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Annies Growing Organically Case Analysis

Introduction

Executive SummaryOne of the prominent and valuable remote site food service Annies Growing Organically Case Study Help particularly Annies Growing Organically Case Study Analysis is based in Oakville, Ontario. The president (CEO) and the chairman of the Annies Growing Organically Case Study Help has considered to prepare the quote for the housekeeping, catering and the janitorial services of the iron ore mine namely Gregory Mine that lies 320 kilometers north of Yukon, Canada. The Annies Growing Organically Case Study Analysis has been associated with the extremely competitive process of bidding. It is important to note that the earnings in the industry has actually reduced by 30% in 2015, since of the weak economy globally, in addition to the subsequent downturn in the costs of the natural resource product. It is considerably essential for the CEO to overcome the monetary analysis before going to select whether to submit a bid.

The case is occurring in year 20166 in Ontario, china. The case is taking place to examine the financials for the function of winning the quote for the Gregory Mine.

Key Decision (Problem or Opportunity) Considered by Stakeholders


The essential stakeholders of the Annies Growing Organically Case Study Help Incorporation is the chairman and CEO particularly Thomas young. The development of the Remote Site Food Service Market is approximated to be decreased by 7% in the upcoming years. It is to notify that the stakeholders at the Annies Growing Organically Case Study Help Incorporation needed to make the decision about getting the brand-new market chance in which the CEO and chairman of the Annies Growing Organically would be preparing to make the bid for housekeeping, catering and janitorial services for the Gregory Mine.

Pest AnalysisWhen making choice in order to handle the problem that has pertaining from the chance discussed above, it is known that there is a strong and intense in the competition Remote Food Service Industrywhich leads towards extremely competitive procedure of bidding specially in closing bidding, so the CEO of the Annies Growing Organically Case Study Analysis had faced with the concern of making the monetary analysis to make the quote either it might compete with the market rivals and will stay rewarding in the market or not.

Internal Analysis


The assessment of the Annies Growing Organically Case Study Analysis's strength and weakness would be utilized to examine the competitive position of the Annies Growing Organically Case Study Solution and establishing strategic preparation.

Strengths


The strengths of the Annies Growing Organically Case Study Solution are gone over listed below;

Annies Growing Organically Case Study Solution has more than 20 years of relevant competence and experience in the food industry.

Vrio AnalysisIt has a favorable and strong organisation relationship with the client along with clientswhich the Annies Growing Organically Case Study Solution has actually developed by utilizing its resources

The Annies Growing Organically Case Study Analysis has participated in various joint ventures and successful mergers initiative, which have actually led to increased market share, reinforced market image, increased capacity and market gain access to.

The primary customer of the Annies Growing Organically Case Study Solution is mining companies that have actually contributed to the revenues of Annies Growing Organically Case Study Help around 90%.

Weaknesses


The weaknesses of the Annies Growing Organically Case Study Analysis are discussed below;

The Annies Growing Organically Case Study Help has no backup strategy so to uncover the stable reduction in the future development.

The CEO and the chairman of the Annies Growing Organically Case Study Solution has actually been tiring with their retirement plans, hesitant and thus reluctant to find the solutions for Annies Growing Organically Case Study Help's lowered growth and reduced earnings returns.

Porter's 5 ForcesThe Compass Group PLC has threatened the Annies Growing Organically Case Study Help in a manner of catching the Remote Site Food Industry market.

The Aramark Corporation has actually threatened the Annies Growing Organically Case Study Solution in such a way of expanding in Canadian's Remote Website Food Industry market.

Last but not least, the Annies Growing Organically Case Study Analysis has dealt with the strong competition from the Sodexo SA.

Drivers in the Canadian Mining Industry as a Threat or Opportunity?


The crucial drivers in the Canadian mining market serves as a hazard or opportunity are evaluated below;

A reduction in crude oil prices / barrel


Considerably, the main export of Canada is the petroleum and during the year between 2014 and 2016, the prices of petroleum per barrel has minimized around 75.4 percent. The decrease in the rates of petroleum would probably cause reduction in the development of the Canadian crude oil market as a whole, which would likewise lead to the decrease in development of remote site food service industry as a whole.Apart from the danger, the around the world need for the petroleum would be increasing which develops substantial chance for the Annies Growing Organically Case Study Help.

