Subject category:
Strategy and General Management
Published by:
London Business School
Length: 18 pages
Data source: Field research
Abstract
The company has successfully pioneered and launched an innovative chilled food product. Following an injection of capital, the company has built a new production plant and has just moved its operations. Operational difficulties and higher fixed costs, combined with no immediate uplift in sales volumes, have left the company facing a cash crisis. The case highlights the choices involved in growing a company and how growth should be managed and financed. Can the company be saved? If so, what actions need to be taken?
About
Abstract
The company has successfully pioneered and launched an innovative chilled food product. Following an injection of capital, the company has built a new production plant and has just moved its operations. Operational difficulties and higher fixed costs, combined with no immediate uplift in sales volumes, have left the company facing a cash crisis. The case highlights the choices involved in growing a company and how growth should be managed and financed. Can the company be saved? If so, what actions need to be taken?