Question

In: Operations Management

The Cold Zone is a small manufacturer of refrigerated food cases for grocery stores serving a...

The Cold Zone is a small manufacturer of refrigerated food cases for grocery stores serving a regional area in the Northeast of the United States. Presently, their product lines consists refrigerated cases for the deli department and the fresh meat departments.
They would like to add 2 new products to their company in order to grow their business and add new customers but they aren't sure what to do or where to begin.

You are a consultant who has been hired to make a recommendation on the new products and the corresponding new customers.

Your task:

  • Conduct research on the grocery and refrigerated case industry to learn background on both areas and research potential areas of growth.

Make a proposal to The Cold Zone, Your proposal should include the following:

  • Summary of your research about the grocery industry and potential areas of growth.
  • Your 2 product recommendations and why you determined these are the best options.
  • Explain how these 2 new products will help the company achieve growth.

Solutions

Expert Solution

After reading the case, In grocery stores, many kinds of things are need to store in a cooled environment like ice creams, cold drinks, and another cold beverage. The growth of grocery markets depends on customer satisfaction. To increase the satisfaction level, they need to buy these cases.

Refrigerate case industry makes cases to store things in a relaxed environment. The refrigerant case industry is manufacturing only small claims, and these are not cost-effective for the grocery business. For growth, they will need to develop a situation that can store a large number of things.

The cold zone should develop an ample quantity refrigerant for store the grocery product and a portable medium size meat box for cooling.

In the grocery meat, ice cream, and cold drinks required to store in a relaxed environment, and the refrigerant case should cost-effective.

These two products are the best option because the company is already dealing with refrigerator cases, but as per the grocery demand, they will need to build these products. These are helpful for both grocery and Cold zone companies.

These products are also not required to use more different raw materials and technology for production.

These two new products will help the company to achieve growth because it is a local company, and it may develop cost-effective products with the latest technology. The company will not be required to pay more tax compare to another big international brand. It may gain more profit by serving cost-effective products.


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