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Case Study

Isabel Valencia

on 9 August 2012

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Transcript of Cakes

Details That Make a Difference Business Structure Exploiting the Opportunity Industry Jacksonville Who Is Andra Hall? (cc) photo by Metro Centric on Flickr (cc) photo by Franco Folini on Flickr North Carolina 2006 2011 2009 (cc) image by jantik on Flickr Time Line Born and raised in Florida Hobby was baking with her mom and grandma.
Baking was her stress reliever.
Enjoyed making other people happy with her baking. She graduated with degree in Organizational Management and then moved to Jacksonville where she worked in the banking industry. 2007 Launch
Oppening Soon she moved into the carpet sales business. Where she enjoyed conecting with people and helping them design their homes. First worked for the State of Florida while she attended college at night in Tallahasee. January Business Plan
Began purchasing equipment for 1st store. Camille, Andra's daughter got very sick. Andra was unable to continue with her corporate job because she could not take more time off to attend Camille during her illness.

Andra changed her job. She decided to work at the graveyard shift at a hotel which allowed her to stay at home during the day with her daughter. September Refinancing October March Andra continued baking as a hobby and stress reliever for family members and friends. Her cupcakes became more and more popular. She realized that her cupcake recipe was the clue.

Therefore she begun to pursue the opportunity of baking cupcakes for a living. Andra had many baked items that she considered she could sell but in reality cupcakes was she did best. Opened 2nd store in Jacksonville Andra recognized early that the cupcake bakery industry was beginning to pick up traction as a lucrative business opportunity July Buckhead
Opening Vinings
Opening Atlanta Business Opportunity Opportunity Andra took advantage of the multi-billion dollar bakery industry today in U.S. Andra's Husband Andra Operations
Manager Busines
Manager /
Attorney Store
Manager The cupcakes range in price between $2.00 and $5.00 for a single cupcake. Andra's are $2.50 To raise capital to start the business Andra and her husband re-financed their home for $45 K. After paying bills they had $30 K. Kitchen Manager


Frosters Store
Manager Andra spent $29,500.00 out of the $30 K in the first store grand opening in Jacksonville, Fl. Store
Manager Store
Manager Georgia Florida Customer Service She had a popular radio station in the Jacksonville, Fl area come to broadcast her Grand Opening Customer Service Customer Service Customer Service Kitchen Manager


Frosters Camicakes sold out the cupcakes within the first few hours of the store's opening "With only $500 left from the $30 K we had to start the business, It had to work "
Andra Hall And guess what? It worked... Logo: A lot of people stop by because they are attracted by the logo. Which Andra created. Bake fresh daily, variety of flavors (20 different sophisticated flavors every day). Also they have seasonal flavors. Stay true to what
you do best Excellent customer service:
We are never good enough
Excellent quality of the product
Stores always clean Always have in mind the following sayings:
Do not change what is working now
Do not try to fix what is not broken Share resources between stores in the same state. Open and Family Friendly. "Does not open on Sundays" Efficient Business Operations. Strategic Future Open a Store every year Innovation to grow sales Next :
Charlotte, NC Electronic
order system Jacksonville (cc) photo by Metro Centric on Flickr August Threat of New Entrants Barganing Power of Suppliers Threat of Substitution Barganing Power of Buyers Internal Rivalry and Competition HIGH HIGH HIGH HIGH LOW SPECIALTY EATERIES Volatile Commodity Costs Dependence on Discretionary Spending About 40 percent of consumers usually skip a meal or replace a meal with snacks. Small companies can compete by offering specialty goods or superior local distribution services. The retail baking industry is highly fragmented, often with single locations serving very local geographic markets. As consumers cut spending, bakery items are easily substituted with home-baked goods or cheaper commercial baked goods from retailers. However, within the food industry, the retail bakery industry can provide quality goods at a much lower cost. STREAMLINE Buckhead Vinings Orange Park Jacksonville Frozen shipping Do you believe the cupcake bakery industry is a trend? If so, what do you think are CamiCakes keys to survival? Do you think CamiCakes is at risk by not having an Exit Strategy? Do you feel like her methods of adversting through word of mouth and social media are sufficient? Would you be willing to refinance your house to pursue a personal business venture? Alan Massey
Ryan O’Dell
Isabel Valencia
Lina Villegas
Torrance Mosley
Juan Salazar Orange Park Mall
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