Grocery Wholesaler

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Case Prompt

Our client Fresh Groceries is a prominent wholesale food company that is trying to increase their profitability.

The client currently sells a variety of food items and is collecting a significant amount of business and generating sufficient profit. However, the company is trying to gain more profitability from its existing lines of business.

I. Background

II. Analysis – Current Business Situation

1. What assessments/assumptions can you make from the diagram?

II. Analysis – Gross Margins

1) Please indicate what should be on the x-axis

2) Please illustrate the relationship between gross margin and what was concluded the x-margin was. (Refer to previous question).

II. Analysis – Elasticity

What observations can you make from the diagram?

III. Recommendation

What conclusions have you made for Fresh Groceries Wholesale?

Further Questions

More questions to be added by you, interviewer!

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