Local Business Distrabution Channels Essay

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Entrepreneurship: Growth Plan Report

Business Overview

Geetha Jayarman and her business venture thus far have had a unique and interesting value proposition in which she has created for her consumers. She has created many food items that are distributed and sold through various distribution channels that all incorporate many of the new trends that are developing within the healthy eating phenomenon that is sweeping the entire U.S. to a greater or lesser extent. Strategic management can be defined as the process of formulation and implementation of the company objectives and goals which are made keeping in mind the resources available with the company and the internal and external environment that the company is functioning in (David, 2005). Thereby strategy can be defined as the course of action that a company develops with the optimum use of resources with the aim of achieving its long-term goals. The three businesses that Jayarman has experience in all seem complimentary and there is the opportunity for each of the businesses to create economies of scale within a diversification strategy.

There are also other developments in the food industry that she has also been able to capitalize on -- such as fast casual. Fast casual is an alternative to the traditional fast food channels that have increasingly become targets for negative publicity. The fast casual option gives customers any alternative that is vastly healthier than what the fast food chains can offer. Furthermore, the strategy for the entrepreneur will undoubtedly incorporate a diversification strategy as the company is targeting similar consumer preferences in different market segments of the larger food industry.

There are two primary social drivers that have subsidized a great deal of the success that businesses operating in these specific niches have experienced in recent years.

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The first is that in general consumers are becoming more health conscious as well as becoming increasingly concerned about what kind of processes and artificial additives go into the foods that they eat. There are many negative publicity reports that come out about different artificial ingredients and preservatives on a regular basis. This report will recommend that the business continue with the diversification strategy and operate each individual business with different but complimentary strategies within this trend's development.

Businesses

1) Restaurant -- Grab-N-Go/Dine-In/Delivery: (Chipotle Business Model)

2) Catering

3) Chips/E-Commerce

Restaurant

Traditionally, the restaurant industry has consisted of two main sectors: full-service restaurants and fast-food restaurants. The fast-food sector typically serves hamburgers, chicken, sandwiches, pizza, Mexican dishes, and breakfast and snack items; generally served quickly but often unhealthy. However, there are other trends that are recently emerging that include some mix of the two divisions. Panera Breads and some other organizations worked to pioneer this service delivery method. Spoon and Sprout has the potential to compete with other business in this market segment in the local market. Furthermore, its core competency will be that it offers many food specialties that are not found in other restaurants such as vegan items, organic items, and items sourced locally -- all of which represent a growing consumer demand in the industry. Thus Spoon and Sprout is prime position to be competitive within this specific market niche. It is recommended that Spoon and Sprout consider a tribal marketing approach to help develop the business in the local market.

Catering

The catering business also fills a specific consumer demand in a niche that is steadily growing. The demand for vegetarian, vegan, gluten-free, locally produced and….....

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"Local Business Distrabution Channels" (2015, October 25) Retrieved May 22, 2025, from
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