STRATEGIC MANAGEMENT ICE-Fili: CASE ANALYSIS SUMMARY Submitted By: ALWYN LOBO THE PROBLEM with ICE-Fili 1. Alter-West, a distributor for Ice-Fili holds 37% (controlling stake) of its share. They have the ability to hamper Ice-Fili’s production to pursue their own distribution interests. Ice-Fili earns a greater share of its revenues through kiosks which in turn is controlled by Alter-West. Sales via Kiosks (located on every street corner) is high during the summer months when people buy on impulse; but falls drastically in winter as people do not take to the streets due to the harsh weather. 2. Falling value of Ruble makes it difficult to expand locally, since most of the ice-cream manufacturing equipment is imported from the international market. 3. Ice-Fili despite being the largest Ice cream manufacturer holds only a small share of …show more content…
Ice-Fili must follow a seasonal distribution pattern. Sell more single serving Kiosk based ice-creams in summer and during winters focus on take home large serving packs for family consumption. This also makes sense since ice-cream melts faster in summer and are consumed immediately whereas in winter consumers tend to buy food in greater quantities and store it at home. This strategy will over time reduce dependency on Alter-West for distribution and also contribute to revenues from other sources. 2. Since the falling value of Ruble makes it difficult to buy specialty machinery for ice-cream manufacturing, Ice-Fili should consider horizontal expansion by acquiring other local ice-cream manufacturing companies at strategic locations. This helps them as the existing structure is already in place and all they need to look into is improving product quality. This would also ensure product availability in remote locations of the country. They could fund these acquisitions by going public or focus more on exports to bring in more foreign currency much required for
In 1999, Mr. Armetta made a major investment in excess of $300,000 at 623 Horseblock Rd, Farmingville with the purchase of property, required build out and franchise fees. Since opening in 2001, the business has produced annual revenues of approximately $300,000. The Ralph’s Italian Ices Franchise has over 80 Franchisees in the New York metropolitan area, with a significant foothold in Nassau and Suffolk Counties. Mr. Armetta’s store operates with an average of 10 employees from beginning of March to the middle of December and is consistily one of the top revenue Franchisees.
For the Italian Centre Shop their hours consist of 9 a.m. to 9 p.m. seven days a week, and closed on Major holidays throughout the year (Spinelli, 2016). These hours compare to other grocery stores as they stay open 24/7. The hours of 9 a.m. to 9 p.m. prevent individuals to finish their grocery shopping as they tend to work later hours. Usually, a grocery store would open earlier as well, so this averts consumers from going earlier in the day to pick up the needed necessities. Another weakness, that is looked upon to be difficult of the Italian Centre Shops’ consumers, is the parking. Especially for branch located in North Edmonton, this is seen to be problematic as there is an abundance of traffic which can be extremely hard to navigate
3-31. What would be the advantages of buying a Cold Stone Creamery franchise as opposed to starting a business from scratch?
...ice Smucker's should continue to grow and maintain their name in the markets they are already in. Smucker's acquisition of Jif and Crisco was an excellent move. They have already benefited with more than 80% more revenue and net income in the first six months of acquisition. By continuing to look for new acquisitions, especially in the international market, Smucker's will be able to grow throughout the world and perhaps become a world leader in their food industry.
Procedure: A sand bath was set atop a hot plate set at power level 5, while a 10 mL round bottom was prepared with the addition of 14 (0.33 mL) drops of olive oil and 1 mL of cyclohexene. Once the contents of the 10 mL round bottom were mixed thoroughly, a boiling chip was added, and the round bottom was attached to a reflux condenser apparatus. The reflux was run for 20 minutes starting at the point in time when the mixture within the round bottom flask (that was submerged in the heated sand bath) began to boil. While the running the reflux, a 5 ¾ inch Pasteur pipette was obtained and clamped vertically with the tip facing downward. A small amount of glass wool was placed inside of the pipette and pushed down to block the narrowing end by a wooden boiling stick. A total of 100 mg (0.100 g) of celite was weighed out and was carefully added into the pipette as an additional layer atop the glass wool stopper.
