Some external factors affecting Hershey....

With the big "health kick" that the United States and many other countries has gotten on, experts are raving about the benefits of dark chocolate.  This is a big opportunity for Hershey.  While they have had limited dark chocolate options in the past, they are now offering a full line of dark chocolate bars.  Some even have cranberries and almonds so they must be healthy!  (note the sarcasm here)  Taken directly from their website "It's a fact!  Dark chocolate is a natural source of flavanol antioxidants.  So now there's even more reason to enjoy these rich, delicious HERSHEY'S Dark Chocolates." 

Another opportunity for Hershey is the increased importance placed on holidays.  Can you really think of a holiday that chocolate is not appropriate for?!  You give it for birthdays, anniversaries, Valentine's Day, Christmas, Easter, Halloween, Saint Patrick's Day...... 

While Hershey is trying to put an opportunistic spin on the increased concern with health, they can't escape the fact that you can only make candy healthy to a certain point.  After all, it is still candy!  Obesity rates are increasing exponentially in the United States.  Doctors, TV show hosts, diet gurus, trainers at the gym, the weird lady two doors down with the goat living on her front porch, and even your mother are telling you to cut back on the fried foods and.....sweets!   

Another place that is hitting Hershey hard is costs associated with manufacturing and delivering.  Have you bought a gallon of milk lately?  What about gas?  The increasing costs of these are quite a threat for Hershey.  It costs more to get the ingredients to the manufacturing facility and more to get it back out to the end consumer than ever before.