This three-component case emphasizes the tactical decision-making and growth management challenges in the suddenly liberalized Kenyan dairy business. Following the fall of the nation-wide distribution system on which small scale dairy farmers in Kenya trusted to get to the market, the resulting difference in the worth chain between demand and supply created an opportunity for one entrepreneur. Cool Pastures Dairy Farm was founded and quickly expanded in an atmosphere not only of little rivalry but also corruption and deficiency of limited banking, especially inferior roads, infrastructure and nearly non-existent mobile phone availability.
Though the company considered various alternatives to growing, the business was overcome by problems with inefficient or corrupt retailers and accountants, as well as the owner's lack of business expertise, and went bankrupt. The entrepreneur contemplated restarting his business, when conditions improved as the government invested in infrastructure. Is this a viable business in light of improved states? Which expansion choice should the resuscitated firm pursue?
PUBLICATION DATE: April 16, 2013 PRODUCT #: W13130-PDF-ENG
This is just an excerpt. This case is about STRATEGY & EXECUTION
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