Environmental Factors - Weetbix

An environmental factor that is very threatening to Weet-Bix, is the seasonal issues that Australia experiences, causing droughts that stop the harvesting of wheat. “Australia is widely known for its susceptibility to climate extremes and no other industry bares the consequences of these conditions like the grain growers of Australia.” ("Drought Monitor", 2016.) As this is an uncontrollable factor that affects Weet-Bix it is very threatening to the product. The wheat used for the manufacturing of Weet-Bix is grown and picked in Australia, so with the sporadic and problematic droughts that occur in Australia, they pose to threaten all production of Weet-Bix nationwide. As these droughts are almost incalculable when they hit they also damage the prices of the wheat and the manufacturing of Weet-Bix. “Wheat prices have more than doubled in the past year after drought in Australia hurt crops. Rising wheat prices are threatening the price of breakfast cereal, including one of the country's most popular brands, Weet-Bix.” ("Weetbix price under review", 2011.) "There's a large unutilised site, and it made sense to look at the opportunities…. So I believe it is a good thing overall.” ("Sanitarium sells off factory", 2016). This being said, the sale of the Papanui factory could benefit Sanitarium Weet-Bix in various ways, as it gives them an opportunity to expand their company elsewhere around New Zealand. The loss of 4 jobs is tragic but very minimal is the scope of opportunity to come for Sanitarium Weet-Bix. The recent sale of the Papanui Sanitarium factory in Christchurch will pose for many opportunities for the brand and Weet-Bix product. Since the Weet-Bix product began full production and distribution in the Auckland factory after the earthquake the product has adapted in many ways. There is now a Gluten Free option, and many different variations of old products as well as the introduction of a new on the go