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1
MGT 585
Dr. Brandon Randolph-Seng
Commerce, 09/22/2018
Case 1. Beijing Sammies
1. To date, how is Beijing Sammies doing?
Sam Goodman did not expect the challenge of opening the first sandwich shop location at China
in 1998. Opening this company was going to be a demanding entrepreneur experience, with
different culture, the employee’s ideologies and more to it.
Beijing Sammies was not going to be a special case to the rule, any business triumph must go
through hard times at the foundation of it. At the beginning of the case we can read how the
company started registering big numbers, the promotion introductory pricing was the hook to bring
interest to the clients. Another reason I found is that new businesses have big numbers at the
opening moment because clients want to taste and experience their place and food.
One of the biggest problems Beijing Sammies was facing is related to the workers that Goodman
employs. This dilemma increases even more from Goodman’s defeat while he didn’t understand
the differences between his culture and the one of his target market.
Based to the sales, 2001 was not having big earnings due to employees training, first salaries,
overhead expenses and other costs to run the business.
2002 was a better year for Beijing Sammies, the revenue this year was increased by 54%.
According to the revenue it seems like Beijing Sammies to date is going in the right direction.
Beijing Sammies have a negative cash flow during the year, but there are three months in where
they have positive net income, which means that they are having profitability.
In conclusion, the marketing and the way Goodman is leading the company are correct while we
can see an increment of the revenue between 2001 and 2002.
Nevertheless, as revenue increases so does expenses so Goodman should take care about them.
We can compare this success to the one posted on the corporate billing magazine about truck
companies’ success in the first year. This article gives some keys for getting advantage of this
crucial first year, such as, managing rapid growth, passing the inspections or utilizing freight
factoring.
2. Discuss the skills and attributes of Sam Goodman. Discuss the skills that he needs. Why
do you think he is having a difficult time hiring employees that can perform to his
expectations?
Visionary:
Goodman is a true visionary as it relates to his desire to develop a place to “hang out and eat a
traditional sandwich which reminded him of home.”
Self-Realization:
Goodman knows his own strengths and weaknesses and he recognize them.
Determination:
