Written Case Analysis No.

2
Sift Cupcake and Dessert Bar

Submitted to:
Joseph Pangilinan

Submitted by:
STRATMAnagers
Abelardo, Kistine Leir
Dumandan, Marielle
Pamplona, Ciara Patricia
Tan, Sarah Issey

Case Background
Vision : Our vision is to become the premier cupcake shop in the San Francisco Bay Area
Mission: Our mission is to deliver the OMG factor to all customers and give the most positive
and memorable cupcake and dessert experience and most importantly, to make our customers
fall in love with us

Objectives
to increase sales by 20% by the end of 2012
to open 3 new branches within San Francisco Bay before the end of 2012
to add 2 new media platforms for advertising before the end of 2012
to use 100% recyclable and environmental materials for packaging in all branches
to implement one major training program for the branch managers for the use of POS before the
year ends.
EXTERNAL ASSESSMENT

FUTURE MACRO:
Potential Changes
in the Macro

EFFECT ON
BARRIERS,
DETERMINANTS OR
FACTORS

EFFECT ON 5
FORCES OF
COMPETITION

CONCLUSIONS:
O? or T?

Economic
Improved economy:
Sales of cakes and
cupcakes are
projected to rise
another 20% in the
coming years

Social
A report from NASFT

more buying capacity

of customers

More buyers;
bargaining power
weakens

OPPORTUNITY

more capital inflows

from investors

Stronger threats for

new entrants

THREAT

increased variety of
bakery products
offered in the market

More substitute:
Competitive pressure
from substitutes are
stronger

wider options of
supplier in the market

more suppliers:
weaker bargaining
power of suppliers

People will purchase More buyers;

food to satisfy one joy bargaining power
and pleasure
weakens

THREAT

OPPORTUNITY

OPPORTUNITY

showed that there will

be a negative
reaction against
organic or healthful
products;

Sales in less healthy

food products
increases

Increased profit on
the industry players
: Stronger rivalry
among competing
sellers

THREAT

Increase investors in
the industry

Stronger threats of
new entrants

THREAT

Increase brand and

product awareness

More buyers: Weaker

bargaining power of
buyers

OPPORTUNITY

Advantage over rivals

with no online shop

Weaker rivalry among OPPORTUNITY

competing sellers

Technology
Inclination of people
towards online
shopping

SWOT Analysis
OPPORTUNITIES
1. more buying
1.
capacity of
customers
2. wider options of
supplier in the
2.
market
3. People will
purchase food to 3.
satisfy one joy and
pleasure
STRENGTHS
1. Established brand
2. Having online shop
3. Servicing walk in
customers and
catering special
events

THREATS
increase variety of
bakery products
offered in the
market
Sales in less
healthy food
products increases
Increase investors
in the industry

SO
S1O1: Expand to
malls with heavy foot
traffic

ST
S1T1: Focus on the
companys specialty
product

S2O1: Advertise
heavily in social
media sites

S1T2: Offer and

display
mouthwatering
cupcakes in the store

SW
S1W3: Market the
company by proving
established brand
means stable profit
S2W3: Attract more
customers by posting
different

S1O3: Serve
products that are
pleasing to the eyes
and would entice
consumers
S3O2: Provide
attractive and
environment friendly
packaging by getting
100% recycled
materials from
suppliers

WEAKNESSES
1. Lacking skilled
workers
2. Inefficient use of
POS
3. Maxed out line of
credit

S2T3: Attract
investors by posting
variety of companys
specialty product in a
very appealing way
S3T2: Attract new
customers by
introducing the
companys bestseller
unique specialty
products by way of
free tasting during
special events or
fairs.

mouthwatering
products of the
company on social
media
S3W3: Attract new
customers by way of
free tasting of the
companys bestseller
products in fairs and
special events it
service

WO
W1O1: Increase
quality production by
providing training to
employees

WT
W1T1: Hire skilled
and professional
bakers to produce a
high quality product

OT
O1T3: Sell variety of
products to get the
bulk of the market
share

W2O2: Train
managers to
maximize the full use
of POS to manage
better procurement in
their suppliers and for
faster transactions

W1T2: Train the front

line bakers to cater
the satisfying needs
of growing customers
of less healthy
products

O2T2: Choose a
supplier which will
produce lesser cost
to the company to
have additional fund
for the enhancement
of the companys
products

W3O3: Enhance both

the physical and taste
aspect of the product
to attract customers

W2T3: Train
managers to use
POS to decrease cost
and to increase the
edge over existing
competitors

O3T2: Enhance the

companys overall
products from its
packaging to its taste
to attract more
customers

Strategies
1. Expand and open branches to malls, school, public places
a. Opening new stores where there is a heavy foot traffic, such as malls and school, will increase
profitability and popularity
b. Select strategic locations inside the mall and school for better accessibility
2. Enhancing physical product appearance and packaging

a. Make the products more enticing, appealing and mouthwatering to the eyes without sacrificing
taste.
b. Innovate packaging that are attractive yet environment friendly.
3. Provide training and skill development for employees in order to improve products and services
a. Maximize the use of POS by training branch managers, thus will lead to faster transaction and
better inventory
b. Invite professional and skilled bakers to train employees which will improve the overall taste and
presentation of products