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Msc Executive Summary

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Executive Summary

Situational Analysis Overview: Marble Slab Creamery (MSC), founded in 1983, is an ice cream serving company which offers various premium ice cream products. Operating with the franchise model, MSC focuses on the student-driven market. The competitive advantage of MSC is its high standard, customized product. Compared with other local competitors, MSC serves the ice cream through manual gauging rather than the ice cream machine. Being able to choose flavours and mixins as they like, the customers of MSC can enjoy unique customized ice cream experience. With the success of his first franchise in Kitchener, Rob Hunter, an MSC franchisee, prepares to open his second location at Waterloo. The gross revenue of the Kitchener store, a mid-range unit, in the first year was $430,212, and the gross margin was 14.62%. The materials and wages of $226,998 were the main costs. Hunter has to make an immediate decision on which weighing policy he should adopt in his new store: should he strictly comply with head office's current weighing policy or use a modified policy according to the traffic level of the new location?

Main SWOT Points Related to the Issue: The most significant strength of MSC is its premium customized product. However, weighing is extremely time-consuming, which is the weakest point of MSC since it is hard for customers who have to stand in a queue for about an hour to get the service in the busy summer time. The opportunity of Hunter’s new location is that there are two universities near the store; therefore, the store could have the stable customer stream all year round. The threat to MSC is that there are many competitors who sell different kinds of dessert in the same plaza. They may attract customers away, especially in the winter.

Problem Analysis: The crucial problem for Hunter is to decide on a rational weighing policy. The...

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