CASE ANALYSIS ON: Mystic Monk Coffee

1. What is the past strategy and performance of the Company?

According to Gamble, et. al. (2013) the past strategy
composed of selling sample bags at $2.99 and 12 ounce bags at
$9.95. Their target market is the US Catholic population. They
make the sale through the website or phone, deliver them using
the US Postal or UPS. Also expanding to wholesales sales to
churches and local coffee shops. Their marketing was done
through the website, use of affiliate program and word of mouth
among loyal customers in Catholic Parishes across the US. This
strategy reflected in their performance of earning $56,500 per
month; 52% of which went to the cost of goods sold, 37% to
operating expenses and 11% to profit margin.
2. What is the current strategy of the Company?
In addition to the past strategy, Gamble, et. al. (2013) also
states that Father Prior Daniel Mary currently plans on minimizing
the effect of its cloistered monastic constraints and maximize the
potential of monastic opportunities to purchase the Irma Lake
Ranch.
3. What are your recommendations?
I recommend them to hire a consultant who is well
connected, expand their target market to non-catholic coffee
drinkers as well, and set up stalls in different areas as well to
make them more accessible to people. And maybe one day when
they have enough money they can establish their very own
coffee shop nearby the church to further attract more tourists,
customers and potential church members, benefiting both the
business and the religion.
References:
Gamble, J., Thompson, A. & Peteraf, M. (2013). Essentials of Strategic
Management: The quest for competitive advantage. (4th edition). New York,
NY: McGraw-Hill.