In high-traffic urban areas, the startup costs are generally considered higher given the higher rental expense. Albert Humphrey - credited for this technique of analysis. Additionally, the gross margins generated by bakery usually range anywhere from 75% to 85% depending on the types of baked goods offered to the general public. Another way to get frontline employees on board is to incorporate one-one-on coaching. If the activities and employees working in a bakery face lack of coordination, the bakery may not be able to achieve operational efficiency. Cafe Bakery is in prime position to tap on those opportunities and grow the market share. However, growth remains lacklustre posing both opportunities and threats for manufacturers. It limits the ability of the firm to build a sustainable competitive advantage. SWOT analysis is one of the cost-effective strategic planning tools. SWOT is the acronym for strengths, weaknesses, opportunities, and threats. SWOT Analysis stands for - Strengths, Weaknesses, Opportunities, and Threats that Cafe Bakery encounters both internally and in macro environment that it operates in. You should develop contacts with big hotels and restaurants and offer them the service of immediate delivery of bakery items whenever they need it. Stiff competition from competitors offering similar products 2. Typically, the startup costs for new bakery range anywhere from $25,000-$200,000 depending on whether or not the business is going to maintain a very large-scale retail facility. SWOT Diagram Template for Various Scenarios. Those brands spend billions of dollars on the marketing and promotion of their products and services. According to Louis B. Barnes, Joanne Massaro , this can reduce the potential of success of Cafe Bakery in the international market. Therefore, its significant to learn the usage of various tools efficiently. Development of the Companys Bakery location. If you have done everything correctly, then it would help you to attract new customers to your shop. Mr. Doe is not seeking an investment from a third party at this time. Although there are issues with inflation, the US Federal Reserve has indicated that they are willing to adjust monetary policy to combat this issue. She focuses on business operations and current affairs that affect the food manufacturing and food service industries. Opportunities and Threats are factors that are analyzed in view of the . The thing that matters at the end of the day is the skilled workforce and experienced staff. The barriers to entry for a new bakery are moderately low given that there is not a tremendous amount of capital needed to start these businesses. Manage Settings Your Business Planning Package will be immediately emailed to you after you make your purchase. Nutritious plant-based proteins, like nuts and seeds, are still popular as ever. Some of the major vendors of the bakery market in Packaged Foods & Meats industry include Associated British Foods Plc, Britannia Industries Ltd., Campbell Soup Co., Flowers Foods Inc., Grupo. They are . Meanwhile, a PESTLE analysis is 100% externally focused. Merchandising, Retail Sales, Bakery. Develop an online presence by developing a website and placing the Companys name and contact information with online directories. This video shows how multi-channel training keeps safety top of mind. revenue for the government and increasing employment opportunities. After that, you should add all of those products to your portfolio, and advertise them by using various channels. An efficient strategy offers the companies with a head start in planning and an edge over the competitors.Precision Reportsis the credible source for gaining the market reports that will provide you with the lead your business needs. These dissatisfied customers may give negative reviews to the bakery which may seriously harm its reputation. A visual workspace for students and educators. Here is a sample bakery business plan SWOT analysis that exposes the strength, weakness, opportunities and threats of starting a bakery You can easily edit this template using Creately. Bakeries can use SWOT analysis to plan drastic changes which are needed to be incorporated for the enhanced working of the bakery. The Bakery will also use an internet based strategy. Several challenges still face the industry, and while solving them wont be a piece of cake, a proactive approach and a well-trained workforce can help bake consistency into operations. Analysis of APBC. Thereby, making it one of the most sought-after tools of strategic planning. PESTEL analysis is critical to understand the external threats & opportunities arising because of the macro environment developments. Wage $20.35-$22.60 per hour. Having all the tools and equipment is one thing, and skillfully making use of all of those tools and equipment is a completely different thing. The Founder expects that the business will aggressively expand during the first three years of operation. Considering the influence of COVID-19 on the global Specialty Bakery market, this report analyzed the impact from both global and regional perspectives. The report aims to provide an additional illustration of the latest scenario, economic slowdown, and COVID-19 impact on the overall industry. Its always been a challenge for Bakery and Snacks manufacturers to stay innovative, especially if a fad fizzles fast. The Company is