These are the questions: 1. What is the value proposition of the firm? What is the firms strategic position?

2. What are the cost drivers in the business?

3. What are the primary processes (a.k.a. primary activities) and support processes (a.k.a. secondary activities) in the firms value chain? And what value do you think each activity add?

- The cost of ingredients varies between menu options, as does the amount of labor time required. For example, meat and seafood recipes tend to have higher ingredient costs, while vegetarian recipes require more prep time and - Each customer order is delivered in a refrigerated box that contains several meal "kits." A kit includes everything needed to prepare one meal, along with a detailed recipe card. - Meal kits are available in 3 sizes: Single-serving (1 adult serving), dual-serving (2 adult servings), or family-sized (4 adult servings). - The minimum weekly order size is 4 single-serving meals (4 adult servings), 3 dual-serving meals ( 6 adult servings), or 2 family-sized meals (8 adult servings). The most common order size is 4 family-sized meals, which is 16 adult servings per week. ONATED MEALS aylor partners with local community organizations to distribute meals to families in need. The donated neals are more standardized than those that are marketed directly to consumers. These meals were leveloped to meet the needs of families living in transitional or temporary housing. Some key features of he donated meals are described below. Donated meals are produced in large batches and delivered in bulk to community partners. - The donated meals come in one size (4 adult servings) and will feed a larger family with children. To allow more time between production, delivery (to community partner), distribution (to families) and consumption, donated meals are pre-cooked and frozen. The meals can be reheated in a microwave or oven, or on a stovetop. All recipes must meet the nutritional guidelines recommended by the FDA. The recipes are designed to appeal to a broad cross-section of children and adults. Bene Petit's pledge to "donate one meal for every meal sold" is a core part of its value proposition that differentiates it from competitors. While it is marketed as a "one for one" business, the meals are not equivalent from a production and delivery perspective. The same is true at Bombas, as the socks the company donates to the homeless are intentionally designed to be more generic (plain black sock) and durable than the colorful socks that are marketed to consumers. Similarlv, the production and delivery process at Bene Petit is different for the meals that are sold to customers/clients (referred to as a customer meals) and the meals that are donated to partner organizations (referred to as donated meals). CUSTOMER MEALS Meals that are sold to customers are individualized based on choices customers make on a week-to-week basis, as follows: - Each week, customers select from a menu of 20-30 different meals. Some of the most popular recipes are kept on the menu for several months, while others are changed out each month. - The ingredients are prepared (e.g., sliced, chopped, seasoned, etc.) and packaged separately to maintain freshness, but are not assembled or cooked. Taylor ran the pilot project for four months. Although one neighbor had to drop out after the first month due to a family emergency, several others heard about it and wanted in on the system. The goal of the pilot had been to test the viability of the business idea and work out some of the kinks in the recipes. Of course, once Taylor starts to invest even more time and money in the business, including hiring employees and expanding to a nearby facility, the business will need to do more than just cover the cost of the meals. Taylor wants to turn it into a profitable business that serves a greater purpose. Providing meals to local families was personally rewarding to Taylor, and it also made her customers feel that they were doing something good. Taylor has read about other socially responsible companies that manage to "do good while doing well." Taylor would like to focus on families with young children as she knows how critical a stable and nutritious food supply is during their formative years. Taylor's goal is to donate one meal for every meal sold to a paying customer. Taylor has decided to name her business Bene Petit. It sounds like bon apptit (enjoy your meal), but bene means "good" and petit means "small." The mission of Bene Petit is to provide delicious and nutritious meals to families with young children and to contribute to society through small acts of kindness. Products and Services Bene Petit uses a "one-for-one" business model. This approach was first popularized by Blake Mycoskie, founder of TOMS, who started out by donating one pair of shoes for every pair sold, and more recently pledged to donate a week's worth of clean water for every bag of coffee sold. This social entrepreneurship model has been adopted by other businesses, including Warby Parker (eyeglasses) and Bombas (first socks, then t-shirts and underwear). At the time this case was written, none of the major meal delivery services were using a "one-for-one" model. However, industry leaders such as Hello Fresh and Freshly often donate meals on special occasions such as National Philanthropy Day, or in response to crises such as a natural disaster or the COVID pandemic. Bene Petit's pledge to "donate one meal for every meal sold" is a core part of its value proposition that differentiates it from competitors. While it is marketed as a "one for one" business, the meals are not pay using the Venmo or Cash app. She also included a feedback form asking about ease of preparation, appeal to adults and children, and suggestions for other menu ideas. Soon Taylor realized it was not practical to keep track of the cost of every item she used to prepare the meals. For example, it was much more cost-effective to buy staples such as spices, olive oil, rice, and flour in bulk; and she didn't want to keep track of the exact amount used for these miscellaneous ingredients. She also bought some refrigerated boxes and ice packs so the items could be left on the porch for a few hours and then reused. Taylor also had to dedicate some space in an extra bedroom/office for supplies and buy an extra refrigerator to store fresh ingredients. Taylor wasn't sure how to charge her neighbors for these indirect costs in a simple but fair way. Despite her best efforts to minimize waste, Taylor usually ended up with left-over ingredients each week. Depending on how the items were packaged, it wasn't always possible to buy the exact amount needed. It was also easier to buy a little extra to avoid running back to the store at the last minute. Taylor usually used any extra ingredients to make a meal or snack for her own family; or added a little extra for families with hungry teenagers. Then one Sunday Taylor heard about a local family trying to get back on their feet after some difficult times and a period of homelessness. Taylor emailed the neighbors and asked if they would mind paying a little extra to provide a week of meals to this family in need. They enthusiastically said yes! Over the next few months, Taylor gradually increased the amount she was charging her neighbors for the meal delivery service and began working with a non-profit organization to provide more meals to families in need. This is the story of Taylor, a 35-year-old entrepreneur. Taylor graduated from Western State University (WSU) with a degree in journalism and culinary arts. Taylor had always dreamed of opening a restaurant, but soon realized just how challenging the restaurant industry can be. After moving to the city to work for a small advertising agency, Taylor fell in love with a young lawyer named Alex. They got married, adopted a dog, and eventually started a family. When their second child arrived, Taylor decided to stay home and focus on raising the kids while Alex started a new law practice. Taylor took on the role of stay-at-home parent with dedication and gusto, but also volunteered at a local food bank and wrote the monthly newsletter for a nonprofit organization. Dinner time was particularly important to Taylor and Alex, as it was the one time the family could sit down, put away electronic devices, and spend quality time together. At least three nights a week, Taylor planned a meal that the entire family prepared and cooked together. Taylor had always been an excellent cook and had a knack for making healthy meals that don't taste healthy. One day when Taylor was telling the other stay-at-home parents what was on the weekly menu, Jackie lamented that she had tried "family meal night" but struggled to find recipes the entire family liked. Ben said he recently tried Blue Apron, a meal delivery service, but found the recipes a bit too "gourmet" for his family's tastes. And Maria said one of their kids has a severe peanut allergy, so they must prepare everything from scratch to avoid cross-contamination. Suddenly Taylor saw an opportunity to combine her love of food, dream of being an entrepreneur, and desire to go back to work now that the kids were more independent. To test out the idea, she convinced five neighbors to let her plan their meals for a month. Each week, Taylor would develop three recipes that were nutritious, delicious, and family-friendly. On Monday she delivered a box that included all the ingredients needed for three meals, along with detailed instructions. Taylor also agreed to be available every night from 5:00 to 7:00 to answer questions about how to prepare and cook the meals. At the start, Taylor only charged for the actual cost of the meals. She was careful to keep detailed receipts for all the ingredients and supplies used each week and would divide by five to figure out what each family owed. Taylor included an invoice in each meal box, along with a note to drop off a check or pav using the Venmo or Cash app. She also included a feedback form asking about ease of preparation