Decline in Precious metal prices


The primary export product of Canada is rare-earth element and throughout the years in between 2010 and 2016, the prices of the precious metal has minimized around 18 percent. The reduction in the rare-earth element prices would probably lead to the decline in the development of the Canadian's precious metal industry, likewise result in the decrease in the development of the remote site food service industry as a whole. Apart from the hazard, the worldwide need for the precious metal purchases would be increasing which develops considerable chance for the Annies Growing Organically Case Study Analysis.

Volatility in prices and demand of Iron Ore


Swot AnalysisThe iron ore is one of the main exports in Canada and the rates of the iron ore has actually decreased around 63 percent. Such decrease in the costs would lead to the decrease in the growth of Canadian Iron ore market as a whole which produces threat for the Annies Growing Organically Case Study Help.

Risk of exchange rate


Over the past decade, it is to note that the Canadian dollar has actually diminished against the United States dollars around by 20 percent which in turn would result in the decrease in the future growth of mining industry as a whole, not just this it would also lead to the decline in the growth of the remote site food service industry, for this reason developing risk for the Annies Growing Organically Case Study Solution.

Competitive Analysis


There are numerous competitors of Annies Growing Organically Case Study Analysis Services Ltd. That includes Sodexo SA, Aramark Corporation and Compass Group PLC. These competitors develops competitive threat for the Annies Growing Organically Case Study Help through aim to take the market share of the Annies Growing Organically Case Study Help to strengthen their grip in the market and to optimize the market share.

Sodexo SA


It is an international corporation developed in 1966 based in Paris, France. Sodexo SA is concentrated on serving health centers, local schools in addition to restaurants. It has been running in around 870 countries. Considering that, the Canada remains in surroundings of France, making it easy for the Sodexo SA to catch the grocery store in Canada at any time in upcoming years. The danger or competitors strength is low.

Aramark Corporation


Aramark Corporation is one of the most significant corporation in the remote website food service industry founded in 1959 based in Philadelphia, United States. It is engaged in providing its food and support services to sports, business, health care, education and correlational industries in around 21 nations. Considering That, Aramark Corporation is the market leader in providing the professional services to its consumers, there is a possibility that the Annies Growing Organically Case Study Solution would go towards exploiting the growth resources and opportunities, thus creating medium level threat for Annies Growing Organically Case Study Solution.

Compass Group PLC


The Compass Group PLC is an international conglomerate established in the year 1941 based in Chertsey, England. One of the subsidiary of Compass Group PLC namely Eurest dinning services which has gotten the favorable action from the Listeria Monocytogenes in Ontario jails, this popularity would permit the Annies Growing Organically Case Study Analysis to catch the Ontario market in upcoming years, for this reason creating high level hazard for Annies Growing Organically Case Study Analysis.

Ratio Analysis for Annies Growing Organically Case Study Help.


The ratio analysis has carried out in order to evaluate the monetary health and state of the Annies Growing Organically Case Study Solution. The exhibition reveals that the Annies Growing Organically Case Study Analysis's total sales development has actually been reducing over the period of time. Because of the downfall of the industry and the decreasing trends towards the Annies Growing Organically Case Study Solution, this is.

It can be seen that the operating revenue margin of the Annies Growing Organically Case Study Solution is decreasing from 21 percent to 17 percent due to the significant decrease in the sales of the Annies Growing Organically Case Study Analysis. The net earnings margin of the Annies Growing Organically Case Study Analysis has been increasing from 11 percent to 21 percent which stipulates that the Annies Growing Organically Case Study Solution has actually efficiently cut the non-operating expense in the failure of the industry.

Differential Analysis


The differential analysis is performed showing the cost and revenues associated with each of business system and an operating profit from each system. The calculations are based upon two years and each annual earnings and cost is increased by 2 in order to get the overall cost and profits for 2 years contract. A differential analysis for all 3 business systems are supplied in exhibition.

It can be seen that the operating revenue produced from the housekeeping units is negative. The reasons for the unfavorable operating revenue is the low amount that is battery charger daily per person for the housekeeping service i.e. $75, therefore the total job's operating earnings is $1720942.

Return on Investment and Payback Period


RecommendationsThe repayment period and the roi for Gregory Mine chance has been computed. The financial investment for the job involves cleaning equipment, consistent acquired and linens. The operating cash flows of the project are computed based on the tax rate for year 2015. It can be seen that the return on investment for the task is 457 percent and the payback duration for the project is 0.21 years. The computations are supplied in exhibit.