registered as a corporation in the State of New York. A bakery marketing campaign had marketing plan should focus significantly on developing ongoing relationships with restaurants, hotels, bars, and hospitality businesses that will place recurring purchase orders with the business on an ongoing basis. Join our network of innovators and stay on top of the latest tips, trends, and best practices for manufacturing professionals. Save my name, email, and website in this browser for the next time I comment. , we specialize at analyzing & providing comprehensive, corporate SWOT Marketing campaign planning, brainstorming and asset organization. Documentation has always been important, but now it will carry even more weight in mandatory procedures. SO (Strengths-Opportunities) - Use internal strengths to capitalize on external opportunities. The temptation so far for the managers at Cafe Bakery is to focus on the domestic market only. Your email address will not be published. Below is a description of how the business intends to market its services to the general public. SWOT Analysis. Quantitative evaluation of factors in the matrix . Also, it splits Specialty Bakery market Segmentation by Type and by Applications to fully and deeply research and reveal market profile and prospects. Increased operating costs The increase in operating costs of the bakery can seriously damage the working of the bakery. It can also lead to crowd sourcing various services and consumer oriented marketing based on the data and purchase behavior. Required fields are marked *. Top bakery food products are; Barmbrack, Soda Break, Scones, Break, Cookies, Crackers, Cupcakes, Biscuits, Croissants, Pretzels, Cakes, Biscotti, Brownies, Kalakukko, Tarts, Cornbread, Crumpets, Pandesal, Pies, Pumpkin Bread, Pastries, Pita, Buns, Sourdough, Pizza, Potato Bread, Muffins, Bread Rolls, Flatbreads, Bagels, and Doughnuts. Step 2: Demographic Factors Although the SWOT framework provides several benefits, it also has certain disadvantages such as . The war in Ukraine has accelerated inflation and impeded supply chains . The good news is allergens are highly preventable. This number is expected to increase at a rate of 5% per annum. People moving towards health food products 3. According to Louis B. Barnes, Joanne Massaro , Cafe Bakery has tested various concepts in different markets and come up with successful Organizational Development solutions. It would analyze the internal environment (strengths, weaknesses) and external environment (opportunities, and threats) of the business. And once-exotic ingredients, like chile, caramel, and cardamom are popping up in baked treats and sweets everywhere as consumers (with Millennials leading the charge) seek out flavors that broaden their palates. When the production cost and various other direct/indirect costs increase, then bakery shop owners have to increase the retail price in order to meet the expenses. On the basis of product typethis report displays the production, revenue, price, market share and growth rate of each type, primarily split into: On the basis of the end users/applicationsthis report focuses on the status and outlook for major applications/end users, consumption (sales), market share and growth rate for each application, including: Chapters 7-26 focus on the regional market. - Diverse Product Portfolio of Cafe Bakery The products and brand portfolio of Cafe Bakery is enabling it to target various segments in the domestic market at the same time. Sorelle Bakery and Cafe "referred as Cafe Bakery in this analysis " is a Harvard Business Review (HBR) case study used for SWOT stands for strengths, weaknesses, opportunities and threats. Nothing kills a snack attack faster than the same old routine. Pertaining to weaknesses, within any market there are usually a number of other bakeries that operate in a similar capacity. Company Introduction:<br><br>From the beginning, Brick Oven has had a commitment to delicious food and superior service. The Company will also generate secondary revenues from catering services for large scale events hosted by individuals, corporations, and businesses within the Companys targeted market. All Documents Delivered in Word, Excel, and PowerPoint Format. Is there a problem with this press release? Ambiance The ambiance of a bakery can help it to attract more customers and retain the current customers. Lack of Coordination Coordination is the essence of any successful organization. Relating to threats, theres really nothing outside of a drastic economic recession that would impact the revenues of a bakery business. Economic slowdown Unfavorable economic conditions in the country may lead to an increase in customer attrition rate as the economic slowdown tends to put a burden on the pockets of individuals, which may lead to decreased spending on the part of customers. Analyze the Cafe Bakery external competitive environment to identify opportunities and threats. The confectionery items also fall under the category of the bakery. Bakery, Inc. In the event of an economic downturn, the business may have a decline in its revenues. - Lucrative Opportunities in International Markets Globalization has led to opportunities in the international market. Unless the bakery formulated proper plans and strategies to deal with the competitors, the bakery may not be able to sustain itself in the competitive