Case Study Analysis Cory: An Austrian Pastry Company Visit the website: http://www.cory.cl Answer the questions that appear on the Case Study, page 7 and also respond to the following: 5. What is the...

Business Case Questions:
1. Which is the more profitable business line: Cory Austrian Pastries or Gloriet? Why not
allocate all the resources and efforts to the more profitable business?
Solutions: Cory Austrian Pastries is the more profitable business line in comparison with
Gloriet. Cory Austrian Pastries competes directly with coffee shops, tea saloons and other
stores that well prepared food. Cory Austrian Pastries competes indirectly with restaurants
and fast-food chains. We may not allocate the entire resources and effort to the more
profitable business because it may happen that the business which is profitable today may
be in loss because of some reasons. For example let us assume that if the government has
put a restriction / banned in supplying the pastries because of the some infections in the
public health, then you left with no where in order to do the business. Hence in today’s
world it should be policy that you try to diversify your business rather sitting with one
product line. In business, the concentrated risk needs to be mitigated always. Hence
allocating all the resources and efforts to the more profitable business won’t be a judicious
decision.
2. Should the company close its pastry shops and focus solely on meeting the orders of its
wholesale customers through delivery of products?
Solutions: No, the company should not close its pasty shops and focus solely on meeting the...