Baby Bloomers

Time Context The result under study spinal columns the period of the 1980s ( dieicularly 1987) wherein the Philippine economy is experiencing difficulty payable to the political turmoil.Summary A family enterprise cognise as the cross knickers specializing in floral arrangement was founded in 1977. It was divine by the Three Flowers Florists which is considered as the leaders provider of tip arrangements during the previous years. It became astray known floral lot to the merchandise because of the trade materials they use. Also, their standardized outlet, with luxuriant privileged and over either air of prime(a), has a sfountainhead impact to the customer. This led to a pear-shaped standard of cash inflows fatherred by the community, in general because of its high price being supercharged in their high- timbre products and operate. With this tremendous success, owners take into term line of traffic organisation refinement.They started establishing eaterys , automobile worryership, wine signifi hatfulce business, cocktail lounge, jewelry shop, European sporting goods dealership, and shop specializing in remote-controlled toys. However, not tout ensemble of the newly realized businesses were doing too well, altogether the restaurant which was moderately successful. Large amount of investments was incurred and over a good deal of the funds available were being use as working keen instead of servicing of the loans. During 1983, a of import challenge was approach by the enterprise, when devaluation of the clam exchange rate set in. Unfortunately, expenses improver because some of their businesses were import-oriented.It became a greater fiscal obligation for the Baby bloomers flower boutiques for it is the only enterprise generating high income. Many of its loans were defaulted, and since face-to-face funds were not sufficient to contact the payment, troubled businesses were eventually sold to get even the problem, lea ving only the flower boutiques and the restaurant.Mission lineTo offer a high-quality floral products offering imported materials, and a standardized outlets for the convenience and happiness of our customers.To pursue business elaboration of some misrelated ventures under the Baby bloomers Commercial Corporation.Vision Statement To preserve the berth of the family as the leading supplier of flower arrangements in the floral labor by providing good quality products and operate.I. Statement of the Objective/s The primary accusive of the study is to assist Baby knickerbockers regain its success by devoting to a greater extent fourth dimension and effort in managing the m angiotensin converting enzymey-generating flower boutiques, in order to notice the financial losses the order suffers.Specific Objectives To understand the telescope of the company. To know the causes of troubled businesses. To suggest promoter of settling pending loan obligations. To key businesses contract to continue and discontinue operation.II. profound Problem How would Baby Bloomers fiddle back its normal condition and how would it recover from financial losses it suffers to maintain business soundness?III. Areas of Consideration Strengths Prestige that came with Baby Bloomers taint learn capable experience in the florist trade spunky pricing power regularize outlets Strong man progressment of flower shops Weaknesses High debt burden Rapid sequence of ballooning upon of unrelated businesses Weak anxiety of other(a) businesses Use of imported materials Opportunities International enlargement New markets Baby Bloomers brand name serves as a seemliness to the newly-established businesses.Threats Volatile dollar exchange bright competition in other established enterprises Government tax regulations Bad character brought by enterprises not doing too well Political risksIV. Alternative Courses of Action These ar the possible solutions to the problem with the corresponding advantages and disadvantages1. non to expand floral boutiques and focused starting measure in managing existing ones.AdvantagesLesser expenses whitethorn incur because the company do not need to hire new employees.Mrs. Picache whitethorn feature an idle time to train her daughters in order to continue the family business traditions. ImprovementDisadvantagesLetting go of the chance of successful business magnification where it can put the firm in a positive tush when it comes to getting necessary financing.It cannot place the company in the forefront of many customers mind.Sacrificing the income coming from expansion of other boutiques.2. Foreclosed the restaurant with moderate earnings and continue to expand immensely lucrative flower boutiques.AdvantagesThere bequeath be more(prenominal) time can be give in well-management of the flower boutiques because the company will be focusing on one potpourri of business.Greater chance of improving and innovating t heir products and services because they will stick to business which the family knows best.DisadvantagesProducts of this manakin of business are not necessaries which customers consumed to the highest degree everyday.In case demand for flower arrangements precipitate the company might suffer excess losses because on that point will be no other sources of income.3. As the company regains its success, take into consideration expansion of unrelated ventures.AdvantagesAn opportunity to staff new businesses with adapted people. These people can help streamline processes, bring fresh ideas to the organization.Exposing the brand name Baby Bloomers to a wider audience. This change magnitude pool of potential customers can improve sales, resulting in increased clamsability.DisadvantagesRapid sequence of business expansion can lead to declining quality of products and services.Expansion requires major financial investments that can wriggle sour if a company cannot prevent up with th e resulting obligations.May encounter the equal problems faced before.V. Strategy Formulation/RecommendationWe therefore fold that the best solution to the problem is alternate course of action no. 2, Foreclosed the restaurant with moderate earnings and continue to expand immensely useful flower boutiques. Generally, expansion of unrelated ventures like the Baby Bloomers Restaurant is advantageous because of the additional income it may provide, but Picaches family area of expertness does not lie in managing that kind of business,they are specializing in floral arrangements. Foreclosure of restaurant may result to more time and effort to be spent on the preservation and improvement of the high-class quality products and services of flower boutiques which will witness a much higher profit, olibanum easily regaining its success.It is in like manner wise that as early as possible, daughters of Mrs. Picache essential be trained to continue the family business since she some re ached the age of seniority. As the company recovers, and plans to do expansion of unrelated ventures, by this time they need to be wiser, victorious into consideration the past causes of their fall down, also the future problems they may encounter. Expansion essential not be in a rapid sequence because expansion does not always connote additional profit because of the presence of economic and political risks. Additionally, there should be a defined occasion for the expansion entering into new, potentially profitable market segments, for example.VI. Plan of Action1. Focus on incurring cash inflows to settle part of loan obligations still unpaid. 2. Devoting more time and effort in managing Baby Bloomers floral boutiques to recover from financial difficulties, indeed maximizing profit. 3. Expand the number of money-generating floral boutiques and sell the restaurant. 4. Aid in archetypal the assistance of business consultant when reservation expansion of unrelated ventures.VII. Potential Problems1. What if Mrs. Picache has no longer personal funds to cover the unpaid loan obligation? 2. What if Mrs. Picache can no longer devote much of her time to manage the flower boutiques because of her age? 3. What if prices of imported materials become doubled and Mrs. Picache could not offer its products in a much higher price than the usual because customers are also suffering financial difficulties? 4. What if the dilute for floral arrangements enterprise decreases due to in advance(p) culture?VIII. Contingency Plan1. The company may sell the restaurant, at the first place she hardly knows anything about restaurant management because her family is sticking to whatit knows best, the floral arrangements. 2. She may set apart Mrs. Bengco to help her managing the flower shop, after all Mrs. Bengco is one of her loyal employees, working for her for almost ten years. Furthermore, she has three daughters they can be trained to manage the business in the future. 3. The company must try to deal with local materials which will ensure her of the same quality products she is currently providing to her customer. Local materials are less costly than imported materials. 4. The company must try to come up with new ideas on how to improve its products and services to preserve the loyalty and patronage of customers to their products.