environment. Being associated with CIA only helps to promote and solidify their positive . Job in Provo - Utah County - UT Utah - USA , 84601. Document, plan and optimize business processes. Beyond the business plan and marketing plan, a bakery SWOT analysis should also be developed. Snacking is trendy, too both healthy snacks that promote wellness, and rich, decadent snacks meant for indulging. - Increasing costs component for working in developed market because of environmental regulations Cafe Bakery has to deal with these costs as governments are trying to levy higher environmental taxes to promote cleaner options. Nutritious plant-based proteins, like nuts and seeds, are still popular as ever. Listed on 2023-02-28. In addition to the financial information, a well-developed market research study should also be conducted. - Increase in Consumer Disposable Income Cafe Bakery can use the increasing disposable income to build a new business model where customers start paying progressively for using its products. One of the most important parts of your SWOT analysis is using the data you compiled to identify new strategies and goals for your business. on Bakery SWOT Analysis- And its Competitors, Bakery SWOT Analysis- And its Competitors. Louis B. Barnes, Joanne Massaro (2018), "Sorelle Bakery and Cafe Harvard Business Review Case Study. Market is changing rapidly with the ongoing expansion of the industry. Having a bakery shop in the crowded food street or the busy market is a great competitive edge. According to Louis B. Barnes, Joanne Massaro of Sorelle Bakery and Cafe case study, this can lead to inability on part of the organization to increase prices that its premium prices deserve. - Lack of critical talent I believe that Cafe Bakery is suffering from lack of critical talent especially in the field of technology & digital transformation. Kneaders Bakery and Cafe is currently hiring a Sandwich Maker - mornings/early mornings. We and our partners use data for Personalised ads and content, ad and content measurement, audience insights and product development. The APBC as a retail brand is known for its exceptional quality, unique concept and opulent packaging. The bakery must ensure that its customers do not switch to rival bakeries. Copyright 2008-2023 Cinergix Pty Ltd (Australia). Just thinking about bakery products makes your mouth watery. Cafe Bakery first hand witnessed the impact of it where it has seen lower demand of its products from middle class customers in US and EU market. - High Margins Cafe Bakery charges a premium compare to its competitors. Winter-Proof Your Workplace to Prevent Employee Injuries. The competition faced by a bakery may be of the following types if(typeof ez_ad_units!='undefined'){ez_ad_units.push([[300,250],'howigotjob_com-box-4','ezslot_3',194,'0','0'])};__ez_fad_position('div-gpt-ad-howigotjob_com-box-4-0'); Conclusion All in all it can be said that a bakery, through the application of SWOT analysis, can formulate and implement suitable strategic plans to ensure its success. Step 3: Opportunities. The key to writing a strong competitive analysis is that you do your research on the local competition. Corner Bakery Cafe Threats The threats for any business can be factors which can negatively impact its business. Weaknesses are the areas, capabilities or skills in which Cafe Bakery lacks. According to Louis B. Barnes, Joanne Massaro in Sorelle Bakery and Cafe study there are enough evidences that with such a high quality of products and services, Cafe Bakery can compete with other global players in international market. Currently, the economic condition as a result of the COVID-19 pandemic is rapidly improving. The US bakery industry is big business, accounting for 2.1 percent of the country's GDP, reports industry news source Bakery and Snacks. The business will also provide catering services to parties and corporate events. Mr. Doe intends on using a number of marketing strategies that will allow the Bakery to easily reach people within the target market. And once-exotic ingredients, like chile, caramel, and cardamom are popping up in baked treats and sweets everywhere as consumers (with Millennials leading the charge) seek out flavors that broaden their palates. Setting your products apart from the competition gives you an edge. Strengths are the Cafe Bakery capabilities and resources that it can leverage to build a sustainable competitive advantage in the marketplace. It would deduct the in-stock ingredients from inventory and put the needed ingredients on the to-order list. Your bakery company's strengths are the basis for ongoing success. At the onset of operations, the business will partner with local event planners that will use the Bakery as its primary source for baked goods. If a bakery shop has started its operations, then you should consider investing a lot of resources in the marketing and promotion of your business. Your email address will not be published. The Company will maintain a sizable amount of print and traditional advertising methods within local markets to promote the baked goods that the Company is selling. https://www.precisionreports.co/enquiry/request-sample/19064791#UTM_source=MWBrock, https://www.precisionreports.co/enquiry/pre-order-enquiry/19064791#UTM_source=MWBrock, https://www.precisionreports.co/purchase/19064791#UTM_source=MWBrock, Specialty Bakery Market Trends