Choosing to forfeit market share in several states was an unlikely success, but it didn’t come without opportunity cost. Growth before Expansion: balancing production capacity, brand equity, and development. Production capacity issues will arise and could impact our ability to “mine” current markets. Opening two additional breweries allowed us to adequately serve current markets and enter new ones (15 states total). Still, demand is steadily increasing in and around these markets and should be a priority over new ones.
This is not good for Prince Puckler 's as healthier people do not indulge themselves in ice cream. The environmental factors mainly focus on waste and the recycling of goods. Prince Puckler’s must take care of the area around their store and not pollute the environment to maintain quality in this aspect. Finally, legal factors which include minimum wages, employee benefits and product regulations were analyzed. Minimum wages in particular are becoming more of a problem for smaller, local companies. For example, Portland recently passed a law that will raise the minimum wage to $15 and Eugene could easily be next. If this happened Prince Puckler 's would be losing revenues because employees would be receiving larger
The market expansion to Central America and Mexico would require a substantial amount of investment as the Clearfield Cheese company would have to open a
We at Temple Consulting have completed an analysis of Ice-Fili’s current corporate standing using data collected over the past several years. Using tools such as Porter’s Approach and SWOT we have analyzed the internal and external environments and have recommended several strategic plans of action. Current areas for improvement such as marketing initiatives and re-evaluation of distribution channels will increase sales and profitability almost instantly. Long term plans such as lobbying against luxury tax on ice cream, partnerships with franchise vendors, and bringing new products to the market, performing an IPO, and planning more global efforts will help keep Ice-Fili rooted as the industry leader in Russian ice cream production for years to come.
The capital requirements to enter the smoothie industry are very low. The firms in the industry have a low-cost advantage over potential entrants. In terms of brand equity and resources, brands like McDonald’s and Starbucks are major threats. Additionally, customers have no switching costs when moving from one brand to another.
Lab: Triple Point Dry Ice. Introduction When a substance undergoes a triple point change, then it goes through all three of the states of matter: solid, liquid, as well as gas. When all three matters exist at the same time, it is extremely rare and an interesting sight to experience. A triple point is defined, specifically, as “ the temperature and pressure at which the solid, liquid, and vapor phases of a pure substance can coexist in equilibrium” (1).
Russia, spanning 11 time zones and serving as home to about 150 million people, possesses tremendous natural and human resources. Demand today for imported consumer goods, capital equipment, and services remains remarkably strong, with imports representing an unusually large percentage of the national market. Despite outstanding long-term market potential, Russia continues to be an extremely difficult country in which to do business.
Big rivals such as Tesco and Morrisons started to compete in price by shrinking packages, introducing cheaper equivalent products, or using cheaper ingredients. Although these strategies cause a sluggish revenue increase, it works on boosting sales and market shares. For example, Tesco’s sale grew by 2.2 percent during July to September. Apart from the traditional retailers, Aldi who applies a similar discounter model is also a strong competitor. In 16th July, the market share of Aldi was 6.2% while Lidl occupied 4.6% of the market (Gale,2016) Compared to Lidl, Aldi has a more dominant market position and better corporate with local farmers. To stand out from these rivals, Lidl still has a long way to go.
Our largest opportunity for growth lies in the emerging economies of China, India, and Thailand. A modest growth in stores in the US, and Europe (2%), while increasing efforts to expand by 10% a year in China, Thailand, and India while offering new menu items in the stores we currently have in place is projected to increase our revenues from $14.9 billion per year to $26.46 billion per year over the next 4 years. This plan will increase our indirect labor force, by adding select marketing teams, commodity managers, and a VP of construction.
Firms exist with the purpose of create and deliver economic value (Bensaco et al 2010, p. 365); therefore, business that create better economic value than its competitors will attain an advantage position in market place. Companies might try to improve its sales (profit) through domestic expansion, product diversification or by internationalisation; this report will focus on the reasons of espressamente Illy to expand internationally; additionally, its sources of competitive advantage and, the analysis of three markets in which company want to participate.