Celebratio and Karoo Pak : growth strategies for pomegranates

Abstract

LEARNING OUTCOMES : The case provides the opportunity for students to consider key strategic choices related to growing a business over time, as well as to apply tools that were narrowly related in determining the future direction, competitive advantage and dynamic capabilities of a business. Once the case study has been discussed and analyzed, students should be able to: Actions you could take: • uncover the grand strategies available to grow a business; • use the VRIO framework to reveal the firm-specific resources a business possesses to gain a sustainable competitive advantage in the market; and • understand how strategic agility can lead to the development of dynamic capabilities that allow a business to prosper in the long run. CASE OVERVIEW/SYNOPSIS : This case study explores the journey of Gerhard Meyer in establishing and growing a successful pomegranate farm (Celebratio) and a packing and distribution facility (Karoo Pak) in the Klein Karoo semi-desert region of South Africa. The case highlights the challenges of establishing the business within the region and the innovative approaches adopted. The farming context offered insights to business students on how to evaluate strategic growth opportunities and to develop strategic agility when facing a series of setbacks. The case demonstrates Meyer’s efforts to create a flourishing ecosystem through stakeholder collaborations, a unique value proposition and value-adding products. Considering the opportunities facing the company, students need to establish whether the company should grow locally or globally and how firm-specific resources and dynamic capabilities can enable its strategic agility. COMPLEXITY ACADEMIC LEVEL : This study is suitable for Master of Business Administration level and for middle to senior management development programs or short courses in executive education focusing on business strategy and strategic management. SUPPLEMENTARY MATERIAL : Teaching notes are available for educators only.