H-E-B Own Brands Harvard Case Solution & Analysis

H-E-B Own Brands Case Study Help

Financial analysis

Increasing the price per unit of Glacia product, aligns it with that of Evian and would lead towards the profit per unit change of 46%. If the company sells 50000 units of Glacia products in the market; there would be a profit return of $60000 at the new competitive price of $1.2 per unit. Hence, the increase in products’ price would lead towards higher gains in revenues. The calculation can be seen inAppendix D.

Profitability

By the year 2003, Forbes ranked H-E-B 10^th in nation among privately held companies on the basis of its $11 billion in yearly sales (PETTY, 2020). Overtime, H-E-C has been continuously ruling over the retail industry in America. The combination of tight geographic range and strong shares provide cost advantages sources, hence allowing for superior financial performance.

Recommendations

The company is recommended to reduce the price gap between Glacia and Evian,and position the product to compete with Evian in order to increase its sales and demand, which in turn would remove Glacia off the shelf next to Evian and Ozarka. Through increasing the price and relocating on shelf; the company would be able to increase its products’ sales. The company should beat the head-to-head competition by investing in in-store technologies, including sensors and handled devices, as it would allow the company to improve its store processes and the robotic process automation would speed up the back office task.The company could divert its efforts on digital dominance, and could initiate and expand the home delivery, curbside pickups and self-checkouts.By doing so, the company would be able to remain the position of being the market leader such a highly competitive industry...........................

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