Green Mountain Coffee

1060 Words5 Pages
Executive Summary Green Mountain Coffee Roasters (GMCR), a Vermont-based coffee roaster and distributor, has experienced accelerated growth over the last few years in large part due to its Keurig single-cup brewing systems and accompanying K-Cups. A thorough company analysis was carried out to determine what, if any, actions GMCR could undertake to ensure their future growth and success. To structure the analysis, three distinct phases in GMCR’s history were considered: Who was Green Mountain; Who is Green Mountain; and Who should Green Mountain be? Based on our findings, we recommend that GMCR: 1) Renew focus on the Green Mountain coffee brand by a) increasing brand awareness among the Away- From-Home / Business-to-Business market, b) growing the wholesale division, and c) using recent acquisitions to push the Green Mountain name. 2) Improve the quality of their financial statements by a) implementing improved systems to track inventory and b) updating the manner in which royalty revenue is classified. 3) Increase operational efficiencies by leveraging assets of newly acquired firms while putting a hold on future acquisitions. Who was Green Mountain? Humble Beginnings Now a billion dollar publicly traded company, Green Mountain Coffee Roasters began as a local café in Waitsfield, Vermont. The small business venture roasted their own top quality Arabica coffee beans, distributed coffee to local restaurants and inns, and positioned themselves as coffee roasters, not just distributors. As the market for gourmet coffee in the US grew so did Green Mountain and the company went public in 1993. Through the 1990s GMCR focused on reaching more customers and building the Green Mountain brand. They achieved this by selling both direct-to-consumer and wholesale packaged coffees to a variety of customers.
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