Healthy Life Group Case Study

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Recommendation

- Loblaws

By implementing this option, HLG will be able to meet their decision criteria of promoting healthy lifestyles for all Canadians. This will also solve the critical issue of entering the growing Canadian market.

- Online distribution

By implementing this option, HLG will be able to ensure growth of the company for following years. This will also provide another outlet where consumers can buy Nutrifusion products.

Action Plan

Healthy Life Group must implement the Loblaws strategic alliance by assuring office space close to the Loblaws office is available for rent and can be moved in within a month. The online distribution will have to be implemented by ensuring a website is created and a marketing firm is hired in two weeks to be able to ensure consumer awareness grows before the website is built.

Appendix

Exhibit 1: SWOT Analysis of Healthy Life Group

Strengths

- Canadian Distribution Rights

- Company is successful in the US

- Has valuable network contacts

Weaknesses

- All year one sales on credit.

- More expensive than other alternatives.

- Larson lacks experience in running her own company.

Opportunities

- Economy is growing in 2010.

- Market is not eating healthy enough.

- No direct competitors in Canada.

Critical Opportunities

- Use valuable network contacts to enter the market and capitalize on growing economy.

Threats

- Recession in 2009 had affected consumer purchasing habits.

- CFIA evaluation can take up to 2 years.

Critical Threats

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Exhibit #2: Loblaws Strategic Alliance Projected SalesProjected sales analysis if HLG decides to partner up with Loblaws.

[pic 1]

Exhibit #3: Projected Sales of Supplement Store option

An analysis of sales vs cost of implementing the supplement store option. [pic 2]

Exhibit #4: Online Option Analysis

An analysis of the online option for HLG. These are forecasted unit sales which the company can be expecting.

[pic 3]

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