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Bolaven Firms

Decent Essays

Bolaven Farms’ mission statement is “Growing the finest coffee is our passion. Restoring land ownership to the joy of the farming poor is our desire”. Its main purpose is to alleviate poverty and to produce premium organic coffee. Once earning the initial investment, its aim to reinvest 80% of its profit for community development sort of makes it a social business.

SWOT Analysis of Bolaven Farm:
Strength: Cheap labor, business with social cause, premium grade coffee, organic certified coffee, 75% of people are farmers
Weakness: The business is oligopoly. So, it’s difficult to create the market, lack of farming skills, corruption in Laos, starting a brand from scratch, local market
Opportunity: Market growth of coffee is huge (yearly …show more content…

Though 80% of the population of Laos is directly or indirectly related to agriculture most people lack adequate knowledge about farming. The trained farmers lacked the necessary skills to transfer their trainings to work.
Bolaven Farm is new and as the time passes the farmers will be fully able to comprehend the process and thus it’ll be more effective in their works after training in the future. Political instability: Political instability may hamper infrastructural growth. The machines that are to be imported for manufacturing purposes may take time due to legal issues. Once the company becomes successful and earns recognition for its altruistic attitude, these problems can be curtailed. Besides, from the quotes of the owner, his desire to be in politics can be understood which again would bring lots of benefits to the company. Alternatives: Most of the people in Laos are accustomed to tea. But people are always attracted to new things. Bolaven can use innovative marketing campaigns to lure a new customer base which can include the entire tea customers plus people who usually not take caffeine drinks. Bolaven can offer something like Argo tea to meet a new market need of healthy drinks.
Local Market: Laos is a small country in Asia with an area of 2,36,000 sq. kilometres. It has a population of 6,500,000. The infrastructure of the country is very weak with a per capita GDP of $ 1,320 only. Laos is one of the poorest countries in the world, ranked 143 among

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