Academic Master

Business and Finance, Human Resource And Management

Supersite Company Analysis


Supersite is the firm of the dairy farm with an objective of enhancing quality and provide good products to their consumers. Like other profitable organizations Supersite’s possesses the quality of good management, bear approachable policies and ensure quality to their user. For any firm or industry, the most important and concerned thing is to maintain its share and number of customers in a competitive market. For that, every firm seeks for such policies and actions that meet the goal before them. Same is the case with the Supersite Company. We focus our study to evaluate the case of the firm. For that, the very nature and principles of the firm will explicitly discuss.

The nature of the firm, in this case, is dairy milk company which supply milk for the customer over a decade. The gain and loss of the company were drafted after each year, and they were analyzed for the profit. Different ratios were considered for the evaluation of firm’s profit. Like the ratio of sales to profit, profit to lose and net gain ratio. These ratios are the indicators of the economic analysis in this case since they analyze the economy of the firm. Whether it is going upward or going into recession. The data table in the article shows the sale of the firm over a long period. This yearly data shows the economic performance of the firm in the past years.

Superlite is the profitable dairy firm with core values of better quality, trust, and reliability. The all behind the success of this firm is its tradition of maintaining quality and trust in their products. In an interview, Mr. C.L Litany said that over success is due to maintaining quality which is superior to the consumer. This firm was launched in 1929 with a proper setup. The trucks were properly painted and sold officers were given a clean and needed the uniform and people start purchasing their product since they laid their organization on the very concept of quality and their first objective was customer satisfaction.


The objective of the evaluation of this paper is to outline few things, which are important aspects of the business firm. To start a business, we need a clear objective and planning. Without outlining the objective of business we cannot achieve the target. The important concept involves in business is choosing the right time for right business. If you have a good plan, and you got enough money as well, but you do not know when to launch that program than your asset and opportunity both go in the van. Calculation of right time evolve few steps and procedure. These procedures are, proper analysis of the issue and opportunity, analyze the kind of market, calculate the competitiveness of the market, evaluate the nature of your product and compare it with the nature of the market.

Choosing of the market depends on the type of your product. Your product nature and quality must meet the criteria of market and customer. The primary thing around which the business objective revolve is the selection the right time for right work. In the given case the dairy firm having the sole objective of customer satisfaction and quality maintaining in their [product make them the most profitable firm in their area amongst the comparative market. If we fit the scenario in our mind and reflect, then we ultimately came to realize what the successful and effective firm demand from us.

The initiation of this dairy farm in the mid of 1929 was the perfect time for its owners and managers to launch the firm since the time was perfect for the competitors. Despite the competition, Superlite excelled in the market because it targets market by enhancing the product quality and choosing the right time. Thomas Baker, the founder of the company, knew that what to launch, where to launch and when to launch? In addition to these questions the most important question he considered that put his company above all. That one question is how to start his product. He upgraded the quality of the milk to won the trust of the people; this is called the outline the objective of your work. The company was initially launched on some conventional methods, but it was updated with the time. The revolutionary change brought to the company by the Hollingsworth by introducing new marketing methods. Those methods were introducing tracks for the delivery of milk to the households, the tracks were painted and flourished labors were given uniforms. That was a new change to the firm which gears up the performance of the firm in the competitive market. The innovation was key to its sustainability in amid of 1938 recession. This is how the outline of objective works. If your objective is clear before you then you can sort out policies and required actions. In short, the objective of the firm was clear before it that was attaining the highest quality in the product market and capture the more market share.

Every business firm works within the two main business perspectives. Those are long term or short term policies. You have to decide whether you have to run in the long run or short run according to the asset and firm size that you have. After that policies and setup of the firm will be organized. How to carry a small firm in the long term is the important question since small firm’s size matters a lot in the time perspective. Long term is the era where your firm prolonged for a long time, asset and firm size also included. From the case study of the dairy company, we got the idea how a small firm can be useful in long run. From the day of its initiation, the company made a remarkable profit at every year. The progress of the company from 1929 to 1968 gives us the idea of long-run growth and the steps and policies necessary to carry a small firm into the long run. From 1965 to 1968 the profit increased to 18%, the work behind the advantage is essential to be discussed. What the reasons are that it sustained itself even in 1938 recession and continued to attain its goal. The findings to this reason will outline the concept of the long run and transform a small firm into the long run firm. The dairy company in its primitive stages made progress in upgrading the firm size and manipulating capital for the new little projects. The managers never stopped to implement new methods and never hesitate to take further steps and risks; this is the only reason they sustain in the long run despite the size of the firm and capital.

