Subject category:
Entrepreneurship
Published by:
Babson College
Version: 25 January 2010
Length: 17 pages
Data source: Field research
Notes: This item is part of a free case collection. For terms & conditions go to www.thecasecentre.org/freecaseterms
Abstract
Andres Ungar, a master pastry chef, and his brother Johnny, a businessman, opened Cory Austrian Pastries, dividing the pastry and management sides of the business between them. Their business is a continuation in Chile of a three-generation family tradition that began in Austria. In addition to selling pastries in eight shops located in shopping malls, they run a factory called Gloriet, which produces baked goods and ice cream for their stores and fills special orders for other companies, generally in large quantities. The factory orders have become the most profitable part of the business. The brothers are now considering how to grow their business. Johnny Ungar likes change: 'We live in a dynamic world, which is why we are considering offers for franchises to be built in shopping malls in different areas of the city and region. We have the necessary technology to take on these challenges.' Franchising, however, carries the risk that Cory will no longer control the quality of their products, and quality has been central to their reputation since they began making pastry in Vienna. This case is part of the Babson College free case collection (visit www.thecasecentre.org/babsonfreecases for more information on the collection).
About
Abstract
Andres Ungar, a master pastry chef, and his brother Johnny, a businessman, opened Cory Austrian Pastries, dividing the pastry and management sides of the business between them. Their business is a continuation in Chile of a three-generation family tradition that began in Austria. In addition to selling pastries in eight shops located in shopping malls, they run a factory called Gloriet, which produces baked goods and ice cream for their stores and fills special orders for other companies, generally in large quantities. The factory orders have become the most profitable part of the business. The brothers are now considering how to grow their business. Johnny Ungar likes change: 'We live in a dynamic world, which is why we are considering offers for franchises to be built in shopping malls in different areas of the city and region. We have the necessary technology to take on these challenges.' Franchising, however, carries the risk that Cory will no longer control the quality of their products, and quality has been central to their reputation since they began making pastry in Vienna. This case is part of the Babson College free case collection (visit www.thecasecentre.org/babsonfreecases for more information on the collection).