Eastwind Trading Company.
The potential opportunity and long term sustainability of Eastwind Trading Company lies in the uniqueness of their product. The Swanson pearls are the only remaining collection of handmade freshwater pearl buttons in the world. The amount is limited and cannot be easily duplicated due to current environmental condition. Therefore, the fact that no one else carries these types of buttons is the main competitive advantage the Eastwinds Trading Company posses. This exclusiveness, however, can also result in the company’s weakness: very perishable, expensive, and difficult to handle small items that require careful organization and specialization to control costs. The company is still in the existence stage. Gail and Martha are now focusing in getting enough cash to cover all the expenses the acquisition of the business will bring. However, they may also need to center their attention in how to generate enough tools to make their business expand and become a viable company. By having a product that is unique and hard to duplicate, this advantage is long-term. There is a great opportunity in expanding the business by creating new bias of selling the pearls. Hiring sales representatives that will cover all the nation, approaching clothing manufacturers and designers that will buy the buttons at wholesale price and covering the areas that were previously uncovered by the Swansons are some of the main goals of Martha and Gail. These goals will situate the business at a competitive advantage against competitors by satisfying the needs of customers that would be attracted by the exclusivity of the buttons. The key risk for investors is that button business is such an unconventional deal that it may result unattractive. The demand for exclusive buttons in the manufacturer industry as there are other types of cheaper fastenings that can be used for clothing i.e. Zipper and plastic buttons may be decreasing. Consequently, the Eastwind...
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