Business Report on Yume Foods Company: Sustainable Growth Analysis

This business report analyzes Yume Foods Company, a food joint operating in Australia across multiple segments, including clothing, food products, and financial services. The report assesses the company's business model canvas to identify critical success factors for sustainable growth. It evaluates the relationships between business model factors and focuses on the company's provision of financial and retail services to the middle and upper-income groups, emphasizing value propositions and consumer relationships. Recommendations are provided regarding pricing strategy to enhance consumer perception of quality and explore value-added services. The report covers key partners, activities, value propositions, consumer relationships, resources, channels, segments, cost structures, and revenue streams, ultimately aiming to provide insights for Yume Foods Company's continued success in the retail industry. The report also analyzes factors that may decrease downside risks and provides self-reflection on business changes.

Running head: BUSINESS REPORT ON YUME FOODSCOMPANY
Business Report on Yume Foods Company
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1BUSINESS REPORT ON YUME FOODSCOMPANY
Executive Summary
Yume Foods Company is positioned as a food joint established in Australia and operates its
business in several business segments. The segment in which the company has its business
includes clothing and general merchandise, food products, logistics and financial services. The
purpose of the report is to analyze the critical success factors in obtaining sustainable growth for
the company after carrying out analysis of business model canvas. The scope of the report is to
evaluate the relationship between the business model canvas factors identified for the company.
It was gathered from the report that its major business focus is on the provision of financial and
retail services to the middle and upper income groups. Through employing all its value
propositions, it tries to offer better consumer relationships. This is dome through offering quality
services and products to all its consumers all across Australia. Based on the analysis
recommendations have been provided regarding change within the pricing strategy structure for
the reason that it offers negative perception regarding the quality of the profits. This can also
generate a value-added service considering the input expenses.

2BUSINESS REPORT ON YUME FOODSCOMPANY
Table of Contents
Introduction..........................................................................................................................3
Business Model Canvas.......................................................................................................4
The relationship among Business Model Canvas Factors...................................................7
Critical Successful Factors in Attaining Sustainable Growth..............................................8
Analysis of Factors in Decreasing Downside Risk............................................................10
Self-Reflection on Business Changes................................................................................11
Conclusion.........................................................................................................................12
Recommendations..............................................................................................................12
References..........................................................................................................................14
Appendices........................................................................................................................16
Appendix A....................................................................................................................16

3BUSINESS REPORT ON YUME FOODSCOMPANY
Introduction
Yume Foods Company is positioned as a food joint established in Australia and operates
its business in several business segments. The segment in which the company has its business
includes clothing and general merchandise, food products, logistics and financial services
(Caetano et al., 2017). Moreover, the organization has its business operation within certain
geographical regions including Australia. The Australian food segment encompasses the resale
and procurement of food products to the Australian consumers. The company offers quality
surplus food at highly discounted rate It has more than 100 stores all over Australia with more
than 50shops that connects businesses that have excess supply with business that can use them
(Yume - Food Wholesalers., 2018). The company is also involved in selling gasoline and
leverages its distribution network to offer wholesale merchandise for the supermarkets of third
parties. The company’s 165v odd general merchandise discount stores have its business
operation within the brand name. It also has more than 95 consumer electronics shops under the
brand and operates in commercial food sector (Dudinet al.,2015).
The purpose of the report is to analyze the critical success factors in obtaining sustainable
growth for the company after carrying out analysis of business model canvas. The scope of the
report is to evaluate the relationship between the business model canvas factors identified for the
company. The first section of the report is to explain the business model canvas of Yume Foods
Company; the second section will explain the relationship among factors of business model
canvas. The third section will explain the critical success factors in attaining completive
advantages. The fourth section will explain factors causing downside risks and finally the last
section will offer self reflection on the business changes.

