Question

Number of words required: 950

Resources: Pull the financial statements of 3 companies in the industry that you are interested in entering. Try to find companies that are pursuing different strategies.

· Examine Purina's business models and see if you can identify the drivers that they are influencing to achieve their strategy.

· Explain what you learned about Purina's revenue model, cost model, product mix, distribution channels, partners, target customers, and value proposition.

· Examine Blue's business models and see if you can identify the drivers that they are in?uencing to achieve their strategy.

· Explain what you learned about Blue's revenue model, cost model, product mix, distribution channels, partners, target customers, and value proposition.

· Explain what useful new elements you can incorporate into your business model.

· Discuss how these elements tie to your strategy.

Note: The companies mentioned above are dog's food.

Answer 1

1. Purina's Business Models : Their efficient operations are safeguarding water, waging war on waste,reducing energy use (solar), recycling of their containers, high quality check to avoid losses,best place to work as recognized by St. Louis Business Journal. Revenue & cost model :suppliers of pet food & pet supplies, monetary contributions to pet related charities & other organizations. Distribution channels are mainly in U.S. & so are customers all world wide. Value Propsition is the quality of their food.

2.Blue's Business Model : Their efficient models are only use best sources of fats, high quality oriented, products made with finest natural ingredients, a big NO to corn wheat or soy, artificial flavours in food in an attempt to make it look or taste better. Revenue & Cost Models: billion dollar brand with sales at retail levels. The best natutal food is prepared and a great competitor in industry.Distribution Channels in whole U.S & world wide customers. Value Proposition is all foods are naturally made up i.e no artificial flavours added.

The 3 companies that should be entered :

1. Well Pets

2. Big Heart Pet Brands

3. Diamond Pet foods

In all three companies after analysing, the advertisements costs of their respective products need to be increased.