Sparsholt and Russ Berrie both have similarities and differences in the way they are run and owned. There are very few similarities but the few I have noted are that they are both private sector businesses rather than public sector like the post office. Both Russ Berrie and Sparsholt both started their businesses as the same; both the company started as sole traders, which was very easy for them to set up.
The differences for both the companies that I have found were more numerous, such examples for this would be that although Sparsholt and Russ Berrie both started as sole traders Russ Berrie has advanced into becoming a Public Limited Company, Plc whereas Sparsholt has not changed it’s status into either a Private Limited Company or a Public Limited Company like Russ Berrie has done.
Russ Berries method of decision-making I have found is different in contrast to Sparsholt. Sparsholt I have found to be a faster process of decision making because of its one owner however in comparison to this Russ Berrie must inform all of the directors and other owners before action can be taken this are done to make sure there is no conflict on ideas or opinions. Mr Sparsholt is liable for everything that happens to Sparsholt Diary farm whereas in comparison to this I have found that Mrs Berrie is only liable for the amount of the business she has invested in / owns for example Russ Berrie makes 3mill last year because of Mrs Berries 51% holdings she receives more money than the other shareholders however not all the profits go to the shareholders some is reinvested back into the business whereas Mr Sparsholt would receive all the money.
Another difference of the two companies I have found would be the land they were built upon. Sparsholt was built upon a Greenfield site whereas in comparison the new Russ Berrie site I found out was a Brownfield site however a similarity I found was that neither company was built in an area of high unemployment and that neither company receive grants for employing local people. I have found another difference between the two companies; Mr Sparsholt is in full control of his company whereas because of the shares available on the stock market many people have an investment and control in Russ Berrie.
Another similarity I have noticed is due to the companies’ status, Russ Berrie because it’s a Public Limited company is classed as a stand alone company, this means that if any legal or financial action is taken towards Russ Berrie the company would be liable not the owner however in comparison to this Sparsholt dairy farm is not a registered company and therefore cannot be separately classed therefore if Sparsholt dairy farm is sued or requires legal action the farmer Mr Sparsholt would be liable for everything that happens.
Aims and Objectives
I have found more similarities for this section compared to the ownership. A similarity I have found would be that both Sparsholt and Russ Berrie aim to survive as businesses. Neither of the companies wants to fall too much into debt or have to declare themselves as bankrupt as this would mean the company is out of business and would have to shut down meaning that both owners would receive no income from the businesses. Another similarity that I have noted would be that both the companies; Sparsholt and Russ Berrie want to turn over a profit at the end of each year, this would apply to all companies as without the profit the company wouldn’t survive very long.
A similarity I noticed about the aims was there one to be better than the competitors. Both companies are aiming to be the best and so is all the other companies and competitors for Russ Berrie and Sparsholt. However I have noted differences in the two companies’ aims and objectives, Russ Berrie aims to increase the amount of products it can produce whereas in comparison to this Sparsholt aim to improve their milk quality.
In contrast to those differences though I have discovered more similarities between the two companies; Neither of the companies produced very smart objectives, which could be very useful for making the companies more productive, an example of this would be Sparsholts objective “To promote animal welfare” as you can see its very simple likes Russ Berries objective to “Increase the sales of Russ Berrie Products” this objective is very similar in the way that it is not very specific and there is no time scale which makes it too generic and not nearly as effective.
Another similarity I have noted between the two companies would be the aim to improve the quality of their products that are distributed to their customers. I have found that both the companies aim to improve the quality of their products, Russ Berrie aims to “produce high quality goods” whereas Sparsholt also aims to “To produce high quality milk” both these aims are similar and based on the same idea of making better products.
However I have noted another difference between the two companies aims and objectives, Sparsholt is trying to promote a better understanding of animal welfare to locals and customers etc in comparison though to Sparsholts aim promote animal welfare Russ Berrie has no environmental objectives which could relate to Sparsholts objective to promote animal welfare. The last difference I noticed was the amount of objectives each company has listed, Russ Berrie has got three objectives listed however in comparison Sparsholt has got eight listed down, this is more than twice as many objectives for Sparsholt to try and achieve. This could be easier for Sparsholt to do though as it’s a much smaller company and therefore changes would be easy to change and results would be more visible.