HP company background Flashcards
What does HP do?
Produce and sell packaged bread
What production model does HP use?
Mass production model where scale and retailer contracts drive success
What market does HP operate in?
Small domestic market - growth may require expansion
When was HP founded and why is this important?
1891 - heritage builds trust
What did Joseph do after he became managing director in 1948?
- Early shift to wholesale
- 1952 invested in slicing and packaging machine - early automation
What drove expansion in the 1980’s?
Supermarket contracts with 3 leading national chains
- Consistent revenue stream
- Created long term reliance
What happened in 1985?
Relocation to new production facility, still there today
What are some points to note about the production facility?
- Long standing facility - efficiency depends on modernisation
- Located in central Keeland - good for efficiency
- Well planned long term investment
What are the details about the distro centre?
- Opened in 1999 - may also need modernisation
- Next to production facility - efficiency
What has happened to HP recently?
Growth stagnation - highlights need to adapt to consumers
How does HP plan to move forward?
Appointed Harry Chang with the intention of expanding product range - risky
What does family ownership provide?
Stability but could limit flexibility, driving innovation is key
What are the headline figures from the 2024 financials?
- Revenue - K$332m
- GP - K$90m
- Operating profit - K$30m
How many employees did HP have?
2208
Is HP profitable?
Yes but cost efficiency will be key to sustaining margins
