...MGMT 436 Larry Dudley Group 3 Rocky Mountain Chocolate Factory Inc. Audit Karla Schaapveld, Jeremy Smith, Mark Bourgoin, Matt Misitano, Diego Elizalde, Jeff Stanton, and Reilly Kindred CASE 22 Rocky Mountain Chocolate Factory Inc. Jeremy Smith I. CURRENT SITUATION A. Current Performance * 329 Franchised and 5 Company owned stores * Increasing revenues year to year with $16.7 Million in 2008 * Sales have slowed due to economic downturn but the company is in an excellent financial position to withstand the recession B. Strategic Posture 1. Mission * Quality, Taste, Value, and Variety of products * Quality of the product is the number one factor 2. Objectives * Manage money carefully during economic downturn * Slowed expansion and elimination of debt * Maintain a good relationship with employees as well as franchisees 3. Strategies * Adding stores in resort, tourist, street front, and entertainment-oriented locations * RMCF is repurchasing stock as it felt it was undervalued * Owns 8 refrigerated trucks to move products from factory to stores * New line of sugar free candies for the health conscious and those with special dietary requirements * Each store is setup to make product where customers can view and smell the end result 4. Policies * Trucks are sent out from the factories with product for stores but return with ingredients to make more product making the trips...
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...Rocky Mountain Chocolate Factory Inc.— Preparing Financial Statements Teaching Notes: This case introduces students to the preparation of financial statements. Students are required, first, to consider the industry in which Rocky Mountain Chocolate Factory operates and determine the kinds of line items that would appear on the company’s balance sheet. Thus, the case encourages students to consider the broader business environment in which the company operates. The case gets students to use a spreadsheet to capture a series of chronological transactions. Students are required to record journal entries for both transactions and accounting adjustments. Students use the information from the spreadsheet to prepare a balance sheet and an income statement. The case provides guidance on how a spreadsheet should be set up so that students get immediate feedback about their progress. The case includes a suggested spreadsheet and recommends that income statement transactions NOT be posted directly to Retained earnings. The spreadsheet has subtotals for the unadjusted and pre- and post-closing trial balances. Facility with spreadsheets is a must for business professionals. Acquiring those skills takes time and practice. Thus, students ought to be discouraged, in our opinion, from photocopying the casebook spreadsheet and writing in the journal entries by hand in lieu of using a computerized spreadsheet. We use this case to reinforce the difference between cash-basis and accrual accounting...
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...Rocky Mountain Chocolate Factory Inc.— Preparing Financial Statements – Solution Adapted a. Rocky Mountain Chocolate Factory manufactures the inventory it sells at stores it owns and sells product to franchisees. The company is a manufacturer/retailer; and thus one can predict that the balance sheet will include inventories and property and equipment on the asset side. As the company is a retailer, we would not expect a large accounts receivable balance (their sales are for cash or on credit cards, which are the same as cash from their perspective). However, their franchisees may owe substantial royalty payments which would be included as receivables as well as amounts due to Rocky Mountain for supplies and advertising. The liability side of the balance sheet likely includes a number of current liabilities (for payments due to suppliers and employees) and long-term debt if the company has borrowed or uses capital leases to finance store purchases. b. See the solutions toward the end of the document. General journal entries are NOT covered or used in the course – shown here FYI. 1. Dr. Inventories (CurA) 7,500,000 Cr. Accounts payable (CurL) 7,500,000 To record purchase of inventory on account 2. Dr. Inventories (CurA) 6,000,000 Cr. Accrued salaries and wages (CurL) 6,000,000 To record factory wages incurred 3. Dr. Cash and cash equivalents (CurA) 17,000,000 ...
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...Ghirardelhi Chocolates Ms Sudha Chandran Vijay Kumar Ashutosh Ms Anuradha For: Dr. S Vasudevan Executive Summary Ghirardelhi Chocolate Factory is a confectionery manufacturer franchisor with 30 stores in 4 states viz Mumbai Tamil Nadu, Bangalore and Chennai. It is in the business of premium chocolates and other confectionery products. The business believes that it should seek opportunities to continue to their growth by providing good quality, variety, comfortable store ambience and atmosphere. Market penetration will create strong name recognition, which is essential for the company’s expansion plan. The management of Ghirardelhi Factory is the responsibility of the franchisee that commits to continue the growth of the business. This is part of an expansion strategy as the company always plans to open company-owned and franchised stores. The franchised stores enable the company to open more stores quickly with no capital investment. Our consumers are mainly corporate employees and impulse buyers, Our business is proposing Metro Mall in Chennai as the next site location. This location has all the essentials needed for Ghirardelhi Factory to continue its tradition of selling chocolates to its target market,. Ghirardelhi Factory will continue to provide quality confectioneries to corporate.. The in-store demonstrations of chocolate are sure to satisfy the sweet tooth of our client base. Ghirardelhi...
