Business Strategy

Business Strategyassignment shall be limited to no more than 2 single spaced pages plus diagrams and appendices. Written cases shall have the following sections:  Title, Introduction:  Issue and Cause Summarized, Analysis, Decision Criteria, Alternatives, Solution, Justification for Choice of Solution and Not Others, Implications for the Organization, and  References. Please use APA style when citing and referencing information.

Required:

assignment shall be limited to no more than 2 single spaced pages plus diagrams and appendices. Written cases shall have the following sections: Title, Introduction: Issue and Cause Summarized, Analysis, Decision Criteria, Alternatives, Solution, Justification for Choice of Solution and Not Others, Implications for the Organization, and References. Please use APA style when citing and referencing information.

Company: Nova Scotia Fisherman

Size: Small

Industry: Body Care Products

Business Activity: Manufacturing

Type of Entity: Private Company

Number of Employees: Fewer than 25

Country: Canada

Headquarters: New Minas, Canada

Yearly Revenue: Less than $1 million

Gender: Male

Subject: Business Law

Keywords:

Issue:

Perley_Beairsto_Issue_1: Can you describe an important issue that you had to resolve?

My name is Perley Bearisto. We make soy candles for the private market. We signed a contract with a large global company. After negotiations, it was a four year contract, we started producing and shipping the goods. After four or five months into the four year contract, they pulled the plug on it. That was my problem.

Cause:

Perley_Beairsto_Cause_1: What caused the issue and why was it important?

We were excited in the company being interested in us. So we were willing to spend a fair bit of money to get on board with them. We felt that was the actual opportunity to put the company on the map. So we spent five or six hundred thousand dollars in buying raw materials to do the project. The reason that was so high was that they had beaten us down so much on the price that we had to buy many of our products overseas. For instance, our glass had to come out of China because I could not afford not to do that. We bought a year and one half supply of some of the raw materials. So when the contract fell apart, we looked at that and said, ‘what are we going to do with all of this stuff, a lot which was made specifically for this contract’. So by the time the dust settled we were out of pocket four hundred thousand dollars. We were only producing one hundred thousand dollars a year of product outside of that contract. So four hundred thousand dollars was a huge debt load to shoulder.

Background:

online resources