CASE: Natureview Farm
In addition to the specific questions below (look below table for additional questions), each group should provide a brief summary of Natureview Farm and identify the central issues in the case.
How has Natureview succeeded in the natural foods channel? Consider the growth strategy matrix below. What are the two primary growth strategies under consideration by Natureview? Explain.
Review and interpret the Natureview Farm spreadsheet for the class. How do the three options compare financially in terms of yearly revenue, gross margin, required investment, and profit potential? Which option would you recommend and why?
MARKET
Existing New
PRODUCT Existing Market Penetration Market Development
New Product Development Diversification
What are the strategic advantages and risks of each option? What channel management and conflict issues are involved with each option? Which option would you recommend and why?