Please watch this episode of Start-up, which is a really good show found on PBS:
Please answer the following questions:
1) Grace and Mariano entered an industry (apparel) where 97% of the product sold in America is foreign-made. Yet, 60% of American customers say they will pay a premium for “Made in the USA”. Do you see the paradox? Stated differently: If the majority of customers want Made in the USA product….why are only 3% of the clothes we buy Made in America? Please research the marketing implications of a Made in the USA marketing strategy — and answer whether or not more small businesses should embrace this strategy? Please support you answer with a research citation.
2) Both businesses featured were started with personal savings; credit card debt; and loans from family members. This is a common formula for entrepreneurial ventures. But is it a good or bad strategy? Using personal savings is a given. All investors will want to see the founders put-in some money. Please research the other two approaches. Should small business owners finance operations through credit card debt and/or loans from family? Support your conclusions with research. Your score is not based on whether you agree or disagree, rather your critical thinking into the issue.
3) Jennifer and Eric used the help of Ryan O’Day, a family member and business owner. Mr. O’Day said, essentially, he “had a duty to help other small business owners” and that “other entrepreneurs will help and support you”. Most entrepreneurs will agree with this. Of course, they may have a profit motive to help you. But, generally speaking, small business owners help each other out. Accepting this premise: Think of a small business you want to (or have started) or a small business you’d like to get involved with (in a management or leadership capacity). Think analytically, and identify where you could get advice from fellow small business owners. Please share links to any web-sites you cite.
4) This program was produced in 2014. It’s now 2018, and each of these young companies has had time to take actions in fulfillment of their missions. Please review each company’s web-site carefully:
https://appalatch.com/ (Links to an external site.)
https://www.clevelandheath.com/ (Links to an external site.)
Which company do you feel is better executing the original vision of the founders (as expressed by the founders themselves). Provide a rationale and examples to support your opinion.
Here again, there is no right or wrong answer. That is, you could earn full credit whether you say Jennifer & Eric, or Grace & Mariano. We are looking at your critical thinking of the issue. We see what they were doing in 2014 — does it seem like they are both executing that vision in 2018? Or, does it feel like either (or both) are still trying to find their niche in the market?
