The Brownie Factory

997 Words4 Pages
The Brownie Factory 1. Critical Underlying issues to address for developing the market strategy: a. Resource Utilization: there is a number of resource utilization aspects that the couple need to address to come up with the best market strategy. a. Time: the couple is working more than 8 hours per day each. In addition they seek for help from their friends. In order to prepare the marketing strategy they should look for the best solution that may reduce the number of work hours needed. They can reduce this by more utilization of their equipments, hiring a number of employees, maintain the cleanliness of their kitchen while eliminating the work hours required, eliminate the problem of “switching over products” by creating…show more content…
But Terri use hand to toss the mix. * Not much people, so the work division is properly made. The couple work much more than simply 8 hours per day.
* Enter the Brownie market and have a wider exposure of its offerings through distributor or FSP. * To shorten its product line by removing some items that were not yielding much profit * Higher sales volume in wider location and hence higher profit (distributor require either high volume sales or high advertising, hence if tied up with any one distributor, the sales target might go high requiring the company to be more competitive) * Have and Effective pricing strategy and hence realize profit.

Threats * Competition from current competitors * Competition from Rachel’s * Long term effects of its pricing strategy (the company may not be able to continue if such pricing structure remains) * Wide product line- some of which is non profitable.

Some of the constraints for the company are: d. Rachel’s: if the company wants to produce only brownie, then it might have to face Rachel’s in addition to the current local competition. And since Rachel’s is a known brand, it would be hard to compete against them. e. Short term nature of the FSP contract:- secured only for few months f. Limited labor g. Small workplace (bakery manufacturing

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