Mighty Mug Case

Bed, Bath and Beyond (BBBY) currently has $400 million more in cash than they need for ongoing growth and operations requirements. While the company is financially sound analysts and investors worry about the company’s capital structure decisions. Investors do not want to see that much cash on the books and worry that the current capital structure is not the most effective for the future. They prefer that BBBY change their capital structure by paying out excess cash and issuing debt. This could allow BBBY to improve their return on equity and raise earnings per share. Given the low interest rates available it seems like the perfect time for BBBY to add debt to its capital structure. Until now they

Additionally, as expressed by Rebecca Ratner, Hsieh’s commitment to merging the workplace with social lives could present risk to the company in the form of unprofessional or inappropriate conduct that is not addressed properly.

GoMacro is a family-owned company that is inspired by a whole-food based macrobiotic lifestyle. Our mission is to create and manufacture healthy organic snacks, as we believe healthy food comes hand in hand with happiness and the well-being of one another. For this reason GoMacro aims to provide our products to targeted business environments in Australia. This plan seeks to generate a significant increase in company sales and profits along with enhancing the healthy lifestyles of those all over the world. The highlights of this plan are the targeted gross margin and sales-revenue. Transitioning globally will be attainable though a proactive approach to the candidacy of customers, local growers and distributers.

Recent studies have revealed that companies have grown their social media marketing spending and are expected to

1. Consider Dunlap’s statement on page 3 of the case: “Stakeholders! Every time I hear the word, I ask how much did they pay for their stake? There is only one constituency I am concerned about and that is the shareholder primacy? Do you agree or disagree with Dunlap’s view of shareholder primacy? Explain

In looking at the financial data, we see that CanGo is working hard and has positioned themselves well in the music, book and movies retail industry. This is evident as from December of 2008 to December of 2009, CanGo has managed to increase sales by 500%, with an increase in total revenues in excess of forty million dollars. In order to continue this growth and be a powerhouse in this industry CanGo will have to find a way to compete with companies such as Amazon, Barnes and Noble, Apple, eMusic and Wal-Mart. To do so, they need to look closer at the users that are the target audience. First, we need to realize that to grow, we need to shift consumers from buying from Amazon. Is because Amazon “dominates 65 percent of all new online book units, in both print and digital copies. They have the largest share of the e-book market as well, with 67 percent. As for print, Amazon controls 64 percent of sales of printed books online.” (Mosendz. 2014) This is telling as we know who we need to work against, but is also important to know that “Millennials, those consumers aged 18 to 34, remain the key age demographic for online commerce, spending more money online in a given year than any other age group.” (Smith, 2015)

It is only going to keep growing as technology spreads and more fans get familiar with smart phones and tablets.

The successful market of Starbucks and other successful coffee houses has made it okay to spend $1.50 or more for a good quality coffee and even more for specialty drinks. Considering the trend in successful coffee houses and the cost of the drinks, it opened the door for Keurig to produce high quality low maintenance units for the home and office. Keurig conducted multiple market research polls to reach its price points, ensuring that once units are released they are something that customers will buy without hesitation. Price points were anywhere in the range of $199 to $299 (Cravens &

willing to pay $0.50 or more for a K-cup. By pricing the K-cup for $0.50,which is similar to Kcups in the OCS market, KADs will not lose revenue from their segment. Premium flavor cups for

Corporate finance is important to all managers because it allows a manager to be able to predict the funds the company will need for their upcoming projects and think about ways to organize and acquire those funds.

According to statistics, Finland is the country with the highest per capita consumption of coffee, and China is the lowest one, but in Finland there are nearly five million residents only, which means Finland will consume a million bags of coffee every year, but the 1.3 billion residents of China will provide approximately 200 million potential coffee consumers, and this will make China becomes a major coffee market. On the other hand, under the same culture background, compare to Japan and Korea, Chinese average annual per capita consumption is only around 20 Cups, but this also means Chinese consumer coffee market has a big room for future growth.

Furthermore, one of the weaknesses is the prize of a drink. Some customers think that the prize is quite high and it does not worth the money for a cup of tea even if Chatime is the best tea house in the world. There are many others competitors and stores that are selling the similar products and this will causes them to be hard to compete and to compare and determine the pricing and promotion strategies.

There are several areas CoolBurst must focus on to encourage creativity and innovation which will propel the company forward including company structure, features, policies, practices, reward systems, culture, and management style. While Luisa cannot focus on all of these areas simultaneously, her campaign for change should start with making changes to the corporate culture and CoolBurst management. These two areas build the foundation for change within the company and will help move CoolBurst towards increased innovation and future company success.

Your site needs to perpetuate itself. The more supporters you have, the faster word spreads about your site. Social media marketing is an excellent way to get people to come into your site to take a look at what you have to offer. You will grow when there are a group of loyal visitors ready to always act upon what you have to offer.

A recent primary research survey has found that 70% of occasional coffee drinkers view the Mr. Coffee brand as an inferior or budget coffee brewing device that does not make a superior cup of coffee (Appendix, Opinion survey). Brands such as Keurig, Cuisinart, and DeLonghi inspire more thoughts of quality coffee than Mr. Coffee. Other consumers are opting to spend several dollars per cup of coffee at coffee houses such as Starbucks, Caribou Coffee, Dunkin Donuts, and even McDonalds (Appendix, Opinion survey).