Case Study: Rogers' Choclates Essay examples

1227 Words Apr 13th, 2010 5 Pages
CASE 9: Rogers' Chocolates Strategic Management INTRODUCTION Rogers' Chocolates is the oldest chocolate company in Canada based in Victoria, British Columbia. Rogers' Chocolates focuses on the premium chocolate market and differentiates itself by delivering award winning quality products at a fair price; this combination creates a good value for its customers. They also have expertise at creating an outstanding customer experience within their Victorian themed retail locations that have also won awards. The company is privately held and currently focuses its business in four market areas, direct retail , online/mail order , wholesale, and sales from a restaurant in Victoria. The company also produces and sells a line of premium …show more content…
Ice Cream) Develop core competence in operations management to drive efficiencies and reduce inventories. Upgrade technology in production to increase capacity Create new product lines and packaging to broaden the customer base. Franchise Sam's Deli. Franchise retail chocolate stores. ANALYSIS In 2006, the chocolate market size for Canada was US$167 million with the premium chocolate market growing at a rate of 20% annually. Competition within the premium market is a broad mix of small local niche players to large multinational corporations and is growing as larger traditional manufacturers enter the market via acquisitions or new product launches. Product differentiation is healthy and there are no indications of a price war starting between rivals. Product innovation appears limited, mostly focusing on new flavor introductions and variations in molding and coloring. Seasonal demands, especially the eight weeks prior to Christmas, can create demand that can challenge small companies with low production capacity and/or inadequate forecasting and inventory management. Competitors vary in the level of vertical integration and companies with large-scale operations and distribution networks enjoy a competitive advantage through economies of scale. Rivalry among competing sellers is active and fairly strong due to the following conditions: There is little to no cost for buyers to switch brand. There is

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