True Büch Kombucha: Purposeful Growth
(6 pages of text)
Shortly after entering the kombucha market in Calgary, Alberta, True Büch Kombucha (True Büch) experienced significant growth. True Büch was sold from reusable kegs and in single-serving bottles at local markets and retailers. However, with such high demand for its product, True Büch was struggling to keep up. The reusable kegs that were on site at retailers required maintenance and refilling, and the maximum output of the homemade bottling line was only 1,000 single-serving bottles per day. In addition, True Büch’s production space was at capacity, and the owners had nothing left to invest. They had yet to take on any additional financing, but they knew some capital would be required to keep up with demand. In 2017, three years into the business, the owners were at a crossroads and contemplated the best approach to maintain their growth and expand.
This case can be used in an undergraduate or graduate course on management accounting, finance, operations, or supply chain. The case could also be used in a specialized business course with an entrepreneurship element. After working through the case and assignment questions, students will be able to do the following:
- Consider the issues, concerns, and needs of the owners.
- Identify the strategy and vision for True Büch and make suggestions about the future of the organization.
- Analyze the business alternatives for growth of the company.
- Analyze the financing alternatives for expansion.
Accommodation & Food Services
Canada, Small, 2017
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