Case No. 2 I. Background of the Study
Elizabeth McDoogle founded Biddy’s Bakery in 1984. The operation initially started as a hobby by her and a group of her friends. The small production and sales facility was housed in a mixed commercial and residential area on the first floor of Elizabeth’s home.
The operation was arranged as a job shop. Most of their customers placed advanced orders. The bakery’s specialty was the McDoogle pie, a rich chocolate confection in a cookie crust.
II. Statement of the Problem
With Biddy’s positive anticipation that the bakery’s market will continually increase and expand further, Biddy’s Bakery rapidly outgrew its current capacity. An adjacent building was procured in May of 2000 and the entire operation moved in the much larger facility. However, by the end of that same year, she found out that her sales expectation had not been met, and that she was paying for a facility with unused space.
III. Alternative Courses of Action
Considering their current location of Biddy’s Bakery, Elizabeth could opt to continue occupying the much larger facility and go after the proposal made known by the team of business students.
Elizabeth could choose to stay in newly purchased building and persist on her old ways of bringing up her operation. Then, decide on opening the unused facility for lease.
Another option could be is to revert to their previous location, which is to situate Biddy’s Bakery in Elizabeth’s house and sell the building.
IV. Analysis for the Courses of Action
It was given that the adjacent building was already being purchased by Elizabeth. But as far as wise decision making is concern she could have planned and studied her possible attempt of moving into a much larger facility. This has something to do particularly on the layout plan of the whole structure, determining whether the space is sufficient, insufficient, enough or more than enough to its demand.
When determining whether to relocate the