Q1). Currently, there is an opportunity to own a Coors distribution in southern Delaware, Sussex and Kent counties. Coors is a well-known brand nationally, and retailers in the target area are willing to sell the product, which is an indication of pre-existing brand awareness and demand for Coors. A feasibility study had to be obtained to predict a possible profit or loss, and the initial investment will require $800,000. We believe Larry should employ the following decision criteria to make his decision. Market Share: As Coors will enter this market area for the first time, it is believed that market share will continue to grow as the brand becomes established over time and in the market. is expected to meet or exceed the company's market share percentage of 8.7% - 8.9% over the next three years. Larry Brownlow - Although Larry has many alternatives (not conducting research, continuing in graduate school, investing trust money, conducting his own research after completing MBA, putting off MBA to do research at the moment), getting the degree seems to be of the utmost importance, as well as achieving success, sooner or later, in an owned business. Purchasing Research: Purchasing research can be expensive, but the knowledge and insight it will provide is critical. While Larry could certainly conduct his own secondary data research for less than $15,000, a busy schedule and time constrain him. See purchased research in Q3.SWOT Analysis - Reviewing the internal and external information provided by a SWOT analysis would provide Larry with the information needed to make his decision. Strengths • The owner has an MBA....... half of the document.. ....market he just needs to acquire a market share of 6.31% to break even. We believe that making the investment is the best option for your future. Overall assessment Investing is a great option because the probability of profit is very high. Based on our pro forma income statement, profit will be substantial and will increase every year even after losing 0.2% of market share. Pessimistically, the market share to break even is very generous, leaving a margin of error of 2.5% if necessary when entering a completely new market. The ability to capture a high market share in the southern part of Delaware would be very substantial. Since it is a beer perceived as higher class (study H) than its competitors, it will be introduced into a completely new market. See the link below for all exhibits: https://courses.jonesinternational.edu/private/jiu/media /pdf/bba431/bba431m1_coors.pdf
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