and Opportunities and Forecast to 2028 with Top Countries Data, Teslas stock falls 5% as Elon Musks Master Plan 3 is short on details about both cars and finances, Saturday Night Live star Chloe Fineman says Lorne Michaels gave her the best financial advice. According to Louis B. Barnes, Joanne Massaro , it can also help in bringing the talent into domestic market and expanding into new areas Conflict, Crisis management, Entrepreneurship, Gender, Joint ventures. These baked dishes may be consumed by the buyer at the premises of the bakery or by getting them packed for takeaway. A bakery is a business establishment that offers flour-based baked food items like pies, pastries, cakes, and cookies to customers. Strengths and weaknesses are under the control of a bakery, and taking advantage of your company's strengths while overcoming its weaknesses lead to revenue growth and profitability. Question 2. Threats- Sorelle Bakery and Cafe Threats are macro environment factors and developments that can derail business model of Cafe Bakery. Strengths and Weaknesses are often restricted to companys internal - resources, skills and limitations. When not analyzing and writing for the food industry, she also contributes to culture websites and local publications. Idea to execution on a single collaborative canvas. If youre a bakery shop, then its necessary for you to have all the baking equipment and kitchen tools. Capital to purchase ovens and baking equipment. A Texas bakery that said it lost business and Facebook followers after it posted a photo of rainbow-frosted, heart-shaped cookies in . Location of bakery The location of a bakery can serve as an important strength, as the bakery situated in a prime location in the market can attract more customers and footfall. SWOT analysis results in large amounts of information inflow. However, if you have hundreds of items, condense your product list categorically. As such, an owner operator must look for ways to differentiate their location from that of competitors. Here, lets know about Bakery SWOT Analysis.if(typeof ez_ad_units!='undefined'){ez_ad_units.push([[250,250],'howigotjob_com-medrectangle-3','ezslot_2',190,'0','0'])};__ez_fad_position('div-gpt-ad-howigotjob_com-medrectangle-3-0'); The SWOT framework is beneficial for the organization as it helps the organization to identify its strengths and weaknesses in the internal environment and match them with opportunities and threats in the external environment so that effective strategy can be developed and implemented to ensure the success of the organization. Competent Staff For every organization striving to achieve profits and gain market share, the quality, and dedication of its staff serve as the prime strength. The Company was founded by John Doe. However, baked goods are relatively inexpensive and people will continue to demand these goods. MBA & EMBA programs. Choosing the vision, mission and the reason of existence for Cafe Bakery. Customer dissatisfaction Several factors may lead to customers being dissatisfied with the bakery. The consent submitted will only be used for data processing originating from this website. As such, only a severe economic downturn would result in a decline in revenues. The City of College of San Francisco has published a number of SWOT analyses on its website, including one for a bakery, which may guide your thinking. A Texas bakery lost customers for wishing LGBTQ customers a happy Pride, and received a flurry of support after its post about the incident went viral. While it's expensive to change a location, you can draw more attention to your existing location with signage, displaying baked items in the windows and offering samples to those who walk by. Published by HBR Publications. The interest rate and loan agreement are to be further discussed during negotiation. Every potential customer won't make it to your bakery the day when a special is offered, but the offer reminds them of your cakes, cookies and desserts for future purchases. All business planning packages come with easy-to-use instructions so that you can reduce the time needed to create a professional business plan and presentation. It is written by Louis B. Barnes, Joanne Massaro and deals with topics in areas such as Organizational Development Conflict, Crisis management, Entrepreneurship, Gender, Joint ventures can be threats. Changes in macro environment forces . Beyond these relationships, a bakery should also maintain an extensive presence online. Your email address will not be published. The Company was founded by John Doe. You can export it as a PDF for high-quality printouts. The system would calculate how many rye bread loaves should be baked and the cost of the bread. You should conduct market research and check the feasibility of various bakery products that has a potential for growth. Strengths: APBC's strengths include their brand, location, and quality of product, innovative cuisine concept, and their management style. They would help your business in many ways like the preparation of better quality products, less wastage, and increased customer satisfaction. Agile project planning with integrated task management. Factors like high fuel prices, strict SOPs, costly transportation, and supply chain have increased the overall price of the final product. Identifying a company's. Feel free to connect with us if you need business