Type of paper: Case Study

Topic: Business, Company, Market, Products, Sales, Profit, Commerce, Budget

Pages: 2

Words: 550

Published: 2020/10/14

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In the case of Sweet Leaf Both CO. the issue defined in the analysis is the growth of sales rates in order to meet up with their requirements of running the company and catching pace with meeting their demand in sales.

Critical factors

The recession of 2008 caused the overall sales to drop due to financial restraints and although consumers did want to purchase environment friendly goods that the company produced, they could not since they had to save money. Along with that, Sweet Leaf had major competitors in line that produced the same goods genuinely. Also, the lack of expertise in knowing how to campaign to spread their business is a serious predicament for the company, as they don’t know how to balance the sales, cost and maintain the budget required to run the company in ease.

Recession of 2008

Fierce Competition
Lack of Expertise
The problem thereafter arose of increasing the profits of the company in order to campaign for and spread the knowledge of their products and business afar. There are various strategies that can be applied in order to enhance their business on a small budget. These include Product variation method, Equating with lower prices and Setting a Market Share.

Product Variation

One such is to differentiate their products from the others available in the market by keeping them at a higher price and in order to generate revenue.


As the customers the company keeps are quality conscious rather than price conscious, this can help increase the profit. Then the profit can be used wisely for purposes of advertising online and in the market.


The customers could feel the economic pinch, and if in comparison they find other products of a similar quality, yet at lower rates, they might go for them.

Equation with Lower pricing

However, as the market is diverse and not all can buy expensive products, then high costs won’t bring much profit. If a reasonable price is suggested in the market that competes equally with other products, then a larger overall buy of products will also increase profits and maximize sales.


This strategy can aid the company to absorb the repercussions of decline in sales, or recession and yet remain at profit without a complete turn down of their business or if any such event takes place in the future.


If there aren’t any downs in the market, then the company will not make sufficient profits as opposed to those companies who keep their costs higher and make huge profits.

Setting a Market Share

If the owners of Sweet Life Bath CO. had managed to maintain a proper and desired market share for themselves in the first place they would not have had to suffer the withdrawal from a low budget at the end. Market share is an important consideration for companies working on a large scale.


And the relation between market share and sales in the market is a direct one. If the sales are up to the mark and there is a balanced amount of sales for the company, then keeping a higher market share can help to alleviate the budget and add to the profits of the company.


It is risky to keep a high market share if the customer market itself is low. This will cause a great disturbance in business profits, and the losses will be much greater.


There are several applicable strategies that the company can apply to their business and reclaim their profits. However, the most recommended is the equating with lower pricing and hailing a larger market because if this is done, then the company can reap huge profits quicker and redeem the deficit the half owner is experiencing. It will enable them to reach to those who cannot afford the products if they are too pricy, hence lowering the costs and making the products available to all will aid the company in expansion and they will never have to face a near to nothing income.

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WePapers. (2020, October, 14) Example Of Case Study On Problem. Retrieved April 16, 2024, from https://www.wepapers.com/samples/example-of-case-study-on-problem/
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"Example Of Case Study On Problem." WePapers, Oct 14, 2020. Accessed April 16, 2024. https://www.wepapers.com/samples/example-of-case-study-on-problem/
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"Example Of Case Study On Problem," Free Essay Examples - WePapers.com, 14-Oct-2020. [Online]. Available: https://www.wepapers.com/samples/example-of-case-study-on-problem/. [Accessed: 16-Apr-2024].
Example Of Case Study On Problem. Free Essay Examples - WePapers.com. https://www.wepapers.com/samples/example-of-case-study-on-problem/. Published Oct 14, 2020. Accessed April 16, 2024.

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