Murphy’s Iceland Case Analysis. Business & Marketing Coursework

Murphy’s Iceland Case Analysis
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Murphy’s Iceland Case Analysis
Eduardo Black can use several strategies to maximize his Murphy’s Ice Land investment to make more profits. One of these ways is to remove unprofitable products and services from the investment (Rowett & Stutley, 2019). In any business, products, and services that provide the highest returns in the form of profit margins are the most important. Therefore, Murphy should begin by identifying the most profitable of the services and concentrate on them. From the case, according to the case, the 14 public skating sessions are unprofitable and instead focus more on the Saturday and Sunday sessions.
Secondly, Eduardo should try and find new customers or shift his customer base to a more appealing one. While the process may cost a little more in terms of advertisements and providing incentives, it will eventually create a string of loyal customers. The session that he should target for the new customers is the Friday and Saturday evening public sessions. The teenagers and young adult couples have disappointed him, and thus he should drop them. Instead, he should explore the 8- to 14- year-olds who have a better potential of improving if treated appropriately. He should then spare a specific day or time for the dating groups to protect them from interference.
Edward can consider increasing his conversion rate. While generating new leads is crucial for business growth, it is essential to ensure that the leads are eventually actuated. Converting ideas into reality is one of the most challenging yet rewarding exercises for any business. Edward has a sense of developing a teenage and young-adult market for a social activity, which would resemble the format used by roller-skating rinks. However, he lacks an appropriate plan of how to transform his ideas into reality. Therefore, he should focus on how to convert such views as they could turn out to be more profitable. While the concept my cost a little more, he already has an idea of the market reception and is thus likely to succeed.
Edward should review his current pricing structure. Raising the prices of a product or a service can catastrophic for a business. A sudden hike in price can worsen the effect of this price increase. The company makes as high as $200 an hour from hockey. Rather than charging $5 per person to yield up to $3,500, Edward could begin by charging a less amount, such as ...