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...mouth, not in your hands”. That’s the slogan for one of the most popular chocolate candies in the world. The inventor of this marvelous creation was Forrest Mars. M&Ms are nationally popular from regular people to the president. They are so popular that they are stocked on Air Force One. But what makes Mr. Mars truly important is what he has done for the allied troops during World War II by sending tubes of M&M’s overseas to help with the rations. So if he was never born, then millions of people would be lost without their precious chocolate treat and the war might not have turned out for the best. Forrest Mars was born on March 21, 1904 in Wadena, Minnesota. When he was six, his parents divorced and he was sent to live with...
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...BRYANT CHRISTIE INC. I N T E R N A T I O N A L A F F A I R S M A N A G E M E N T R E P O R T THE MIDDLE EAST CONFECTIONERY MARKET: OPPORTUNITIES FOR U.S. CONFECTIONERY EXPORTS Prepared by Bryant Christie Inc. for the National Confectioners Association January 30, 2009 Seattle Telephone: 206 292 6340 Sacramento Telephone: 916 492 7062 TABLE OF CONTENTS EXECUTIVE SUMMARY…………………………………………………………… ……..1 INTRODUCTION…………………………………………………………………………4 BACKGROUND ……………………………………………………………………4 METHODOLOGY ……….…………………………………………………………4 REPORT FORMAT …………………………………………………………………4 GENERAL MARKET ENVIRONMENT…………………………………………………… 5 MARKET FOR CONFECTIONERY IN THE MIDDLE EAST……………………………….7 CONSUMPTION TRENDS…………………………..………..……………………. .8 COMPETITION ..……………………………..…………………………...……………..13 MULTINATIONAL PRODUCERS…………………………………………………...14 LOCAL PRODUCERS……………………………………………………………...14 CONFECTIONERY IMPORTS….…………………………………………………...16 DISTRIBUTION……………………………………………………………………… …18 RETAIL……..……….......…………………………………………….……….…19 CONVENIENCE STORES …....……………………………………………. ……...22 HOTEL, RESTAURANT AND CAFETERIA …..……….……………………………23 COLD STORAGE….. ....…………………………………………………….. ……24 MARKET ACCESS ..………………………………………………………….…………..24 LABELING …..…………………………………………………………………..26 CONCLUSIONS……………………………..………………………….……………. ….27 APPENDICES RETAIL PRICES FOR LEADING CONFECTIONERY BRANDS U.S. AND COMPETITOR CONFECTIONERY EXPORTS TO THE MIDDLE EAST CONTACTS Middle East Confectionery Market:: Opportunities for U.S. Confectionery Exports...
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...BRYANT CHRISTIE INC. I N T E R N A T I O N A L A F F A I R S M A N A G E M E N T R E P O R T THE MIDDLE EAST CONFECTIONERY MARKET: OPPORTUNITIES FOR U.S. CONFECTIONERY EXPORTS Prepared by Bryant Christie Inc. for the National Confectioners Association January 30, 2009 Seattle Telephone: 206 292 6340 Sacramento Telephone: 916 492 7062 TABLE OF CONTENTS EXECUTIVE SUMMARY…………………………………………………………… ……..1 INTRODUCTION…………………………………………………………………………4 BACKGROUND ……………………………………………………………………4 METHODOLOGY ……….…………………………………………………………4 REPORT FORMAT …………………………………………………………………4 GENERAL MARKET ENVIRONMENT…………………………………………………… 5 MARKET FOR CONFECTIONERY IN THE MIDDLE EAST……………………………….7 CONSUMPTION TRENDS…………………………..………..……………………. .8 COMPETITION ..……………………………..…………………………...……………..13 MULTINATIONAL PRODUCERS…………………………………………………...14 LOCAL PRODUCERS……………………………………………………………...14 CONFECTIONERY IMPORTS….…………………………………………………...16 DISTRIBUTION……………………………………………………………………… …18 RETAIL……..……….......…………………………………………….……….…19 CONVENIENCE STORES …....……………………………………………. ……...22 HOTEL, RESTAURANT AND CAFETERIA …..……….……………………………23 COLD STORAGE….. ....…………………………………………………….. ……24 MARKET ACCESS ..………………………………………………………….…………..24 LABELING …..…………………………………………………………………..26 CONCLUSIONS……………………………..………………………….……………. ….27 APPENDICES RETAIL PRICES FOR LEADING CONFECTIONERY BRANDS U.S. AND COMPETITOR CONFECTIONERY EXPORTS TO THE MIDDLE EAST CONTACTS Middle East Confectionery Market:: Opportunities...
