Question
MAGLOM KITCHEN + BREWERY: A QUEST FOR SURVIVAL On the evening of September 30, 2016, Michael Beechie was standing in front of his newly opened
MAGLOM KITCHEN + BREWERY: A QUEST FOR SURVIVAL On the evening of September 30, 2016, Michael Beechie was standing in front of his newly opened microbrewery and restaurant on Windsor Avenue, Kingston, Jamaica: Maglom Kitchen + Brewery (Maglom). The business was a dream come true for him, and Beechie reflected on the journey he had taken since laying the foundations for Maglom. He had put a great deal of hard work, time, and money into this venture; over the past two years, Maglom had required an investment of US$1 million.Beechie had not only built a world-class restaurant, but also hired the best possible team to run Maglom. This team comprised a highly experienced general manager, 10 specialty chefs, three front desk managers, and 20 service staff. Beechie had selected his restaurants name, Maglom, from an African recipe book: it meant just right not too much and not too little. True to its name, the quality of craft beer and food served in Maglom were of the highest class, boasting high-quality ingredients, perfect flavours, and innovative presentation (see Exhibits 1 and 2). Maglom had a British-manufactured microbrewery unit capable of producing three types of beer. With seating for 140 customers, the restaurant had a lively ambience with a state-of-the-art music system and a wide collection of albums. Maglom was situated in Kingston, along with many business parks and malls. Upon opening Maglom, Beechie had expected to recover his initial capital investment within three years. However, within only nine months of the restaurants opening, he had to revise this estimate to five years. He pondered the business environment changes since he had first started working on this venture. The growth of sales had been slower than he had anticipated. In light of the changing external environment, Beechie wondered about various strategic options. Should he alter Magloms product offerings, or increase the price of the menu items? Should he increase the focus on corporate customers by undertaking exclusive tie-ups, or should he increase Magloms social marketing efforts to attract customers from nearby condominiums? Beechie had only two weeks to act before the situation became critical.
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access with AI-Powered Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started