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Karatu Coffee Company in Tanzania: What Strategy Next?
By: Manuel Siegrist, Gary Bowman, Colette Southam, Paul W. Beamish
In 2018, the founder and owner of the Karatu Coffee Company needed to decide what to do next with his company. He was considering several options: increasing the tourism part of the business, growing…
- Length: 12 page(s)
- Publication Date: Mar 6, 2020
- Discipline: Strategy
- Product #: W20149-PDF-ENG
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In 2018, the founder and owner of the Karatu Coffee Company needed to decide what to do next with his company. He was considering several options: increasing the tourism part of the business, growing the original farm, pursuing a property development project in the capital city, or simply selling out and walking away. The company, located in Tanzania, began as a coffee farm, expanded into tourism with a remote, idyllic coffee lodge, and then brought coffee and tourism together with a bustling inner-city coffee house, which also housed a boutique hotel. The final phase of expansion included the purchase of high-quality coffee equipment and highly-prized roasting facilities to capture a larger share of the coffee value chain. The owner's decision would require insights into both the coffee industry and Tanzania itself.
Learning Objectives
The case is best suited to international business and strategic management courses. The role of the emerging economy and the limited scope of the company lend themselves to early use in undergraduate- and graduate-level courses. After working through the case and assignment questions, students will be able to undertake a strategic assessment of the alternatives facing a mature small- or medium-sized enterprise; understand the coffee industry value chain and its vertical integration; learn about doing business in an emerging economy; and undertake a risk assessment at the country and industry levels.
Mar 6, 2020 (Revised: Aug 23, 2020)
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W20149-PDF-ENG
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Karatu coffee company in Tanzania: What strategy next?
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- Karatu Coffee Company in Tanzania: What Strategy Next? (French Version)
- Karatu Coffee Company in Tanzania: What Strategy Next? (Spanish version)
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- Tanzania Business & Economics 100%
- Coffee Business & Economics 93%
- Tourism Business & Economics 16%
- Value Chain Business & Economics 14%
- Emerging Economies Business & Economics 14%
- Farm Business & Economics 14%
- Strategic Management Business & Economics 13%
- Vertical Integration Business & Economics 13%
T1 - Karatu coffee company in Tanzania: What strategy next?
AU - Siegrist, Manuel
AU - Bowman, Gary
AU - Southam, Colette
AU - Beamish, Paul W.
PY - 2020/3/4
Y1 - 2020/3/4
N2 - In 2018, the founder and owner of the Karatu Coffee Company needed to decide what to do next with his company. He was considering several options: increasing the tourism part of the business, growing the original farm, pursuing a property development project in the capital city, or simply selling out and walking away. The company, located in Tanzania, began as a coffee farm, expanded into tourism with a remote, idyllic coffee lodge, and then brought coffee and tourism together with a bustling inner-city coffee house, which also housed a boutique hotel. The final phase of expansion included the purchase of high-quality coffee equipment and highly-prized roasting facilities to capture a larger share of the coffee value chain. The owner's decision would require insights into both the coffee industry and Tanzania itself.Learning Objective:The case is best suited to international business and strategic management courses. The role of the emerging economy and the limited scope of the company lend themselves to early use in undergraduate- and graduate-level courses. After working through the case and assignment questions, students will be able to- undertake a strategic assessment of the alternatives facing a mature small- or medium-sized enterprise;- understand the coffee industry value chain and its vertical integration;- learn about doing business in an emerging economy; and- undertake a risk assessment at the country and industry levels.[Extract]On a late summer evening in 2018, Peter Fischer sat in the Karatu Kahawa Lodge in the Arusha region of northern Tanzania, sipping on a cappuccino. As the sun drifted beyond the Great Rift Valley, he pondered the future of his business, the Karatu Coffee Company (KCC): “I have spent half my life working on getting this company to where it is today. Finally, I can see some results, and I can harvest what I have sowed. The company is well established and financially sound. As I approach retirement age, the big unanswered question remains—what should I do next?”