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...MBA Marketing Project Reports Friday, May 21, 2010 NESTLE PROJECT TABLE OF CONTENTS SERIAL # PARTICULARS PAGE # 01 TABLE OF CONTENTS 02 02 ACKNOWLEDGMENT 03 03 INTRODUCTION TO NESTLE 04 04 HISTORY OF NESTLE 05 05 VISION OF NESTLE 07 06 MISSION STATEMENT & OBJECTIVES OF NESTLE 08 07 ORGANIZATIONAL CHART 09 08 BRANDS 11 09 EARNINGS 12 10 SWOT ANALYSIS 13 11 MARKETING 14 12 STRATEGIES ADOPTED BY NESTLE 15 13 COMPANY ENVIORNMENT 20 14 CO-OPERATE GOVERNANCE 21 15 PORTER FIVE FORCES ANALYSIS OF NESTLE 22 16 APPENDIX 23 ACKNOWLEDGEMENT First and foremost, we would like to thank Almighty Allah for giving us the ability and strength to complete this project. Secondly, we are also thankful to our respective parents for providing us with the opportunity to receive higher education in such an accomplished institution that required us to carry out such projects that expand the dimensions of our mind. We are definitely not forgetting to recognize the efforts and support of our teacher SIR S.M FAHEEM, without whom this project would not have been possible. Who give us the opportunity to work on a project, which not only enlarged our vision but also show, us the real picture of the market Management? Our special thanks to the group members, who have whole-heartedly work for the completion of this report. All of us have earned a valuable and worthy experience during the project. INTRODUCTION Nestlé was founded in 1867 by pharmacist...
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...CUSTOMERS 11 Main Customers – Customers Analysis 11 Core Competency 12 Apparent Marketing Strategy 13 Recommendations for Strategy Re-vamp 15 Bibliography 17 INTRODUCTION Nestle - Company Overview “Good Food, Good Life” – Nestlé is today world’s leading health, nutrition and wellness company (Nestle, 2012). Nestlé’s mission is to provide the best tasting and nutritious choices in extensive range of beverages and food categories to its consumers all over the world. Today Nestle has 67 brands of bottled water, produced in 36 countries and its distribution is made in 130 countries worldwide (Nestlé Waters, 2011). Nestle traces its origin back in 1866 when Anglo-Swiss Condensed Milk Company opened the first European condensed milk factory in Cham, Switzerland. One year later, a trained pharmacist, Henri Nestle, introduced world’s first prepared cereals for...
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...an array of industries, including professional services, transportation services, healthcare, telecommunications, financial services, consumer products, energy and utilities, manufacturing, and food and beverage. The company was founded in 1996 and is headquartered in Boston, Massachusetts with major subsidiaries in Poland, China, and Japan. II. The Company: Hagan & Company Hagan & Company is one of the world’s largest food processing companies. Hagan occupies the first or second position in most product categories and invests heavily in established brands through marketing and research and development. Hagan’s growth has come through acquisitions and steady penetration into developing markets. The company operates about 500 factories in more than 100 countries and has more than 250,000 employees worldwide. Hagan is focused on people, products, brands, and markets. The company’s fundamental approach to business has been the creation of long-term sustainable value for their...
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...fair look at ’m shine Ten years of making Ten years of making chocolate 100% slave free chocolate 100% slave free we’re now nowyears on the way to to we’re ten ten years on the way 100% slave free free chocolate. We’ve been 100% slave chocolate. We’ve been supported, encouraged, challenged and and supported, encouraged, challenged eaten. We now now know how difficult it is eaten. We know how difficult it is to change an industry. We havehave grown to change an industry. We grown enormously and achieved results. enormously and achieved results. Here’s our timeline: Here’s our timeline: 2o10 2o10 2o09 2o09 Our bars are available in more more and Our bars are available in and We started the ‘Tony’s in We started the ‘Tony’s in more more stores, including supermarkets. Africa’ project: a study of stores, including supermarkets. Africa’ project: a study of Our revenue grows considerably from from cocoacocoa supply chain and Our revenue grows considerably the the supply chain and this pointpoint onward, which also this onward, which also ways ways to improve Fairtrade to improve Fairtrade sharply increases the amount of sharply increases the amount of certification. certification. cocoacocoa beans we need. beans we need. 2o11 2o11 2o05 2o05 2o06 2o06 2o08 2o08 2o07 2o07 The first Tony’s Chocolonely bar bar Tony’s goes official The first Tony’s Chocolonely Tony’s goes official comes on the market, after after...
