Business Case

Item

Value

Implication

Core?

Quality

Nature ingredient

Fresh and healthy

Durable, and environmental friendly package because of the delivery.

>the second flavor will not affect the quality of the original products, however, if they choose a bad flavor that the consumers dislike, it may affect their sales

>Spiked ice also will not change the quality of the products

YES

Quantity

1,200 cases/month

triple during the summer season(5-11,12)

Iced: minimum 8,000 oder for 4 months

-If we are adding a second flavor, we might have a problem to meet the demand in summer seasons

+It is very important that we could meet the demand from the oder because we need to keep a long term relationship with LCBO.

YES

Price

Premium price

$9.95 for packages of 400ml cooler

$8.75/box for Spiked ice

*Margin of 33 for BF

*Mark up of 46 for LCBO

As we set up a premium price, we could increase our price a little bit if our net profit is negative. However, to remain competitive in the market, we should not increase the price too much.

Services

Prepare the  amount of cases on time with demand.

Sales Promotion

We need to make sure our process are doing well to meet the requirements

+We are responsible for our sales, thus, if we introduce the new products. we need to ring the approbate way to introduce our products and increase the demand as a rule to have a spot in LCBO.

Yes

Function