4BUSINESS REPORT ON YUME FOODSCOMPANY
Business Model Canvas
Key Partners
 Subsidiaries
 Suppliers
 Investors
 Providers of
logistics
resources
 Advertisers
 Associates
 Group of
brands and
many more
 Joint venture
 Joint venture
with
Commonweal
th Bank
named Yume
Foods Ezy
Banking
Key Activities
 Direct
purchasing
 Merchandising
 Supply chain
management
 Sales
 Refresh stores
 Inventory
management
 Pricing
 Updated
product
offering
 Consumer
service
Value Propositions
 Yume Foods
Groupis made
of most
recognizable
and trusted
retail brands
 Good prices
 Largest hotel
and operator
of gambling
machine in
Australia
 Supermarkets
 Liquor
 Broad range
of promotions
and offers
 Positioned as
largest
Australian
company with
Consumer
Relationships
 Culture of
consumer first
team
 Users
community
 Price based
 Consumer
satisfaction
 Experience
 Quality
 Reward
programs
 Price based
 Loyalty
program
 Online and in-
store
 Personalization
 Bigger bags at
self-service

5BUSINESS REPORT ON YUME FOODSCOMPANY
high retail
interest all
across
Australia and
New Zealand
 Home
improvement
checkouts
 Being a
member of
loyalty
program
focused on
attracting
consumers
within
supermarkets
through
offering huge
discounts
Key Resources
 Presence
 Brand
 Know-how
 Tracking
trends for
making space
for new
products
 Ensuring they
Channels
 Five and dime stores
 Supermarkets
 Cards and discount dockets
 Operates more than 12650 poker
machines in Australia
 Mobile apps
 Virtual stores
 Websites
 Coupons
Consumer Segments
 Massive market
 Households
 Small
businesses
 Price sensitive
consumers

6BUSINESS REPORT ON YUME FOODSCOMPANY
stock right
products in
right stores
within
righttime
 Personalizing
members for
making them
highly useful
 Analyzing the
ways
consumers
shop for
importing
services
 Serves more
than 18
million
consumers
every week
 Logistics ad
stores
resources
 Social media
 New delivery options

7BUSINESS REPORT ON YUME FOODSCOMPANY
 By revenue is
positioned as
second largest
company in
Australia
 Developing
trends and
generating
modern retail
model that are
followed by
all its stores
Cost Structures
 Maintenance
 Cost of goods
 Logistics expenses
 Rent
 Presence
 Assets
 Offices
 Advertising and marketing
 Salaries
 Rent
Revenue Streams
 Online sales
 Retail sales

8BUSINESS REPORT ON YUME FOODSCOMPANY
 Licenses
 Taxes
The relationship among Business Model Canvas Factors
Business model canvas factors of Yume FoodsCompany explains the performance of the
business through nine interrelated factors mentioned in its business model. This includes key
partners, key activities, value proposition, consumer relationships, key resources, channels,
consumer segments, cost structures and revenue streams (Fritscher&Pigneur, 2014). From the
business model canvas, it has been gathered that its major business focus is on the provision of
financial and retail services to the middle and upper income groups. Through employing all its
value propositions, it tries to offer better consumer relationships. This is dome through offering
quality services and products to all its consumers all across Australia. This is attained by the
company by means of fresh food strategies, human resource strategies and price strategies
(Fritscher&Pigneur, 2015). Yume FoodsCompany employs all its key partners and activities in
order to increase efficiency of its business and for being cost effective. Business model of the
company is integrated in such a manner that all the aspects of such canvas is focused on offering
consumers with effective shopping experience all through the year. The channels and cost
structures of Yume FoodsCompany is observed to be linked together in order to gather high
revenues from broad consumer segment (Jackson, Scott &Schwagler, 2015). These aspects of the
company’s business model canvas focuses on its business operations, consumers and people.
Based on its major partners and value proposition strategies, the company has focused on
implementing distinct initiatives for the consumers. This is for the reason that they remain
informed regarding healthy food choices along with facts on fresh foods. The company has also
employed its business model effectively in developing a website that can inform consumers