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...tolerated Henri’s new formula and it provided the nourishment that saved his life. Within a few years the first Nestlé product was marketed in Europe. In 1874, Jules Monnerat purchased the Nestlé Company. Nestlé developed its own condensed milk to contend with its competitor, the Anglo-Swiss Condensed Milk Company. The Anglo-Swiss Condensed Milk Company made products like cheese and instant formulas. The two companies merged in 1905, the year after Nestlé added chocolate to its line of foods. The newly formed Nestlé and Anglo-Swiss Milk Company had factories in the United States, Britain, Spain and Germany. Soon the company was full-scale manufacturing in Australia with warehouses in Singapore, Hong Kong and Bombay. Most production still took place in Europe. The start of World War I made it difficult for Nestlé to buy raw ingredients and distribute products. Fresh milk was scarce in Europe, and factories had to sell milk for the public need instead of using it as an ingredient in foods. Nestlé purchased several factories in the U.S. to keep up with the increasing demand for condensed milk and...
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...carving out a part of Alcon for a public listing. The larger question then, that Reichenberger and Castañer wanted to discuss with Brabeck, was what effect a carve-out would have on Nestlé’s overall valuation. Assuming further that they did list Alcon, two other questions followed suit. First, how should they arrive at an appropriate valuation of Alcon? Second, on what stock exchange should they list their Texas-based, but Switzerland-incorporated, subsidiary: in New York or Zürich? Nestlé, The World’s Largest Food Company At the beginning of the new millennium, Nestlé was the world’s number one food company.1 It was the world leader in soluble coffee, mineral water, dairy, and infant nutrition, and also very active in the ice cream, chocolate, and pet food segments. (See Exhibit 1 for brand examples.) In 2000, net profits for the group were CHF 5.7 billion Swiss Francs (about $3.4 billion USD) on annual sales of CHF 81.4 billion (about $48.2...
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...Opportunities for Action in Consumer Markets Trading Up: The New Luxury and Why We Need It Trading Up: The New Luxury and Why We Need It In the history of man, there have always been goods reserved for the upper classes. In ancient Rome, the elite built lavish marble baths for entertaining friends and allies, while the masses waited in line at public baths. In late-eighteenth-century France, the aristocracy turned to saddle maker Hermès for the perfect seat, while commoners had to walk through wet and muddy streets. But today we are witnessing a different phenomenon: the democratization of luxury. We define it as middlemarket consumers selectively trading up to higher levels of quality, taste, and aspiration. The democratization of luxury is occurring across a surprisingly broad set of categories, and it is destabilizing competition, creating new winners and losers, and offering new rules for brand strategy. Already, this force has transformed a score of markets. (See Exhibit 1.) Many more categories are ripe for the taking. The question for established marketers is, Who will be first to bring the new luxury to my category? To understand this movement, you must first appreciate the differences between the new luxury and the old, as well as the powerful emotional and economic forces behind consumers’ propensity to trade up and seek quality. It’s Not Your Father’s Luxury Old luxury is expensive. Only the really rich—a small segment, typically over 50 and conservative—can...
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...A&W – Discount varies, simply ask and have a valid military ID with you. Advance Auto – 10% off with military ID Agentsource.com – Up to 40% off standard real estate closing costs for Active duty men and women moving in the United States or Canada All State – Allstate Funding proudly offers all U.S. Military personnel a $250 credit towards the appraisal of a residential property. Ends 12/31/2010 American Airlines – Discount varies, requires military ID American Video Productions -10% off to active duty, retired, families of military and dependents. Call and ask for the discount http://www.americanvideoproductions.net/ Amtrak – 10% off Anheuser – Busch Amusement Parks – Discount varies, simply ask and have a valid military ID with you. Anna’s Linens - 10% off any purchase with Valid Military ID in store only Apple Computers - The discount varies, you need to sign up here – http://www.apple.com/r/store/government/ Applebee’s – Discount varies per location, simply ask and have a valid military ID with you Arby’s - Discount varies per location, simply ask and have a valid military ID with you. Ashford University – Discounted tuition at $250 a credit, books are covered for all required courses, waived application fee, waived technology fee and more! Benefits apply to all Active Duty, National Guard, Reservists and spouses, dependents eligible for survivor benefits, plus civilian DOD employees & separated vets/retirees still using their GI Bill. ASMBA – Armed Services...
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