Reference no: EM133041985
Reference: Case study
Baharat Enterprises, is a second-generation family-run spices and condiments trader in the UAE, having been established in 1973. Baharat is headquartered in Dubai, but has offices in Abu Dhabi, Fujairah and in Oman, Qatar and Lebanon.
While their primary business operation is the wholesale trading of regional and exotic spices; since 2012 the company has been the leading supplier of salt crystals for the UAE's cloud seeding program, which has seen an accelerated growth since its start in 2010. (Sodium Chloride and Potassium Chloride are the primary form of hygroscopic aerosol material used by the UAE for cloud seeding).
This pipeline of revenue for Baharat has grown with the UAE's ambitious program, with the company being able to plough back profits to modernise its 'legacy' operations.
In late-2020, Baharat came to know of the UAE's interest in using Titanium Dioxide (TiO2) crystals for cloud seeding, with discussions in place with a few companies in the USA and China as potential suppliers.
While the effectiveness of TiO2 crystals in large-scale cloud seeding is yet to be proven outside of a laboratory, the management team at Baharat is understandably worried. This has been a low-cost, high-profit venture for the company and they have been able to reap the benefits from this pipeline in upgrading and expanding their operations in the region. Losing out to a 'product' that they have zero experience with will impact the company's future plans significantly.
The management team at Baharat Enterprises has asked your help in performing the necessary research on this new competition (TiO2 vs. NaCl), perform the necessary analyses and make recommendations on the way forward.
Questions:
1. Identify the problem statement and break it down into its components/underlying issues?
2. Outline your solution / recommendation for each of these components?
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