Greg Stamboulidis Case Summary
1) Characterise the development of Greg Stamboulidis’s corporate venturing
In 1985, Greg Stamboulidis bought a small fish company from an old man then named it Stambos. By the time he bought it, the profit margin of that company was low. At that time, Greg focused on providing shark to his customers and he still used the same method as the previous owner : he purchased his fish supplies early in the mornings from the Melbourne markets and kept a narrow business with the profit margins of only 10% - 15%. (1)
Greg had many obstacles: the prices of shark was rising from AUD$3.50 to AUD$9.00 between 1985 and 2005 (2) while shark supply was unstable, a lot of competitors, high labour costs and variability in the quality of product, that’s why Greg had to find some new supplies in order to survive. He chose the “cost leadership strategy which is “an integrated set of actions designed to produce or deliver goods or services at the lowest cost, relative to competitors, with features that are acceptable to customers” (3) to bring his products to customers at the lowest price. Firstly, Greg tried to find shark supplies in Singapore, Philippin and Malaysia because in those countries, they only used shark fins and want to sell the rest of the shark body at acceptable price but …show more content…
He said he want to run a business which do not need his presence. In fact, he only spents three or four days per week at work, most of his remaining time he uses it for family. Greg believes the most important thing in his life is his family. “Money is not from a tree” (Greg Stamboulidis) (12) – This was how Greg taught his children about the value of money, how hard he had to work in order to earn money for them to go to school. That is a great way to teach his children about value of money and how to use them effectively. It is a very important lesson for anyone who want to do business in the
In 1985, Greg Stamboulidis bought a small fish company from an old man then named it Stambos. By the time he bought it, the profit margin of that company was low. At that time, Greg focused on providing shark to his customers and he still used the same method as the previous owner : he purchased his fish supplies early in the mornings from the Melbourne markets and kept a narrow business with the profit margins of only 10% - 15%. (1)
Greg had many obstacles: the prices of shark was rising from AUD$3.50 to AUD$9.00 between 1985 and 2005 (2) while shark supply was unstable, a lot of competitors, high labour costs and variability in the quality of product, that’s why Greg had to find some new supplies in order to survive. He chose the “cost leadership strategy which is “an integrated set of actions designed to produce or deliver goods or services at the lowest cost, relative to competitors, with features that are acceptable to customers” (3) to bring his products to customers at the lowest price. Firstly, Greg tried to find shark supplies in Singapore, Philippin and Malaysia because in those countries, they only used shark fins and want to sell the rest of the shark body at acceptable price but …show more content…
He said he want to run a business which do not need his presence. In fact, he only spents three or four days per week at work, most of his remaining time he uses it for family. Greg believes the most important thing in his life is his family. “Money is not from a tree” (Greg Stamboulidis) (12) – This was how Greg taught his children about the value of money, how hard he had to work in order to earn money for them to go to school. That is a great way to teach his children about value of money and how to use them effectively. It is a very important lesson for anyone who want to do business in the