Case Study: Expansion and Risk at Hansson Private Label, Inc.: Evaluating Investment in the Goliath Facility Company´s Business Operations, Strategy and Past Performance HPL is a manufacturer of personal care products for retail partners. Its strategy has always been to focus on efficiency, cost control and customer relation to guarantee solid revenue grows until 2007. Expansions have always been carefully analyzed and the Company never worked below 60% capacity utilization. HPL has been able
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Overview of the Industry As a manufacture of private label personal care products, Hansson Private Label, Inc. has a considerable amount (28%) of market share in its specific industry. However, private labels as a whole constitute less than 19% in the entire personal care industry. Therefore, growth of HPL depends on the growth of the industry and more importantly the growth of private label component within the industry. In terms of the personal care industry, market growth will not improve
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4021 REV: MARCH 1, 2010 ERIK STAFFORD JOEL L. HEILPRIN JEFFREY DEVOLDER Hansson Private Label, Inc.: Evaluating an Investment in Expansion Introduction On a frigid Sunday night in late February 2008, Tucker Hansson pored over a proposal developed by his firm’s manufacturing team. It called for investing $50 million to expand production capacity at Hansson Private Label (Hansson or HPL). For Hansson, a private company, this would be a significant investment. The company had not initiated
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ANTECEDENTES HLP, se inicio en 1992 cuando Trucker Hansson compro la mayor parte de los activos de la fabricación de Simon Health & Beauty Products, HLP se compro por 42 millones, Hansson trato de sacar provecho a la alza de productos de marca propia aumentando su participación en la venta de productos al consumidor. Aunque Hansson tenía una fuerte y la mayor parte de su riqueza invertido en HLP, creía que estaba pagando mucho menos que por los costos de reposición de activos y confiaba en el
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Professor: Brent Barr Student: Jaspreet Banwait Student Number: 500351380 Due Date: April,3,2012 Course: RMG 200 Table of Contents Title Page……………………………………………………………………………….….1 Table of Contents………………………………………………………….…………..2 History of Harry Rosen and Objective………………………….…………….3 Theory 1……………………………………………………………………….…….……..3 Potential Gap at Harry Rosen……………………………………….…………….4 How To Address The Gap and Expected Outcome………………….....6 Theory 2…………………………………………………………………………………….6 Potential Gap
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Croma creating CDIT retail 2.0 Feb - 11, 2014 Croma, owned by Infiniti Retail Limited, took the CDIT market by storm with its megastores and zip stores. Franchise India Media caught up with Ajit Joshi, CEO, Infiniti Retail Croma to know the success story of the company. Croma, owned by Infiniti Retail Limited, took the CDIT market by storm with its megastores and zip stores. Franchise India Media caught up with Ajit Joshi, CEO, Infiniti Retail Croma to know the success story of the company.
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Moreover, Anna Regnante also needs to develop the budget (Income statement) for the year 2008 that would result in a 10 % increase in the profit over the estimates of 2007. RBS’s main competitors were private label brands, priced 30% below RBS. In the last decade RBS had lost 5% of its share to private label brands. RBS also competed with products outside the baking soda category, whose price per ounce was significantly higher than that of RBS. And I gave the Alternatives below: Alternative 1: By creating
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when asked for a baking soda brand) Competitors The main competitors for Reliance baking soda are private label brands who compromise 30% of the market and are priced 30% below RBS price. RBS had lost 5% of its market share to private label brands in the past decade. Baking soda does not have any viable substitutes or alternatives as it is a unique product and staple product, but private label brands posing price pressures on Reliance are a big threat. Company Stewart Corporation, founded
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Five forces * Threat of new entrants * Bargaining power of suppliers (SUPPLIER POWER) * Rivalry among existing competitors (RIVALRY) * Bargaining power of customers (BUYER POWER) * Threat of substitutes Anomalies * Some anomalies occur due to a variety of reasons with regards to profit over time * Ex: Tobacco was not profitable in 2007 due to lawsuits but was much more profitable during 2008 What is 5 forces analysis? * A framework for analysing industryprofitability
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budget fashion perspective, Costco is obviously the better choice for those looking for brand names like Calvin Klein Jeans for $22.99 and the store has a great “no-questions-asked-return-policy“. It’s private label brand, Kirkland, has men’s dress shirts that are comparable in quality to the private label brands of major department store like Nordstrom and cost 50% less. However, what attracts budget shoppers like myself to the store is that Costco caps their markups at 14% over the price they paid
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