Abstract
The objective of this paper is to discuss various business aspects covered in the case study “Getting in on the Ground Floor”. Install-a-Flor is a family owned business that successfully operates in market for past several years and achieved significance growth. This paper describes how an individual can utilizes his capabilities in capitalizing potential business opportunities. The paper also informs about advantages associated with family owned business and other various aspects associated with the business.
“Getting in on the ground floor” case study clearly demonstrates that how an individual’s capabilities can tap business opportunities existing in the market place. Individual should have excellent knowledge and experience of his field in order to identify potential threats, opportunities, business trends and core areas that determine the success of business. A company can sustain in the market by generating competitive advantages in terms of cost, excellent service and distinguish offerings.
Answer 1
Larry Gibson started his business long back in year 1988, when his present employer Eaton’s flooring division was closed down. Eaton asked Gibson to take care of warranties outstanding and contracts by his own. Gibson decided to take this opportunity despite of tight financial situation. Gibson was ready to take the challenge because he got all the existing contracts from Eaton and also he has good image among all clients. At the time of entering in to personal business Gibson had good industrial experience of around twenty years. He was well known for his hard work, knowledge, credibility, and delivering excellent services at affordable price (Kotler & Keller). Gibson’s clients were very happy with the quality of his works. Gibson possessed qualities desired to operate business successfully i.e. Quality, excellent customer service, and competitive pricing; these three elements play major role in attracting customers to purchase services.
Answer 2
This family business has various advantages such as better understanding of each other, simple and effective organizational structure, dedication and commitment towards work, and excellent knowledge through informal training. All these benefits are clearly visible in this family business. Gibson said that his wife effectively manages administration, and finances. Gibson further said that during early days when he went back to home, he and his wife used to do calculations to develop quantity measures of plans and bid proposals. Such commitment, hard work and efficiency are difficult to achieve in other form of businesses. In family business, owners are self-driven; they do their best to deliver excellent quality of work.
Answer 3
Going public is an expensive process that may cause company up to $ 1 million and in case, IPO does not perform well, company may lose this money. It will also increase company’s responsibilities significantly as all transactions and financial details will be monitored very closely. Company normally considers launching IPO when they see good opportunities of investment. IPO is an effective tool to raise money but should be used wisely. “Install-a-Flor” registered tremendous growth of 633 percent during initial 5 years of operation, which shows the huge potential of business. Thereby I would recommend company to go for IPO and invest money wisely in global market (Draho).
Answer 4
Install-a-Flor is certainly not a new business; company has sales of $30 million and operating seven floors along with several retail stores at different locations in New Brunswick as well as in Nova Scotia. Company also operates in the field of providing specialized services like plastic molding, clean room equipment and thermal welding on sites. Company is also planning to open schools in Bermuda. Company is diversifying its business by tapping opportunities available in different industries (Abraham).
Works Cited
Abraham, C. S. Strategic Planning: A practical Guide for Competitiveness Success. Bingley: Emerald Group Publishing, 2006.
Draho, Jason. The IPO Decision: Why and how Companies Go Public. Massachusetts: Edward Elgar Publishing, 2004.
P. Kotler & K. Keller. Marketing Management. London: Prentice Hall, 2011.