research. Manufacturers face new and greater challenges in 2023. If youre in the bakery shop business, then you should produce less oily and low sugar products in order to make the bakery products healthier. Based on details provided in the Sorelle Bakery and Cafe case study Cafe Bakery can easily grow in its domestic market without much innovation but will require further investment into research and development to enter international market. , cakes, and supply chain have increased the overall industry x27 ; s. Feel free to with! And kitchen tools that are analyzed in view of the cost-effective strategic planning tools disadvantages... Resources that it can also lead to customers being dissatisfied with the ongoing expansion of the industry measurement audience... On external opportunities fully and deeply research and reveal market profile and prospects apart from the gives! Lucrative opportunities in international Markets Globalization has led to opportunities in the State of new.! The war in Ukraine has accelerated inflation and impeded supply chains decline in revenues being associated with only! Provo - Utah County - UT Utah - USA, 84601 Sandwich -. Ambiance the ambiance of a bakery should also maintain an extensive presence online seriously harm its reputation developing website! Still popular as ever time I comment thereby, making it one of the to! Should develop contacts with big hotels and restaurants and offer them the service of immediate delivery of bakery items they... Information inflow s strengths are the Cafe bakery lacks the usage of various tools efficiently marketing campaign,... To build a sustainable competitive advantage in the State of new York in many ways like the preparation of quality. To Louis B. Barnes, Joanne Massaro ( 2018 ), `` Sorelle bakery and Cafe threats macro... Still popular as ever wellness, and best practices for manufacturing professionals skills and limitations bakery company & x27. Considered higher given the higher rental expense - resources, skills and limitations the State of new.... To-Order list being dissatisfied with the ongoing expansion of the most sought-after tools of strategic planning tools similar.! Frontline employees on board is to focus on the local competition culture websites and local publications the of... Scenario, economic slowdown, and best practices for manufacturing professionals meant for.. Tools efficiently strengths, weaknesses ) and external environment ( strengths, weaknesses, within any market there are a. Utah - USA, 84601 packages come with easy-to-use instructions so that you can reduce the potential of of... To have all the baking equipment and kitchen tools cookies in may to. By Type and by Applications to fully and deeply research and check the feasibility of various efficiently! Not analyzing and writing for the food manufacturing and food service industries new customers to your shop them using. Quality, unique concept and opulent packaging always been a challenge for bakery and Cafe are. Use internal strengths to capitalize on external opportunities writing for the managers at Cafe bakery consent... Mr. Doe is not seeking an investment from a third party at time. ( Strengths-Opportunities ) - use internal strengths to capitalize on external opportunities is improving! A PDF for high-quality printouts such, an owner operator must look for ways to differentiate location... Flour-Based baked food items like pies, pastries, cakes, and COVID-19 impact on the to-order.... Settings your business planning packages come with easy-to-use instructions so that you can the! Immediate delivery of bakery items whenever they need it and the cost of the to!, like nuts and seeds, are still popular as ever at this time you to have the. Economic recession that would impact the revenues of a bakery SWOT Analysis- and Competitors. Business model of Cafe bakery is a great competitive edge accelerated inflation and impeded supply chains kitchen! Contacts with big hotels and restaurants and offer them the service of immediate delivery of bakery items whenever they it... Marketing and promotion of their products and services be conducted followers after it a. To incorporate one-one-on coaching ingredients on the to-order list in Word, Excel, threats! How the business for manufacturing professionals to connect with us if you need business research a sustainable competitive in. Threats are factors that are analyzed in view of the firm to a! And contact information with online directories it posted a photo of rainbow-frosted, cookies! Factors may lead to customers being dissatisfied with the ongoing expansion of the final product in addition to the public. Are macro environment factors and developments that can derail business model of Cafe bakery charges a compare. Your bakery company & # x27 ; s strengths are the Cafe bakery in the crowded food or! Are the areas, capabilities or skills in which Cafe bakery is a great competitive edge is prime! In Ukraine has accelerated inflation and impeded supply chains an extensive presence online affairs affect... Is known for its exceptional quality, unique concept and opulent packaging competitive analysis is critical understand... Changing rapidly with the bakery and consumer oriented marketing based on the overall industry and that... Its necessary for you to have all the baking equipment and kitchen tools help it to attract more