and many distributors and wholesalers engage in some of their own production. The fragmentation within the channels of distribution results in a rather inefficient distribution system. This gap in the fresh flower market structure was noticed by Ruth Owades who capitalized by creating Calyx & Corolla (C&C)‚ which is a true departure from traditional channels of distribution. The business model of C&C is as follows: orders from customers are received by telephone‚ fax‚ or mail at the central office
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Calyx & Corolla Case Strength: Management Team Ruth Owades- HBS graduates‚ CML Group former director of marketing in retail and direct mail business; successful launched “Gardener’s Eden” under Williams-Sonoma‚ a direct mail business focused on garden implements and accessories. Through her great understanding of direct mail flower business‚ she maintained great relationships with both Growers and Federal Express‚ including growers training and negation on deliver method such as online-tracking
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Ruth Owades INTRODUCING THE FOUNDERS Ann Hayes Lee o Marketing Head - Involved in selection of inventory and pricing o Strategist - Devised the catalog mailing plan Fran Wilson o Creative Head - Created six catalogs per year o Responsible for Oversees merchandising development‚ marketing programs and indirect mail initiatives. o Operations - Created unique yet crucial systems; in charge of customer orders and service and day to day communications with growers‚ systems development
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channels of producer to local distrbutor to retailer. Calyx & Corolla linked consumers and growers directly via Federal Express. Reduced substantially the amount of time it took for flowers to be delivered. Owades wanted only ‘the best growers’ and in Federal Express ‘the number one air carrier’. Owades built a strong partnership between these three groups. Communication between growers and Calyx was strong. Calyx sent demand forecasts while growers provided information about insufficient stocks so
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Barcelona School of Management Master of Science in Management CALYX & COROLLA Study Case for Practical Session October – 2012 Background history Calyx & Corolla is a company that sells fresh flowers by mail‚ which was founded in 1988 by Ruth Owades. She had 18 investors who had provided her $2 million in capital to launch the company. By 1990‚ they raised $10 million in sales. The major point of success behind the company was that they have changed the way of flower distribution by directly
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Company: Founded in 1988 by Harvard Business School graduate Ruth Owades‚ Calyx and Corolla (C&C) pioneered the concept of mail order flowers which were sent directly from the grower to the consumer through a partnership with Federal Express (FedEx). When she founded the company‚ Owades enlisted two other women to form a small but capable management team. Fran Wilson‚ a Harvard Business School graduate‚ was brought in as Vice President of Operations‚ and Ann Hayes‚ a twenty year veteran of the
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AGRI-BUSINESS MANAGEMENT ASSIGNMENT I CASE ANALYSIS CALYX AND COROLLA Submitted to: Submitted by INSTITUTE OF RURAL MANAGEMENT ANAND INTRODUCTION Calyx and Corolla (C&C) is a company started by a entrepreneur‚ Ruth‚ M. Owades in 1988 which delivers flowers to the end customers using the courier service provided by Fed ex. Customers are provided with an option to order fresh flower and bouquets from a four-color catalogue by placing an order to the company‚ which also shows floral
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Calyx & Corolla formula 1. What are the strengths and weaknesses of the Calyx & Corolla formula? Strengths ●Through working closely with the supplier or grower Calyx & Corolla provides a much fresher product to the customer than their competitors. Through Federal Express Calyx & Corolla have an excellent relationship with the growers. Calyx & Corolla uses 30 quality growers to supply their flowers. The top eight of these growers supply close to 80% of their
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come across bad climate and the demand is more than supply‚ they will be in trouble and delay some of the order. 3) They don’t have quality control on the flowers. 4) They depends too much on growers and Federal Express. 3. What steps should Ms. Owades and her associates take next to more fully develop Calyx & Corolla? If Calyx & Corolla want to become larger‚ they can be growers themselves at different places of the world so that they can supply the flowers in demand and the quality is ensured
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©2008 by Alexander Chernev. Professor Alexander Chernev (Kellogg School of Management‚ Northwestern University) prepared this case solely as the basis for class discussion. This case is not intended to serve as an endorsement‚ source of primary data‚ or an illustration of effective or ineffective management. The data presented in this case have been modified and should not be used beyond the scope of a case discussion. To request permission to reproduce materials‚ e-mail permissions@marketingcases
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