The long term can only be achieved if the firm size keeps update with the time and innovations made to the firm. As the changes made to the firm from time to time and capacity is increased to meet the demands of the time. In addition to supplying milk, the firm was adjusted to milk processor and distributor; these changes upgrade the size of the company as in economic term such adjustments are known as the vertical increase of the firm. From here we can get the idea how to convert a small firm into a long run firm. The conclusion to this is that to carry the little size firm into the long run the size of the firm and changes will be made from time to time as demand increase.

Key issues

Dealing a business firm mostly encompasses challenges and risks. The managers use their expertise and talents to encounter the obstacles. Some problems are permanent, and some are temporary issues. The policy makers and managers adjust their policies and tasks according to the situations lie ahead of them. Identification of risk and challenges is a different skill and dealing them with expertise is different. What issues we face in a short run and what problems we encounter in the long run. Long run issues are different from short-run issues. By analyzing the case, we came to know how to identify the risks and problems in both long run and short run. The primary issue faced by the dairy company was in the hiring of the labor force. The labor force they hired at initial stage were unskilled and veteran. 300 labors were engaged in unskilled tasks or semi-skilled tasks. Hiring such labor force is equal to the threat to the company. Because the skill and ability of the labor are responsible for the quality and reliability of the product. Superette’s 300 employees are engaged in unskilled or semiskilled tasks, that much-unskilled labors are enough to through the firm back into the quality crises. Among them mostly work even do not have any experience of the dairy firm.

These issues were internal issues of the company. The next issue was the making of unions in the company. The attempt of making union was made in the organization. Union making I any organization is the threat for the company as it can derive the labor to go against the policies or create a separate power within the organization to claim their right whenever they want. These and such other issues are the concern of the specified department. They had to monitor what is happening in their department, and they had to rule it mitigate the problem of unskilled labor HR department had to deal with it. Giving training to the workers and guide them to learn the skills is the responsibility of sub-departments or HR.

External threats

Same as the internal issues every business firm face external challenges. These external challenges may be from other competitors, environment, government, ordinary public, and market. The first thing is to identify the obstacles and second is to sort out policies to retaliate those challenges. In the dairy company, the external challenges they faced from their initial stages were the market challenges. For the time being the high official, Charles Linty told that no such a seller in Nashville market to meet their quality, thus they are in a situation of monopoly in the market but experts reject his saying by arguing that there are such other competitors exists in Nashville market to compete Superlite. The second issue they face from external was the claim from the users on the skill of labors. Customers are bit hesitate on the quality due to their unskilled labors. The solution for that is simple and straightforward that is to train the labors to the highest degree.

External opportunities

The success of the firm is inaccurately using of external openings, the second thing which is more important than it is creating external opportunity. If the firm seeks for opportunities than ultimately it competes the market. Opportunities available for the dairy form were in their vertical market. As they were not stocked to just supply of milk instead, they start processing it and sell further products of the milk. They produce secondary products of milk and sell in the market. In this way, they cover more of the market.

Internal weaknesses

The internal weaknesses were discussed in the issues as well. The biggest weakness of the company was with its procedure of labor hiring. They hired excessive labors most of them were unskilled. Almost 300 labors were even didn’t know about the dairy farms. To overcome such issues, HR department should fix the problem through training and sessions.

Internal strength

The internal strength of the company was seen in its progress it made since its launch. The internal forces were their dedicated, punctual, determined and optimist managers and policymakers. As the employees stated about one of their managers that he was honest and dedicated one. The decision making power Sprite’s managers and policy makers got was their biggest strength. The bold decision made by Hollingsworth to introduce trucks and home delivery service was the history in its nature since it brought a holistic development in the company. The decision was risky and challenging, but they dare to take it. This is the spirit of the businessman.

Ratio analysis of the sales and production

In 1968 milk and cream took 45.7% of the total milk supply. But a 0.7% increased were from the year the year 1967 the sale was recorded at 45%. In that year frozen product like cheese and butter however increased in sale. When we compare this with the era of 1952 we came to know that the sale of milk is decreased since 1952. The cash received by the farmers by selling the milk and its processed product was $224 million more in 1968 than in 1967. In three succeeding years the income increase by 18%. Compare to 1965 the income gained in 1968 was $925 million more. But inflation were seen in the 1968 as consumer paid more prices relatively to 1965. The following show the detail analysis of milk production and its sale in different states. The following data analysis shows the business impact in different states.

state Milk cows(1000 Cow’s values and heifers($1000) Milk production million/pounds Average production Value $1000 %farm income
Alabama 143 25,740 808 5,650 48,910 7.7
Alaska 2 665 18 9,830 1,807 44.4
Arkansas 102 19,620 553 10,840 35,086 3.8
California 781 262,880 8,950 11,460 470, 286
Colorado 99 25,300 844 8,530 48,153 5.1
Connecticut 67 25550 680 10150 445208
Delaware 15 4480 134 8930 8063 6.5
Florida 182 45360 1554 8540 115123 9.4
Georgia 139 28120 1041 7490 64544 6.3
Hawaii 14 6900 134 9930 12619 3.8

Some country import milk from their neighbor countries. The impact of the Superite dairy form in the United States vary from state to state. In some state the net income earn by the company is higher while in other states it is relatively low. This shows the preferences of the states to other companies. United states earn maximum while Wisconsin score second in the net earnings. This table represent the production of different industries at United States.