AB - In 2018, the founder and owner of the Karatu Coffee Company needed to decide what to do next with his company. He was considering several options: increasing the tourism part of the business, growing the original farm, pursuing a property development project in the capital city, or simply selling out and walking away. The company, located in Tanzania, began as a coffee farm, expanded into tourism with a remote, idyllic coffee lodge, and then brought coffee and tourism together with a bustling inner-city coffee house, which also housed a boutique hotel. The final phase of expansion included the purchase of high-quality coffee equipment and highly-prized roasting facilities to capture a larger share of the coffee value chain. The owner's decision would require insights into both the coffee industry and Tanzania itself.Learning Objective:The case is best suited to international business and strategic management courses. The role of the emerging economy and the limited scope of the company lend themselves to early use in undergraduate- and graduate-level courses. After working through the case and assignment questions, students will be able to- undertake a strategic assessment of the alternatives facing a mature small- or medium-sized enterprise;- understand the coffee industry value chain and its vertical integration;- learn about doing business in an emerging economy; and- undertake a risk assessment at the country and industry levels.[Extract]On a late summer evening in 2018, Peter Fischer sat in the Karatu Kahawa Lodge in the Arusha region of northern Tanzania, sipping on a cappuccino. As the sun drifted beyond the Great Rift Valley, he pondered the future of his business, the Karatu Coffee Company (KCC): “I have spent half my life working on getting this company to where it is today. Finally, I can see some results, and I can harvest what I have sowed. The company is well established and financially sound. As I approach retirement age, the big unanswered question remains—what should I do next?”
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Karatu Coffee Company in Tanzania: What Strategy Next? PESTEL Analysis
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In 2018, the founder and owner of the Karatu Coffee Company needed to decide what to do next with his company. He was considering several options: increasing the tourism part of the business, growing...
Karatu Coffee Company in Tanzania: What Strategy Next? case study written by By Caren Scheepers and Luthando Jama and has business operations that directly and indirectly are impacted by Russia Ukraine war. Some of the PESTEL Analysis factors that are impacting the Karatu Coffee Company in Tanzania: What Strategy Next? business environment are – War in Russia and Ukraine, loss of market opportunities in Russia & Ukraine, increasing defence spending , high inflation , rising housing debt and increasing mortgage rates, increasing wages and risks of stagflation , big tech shares collapse , high government debts , diversification of supply chain because of both Covid and Russia Ukraine war , increasing food and fertilizer prices , crypto currency frauds and crash , financial collapse in emerging markets , and technological changes such as ChatGPT and AI Check out more Harvard Business Review Case Studies Solutions
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Karatu Coffee Company in Tanzania: What Strategy Next?
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Product Description
Publication Date: March 06, 2020
Source: Ivey Publishing
Industry: Agriculture sector
In 2018, the founder and owner of the Karatu Coffee Company needed to decide what to do next with his company. He was considering several options: increasing the tourism part of the business, growing the original farm, pursuing a property development project in the capital city, or simply selling out and walking away. The company, located in Tanzania, began as a coffee farm, expanded into tourism with a remote, idyllic coffee lodge, and then brought coffee and tourism together with a bustling inner-city coffee house, which also housed a boutique hotel. The final phase of expansion included the purchase of high-quality coffee equipment and highly-prized roasting facilities to capture a larger share of the coffee value chain. The owner's decision would require insights into both the coffee industry and Tanzania itself.
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In 2018, the founder and owner of the Karatu Coffee Company needed to decide what to do next with his company. He was considering several options: increasing the tourism part of the business, growing the original farm, pursuing a property development project in the capital city, or simply selling out and walking away. The company, located in Tanzania, began as a coffee farm, expanded into ...
On a late summer evening in 2018, Peter Fischer sat in the Karatu Kahawa Lodge in the Arusha region of northern Tanzania, sipping on a cappuccino. As the sun drifted beyond the Great Rift Valley, he pondered the future of his business, the Karatu Coffee Company (KCC): "I have spent half my life working on getting this company to where it is ...
This strategy can help the organization in HBR case study Karatu Coffee Company in Tanzania: What Strategy Next? to win customers' trust and confidence, especially in multi-cultural countries and regions. This is an effective marketing strategy to get an edge over other existing competitors as not all have the budget to target various segments.
Abstract. This is a Simplified Chinese version. In 2018, the founder and owner of the Karatu Coffee Company needed to decide what to do next with his company. He was considering several options: increasing the tourism part of the business, growing the original farm, pursuing a property development project in the capital city, or simply selling ...
The global production of coffee was very fragmented, with about 25 million farm shareholders making a living from growing coffee. 5 Five million people were involved in the Brazilian coffee industry alone. Brazil was the world's largest producer of green (unroasted) coffee, producing twice as much as Vietnam,
CASE III: LARGE-SCALE COFFEE FARM. PRIVATE INVESTMENT WITH LOAN-BASED DEVELOPMENT FINANCE, KARATU, TANZANIA ... labourers in local farms in Karatu is 1.74 USD/day, and 2.08 USD/day at . ... company. Secondly, the coffee estate investment can be characterised as having an investor
In 2018, the founder and owner of the Karatu Coffee Company needed to decide what to do next with his company. He was considering several options: increasing the tourism part of the business, By continuing to use our site you consent to the use of cookies as described in ...
