M1A3 LIVORIA SANDWICHES, INC. Essay

Livoria Sandwiches Inc. provides exceptional quality sandwiches at a great price. Livoria has been able to maintain profitability since inception and has continued to grow its business and revenues. Recent unforeseen external events have caused significant cash flow issues and shook the family business. Livoria is hoping to see annual net income of $1.1 million by 2015. This report will provide alternatives and the pros and cons of initiating these alternatives. A recommendation of one of the alternatives as well as an implementation plan will be provided to assist in obtaining the goal,

Despite this, Chick-fil-A has posted positive increases in revenue all 40 years the company has been in business, many of which have been double-digit increases. These increases may seem extraordinary, but Chick-fil-A has used a strategy that ensures their success. Another factor which has the ability to have a major impact on profitability is the increasing price of chicken. With the increasing popularity of ethanol based fuels – made primarily of corn – it is becoming more costly to feed and raise chickens, whose main source of food is corn. This new demand for corn has increased the price, which is in turn passed onto the next buyer. It is necessary for Chick-fil-A to address this issue and formulate a plan of action to try to combat these rising costs.

Improve and Expand Brand Location - Providing the brand with more accessible locations for customers to access and meeting the standards of the market as well as the customers.

Appendix 4 - changing the sale mix in favor of the sandwiches that bring more profitability per limited resource, Livoria is going to be able not only to meet demand but it will meet owners preference of minimum 1.1M by 2015 and increased cash flow. Changing the sales mix there are some aspects that must be considered: contribution margin per limited resource and popularity of the products.

Consultant). In addition, funding will be necessary to cover a portion of the costs for

As stated in the 2014 financial statements, Cheesecake Factory has 17.86% as return equity, which is 3.12% higher than it was in 2010. This ratio indicates that the company has used the funds from the stakeholders effectively. In order to generate more sales as well as profit, the company has put some plans in action. To be more precise, more restaurants will be founded internationally, and the company is trying to encourage more stakeholders to invest with a promising dividend. Taking advantage of information technology systems, the company hopes to bring the most convenient payment along with ordering method to the customers. With a mobile application that is preparing to be launched customers can easily any payment with a single tap. Knowing the impact of the environment, new solar panels and some other units are being installed to minimize energy consumption and provide a sanitized environment for the food supplies.

Strengths- Better flexibility with handling customers. More branch offices and more agents. Gains a better head-start in expanding their market growth.

Total revenue went from 4,698,719,000 in 2015 to 4,976,090,000 in 2016 representing a 6% increase. This displays a definite strength for the company. The reason for this increase can be a result of many factors, some

Also, according to break-even analysis operating with the single mold and excluding warehousing costs, a minimum of 12,035 units must be sold to break even. Under a similar situation with the double mold, 15,507 units must be sold to break even, which is about half of the optimistic sales projection. Also under the optimistic sales projection, a positive return on investment is expected. Because the company is turning profit,less additional investment is required. Additionally under the pessimistic and expected situation, the company turns losses, and under the optimistic projections, Chef’s Toolkit only has a net income of 13% of its revenues. Selecting Preferred alternative According to the above information and the projected pro-forma statements, Dale Reid should not invest his money in the company. The company’s lack of current assets, high expenses and low per-unit revenue create an unfortunate and unprofitable investment in pessimistic and expected situations. Only in the optimistic production and sales does the company begin to turn profit, but this profit is low. Chef’s Toolkit needs desperate restructuring and additional revenue sources before Dale Reid should invest. Developing

Restaurants account for 66% of the company¡¦s revenues, but one-half of that is to local restaurants. Clearly, there are some untapped markets for the company¡¦s existing product line: more mid-west and eastern seaboard grocery chains, west coast grocery chains, and more restaurants throughout the United States, not to mention Internet sales to individuals and those seeking ready-to-eat, fish-based meals.

Attracts Consumers across boundaries: Businesses can reach new customers by providing inexpensive deals and a chance to save money.

California Pizza Kitchen’s revenues have increased more than 16% despite the weakened profit percentages of the food industry, whereas, California Pizza Kitchen’s competitors have experienced feeble earnings growth and sales. As costs rose in every direction, California Pizza Kitchen decreased their labor costs by .3%, kept costs of food, beverage, and paper-supply constant at 24.5% (percentages based on second quarter 2006 to second quarter 2007). California Pizza Kitchen credited these strong performance numbers to the operational improvements and enhancements they had

Plays an important role in the marketing of the firm. It is like a bridge between corporate responsibility and profitability.

understand and change the procedures, systems and processes that create products and deliver services to customers.

Sandwich Blitz has many strengths. The biggest is that they have eight stores in the area surrounding the hospital, three universities and many office complexes, all of which are high-traffic areas. Since they have eight stores the name is one that is recognized by customers, so they are confident in the product they will be receiving. Why go to a new business when you have one you already know? The business is owned by Dalman, who is knowledgeable in the area of food distribution and Sandwich Blitz’s menu and Lei, who was previously a certified public accountant. A focus on healthy foods to upscale customers is a strength but focusing on upscale customers also has its weaknesses which we will discuss later. These customers are willing to pay a higher price knowing that they will be receiving