Mystic Monk Coffee Essay

Introduction undercover monk burnt umber tree accompany is a cloistered monastic environment where monks from the Carmelite monastery of Clark, Wyoming spend their daily manual of arms labour hours cook umber (Thompson, 2012, pg. 420). The monks atomic number 18 a apparitional sect of the Catholic church and argon fully dedicated to their religious and spiritual side, which requires close of their daily hours, be spent praying or contemplating in silence this leaves little sequence to spend on umber cook productions, especially due to the low-down population of monks that atomic number 18 equal to(p) to live at the Carmelite monastery. There were some lierictions that the Carmelite monks go about with their burnt umber productions such as having restricted roasting capacity, inadequate cut back and partial workers. develop Daniel Mary, the forward of the Carmelite order, had a vision of set forthing the small monastery of 13 monks, by creating a late attach Ca rmel in the Rocky Mountains of Wyoming.There is a nearby situation called the Irma Lake bed covering that would include a large house, care wager house, guesthouse, a gothic church, a convent for Carmelite nuns, a hunt down cabin and a dairy and horse type B this would allow the monks to draw out their opportunities, as well as expand their Carmelite monk residents (Thompson, 2012, pg. 421). This vision is everything that Father Daniel Mary ever dreamed, the only thing prohibiting the change, is that the Irma Lake scatter will cost the monks $8.9 Million.The underground monk coffee company only earns money based on their coffee gross revenue (11% of revenues) and shares from private donators the Carmelite monastery accepted a $250,000 part which they butt end use at their discretion (Thompson, 2012, pg. 420,423). The following report will take a look at the options that are forthcoming to the Carmelite monks and what would be the most strategic final cause that should be enforced in order for the monastery to be lucky. External and Internal AnalysisS.W.O.T. AnalysisStrengths * light trade/ Organic Arabica beans * Variety of coffee flavors * Accessories (t-shirts, cups, CDs) * Online shopping is avail open * Tea has been added to selection * needy labour/ No wages stipendiary * cheap/ reasonable retail price * Membership coffee club * Favors catholic market (large) Weaknesses * Limited roasting capability (540 lbs/day) * Limited production due to theology * Cant expand due to limited write down * chocolate is not a necessity (trend?) * caffein is highly addictive (health) * Purchase beans instead of growing * No business expertise/ experience * No absolute competitive advantage * Poor shekels (11% of revenues) Opportunities * Expand availability into grocery stores * Collaborations (Keureg, Tassimo) * Other purposes (weight loss, bio fuel) * ontogenesis advertisements * Expand into international market * Start a franchise * Open coffee shops (Starbucks, Tims) Threats * Poor coffee growing season * Natural disaster/ digest * Economic Conditions (recession) * Established competition (Folgers, nabob) * Others personal religious beliefs * Dependant on donations/ revenues(Mystic monastic, n.d., pg. 1)AlternativesThe Mystic Monk coffee company has to look at their options before they are able to make a decision regarding the law of continuation of their business. The two options that are available to the Carmelite monks at this operate in time are 1) stomach at the current location of Clark, Wyoming, and continue trading operations as they are and use some donation money to purchase another roaster to help add-on production or 2) run across if the owners of Irma Lake Ranch would chip in them a division of the ranch without mo acquitary repayment, as a donation, and they would pay the owners as a pick out to own the remaining equilibrise of the devour, until a breakeven prefigure has been reached.Discussion of AlternativesThe first option is to stay at their current location to continue operations as they are. The advantages of choosing this option are 1) retaining their donations and revenues to improve their current monastery, 2) at that place is little to no hazard viewd. The disadvantages of choosing this option are 1) in that location is little opportunity to expand the Mystic Monk Company, 2) they cannot easily increase their Carmelite population.The scrap option is to move to a nearby area, which would involve purchasing the Irma Lake Ranch. The advantages of choosing this option are 1) the Mystic Monk Coffee can increase production easily, 2) at that place is a large opportunity to expand, 3) the new Carmelite monastery would allow its population to double. The disadvantages of choosing this option are 1) there is a tremendously high take aim of risk involved, 2) the owners may not gift the monks any land. recommendationAfter evaluating the advantages and disadvantages of each alternative, a decision has been reason that the most practical and strategic option would be to receive a portion of the Irma Lake Ranch, as a gift without monetary repayment, then pay the land owners on a absorb to own register with the increased earnings projected from the new Mount Carmel location. This is the most logical selection if they want to expand and improve their Mystic monk coffee brand, as well as their community the Carmelites will boast no opportunity to grow or expand if they choose to stay where they are and continue on as they have been, as well as soon they will not be able to keep the supply at an adequate level to cover the demand for their products.The Carmelite monastery would have to a greater extent financial opportunities available with this purchase, such as take out production from the dairy cows, horse rides on the checks through with(predicate) the forest, increased population to help roast and software the coffee. Also, the monks woul d have sufficient land to be undetermined of growing and producing their coffee beans without the need of suppliers, which in submit will decrease the cost of goods sold and drastically increase the Mystic Monks net profit margin from the current 11% of the sales revenue. The risk on this investment is exceptionally high, entirely if it is successful, the reward and pay off could be farthermost greater than projected.Action PlanA realistic action plan must now be devised, to ensure that the previous decision is executed correctly, other the Carmelite monks and the Mystic Monk coffee company will not be successful. The monastery is incapable of affording the Irma Lake Ranch with the funds that they currently have, including the $250,000 donation. The Mystic Monk coffee company should confront the current owners of the Irma Lake Ranch and see if they would be willing to gift them a portion of the property without monetary repayment, which could be considered a donation the rema ining balance owing on the land could be contracted as a lease or rent to own situation, where a breakeven point would be reached in a reasonable time frame. Also, because the property has been gifted to the Carmelite monks, they would be in line to receive a tax break, which would significantly contact their financial status.The new property would be able to offer the monastery an opportunity to expand their brand by introducing tourism, sustainability and other financial opportunities. If the Mystic Monk coffee company decided that they would be capable or growing their own beans on the new land, they would be able to drastically cut costs on the cost of goods sold and eliminate suppliers, which in enactment will increase their marginal earnings from the sales revenue. All of these new opportunities are realistic and show that the increased earnings would rapidly and effortlessly be able to pay off the remaining balance owing to the original Irma Lake Ranch owners.ConclusionIn conclusion, the Mystic Monk coffee company has been successful with its entrance into the coffee market, however demands are increase and new opportunities are being presented to the Carmelite monastery. If they deficiency to grow and expand their business and community, they are dismissal to need to take the risk which is to relocate to a more practical location, ideally the Irma Lake Ranch.Irma Lake Ranch offers many new prospects to the Carmelite monks, which they would not be candid to if they stay at their current location. This property can allow them to be independent from suppliers and venture into new venture projects such as introducing horse trail rides and milk from the dairy cows. Although the monks are a non-for-profit group, the sales revenue will mostly be paid to the original property owners until the principal amount is depleted, the rest of the money from earnings and donations will be amaze towards building, growing and maintaining the new Mount Carmel Monas tery.ReferencesMystic Monk Coffee Buy Coffee Beans Online Online Coffee Store. (n.d.). Mystic Monk Coffee Buy Coffee Beans Online Online Coffee Store. Retrieved January 24, 2013, from http//www.mysticmonkcoffee.com/store/storefront.php Thompson, A. A., Peteraf, M. A., Gamble, J. E., & III, A. S. (2012). Case 1. Crafting and Executing Strategy (18th variant ed., pp. 420-424). New York McGraw-Hill/ Irwin.