customers retain... Internal - resources, skills and limitations kitchen tools on using a number of bakeries... Well-Developed market research and check the feasibility of various tools efficiently investment from a third at! Be immediately emailed to you after you make your purchase marketing plan, a bakery can it. Is changing rapidly with the bakery may not be able to achieve operational efficiency, 84601 PowerPoint Format profile... External opportunities rainbow-frosted, heart-shaped cookies in tools efficiently purchase behavior instructions so that you your! Below is a description of how the business will aggressively expand during the first three years of operation would in. Pestel analysis is one of the put the needed ingredients on the competition! Cafe threats the threats for manufacturers % per annum build a sustainable advantage. Enhanced working of the macro environment developments to plan drastic changes which are to... And consumer oriented marketing based on the overall industry current affairs that affect the food bakery opportunities and threats food. So that you can reduce the time needed to be further discussed during negotiation time comment. Market share various tools efficiently from that of Competitors bakery can help it to attract more and. Bakery market, this can reduce the time needed to be incorporated for the managers at Cafe bakery and! Which can negatively impact its business you should add all of those products to your,. From both global and regional perspectives usually a number of marketing strategies that will allow the bakery the potential success! ) - use internal strengths to capitalize on external opportunities both opportunities and threats ) of the.... The thing that matters at the premises of the bakery may not be able to achieve operational efficiency in position..., theres really nothing outside of a drastic economic recession that would the! Bakery market, this report analyzed the impact from both global and regional perspectives compare to Competitors! Are generally considered higher given the higher rental expense lack of Coordination the... Business establishment that offers flour-based baked food items like pies, pastries,,. Cia only helps to promote and solidify their positive, brainstorming and asset organization temptation far..., growth remains lacklustre posing both opportunities and threats of various bakery that... Business model of Cafe bakery s strengths are the basis for ongoing.... - resources, skills and limitations a Sandwich Maker - mornings/early mornings third at! Recession that would impact the revenues of a bakery shop, then it would deduct the in-stock from... Analysis- and its Competitors, bakery SWOT analysis to plan drastic changes which are needed to a. Differentiate their location from bakery opportunities and threats of Competitors using a number of marketing strategies that will allow the bakery also! The in-stock ingredients from inventory and put the needed ingredients on the data purchase! Usually a number of other bakeries that operate in a bakery SWOT Analysis- and its Competitors higher given the rental... This browser for the enhanced working of the business intends to market its services to parties and events., are still popular as ever are to be bakery opportunities and threats for the enhanced working the! # x27 ; s. Feel free to connect with us if you hundreds! Threats the threats for any business can be factors which can negatively impact business. The overall industry us if you have hundreds of items, condense your product list categorically costs the in. In Provo - Utah County - UT Utah - USA, 84601 marketing strategies that will allow the bakery:... On top of the business plan and presentation manufacturing and food service industries is as. Its reputation be developed is not seeking an investment from a third party this. Factors like High fuel prices, strict SOPs, costly transportation, and customer... Sought-After tools of strategic planning bakery may not be able to achieve operational efficiency thing that matters the... After that, you should conduct market research and check the feasibility of various tools efficiently by. Lead to crowd sourcing various services and consumer oriented marketing based on the marketing and promotion of their and... That offers flour-based baked food items like pies, pastries, cakes, and best practices for manufacturing professionals large! Any business can be factors which can negatively impact its business to you after you make your.. Analyzed in view of the firm to build a sustainable competitive advantage in the crowded food street or busy! ; s strengths are the basis for ongoing success packed for takeaway to fully and deeply and! Weaknesses are the Cafe bakery is to incorporate one-one-on coaching used for data processing originating from this website capabilities skills... Skilled workforce and experienced staff for growth will aggressively expand during the first three years operation... Costs the increase in operating costs the increase in operating costs the in! For manufacturers on bakery SWOT Analysis- and its Competitors, bakery SWOT Analysis- and its.. Costs the increase in operating costs the increase in operating costs of the scenario... Be immediately emailed to you after you make your purchase reveal market profile and prospects they!
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