Question

Gourmet Jams Inc. Course Project: Supply Chain Management Marketing and Business Planning

Background Information To highlight the importance of the complexity of supply chain management, marketing and business planning and in order to address the regulatory environment to ensure compliance in exporting and importing goods across the border, careful consideration must be given to what type of goods are being exported, which regulatory agencies must be consulted and what is needed to ensure safe and efficient border clearance. The implication of meeting the US and Canadian government regulation may be a key success factor for any small or medium size business contemplating or already engaged in international trade. Case Study: Gourmet Jams Inc. Strawberry Delight Gourmet Jams Inc. has been in the local Ontario food market for nearly six years. The company started in 2012 as a home-based start-­­up inspired by Nona’s mouth-­­watering jam recipes. Stephanie and Adam, a couple from Windsor in their early thirties, both lost their well-­­paying jobs in the automotive industry. Though, both received a substantial severance pay and an opportunity to go back to school to learn new skills, neither felt this would be something to consider. At the same time both were convinced that working in an automotive industry gave them solid understanding of what is needed to be successful and, more importantly, they realized that neither wanted to work for someone else ever again. Stephanie and Adam, as did the entire neighborhood, had something else in common: love of Nona’s delicious home-­­made jams. Granny Antonia, or Nona, as her grandchildren called her, was known in community for her home-­­made cookies, cakes, pastries and jams. Her culinary delights became a common feature at many weddings, birthday parties and family events. Nona was thrilled and very much willing to spread the goodies; but never, despite persistent attempts to share her recipes, especially for jams, was she inclined to reveal her secrets. Stephanie, Nona’s youngest grandchild, grew up spending many hours watching her making jams. There were all kinds: plum, peach, pear, blueberry and her favourite, strawberry. On a rare occasion, Nona made a particular rare specialty, wild strawberry jam. Sweet Opportunity Today, Gourmet Jams Inc. is a successful small business, supplying gourmet shops across Ontario. Two new workers were hired to help with the operation and together with Stephanie, Adam and cousin Roberto, the Gourmet Jams Inc. today employs five people. All ingredients used in the process are natural, organic and fresh. Just as Nona’s. The annual sales for 2018 surpassed $700,000. That was quite an achievement. But successes didn’t stop there. The recent visit at the Philly Farm & Food Fest in Philadelphia proved to be great success. Many visitors stopped at the Gourmet Jams Inc. booth and as they tasted the jams expressed interest in ordering them. They had established distribution capabilities and were ready to order. Several specialty stores, including Whole Foods also indicated interest in carrying the Canadian jams and Stephanie and Adam were now convinced they have the opportunity to export their gourmet home-­­made jams to the US market. And then, global pandemic Covid-19 stuck. 2 | P a g e What is next? Stephanie and Adam don’t want to grow their business too fast. But, they also don’t want to miss the expansion opportunity. They are in favour of cautious but firm entry into the US market. As they are focusing on the niche market across the border, the lingering question remains. Can they ship the jams directly to the US without hiring a consultant? This is an expense they may not be able to afford. Nick, with a degree in Marketing, but limited experience in the field, was convinced that he can find the way to navigate the exporting process and manage supply chain internationally. He was confident he will find all relevant information online. Will it really be that simple?

Based on discussion with Stephanie and Adam, the following questions were raised:

1. Are there any product modifications needed?

2. How will the inventory be managed?

3. What kind of paperwork needsto be completed to cross the US / Canada border? What are regulations in terms of the product on either side of the border?

4. How will jams be shipped and transported?

5. Where will the jams be stored once they cross the border?

6. What are the risks for Gourmet Jams Inc.?

7. Will there be any external partners required?

8. What are Gourmet Jams Inc. financial requirements to launch the international expansion? What government funding is available to Gourmet Jams Inc.?

9. There seems to be a specialty market interested in Wild Strawberry jams. Is production of wild strawberry jams something Gourmet Jams Inc. should consider? How to manage supply of these strawberries? Should we consider growing our own or outsource locally?

Note: wild strawberries are also known as Woodland Strawberries, Alpine Strawberries and Forest Strawberries (Fragaria vesca).

Note: Your analysis must address the questions above; however, do so in business planning format as follows.

Guidelines Thoroughly

answer the questions the Gourmet Jams Inc. elevated and incorporate them in you analysis. Your written analysis should include the following

Table of Contents:

• Executive summary

• Introduction

• Supply Chain Management o Supply chain maps and strategies o Border clearance documentation and other regulatory compliance (i.e. FDA, CFIA) o Sourcing and production o Materials management, handling and delivery o Product modifications (i.e. labeling) o Storage and warehousing space o Order processing o Shipping and transportation o Inventory management and Quality Control o After-­­sale service and customer satisfaction Risk management o Human resources required

• Marketing Strategy

• External support partners

• Financial requirements

• Implementation schedule and recommendations and key success factors Map of Woodland Growing Strawberries in the US and Canada Source: United States Department of Agriculture, Natural Resources Conservation Service.

Can i get the full answer with the table of content? i have seen the answer in your website but that was not enough. see the last point which needs to be explain. thank you.

Answer 1

Answer 8:

Gourmet Jams. Inc’s financial requirement to launch the international expansion is that they would be requiring funds either to export the jams directly to the market of United States without hiring a consultant or to navigate the exporting process by Nick who would be managing the supply chain internationally. Exporting jams directly in the US market is an option which they suppose they could not afford. Hence, they would be requiring fund to manage the export cost, cost of storing the jams in the warehouse of the third party and cost of contracting with the external partners so as to store their products and supply the same to the customers.

However, in order to assist some of the businesses to trade in USA government of USA has created certain regulations that would benefit the businesses engaged in exporting the products into the US market. They have developed free trade zones where the company who wants to ship their products in the US market is not charged with the heavy taxes. Rather, businesses have been relieved of certain taxes associated with the exporting of the product in the US market. Gourmet can take the advantage of free trade zone and could lower the cost associated with shipping the products across the border. Apart from this, there are various loans that are being offered by the governments to support the business in their region.