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Case analysis julie s bakeshop composition

Executive Summary

Julies Bakeshop has been regarded in the Philippines for over 3 decades for its quality products. It is a strong manufacturer in the bakeshop industry. But as time passes by, one of the biggest issue of JBS was the financial instability that led to the gradual embrace the prices in the raw materials which have been the major materials and products in the production of the bread. These kinds of raw materials are definitely the LPG, sweets, dough and the like. JBS was known for the quality and affordable goods, and now, their particular dilemma is definitely how they can deal with with the requirements of the buyers knowing that the price tag on production gets costly.

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This can be a challenge pertaining to JBS to manage up with this knowing that a lot of the consumers patronize their products due to its quality and low price. One of many problems in this instance also is that many of the people especially in all their Imus, Cavite branch have low purchasing power.

Not only that, people nowadays are getting health-conscious and they want something that could cater their particular demands. To vent out these complications, we have think of alternatives. Initially is to boost the price from the breads and pastries. The other alternative is to make the products smaller in terms of grams. And this will be a challenge intended for JBS since they are recognized to get the good requirements of their items. But still, the alternative courses pertaining to JBS to consider are, they should imagine some methods to maintain the top quality standard with their products by simply minimizing their costs whilst maximizing their very own profit. Alternative ingredients that remain approved by BFAD is a good factor to weigh and buying equally is also a benefit.

JBS also needs to grab the chance of the overall health consciousness concern of the people by making all of them a different target audience and create healthier breads like whole wheat breads and gluten-free breads and pastries. By doing so, JBS may easily fulfill the consumers and entice even more potential customers. Resulting from all of these alternatives, the cost of creation will be reduced, the demand of their products may possibly increase and also the purchasing power of their buyer. Given these kinds of solutions, it will help JBS to still produce quality and high regular products in its affordable price and maintain a good graphic in the bakeshop industry. Also, the generation of income is anticipated to increase if these alternatives are performed.

Introduction

Julie’s Bakeshop offers over 30 years of experience inside the bakeshop market. It was just a small bakeshop before and grew to become part of the Filipino’s everyday activities. Now, JBS have expanded and there are over 500 Julie’s Bakeshop (JBS) operated can be 130 franchisees all over the Israel. It is unquestionably the Philippine’s strongest bakeshop brand and the country’s greatest bakeshop string. Julie’s Bakeshop’s (JBS) was obviously a strong Filipino brand as well as its leadership in the neighborhood bakeshop category is unquestionable. The countless innovations prove quality products and best practices JBS introduced when it started in 81 are now regarded standard and imitated by simply all other bakeshops. And while other folks are still catching up, JBS is not only expanding in the Korea but offshore as well. Ultimately, the foundation because of its extreme recognition is the preference and top quality of it is bread goods.

Years of knowledge has led to the perfection of any proprietary Julie’s Blend that caters to the varying and discriminating taste buds of our customers. JBS was known for their quality and fresh products. Keeping with the criteria of the initial Julie’s Bakeshop in 81, the current plant of Julie’s Bakeshop branches operate with expert assistance from a Research and Advancement Department that continually improves and kitchen-tests their product line in a full-scale baking clinical. Thirty years and hundreds of kitchen-tested bread kinds later, Julie’s Bakeshop presently offers an substantially expanded wide array of products. Now, dealing with the changing market, they cannot offer just breads but now a wide variety of pastry products.

Trouble Statement

The economic instability that is one of the biggest problems today wherein the prices of LPG, sugar and many of the recycleables that is used in the production of breads and pastries of Julie’s Bakeshop has been steadily increasing. It is known that a majority of of the customers buy from Julie’s Bakeshop not only because of the quality but also for the reduced price. As well most of the people have low getting power particularly in the Imus, Cavite branch.

To be able to address this problem, there are two alternatives that have been made. Initially is to boost the price from the breads and pastries. The other option is to make the products smaller in terms of grms.

