Evocative Case Analysis
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Written Assignment #5After reading the Ecovative case I think the founders should accept the Sealed Air Deal for many reasons. The main reason I chose to have the deal go through was because it followed the company’s core mission which was mentioned on top of page 2 in this case. This mission statement truly helped me make up my mind when thinking about accepting the deal. This second sentence in the mission statement stated that Evocative wanted their business’ impact the health of the planet, and getting the that impact was as important as achieving a healthy bottom line. Since the Sealed Air Corporation is one of the largest distributors in the Western hemisphere having a deal with them would definitely make a large, and positive impact on the natural world for the better. Accomplishing their company’s mission has to be main goal for the company, and these young entrepreneurs. Not only is this a safe move given the number of potential competitors that could saturate the market, but it is right move regarding the amount of impact these entrepreneurs want to make on the natural world. Even though they have a current deal with Dell, and great revenues from it. A number of competitors can saturate the market with new technological advances. Having a deal with Sealed Air Corporation would ensure the company’s profitability, and a great impact on the world.
The deal with Sealed Air Corporation would make Ecovative current operations increase in size. Sealed Air would also construct a bigger factory to help with the company be more commercially viable. Also Ecovative would earn on a whatever is greater basis, between the royalties/ licensing fees, or the undisclosed percentage of net sales. I can’t see the deal hurting the profitability the owners want to make, and the impact they want to make on the natural world. After careful deliberation of this case I believe Ecovative should license their Ecocradle Mushroom Packaging Technology to the Sealed Air Corporation.