Product And The Company s Expansion Essay - 1046 Words

Introduction to Choffy To put it simply, Choffy is brewed chocolate. Cocoa beans are roasted and ground to create an alleged long-last energy and wellness drink. Choffy’s website (www.choffy.com) provides more information about the product and the company’s expansion. Competition with Coffee: Complementary vs. Substitute Complementary goods are good that go together or are connected, while substitute good is a good that satisfy the same needs of the consumers and can be used to replace one another. For example, complementary goods are items such as coffee and cream, and substitute good would be energy drinks and coffee. Therefore, Choffy competes as a substitute to coffee. Choffy does have the potential to genuinely compete with coffee if all its claims are true. Choffy claims that its drinks are a better alternative to coffee since it contains theobromine rather than caffeine. This avoids the negative effects of caffeine while still providing an energy lift. Additionally, Choffy states that it drink contains antioxidants, creates better blood circulation, and gives the feeling of being focused, alert and elated (www.choffy.com). Other factors to examine at are taste, availability, and costs. Choffy taste must be better than the taste of coffee to consumers. This may be a difficult task with coff ee being the second highest traded commodity in the world. Choffy is currently only available in the United States, but Americans ate billions worth of chocolate in 2015Show MoreRelatedCritically Evaluate the Main Potential Advantages and Disadvantages of Horizontal Expansion for a Company.1535 Words   |  7 PagesWhich way to grow? The question is, should the company expand horizontally or should the company diversify or expand vertically? There is no clear cut answer to this question. There are advantages and pitfalls to each of these methods and there are many examples of organisation where a certain choice has proven extremely profitable and vice versa. This essay will provide advantages and disadvantages of horizontal expansion by comparing it with vertical and diversified growth. The reader will beRead MoreSwot / Tows Starbucks1183 Words   |  5 Pageswidespread global presence. The company operates about 13,168 retail store locations. The company s widespread presence provides it with widespread brand recognition and a strong customer base. • A disciplined innovator Starbucks is a disciplined innovator. The company effectively manages its innovation time line generating consistency in same store sales. Starbucks ability to roll out new products relatively quickly is a considerable competitive advantage for the company. • Increase in revenuesRead MoreArauco Analysis883 Words   |  4 Pages | Forward Integration or Horizontal Expansion? | | Costa Agustina | 31/03/2011 | [Escriba aquà ­ una descripcià ³n breve del documento. Una descripcià ³n breve es un resumen corto del contenido del documento. Escriba aquà ­ una descripcià ³n breve del documento. Una descripcià ³n breve es un resumen corto del contenido del documento.] | Arauco: Forward Integration or Horizontal Expansion? Introduction: Arauco was formed through a merger between IndustriasRead MoreProblem Identification.Firstly, The Company Operates Mostly937 Words   |  4 PagesIdentification Firstly, the company operates mostly on weekends and is closed on Sundays. The majority of people usually go for picnics on weekends, especially on Sundays. Thus, Chick Fil A misses this opportunity for maximization of its returns (Nelson, 2015). Secondly, the company lacks product differentiation. Additionally, it just manages just a single line of items. The aspect helps the company to reduce chances of risk occurrence in the events one line of products because unsuccessful withinRead MoreCorporate Strategy Of The Business Diversification1608 Words   |  7 Pagesthe company shareholder value when the independent business units can perform under a single corporation as an umbrella organization instead of independent parents or a corporation. A diversified organization has many business units and each business units have its own business level strategy irrespective of whether they are related or not. A successful business diversification not only spreads the business risk acr oss the diverse units but also adds a long term economic value to the company. TheRead MoreThe Executive Of The Abc Company1288 Words   |  6 PagesCEO of the ABC Company asks me to help them achieve the goal of generating $3 million in sales. The company wants to incorporate the making of cedar dollhouses with the raw materials that they have on hand. In order for me to help them accomplish said goal the CEO has come to me with a new opportunity that he has been working on. I must come up with a financial plan to generate money so we can start the new expansion. The Risks: In expanding a business or adding a new product, numerous riskRead MoreInternational Expansion And Vertical Integration1501 Words   |  7 PagesInternational Expansion is a process by which regional economies, societies, and cultures have become integrated through a global-spanning network of communication and trade (Lou,1999). An expansion strategy is an action plan usually adopted to acquire better and bigger growth with respect to its previously attained standard(Business Jargons,2017). The rationale behind expansion could be higher Profit margins, gaining competitive advantage, expanding domains. Based on rationale, expansion strategiesRead MoreA Plan For The Low Calorie, Frozen Microwaveable Food Company1414 Words   |  6 Pagesplan that managers in the low-calorie, frozen microwaveable food company could follow in anticipation of raising prices when selecting pricing strategies for making their products response to a change in price less elastic. Provide a rationale fo r your response. Warren Buffett, the renowned financial investor has said, â€Å"The single most important decision in evaluating a business is pricing power (Frye Campbell, 2011) When a company has the ability and power to raise prices without losing businessRead MoreCase Study : Chic Fil A Operates922 Words   |  4 Pagesopportunity for making more revenues and money of its returns (Nelson, 2015). Secondly, the company lacks product differentiation. The menu consists pretty much all just chicken dishes and sandwiches. Thirdly, embracing of Christian-based values as the key business principles caused resentment and product boycotts from gays and lesbians (Sieczkowski, 2014). The majority of people in this group felt the company interfered with their rights. Such aspect is likely to damage the brand image and reduce itsRead MorePrince Edward Island - Essay1164 Words   |  5 Pages Executive Summary: Prince Edward Island Preserve manufactures and produced high- quality, high priced specialty food products. P.E.I.P.C. experienced rapid growth in its short history. In the first few years of its existence, founder Bruce MacNaughton expanded his company from one manufacturing and retail outlet in 1989, following a second retail outlet in 1991. The company also diversified and opened two restaurants in 1989 and 1990 respectively. It is anticipated that P.E.I.P.C. will continue