Dirección Estratégica

First of all we would like to give you a grasp on what our approach towards this work was.
We understood that the company is only a manufacturer and not a Brand(for the moment). It could becompared to a well-known spanish brand called “Hacendado”. This brand is not produced by a company called Hacendado, it is produced by second companies that sell the product to Mercadona, and then is whenthe product is labelled under the name Hacendado.
Therefore companies agree to sell a product to Mercadona with no brand and Mercadona adds it’s brand to it. This is what we call “ marca blanca”.The company produces kid’s clothes, aimed towards new born babies. At the moment it produces and then delivers to our clients, which are stores not located at malls but are located at other commerciallocations. Our clients add a brand to the product and then sell it.

The aim of this study is to decide if the best way to expand the company in order to gain more benefits is to open our own newstores in malls, or create a new brand and sell it to our current clients. This way our clients would have both our products with “no brand” and our products with brand.

If we open our own newstores, the price per square meter of store is quite expensive, so we are not sure whether it’s a risk we should take. Another thing to think about is our current clients. By opening our new store, we arecreating potential competence for our clients. This might put us in a dangerous position as our clients might stop buying our products from us.
The good side of this is that we get rid ofintermediaries, so there is more room for benefit. This is a forward vertical integration.

If we create our brand by creating a new public or limited company, we have a great economic risk, and if thecompany fails to bring benefits we would lose our investment. The good side is that we already have the contacts and if it were to go well we would sell twice as much.

We, as a team, have decided to...