Group 5 Keith Hermes, Nathan Matroodnejad, Terence Alost, Ashley Miller Hall Schneider, Matthew Troxler, Adrian Nikdast, Travis Clapp

 Began with Machado, he had a vision of reducing agricultural waste which made up a large portion of costs in the fresh produce industry.  Machado had previously heard of Modified atmospheric packaging he believed that this new technology could revolutionize the logistics of the fresh produce industry. FreshTec

 The central problem is securing market acceptance of the SmartPac technology to a market which has not deviated away from static growing practices and standard packaging solutions. Central Problem

 Implement Smart Pac into the domestic and global market.  Improving the quality and safety of the fresh products to the end user.  Reduce Carbon foot print of shipping  Obtain and sustain significant competitive advantages in the industry through modernization Goals and Objectives

 High Costs  Production capacity – Scale of operation i.e. Large volume orders are necessary for sustaining operations  Influencing growers to change picking philosophy “Pick when ripe”  Expanding the product’s use beyond high-end or luxury retailers will be difficult. Constraints

 Switching Costs  customer switching costs  supply-side economies of scale  unequal entrance to distribution channels  incumbency advantages independent of size Barriers to Entry

Buy/Sell  FreshTec would act as its own broker that would buy products direct from the farmer and resell to a retailer or wholesale food operator  High cost constraints  Production capacity  Picking ripe philosophy – no buyer power  Expanding the use beyond high-end retailer and luxury retailers

 High costs constraint – this alternative is more difficult to overcome the constraint of high costs  Production capacity – production would be limited  Influencing growers picking philosophy – this can be done efficiently because we will be directly partnered with the farmers Partnering with Farmers

Partnering with Major Firm High costs – Deals with high costs constraint very well Production capacity – Deals with proiduction capacity very well Picking philosophy - Larger firms influence over growers will ensure compliance Expanding beyond high-end retailers – the effectiveness of this alternative to deal with this constraint will greatly rely on the performance of FreshTec throughout the implementation phase.

 Partnering with a major retailer  To find a teammate with the capability of cooperating with a special project that can implement SmartPac into their existing logistical system to assist in bringing FreshTec’s operation to scale rapidly  least amount of risk and cost in assuring implementation Best Alternative

 Step 1: Discussing partner options & initial production capacity options  Step 2: Choose the best firm and next alternatives  Step 3: Meet with purchasing agent for acceptance of bid and discussion of implementation into existing logistical systems.  Step 4: Ensure production quantities and test for quality measures Implementation

 Step 5:Implementing training to every part of the supply chain  Step 6: On-time Delivery  Step 7:Monitoring operations Implementation