Case Name :      Cate & Levi: Evaluating Options for Growth

Authors :           Brian Anderson

Source :             Ivey Publishing

Case ID :            W12130

Discipline :        General Management

Case Length :    08 pages

Solution Sample availability : YES

Plagiarism : NO (100% Original work)

Cate & Levi is a specialty gift manufacturer – primarily of children’s toys and clothing – based in Toronto, Canada. The founder of Cate & Levi is pondering growth options for his firm, recognizing that the business model so successfully employed to earn the company its first $1 million in revenues is not likely to sustain the company’s momentum. Just three years old, the company has grown dramatically in no small part due to its unique business model and design. Looking ahead, however, the founder is concerned that the business is not sustainable – the predominant raw materials used for the products are reclaimed wool sweaters, and each product is cut and sewn by hand both in-house and through contract labour across Canada. The case presents a series of growth alternatives for students to analyze and consider, contrasted against the constraints found in an adolescent business: constrained capital and human resources, limited brand recognition, and an underdeveloped supply chain.