The Prince Edward Island Preserve Company
Essay Preview: The Prince Edward Island Preserve Company
Report this essay
THE PRINCE EDWARD ISLAND PRESERVE COMPANY
Abstract
The company Prince Edward Island Preserve Co. was founded by Bruce MacNaughton and primary located in New Glasgow. Initially, Bruce MacNaughton was not successful in the restaurant and lost the $30,000 stake. Then nothing left with him except 100 kilograms of strawberries, then he decided to make these strawberries into preserve so that he can make gifts for the Christmas. After that in 1985 he started his company named Prince Edward Island Preserve Company. The private company is in the gift/gourmet and food market.
Problem Statement
What can be done by PEI Preserve Company in order to revive its position in the existing/new market?
Analysis of the company
The Prince Edward Island Preserve Company uses best quality ingredients to produce their products, that is why their products are high end and did not compete with low end products by its competitors. While doing the reading I have found that for P.E.I Preserve company their brand image and product quality is more important than the shelf price of their product. Moreover, the company is also diversified in other businesses such as theatre, garden, restaurants, retail franchise and sweater shop. This industry is highly influenced by globalization, now people from other countries are also involved in this with the local players. Number of channel (importers and wholesaler) increased due to which profit margin increased and retail price boosted.
Alternatives and Recommendation
PEI can expand its business only in Jam related products which is its most profitable product. It should not go for another product such as restaurants, sweater shop etc. which are causing losses. Rather than line extension, it should opt for product extension. PEI company should add variety to jams instead of introducing new and different products.
PEI Company can bring its focus on its management and working style. Company should hire a good management team so that work can be well organized and maintained. They should focus on team work and decision making should be done logically which could benefit the company.
Company should