The question of how small and medium enterprises (SMEs) in the agri-food sector successfully develop and grow their business is a matter of high practical and theoretical relevance. The current paper…. Expand. 1. PDF. 3 Excerpts. Semantic Scholar extracted view of "Karatu coffee company in Tanzania: What strategy next?" by M. Siegrist et al.
The Karatu Coffee Company in Tanzania What Strategy Next? case study is a Harvard Business Review case study, which presents a simulated practical experience to the reader allowing them to learn about real life problems in the
The increase in wages has made it difficult for Karatu Coffee Company in Tanzania: What Strategy Next? to drastically cut costs without impacting the operational performance. There are numerous case studies in the industry, when companies are failed to cut costs fast enough to remain viable in a slowing economy.
https://casestudieshelp.blogspot.com/Karatu Coffee Company in Tanzania What Strategy Next? Harvard & Ivey Case Study Solution & Online Case Analysis.We are a...
Business. Operations Management. Operations Management questions and answers. Case study 2: Karatu Coffee Company in Tanzania: What Strategy Next? (Product #: W20150, Ivey Business School, University of Western Ontario,Ontario, Canada)Discussion Questions:1. How would you assess Fischer's strategic decisions and the performance ofKCC?2.
Case study 2: Karatu Coffee Company in Tanzania: What Strategy Next?(Product #: W20150, Ivey Business School, University of Western Ontario,Ontario, Canada)Discussion Questions:1. Appraise the Tanzanian business environment as it has evolved over the past30 years. What are the greatest risks and sources of uncertainty? What are thegreatest
Industry: Agriculture sector. In 2018, the founder and owner of the Karatu Coffee Company needed to decide what to do next with his company. He was considering several options: increasing the tourism part of the business, growing the original farm, pursuing a property development project in the capital city, or simply selling out and walking away.
Role The case is about Karatu Coffee company and the general chronology of events since its inception. The case also describes the various events that have taken place in Tanzania both in the political and the economic aspect of the society. The case study describes the various governments or leaders and how their policies affected the business and the coffee industry at large.
Apply porter's five forces model of Karutu Coffee Company Coffee tastes and preferences had become refined over the years; quality had improved significantly, and the quantity consumed had experienced startling growth. on an average 2.5 million cups of coffee are consumed every day. Their margin was usually around 0.5-1 per cent, regardless of price.
Karatu Coffee Company Case Analysis Busn 450-CC58 Spring Andrey Kuksin Submitted to: Jeff Ryan Company Background Karatue Coffee was established in 1986 when Peter Fischer acquired the farm. Fischer quickly pushed for the expansion in 1990 by adding a 4 room Lodge with a bar, a restaurant and a swimming pool for tourists to enjoy.
9B20M KARATU COFFEE COMPANY IN TANZANIA: WHAT STRATEGY NEXT? Manuel Siegrist, Gary Bowman, Colette Southam, and Paul Beamish wrote this case solely to provide material for class discussion.
This is a French version. In 2018, the founder and owner of the Karatu Coffee Company needed to decide what to do next with his company. He was considering several options: increasing the tourism part of the business, growing the original farm, pursuing a property development project in the capital city, or simply selling out and walking away.
Step 1. let's solve your problem step by step solution in given answer…!! Case Analysis: Karatu Coffee Compan... View the full answer Step 2. Unlock. Step 3. Unlock. Answer. Unlock.
Phương án 2: Mở rộng trong Tanzania—The Manyara Coffee Resort 9 / 1 tôi Hồ Manyara cách Arusha khoảng hai giờ về phía tây nam và cách Karatu một giờ lái xe. Các ồ r f Hồ, cùng với công viên quốc gia, nổi tiếng là nơi có một trong những quần thể hồng hạc lớn nhất thế giới. Một ...
Operations Management questions and answers. case study of the case "Karatu Coffee Company in Tanzania: What Strategy Next" (Ivey # 9B20M039) I need the following info on Karatu coffee case Problem Definition? - • Situation Analysis? • Macro/Micro-Good use of frameworks ?
The case study pertains to the Karatu Coffee Company. Here are the steps you need to follow for your analysis: Gather Basic Facts: Create a foundation for your presentation by collecting essential information about the company. Identify Key Issues: Highlight the critical points that will guide your development of recommendations. Consider what might go wrong and how to mitigate potential risks.