Case 01 mystic monk coffee
What is the strategic issue facing mystic monk coffee?
People hear about Mystic Monk Coffee through word of mouth, and their customers could avail of the coffee conveniently by a phone call or online through a website. Related Posts. Related Interests. Our suggested written assignment questions are as follows: 1. Students will find the content of this Guide particularly helpful if this is their first experience with cases and they are unsure about the mechanics of how to prepare a case for class discussion, oral presentation, or written analysis. There are consumers who would try the coffee because it is of high quality and good price but do not know about it. Why or why not?
The strategy of Father Prior to achieve his vision of creating a new Mount Carmel was through generating profit from the Mystic Monk Coffee. The use of high quality coffee beans, the variety of blends, roasts, and flavors and the Mystic Monk image produce a number of tangible and intangible benefits for MMC customers.
The length of the case makes it ideal for an in-class written case or a final exam case. With regards to earning a profit, MMC has a winning strategy.
Case 01 mystic monk coffee
These coffees are made from high quality Arabica beans rather that low quality, bitter Arabica beans. Student recommendations are likely to fall into two groups, with one group suggesting that the vision be scaled back dramatically and the other group recommending an action plan to dramatically increase MMCs revenues and earnings. Students will also note that a larger roaster could be purchased that would push production to pounds per hour, which would increase daily production by a factor of 6. It will be possible for Father Daniel Mary to achieve his goal of transforming the brotherhood into a bigger place for more aspiring monks and other religious people. We will write a custom essay sample on Mystic Monk Coffee or any similar topic only for you Order Now 2. Are changes needed in its long-term direction? Students should be able to justify a decline in operating expenses from 37 percent to about 33 percent to 35 percent because of scale economies. Does the strategy qualify as a winning strategy? How would the demands of operating a very successful coffee producer interfere with the mens vows and requirement to spend their lives in prayer and worship? Why or why not? Assessments made by students may include the following arguments and comments: n Does the strategy fit the companys situation? With regards to earning a profit, MMC has a winning strategy. However, Father Daniel Marys efforts might be limited by the Catholic Churchs charitable giving requests for competing projects and needs. I selected this problem because although the company makes great sales, sales will not be enough to purchase the land.
What is his vision for Mystic Monk Coffee? His vision is to resurrect the Mount Carmel in U. Appropriate recommendations include: n Before making specific recommendations to revise MMCs strategy and business model, students must first determine to what extent donations can be relied upon to generate funds necessary to purchase the Irma Lake Ranch.
The case doesnt discuss to what extent Father Prior has articulated the strategy to Brother Java Brother Elias and the other monks involved with MMCs operations, but students should be able to identify the following elements of MMCs focused differentiation strategy: n Exclusive use of high quality fair trade Arabica and fair trade organic Arabic beans n Variety of blends, roasts, and flavors to appeal to a broad range of coffee preferences n Focus on U.
The video gives a short introduction to the Carmelite Order and might help students understand the belief and priorities of a monk. Even though MMCs business model has a compelling customer value proposition, there is reason for students to challenge the overall soundness of the business model.
Even though students might argue that some indirect operating expenses 37 percent of revenues are largely fixed and might go down as volume increases, most of these expenses are somewhat variable and will increase with volume.
It will be possible for Father Daniel Mary to achieve his goal of transforming the brotherhood into a bigger place for more aspiring monks and other religious people.
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