9BUSINESS REPORT ON YUME FOODSCOMPANY
regardingeasyaccessibility of products (Joyce &Paquin, 2016). Through employs its major
advertising partners and focusing on consumer relationships, Yume FoodsCompany developed
commercials on “Fresh Food Update” that informs the fruits and vegetables available in a
particular season. The magazines named Fresh Food Magazine and Australian Good Taste is also
developed by the company as a consumer retention strategy that has healthy recipes in it (Joyce,
Paquin&Pigneur, 2015).
Critical Successful Factors in Attaining Sustainable Growth
There are certain critical success factors for Yume Foods Company that has facilitated
this organization to attain unique sustainable position in the retail industry along with obtaining
certain competitive advantages over its major business rivals (Osterwalder, 2017). These success
factors are explained below:
 There are some major competitors of Yume Foods Company such as Tesco and
Morrison. In attaining competitive advantage over them the company has several chain
stores that can impact its food market and can facilitate in offering quality service.
 The company has more than 273028 employees and is positioned as one of the largest
Australian retailer, which attains profits of more than 2 billion pounds that has
international sales and domestic market share (Toro-Jarrínet al.,2016). Yume Foods
Company always cooperate with the local suppliers and to share the company relevant
industry experience along with technology.
 Critical success factors of the company have an exceptional power of advertising along
public relations through the media use, newspapers along with journals.

10BUSINESS REPORT ON YUME FOODSCOMPANY
 Another critical success factor of Yume FoodsCompany has attributed to impact the
nation in which it operates (Zolnowski, Weiß&Bohmann, 2014). For instance, it offers
numerous jobs due to the reason that it offers jobs as the individuals of host nations are
the ones which works within the supermarkets. The prices of products within the
company are cheaper along with affordable in comparison to other retailers and the
shopping is convenient to the consumers.
 Yume FoodsCompany offers likely access to a broad range of markets that facilitates the
generation of new services and products (Fritscher&Pigneur, 2014). The company has
established an efficient leadership within the food retailing industry. This critical success
factor of the company facilitates to enter retailing of food and non-food goods that was a
clarified and distinct brand proposition which had a focus on a suitably defined market
segment. The company is recognized as a company that offers the most customizing and
effective service relied on effective consumer relationship management
(Fritscher&Pigneur, 2014).
 Yume FoodsCompany has made a considerable contribution to the perceived consumer
advantages of the outcome (Plenter et al., 2017). The company offers a significant
consumer advantages.
Analysis of Factors in Decreasing Downside Risk
Yume FoodsCompany is observed to deal with certain risks in operating its business all
through its business locations. Risk are observed to be different based on their intensity and the
ways in which it can add vulnerability to the position of the market (Dudinet al., 2015). The
company is deemed to face with certain downside risk related factors such as financial, strategic,
compliance and operational risks that are present within the online and retail markets.

11BUSINESS REPORT ON YUME FOODSCOMPANY
Strategic factors can result in the downside risk within Yume FoodsCompany. It is
necessary for a company to decrease environmental pressures along with promoting social
responsibility (Fritscher&Pigneur, 2014). This is necessary for the company to operate
successfully within the competitive retail trading market. Focus aspects that might result in such
risks include food waste, diversity, own brand packaging, carbon emission and ethical along with
sustainable sourcing.
Certain operational factors might result in downside risks for Yume FoodsCompany.
Certain factors that might result in such risks can be related with events and are not limited to
failures to meet people product safety standards (Dudinet al., 2015). Such risk factors also
include security, information technology, data breaches, assets along with business disruptions
that might lead to cyber-attacks. Not managing these factors might result in industrial disputes,
supply chai interruptions or technology failure.
Compliance factors can also result in certain downside risks for the company. Yume
FoodsCompany is subject to certain applicable laws, contractual agreements and regulations and
is likely to face certain adverse legislative or regulatory changes (Fritscher&Pigneur, 2014).
Such adverse changes or breaches might result in drastic negative effects on the company’s
profitability and reputation, considerable fines along with certain other consequences.
Self-Reflection on Business Changes
From the business model canvas of Yume Foods Company, I have gathered that certain
recommendation can be provided to the company in order for them to attain competitive
advantages. Based on the aspects of the business canvas of the company, I can state that for
positive business change low price strategy, growth strategy and growth strategy can be

