Zandinger Case
QUESTION 1:
Applying the theories and concepts learned in class, we realized that there are five crucial factors determining success of an entrepreneurship, namely: Opportunity Identification, Goals Setting and Action Planning, Personal Factors and Self-Motivation, Leadership, Persuasion and Negotiation Tactics. We shall analyze in details the impacts of each factor on the two ventures founded by Geoff Knox, which are “Sweet House” and “Zandinger!”.
PART A: Sweet House is a confectionary distributor/broker that brings candies to its end customer through an innovative distribution channel. It was able to do so by partnering with non-profit charities to employ the concept of “Honesty Box” in places such as dry cleaners, pubs, restaurants, barber shops…. A portion of the proceeds from candy sales will be contributed to the charities. Being the first to bring this innovative model to New Zealand, Sweet House has been able to capture a niche and profitable market with no existing competitors in the initial stage of market penetration. After four years of operation, the Sweet House has been successful in expanding nationally with total sales of NZ$4 million. The innovative business idea of Honesty Box, together with the human factor, has played an important role in the success of Sweet House.
1. Opportunity Identification:
a. Prior Experience: Five years in the confectionary industry as a sales manager in Pro-Life Foods - a large New Zealand food manufacturer has allowed Geoff to gain a deep insight into the industry and create strong network with candy manufacturers and retailers. Realizing the high gross profit margins of candy and the buying behaviors of customer, Geoff thought of a way for distributing candy through nontraditional outlets, which then led to business idea of Honesty Box. Apart from industry experience, Geoff’s prior sales experience has enhanced his communication, persuasion and negotiation skills, which are all necessary in dealing with
Applying the theories and concepts learned in class, we realized that there are five crucial factors determining success of an entrepreneurship, namely: Opportunity Identification, Goals Setting and Action Planning, Personal Factors and Self-Motivation, Leadership, Persuasion and Negotiation Tactics. We shall analyze in details the impacts of each factor on the two ventures founded by Geoff Knox, which are “Sweet House” and “Zandinger!”.
PART A: Sweet House is a confectionary distributor/broker that brings candies to its end customer through an innovative distribution channel. It was able to do so by partnering with non-profit charities to employ the concept of “Honesty Box” in places such as dry cleaners, pubs, restaurants, barber shops…. A portion of the proceeds from candy sales will be contributed to the charities. Being the first to bring this innovative model to New Zealand, Sweet House has been able to capture a niche and profitable market with no existing competitors in the initial stage of market penetration. After four years of operation, the Sweet House has been successful in expanding nationally with total sales of NZ$4 million. The innovative business idea of Honesty Box, together with the human factor, has played an important role in the success of Sweet House.
1. Opportunity Identification:
a. Prior Experience: Five years in the confectionary industry as a sales manager in Pro-Life Foods - a large New Zealand food manufacturer has allowed Geoff to gain a deep insight into the industry and create strong network with candy manufacturers and retailers. Realizing the high gross profit margins of candy and the buying behaviors of customer, Geoff thought of a way for distributing candy through nontraditional outlets, which then led to business idea of Honesty Box. Apart from industry experience, Geoff’s prior sales experience has enhanced his communication, persuasion and negotiation skills, which are all necessary in dealing with