This is a structured profitability case that requires candidates to analyze margin differences between product types and recommend strategic diversification. The case tests both quantitative analysis (margin calculations) and strategic thinking (evaluating multiple growth options via a decision matrix).
Everything Bundt Cakes (“EBC”) is a bakery that specializes in bundt cakes of all sizes. They offer a variety of flavors, including a seasonal flavor.
Since 2020, EBC has noticed a decline in profits and would like your help to increase profits again.