12BUSINESS REPORT ON YUME FOODSCOMPANY
implemented by Yume Foods Company (Caetano et al., 2017). I would prefer change within the
pricing strategy structure for the reason that it offers negative perception regarding the quality of
the profits. In order for the customer to believe that the company offers superior quality, price
needs to be a bit more than usual. This can also generate a value-added service considering the
input expenses. In addition, based on the analysis of the business canvas model I would consider
change regarding increasing the percentage of organic food within the stores in order to promote
healthy eating. I can also consider changes in the company’s safety strategy, financial services
and one stop shop (Fritscher&Pigneur, 2014). When the safety strategy is implemented in the
company, I suppose it can have a multiplying impact and can reach numerous people in a short
span of time. Moreover, I would prefer that the company must bring certain changes regarding
diverting its focus on less than two offerings for the reason that a lot of products might generate a
confusion concerning the real product offering (Caetano et al., 2017). Regarding bringing in any
change concerned with low priced strategy I would prefer increasing the price a bit as high
quality does not match the price. I might just focus on including all expenses; improve product
packaging along with setting a higher mark-up. I will try to merge the visa and other cards
together in order to improve the company’s financial services and increase efficiency of
consumers when they visit its store.
Conclusion
The scope of the report is to evaluate the relationship between the business model canvas
factors identified for the company. The report revealed that Yume Foods Company employs all
its key partners and activities in order to increase efficiency of its business and for being cost
effective. Business model of the company is integrated in such a manner that all the aspects of
such canvas are focused on offering consumers with effective shopping experience all through

13BUSINESS REPORT ON YUME FOODSCOMPANY
the year. It can also be concluded that in order for the customer to believe that the company
offers superior quality, price needs to be a bit more than usual. This can also generate a value-
added service considering the input expenses.
Recommendations
Based on the findings of the report, certain recommendations are provided considering
that the company must bring certain changes regarding diverting its focus on less than two
offerings for the reason that a lot of products might generate a confusion concerning the real
product offering. Moreover, recommendations are also offered regarding bringing in any change
concerned with low priced strategy. The company must prefer increasing the price a bit as high
quality does not match the price.

14BUSINESS REPORT ON YUME FOODSCOMPANY
References
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M. M. (2017). Representation and analysis of enterprise models with semantic
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and Information Systems, 50(1), 315-346.
Dudin, M., Kucuri, G., Fedorova, I., Dzusova, S., &Namitulina, A. (2015). The innovative
business model canvas in the system of effective budgeting.
Dudin, M., Lyasnikov, N.V.E., Sidorenko, V.N., Leont'va, L.S. &Reshetov, K.J.E.,
(2015). Business Model Canvas as a basis for competitive advantage of enterprise
structures in agroindustrial sphere (english version) (No. d151e).
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Conference on (Vol. 1, pp. 151-158). IEEE.
Fritscher, B., &Pigneur, Y. (2015, July). Extending the Business Model Canvas: A Dynamic
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Design (Vol. 5, pp. 86-96).
Jackson, W. T., Scott, D. J., &Schwagler, N. (2015). Using the business model canvas as a
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Education, 18(2), 99.

15BUSINESS REPORT ON YUME FOODSCOMPANY
Joyce, A., &Paquin, R. L. (2016). The triple layered business model canvas: A tool to design
more sustainable business models. Journal of Cleaner Production, 135, 1474-1486.
Joyce, A., Paquin, R., &Pigneur, Y. N. (2015). France.(2015): The triple layered business model
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more_sustainable_business_models, updated on.
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Plenter, F., Fielt, E., Hoffen, M., Chasin, F., &Rosemann, M. (2017). Repainting the business
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Toro-Jarrín, M. A., Ponce-Jaramillo, I. E., &Güemes-Castorena, D. (2016). Methodology for the
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Zolnowski, A., Weiß, C., &Bohmann, T. (2014, January). Representing Service Business Models
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on (pp. 718-727). IEEE.

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Appendices
Appendix A