Issues

1 ) Because of the embrace the prices with the raw materials used in the production of bread, Julie’s Bakeshop is in turmoil whether to give up the standard quality regarding size in grams of their bread or to give up their very own competitive benefit of offering low prices for their bread and pastries. 2 . The change in the planet wherein the people nowadays become more health conscious has affected Julie’s Bakeshop. Those who are more health-conscious tend to avoid eating loaf of bread. 3. The lower purchasing benefits of consumers in Julie’s Bakeshop especially in their particular branch in Imus, Cavite will be influenced if ever they will decide to enhance their price in order to compensate with all the high costs of production.

Option Courses of Action

Alternative you: Since the prices of the recycleables are increasing, Julie’s bakeshop should think about some methods to maintain the good quality standard of their products simply by minimizing their particular costs although maximizing all their profit. Useful to them some of substitute ingredients for the production of their products that have been still approved by BFAD. Buying in bulk is also an advantage. By doing so, the cost of each raw material is definitely reduced, which means you are receiving more of your money. Alternative 2: Grab the ability of the those people who are now progressively more health conscious by looking into making them a different target market and make breads that are much healthier like wheat breads and gluten-free breads and pastries. By doing so, the bakeshop could quickly cope up with the environment because of the satisfaction with their customers in their products and services. As a result, the demand with their products may well increase while well as the purchasing benefits of their customer.

Recommendation

Julie’s Bakeshop is recognized as the most effective bakeshop manufacturer and the most significant bakeshop chain in the Korea. Because of their success in the industry for approximately 30 years, these were able to franchise 130 bakeshops all over the country. However, because of the changing environment, Julie’s bakeshop had not been able to cope up with the environment. To resolve this matter, they should always consider their particular customers’ requirements and wants so that they can very easily cope up using their changing lifestyles. Having a exploration on their target market might help these people in making decision about their products and services. Proper concentrate on segmentation must be observed in distributing their products. Another issue is approximately the increasing prices of raw materials essential for production. To keep up the good picture of their business, the bakeshop should consider having alternative methods of their products to avoid economic instability. They need to always make a clear setup of their action plan to come up with an excellent result. Alternate courses of actions must be accomplished. Given the next solutions, there’s a possibility the bakeshop may increase their product sales volume although generating income.

Theories Utilized

TOWS Analysis

PEST Evaluation

PERSONAL

On the government side, Julie’s bakeshop was able to abide by the government’s requirement of signing up for BMBE. Nevertheless besides that, Julie’s bakeshop was also able to inspire all franchisees to become a BMBE or Barangay Micro Company member and follow the BFAD approved ingredients.

Economic Factors

Despite Julie’s Bakeshop’s achievement in its market of making breads, the financial instability each of our country is definitely facing today wherein prices of LPG, sugar and most of the recycleables used in the availability of bread is gradually raising is setting up a dilemma for them. Because of the low purchasing power of their customers specially in Imus, Cavite, Julie’s has become thinking of both increasing the price of their breads which should go against their positioning in the market of having reasonably priced breads or decreasing the size of their bread in terms of grams without having to increase the price nevertheless decreases the standard of top quality that they at the moment offer.

Socio-Cultural

With the quickly changing environment, there is also a change in the landscapes of people, many them be health conscious that is why Julie’s noticed the opportunity to make a better image to this portion perhaps by producing more healthy varieties of bread. This produces a challenge pertaining to Julie’s Bakeshop on diversifying their kinds of bread devoid of compromising the tastes of each and every market portion.

Technological

Through the help of new-technology available today, Julie’s Bakeshop creates bulk numbers of bread by using mixers, rollers and kneaders that makes the availability a lot easier and faster. With the aid of new baking products, it could make the making process more beneficial and useful that increases productivity. With this being available, Julie’s should think about alternatives pertaining to the costly raw materials in able to allow for consumers with low purchasing power by taking advantage of this kind of technology.

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