THE FARMER’S FRESH DILEMMA…..

Farmer’s Fresh is a retail chain headquartered in Bangalore with a turnover in excess of 10 crores. It is part of the Farmers Group which is mainly into the export of fruit and vegetable seeds to the European countries. The Farmers Seeds division has a turnover in excess of 800 crore and is the main focus of the group. They currently have 10 stores in India with 8 in Bangalore and 2 in Delhi. On average the Farmer’s Fresh Stores are 1200 square feet and retail mainly fresh fruit and vegetables and groceries. The quality of the fresh fruits and vegetables is extremely high in terms of taste and freshness, therefore Farmer’s Fresh is able to charge a premium. This premium charged is acceptable by their customers who recognize this UVP. With regard to the current retail scenario evolving in India large organized players are entering the market such as Reliance, the Birla’s, ITC etc. Price competition from current players such as Fab Mall, Food Bazaar, Food World, Nilgiri’s etc. is also very high and ever increasing. Farmer’s Group current management is looking at all these aspects and wants to decide the future course that Farmer’s fresh should take. Currently there is a lack of proper resources at Farmer’s Fresh with regard to qualified manpower as well as strategic direction. The Farmer’s Seeds Division is doing extremely well and the Group does not want to shift its focus but it does not want to lose a possible gold mine with Farmer’s Fresh as well. They recognize that their quality with regard to fresh fruits and vegetables cannot be matched because the Group has their own farms with state of the are facilities and quality control measures as well as one of the best cold chain management facilities. What action would you take if you were part of the Farmer’s Group management team? We would like you to focus on the following questions: Would you expand the business organically/sell it off/ start franchising? If you plan to expand, what will be your expansion plan? Although you might be catering to a niche market, do you have to take into account the entrance of the larger players and if so, in what way? Please give a strategic roadmap that the Farmer’s Group should take with scientific reasoning for directions taken. How would you tackle the possible roadblocks such as the lack of qualified organized retail manpower in the industry, logistics etc. (Please state any valid assumptions you might make with respect to the case analysis) Rules and Regulations

The competition is open to students of all management institutes. Each team should constitute two members from the same institute. Case analysis should represent original work. A contestant cannot be in more than one team. The word limit for the case analysis is 1500 words. Exhibits and bibliography are not counted towards the word limit. An Executive Summary of 500 words (exclusive of case analysis word limit) is to be submitted along with case analysis. The entries are required to be submitted in MS Word, with 1.5 line spacing and font Times New Roman, size 12. Each entry should have a cover page mentioning the Team name, name of the institute, name of team members, email IDs and telephone numbers. Please do not specify the above in any other part of the entry. The contestants are required to send only a soft copy of their entry to the following mail id: merchant.neev@gmail.com latest by 11:59 p.m. on November 10th, 2006. Please title your entry in the following format: <team name>_<institute> 4 teams will be selected for the final presentation. The finalists will be invited to SCMHRD campus to take part in the final round of Merchant of Venice. The decision of the organizers of the contest and the panel of judges will be final and binding on all contestants. For accommodation facilities and traveling reimbursements please see general rules & regulations at the participants section at www.scmhrd.edu/neev06 www.scmhrd.edu/neev06 November 24 & 25

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