hsbc intra fbs round one
TRANSCRIPT
“Murdock Farms :The challenging tale of aSocial Business
Product variety1
Greencoffee
2 3
Roastedcoffee
Soluble coffee
CORE ISSUES1. Nepal’s advancement in coffee
agro
2. Farmers prospects
3. Boosting sales up and brand establishment
Problem:
Sales didn’t match expectancy
Missions:
Where are theProblems?
In roasted coffee market
• Big competiotors
• Consumers are not willing to pay premium price
Why you will buy roasted coffee from an ?
You Won’t as:
• Price is high
• Unknown supplier
• Established brands
• Murdocks “social” vision is not working
All this issues matters only then you operate in
Roasted coffee market
ReasoningThink like Customer’
JustNotice
WhyMurdockdon’t exploretheHORIZON of
GreenCoffee?
OurAdvise
Sell unroasted premium quality cofee to leading roasters.
“When you can’t beat them, make them allies”
Now, Mourdock
Can charge premium
price for premium
cofee
No cmpetition with
leading roasters
No major campaign
required ( reduction in
capital requirewment )
The mission is still
viable
4CAnalysis
Established Roasters
Current Unroasted bean Suppliers
Premium Quality
Trained Workers
Social Developments
Supporting Friends
Govt. Officials
Consumer Company
Competitors Collaborators
PREMIUMUNROASTED BEANS
27.84billion$Cofee market in 2011
100%Total success!
80% of coffee tradeOf the world is captured by unroasted coffee tradings
Murdock attempted to train 130 farmersWhat about others???We want
BIG IMPACT!!!!o Still depends
on natureo Grows lower
quality beanso Exploited by
intermediarieso Gets 5-6% of
final price
Our Idea
Leads to
Farmers get better
price than before.
Leads to
Mid-range coffee
brand & supply chain
establishment.
1. CollectRegular quality
Coffee beans
2. Put those on our reduced
Interemediary channel
3. Roastthem
4. Sell them at moderate
price
5. Capture moderate
quality cofeemarket
Safe because
No competing
leading premium
Coffee brands
ThinkDeep & Ahed
Now we can ”sell regular quality coffee @low price to Hongkong based Hotels”Moreover:o More farmers are engaged in our neto A bigger social impacto Quality improvement possible
through little training
4CAnalysis
Hong Kong market
Local market in Nepal
Developing Asia, Africa
Current Regular quality roasted coffee Suppliers
Reduced Intermediary
Experience
Social proposition
Local coffee co-operatives
Untrained farmers
Consumer Company
Competitors Collaborators
REGULAR QUALITYROASTED/SOLUBLE
COFFEE
Our 360* business model’s Supply chain looks like
MurdocFarms
MurdocFarms
Graduating farmers
Co-operatives
Untrained farmersOf Nepal
Consumers
LeadingRoasters
Premium green beans
Regulargreen beans
PremiumUnroasted beans
RegularRoasted/Soluble
coffee
Business Mapping
Nepal
Europe
USA
Premium quality unroasted coffee
marketNormal
quality roasted coffee market
Hongkong
Africa
CompetingCountries
Brazil 31%
Columbia 9%
Vietnam 14%
Thanks! Check
Social proposition addressed?
Competition Lessen?
Brand establishment viable?
Business missions accomplished?
Back up contentsClick here: Back up contents.pdf
BACK UP CONTENTS
2010
2009Here we are now
Set field for our re-modeled plan : Customer search,
Necessary restructuring etc.
Implement our plan
Explore the market of Europe, Asia,
Africa
2011
On
ward
OurTimeline
O T
Exte
rna
l
Positive Negative
Available trained farmers, social proposition
Strengths
Experimental supply chain,
Capacity limitation
Weaknesses
Rising market demand.Opportunities
Competitors, Failure of social campaign
Threats
S W
Inte
rna
l
SWOTAnalysis
RevenueGeneration target
70%From Premium coffee
30%From regular coffee.
Activities!
● Selection
● Training
● Contractual relation
● Monitoring
● Developing prospects
Premium coffee farmers
● Buyer & Seller relation
● Little training
● Co-Operative establishment
Regular coffee farmers