Sale and supply statistics of company

years total-fluid


Fresh milk


Skim milk


Condensed milk








Dry whole


Evaporated and condensable
1950 141.7 129.3 5.2 7.2 2.0 18.5 9.1 5.4 2.2
1955 148.7 134.9 4.5 9.3 2.0 14.5 7.5 4.8 2.5
1958 147.3 133 4.4 9.9 2.4 12.5 7.1 4.7 0.3


To analyze the sale and statistics of the company few examples from then progress of the company are taken. The given above data shows the sale of Superite in the United States indifferent era. The three main era are given above in the table which shows the sales of different milk’s item in different years. Each year has its own gain and share in each item.

Fluid milk products sales. 1960-1968

Fluid items 1960% 1963% 1964% 1965% 1966% 1967% 1968%
Whole milk 87.6 85.4 84.4 83.7 82.1 80.4 78.5
Low fat 2 2.4 2.5 2.6 2.7 2.6 2.5
Plain 6.5 8.3
Skim milk 4.6 6.8 7.8 8.6 3.7 3.7 3.7
Plain 1.8 2.5 2.6 2.8 1.4 1.4 1.3
Solids added 2.8 4.4 5.1 5.9 2.2 2.2 2.7
Butter milk 2.2 1.9 1.9 2.0 2.0 2.0 2.0

Financial analysis of the Superite performance;

After going through all the given data and sale table know we are in apposition to reflect on the financial progress of the firm. Over all the year 1960 is the best year for the milk producing company. As more of the milk product has been sale out in that year. Whole milk production and sale relatively decreases over 1960 to 1968. While low fat milk production and sale increase from 1960s to 1968. Whole milk production was 87% in the beginning and dropped to 78.5% in 1968. Almost 10.1 % drop in milk production from 1960 to 1968. This period show a low financial growth for the company.

Organizational development

Organizational development seems weak in the above analysis of performance. As there has been shown that the production of fluid milk drops from 1960 to 1968. The internal management and set up is weak to form policies to enhance the production level. The less production of milk shows that the organization is not properly using its resources thus the company is lack by efficiency and productivity. The less production also give evidence of labor productivity or unskilled labors.

Alternative strategies

Alternative policies are the two are more approaches to attain the same goal. These are methods policies used by the firm to achieve their goal which is to maximize the profit. These policies are applied when one of the systems they adopted is failed or incapable of making their goal. As four other competitors faced the dairy company in the market of Nashville. To cope the challenges and threats from these companies they sorted out different ways the scenario in the Superlite was different. They had the legacy of good managing and effective decision making. They held the legacy of their managers from time to time. The policies they had adopted for the sales were working for them to the highest of their target. But after going through the whole case here few strategies and plans are to help the managers to boost up their sales. These policies are in response to their weakness I found in their entire setup. The selection criteria of labors are to be changed if they want more effectiveness in their product sales. The selection criteria must be on merit-based. The worker should be hired after taking proper test and interview. Their performance must rank labors in the organization. Besides this, the vertical expansionary and horizontal expansionary strategies must be followed. This help any firm to expand their products vertically in the market as well as horizontally in the market, these strategy help firm to attain diversity in the market. Above all diversification of goods is the best policy for the business firm.

Choice of strategy

Choice of strategy depends on the nature of the firm, market, environment, and type of customer-firm is targeting. The best strategy for the Sprite to adopt is the horizontal and vertical expansionary strategies. The strategy must be focused on the internal management setup and resource utilization. The strategy must also ensure and outline the basic steps to overcome the problem of labor productivity which is very weak in this company.


Marketing guideline for this company is that, the quality of the product must be maintained high as they did in their initial stages. To capture more market the company must produce various products from the milk. Like cheese, butter, ice-creamed this kind of alteration maintain the share in the market by getting more customer.

Implementation of strategy

The chosen strategy must be apply at different level in the organization. The first thing is to develop a competitive environment in the company by hiring skillful labor. Second thing I to increase the efficiency and productivity through innovations in technology and labor productivity. The next thing is to differentiation of products, and maintain the quality hence to compete with other competitors.



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