Giuseppe's Original Sausage Company
1. What is Giuseppe Sausage Company’s Strategy?
Giuseppe’s Sausage company strategy is to start small and work up to a larger clientele by initially concentrating on high quality, unique specialty sausages customized for clientele in their local region. Smaller companies are able to offer a wider variety of specialty sausages because they are only concentrating on a smaller client base whereas larger companies tend to focus on producing a few varieties to cover a larger customer base. Giuseppe’s would only buy top of the line ingredients and developed their own special recipe using exotic meats and spices for production of sausages. Giuseppe’s product line consisted of more than 80 different sausage related products to be marketed to supermarkets, restaurants, casinos, and mail order/individual call in. Giuseppe strategy was to develop a reputation of being the best in the industry. To do this they focused on and provided what their customers wanted – customized specialty sausages, priced their products competitively – just a few cents above competitive prices, and prided themselves on being above average USDA and Health Department standards and regulations when it comes to cleanliness of the sausage making areas.
2. What is the nature and strength of the competitive forces confronting Giuseppe in the Memphis area specialty sausage industry? Is the Memphis area market attractive from the standpoint of offering Giuseppe attractive profit prospects?
The nature and strength of the competitive forces confronting Giuseppe’s in the Memphis area specialty sausage industry are:
1. Rivalry among competitors The sausage industry is a highly competitive market in Memphis. Already 25 to 30 major brands of sausages sold in the Memphis retail market. The major competitors included Bryan, Jimmy Dean, and Johnsonville. Competition among these companies is focused on price. Bigger companies with mass production are able to buy their
Giuseppe’s Sausage company strategy is to start small and work up to a larger clientele by initially concentrating on high quality, unique specialty sausages customized for clientele in their local region. Smaller companies are able to offer a wider variety of specialty sausages because they are only concentrating on a smaller client base whereas larger companies tend to focus on producing a few varieties to cover a larger customer base. Giuseppe’s would only buy top of the line ingredients and developed their own special recipe using exotic meats and spices for production of sausages. Giuseppe’s product line consisted of more than 80 different sausage related products to be marketed to supermarkets, restaurants, casinos, and mail order/individual call in. Giuseppe strategy was to develop a reputation of being the best in the industry. To do this they focused on and provided what their customers wanted – customized specialty sausages, priced their products competitively – just a few cents above competitive prices, and prided themselves on being above average USDA and Health Department standards and regulations when it comes to cleanliness of the sausage making areas.
2. What is the nature and strength of the competitive forces confronting Giuseppe in the Memphis area specialty sausage industry? Is the Memphis area market attractive from the standpoint of offering Giuseppe attractive profit prospects?
The nature and strength of the competitive forces confronting Giuseppe’s in the Memphis area specialty sausage industry are:
1. Rivalry among competitors The sausage industry is a highly competitive market in Memphis. Already 25 to 30 major brands of sausages sold in the Memphis retail market. The major competitors included Bryan, Jimmy Dean, and Johnsonville. Competition among these companies is focused on price. Bigger companies with mass production are able to buy their