1493967.aspx

Stock Update

11/8:     $48.46
11/9:     $48.16
11/10:   $47.92
11/11:   $47.98
11/12:   $47.55