Case Study: CASCADE COFFEE CO$.$

It was April $2005,$ and Sarah Bennett, a driven young professional from Vancouver, British Columbia, found herself exploring the operations of Cascade Coffee Co$.,$ a thriving coffee roastery based in Abbotsford, BC$.$ Sarah had recently completed her degree in business administration with a focus on entrepreneurship and had been working in marketing for a local tech startup. However, her passion for the culinary arts and her love for coffee had drawn her towards exploring opportunities in the food and beverage industry.

Sarah Bennett was born and raised in Vancouver. She came from a family of entrepreneurs; her parents had successfully run a bakery and cafe in Kitsilano for over two decades before retiring. Growing up in this environment, Sarah developed a deep appreciation for small business dynamics and customer service excellence. She had always dreamt of owning her own food$-$related business and was now actively exploring various options.

CASCADE COFFEE CO$.$

Cascade Coffee Co$.$ had been founded in $1995$ by Mark Davidson and his partner. The company specialized in sourcing, roasting, and distributing premium coffee beans to cafes, restaurants, and retail stores across British Columbia. They operated out of a custom$-$built facility in Abbotsford, which housed their roastery, warehouse, and administrative offices. The business had seen steady growth over the years and had built a reputation for high$-$quality coffee and excellent customer service.

In recent years, Cascade Coffee Co$.$ had expanded its product line to include specialty coffee blends and had invested in new roasting equipment to increase production capacity. They had also begun exploring opportunities to supply coffee to larger retail chains, which presented both challenges and potential for further growth.

Mark Davidson, the founder, was approaching retirement age and was considering his options for the future of Cascade Coffee Co$.$ He had been approached by a few potential buyers but was particularly intrigued by Sarah's interest in the business. Like John Smith in the original case study, Mark was looking for a buyer who would continue to uphold the company's values of quality and customer satisfaction.

SARAH'S IMPRESSIONS OF CASCADE COFFEE CO$.$ AND THE PROPOSED DEAL

Sarah was impressed by her initial tour of Cascade Coffee Co$.\text{'}$s operations. The meticulous roasting process and the dedication of the team resonated with her commitment to quality and artisanal craftsmanship. However, she noted several areas where her skills could add value, such as implementing a more robust digital marketing strategy, expanding the product line to include organic and fair$-$trade options, and improving operational efficiencies through better inventory management systems.

During discussions with Mark, Sarah was provided with financial statements that highlighted the recent growth of the business and its profitability. Mark expressed a desire to sell Cascade Coffee Co$.,$ including all assets, customer relationships, and intellectual property, for $$150,000.$ This figure encompassed the company's existing inventory, equipment, goodwill, and potential expansion opportunities.

SARAH'S ALTERNATIVES

Sarah had been considering various paths for her career, including advancing in marketing within the tech industry or potentially starting her own boutique cafe. However, the opportunity presented by Cascade Coffee Co$.$ intrigued her. The chance to lead an established brand in the coffee industry aligned perfectly with her entrepreneurial ambitions and passion for culinary arts.

THE RIGHT OPPORTUNITY?

To determine if Cascade Coffee Co$.$ was the right opportunity for her, Sarah knew she needed to conduct a thorough assessment. She needed to evaluate the financial health of the business more closely, consider the growth potential within the competitive coffee market, and explore financing options. Like Jeff Malott in the original case study, Sarah realized she had significant decisions ahead, requiring careful consideration and possibly external advice to navigate effectively.

Bases on this case study please answer the following questions:

Answer below each questions on this sheet. There are no word limits$.$

$1.$ Would you rationalize Cascade Coffee Co$.\text{'}$s product range? Why or why not?

Evaluate the existing coffee blends and product offerings of Cascade Coffee Co$.$ Discuss whether streamlining or expanding the product range aligns with market demand and business goals.

Answer:

$2.$ Outline a comprehensive marketing strategy for Cascade Coffee Co$.,$ including branding, digital marketing, promotions, and customer retention programs.

Consider how to leverage social media and partnerships with local cafes and retailers.

Describe the current operations of Cascade Coffee Co$.$ Do you agree on improvements?

Answer:

$3.$ Analyze the current operational processes at Cascade Coffee