East Oak

ProHub Comment

This case requires candidates to develop a revenue growth framework, analyze competitive positioning, evaluate financial investment options using profitability ratios, and identify strategic risks. The case tests both quantitative analysis (NPV/cost calculations) and qualitative thinking around supply chain strategy and operational execution.

Estimated Time 15 minutes
Difficulty Medium
Source Duke
50 / 100

Your client, East Oak, is a fast-growing retailer of modern home goods and furnishings. The company has seen tremendous growth over the past 5 years and is considering ways to continue this growth.

The CEO is looking for our team to provide recommendations for how to achieve this.

Clarifying Information

  1. Existing Distribution Channels: Online-only, no physical brick-and-mortar stores
  2. Value Chain: Fulfillment method is 100% dropship (does not own any inventory, purchases items from manufacturers and ships directly to the customer)
  3. Competition: Some big box stores like Target and Amazon, but mostly higher-end retailers like West Elm and Crate and Barrel
  4. Annual Revenue: $240M per year
  5. Goal: Increase revenue by 10% (or $24M)
  6. Marketplace: Currently only ships in the U.S.
  7. Timeline: No specific, just as soon as possible