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Evergreen Natural Markets 2012 Case Solution

Solution Id Length Case Author Case Publisher
2356 1443 Words (6 Pages) Rosabeth Moss Kanter, Paul S. Myers Harvard Business School : 4450
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Evergreen is a successful business, owning various stores and operating in the natural foods market. The company was founded by Donald Slater who passed away, resulting in her daughter, Kathleen Norton taking over the business. She further expanded the business by acquiring independent stores with good corporate governance and management strength. Evergreen operated in the Rocky Mountain West area, which was a big market for natural foods. In 2012, however, Evergreen decided to acquire Arugula, a grocer chain located outside of the Rocky Mountain Area. Arugula was operating at a loss for three years and had a management that was uninterested in the chain’s success. The acquisition resulted in reservations and criticism from the senior management and outsiders. It was rumored that the management of Evergreen will not mentor Arugula, while the management believed that the integration was not worth the try. Hence, Norton, Evergreen’s CEO, had many challenges ahead, i.e., successfully integrating Arugula, turning it into a profitable company, and retaining Arugula’s management staff. 

Following questions are answered in this case study solution

  1. Who are the main players (name and position)?

  2.  In what business or businesses and industry or industries is the company operating?

  3. What are the issues and problems facing the company? (Sort them by importance and urgency.)

  4. What is the primary problem for the company/organization in this case?

Case Analysis for Evergreen Natural Markets 2012 Case Solution

1. Who are the main players (name and position)?

There are various main players that have contributed to Evergreen’s success. The first one is Donald Slater. Donald Slater is the founder of the Evergreen chain who started this business in 1966 from a roadside stand and expanded it to a year-round grocery store. He grew Evergreen by using acquisition as a strategy to expand his business. He also protected Evergreen from external offers from third parties. However, Donald Slater passed away in a Skiing accident in 1998.    

Kathleen Norton is the current Chief Executive Officer (CEO) of the business. She took over the business in 1998 after her father passed away. She helped Evergreen grow and expanded by acquiring distribution centers to improve the store’s distribution system. She also acquired many other grocery store chains so the business could expand into other geographies. She also defined the values of the business so employees could be more aware, i.e., giving customers a good experience, acquiring knowledge, etc.    

Sean Burke is another main player. He sold his Salida Green Market to Evergreen. He was wary at first since he did not want to lose control; however, he was still managing the store and joined Norton’s team then. Norton treated him as an equal and showed him respect throughout the interaction. He felt it was more like a collaboration than a negotiation.  

Harry Miller is Evergreen’s Chief Executive Officer (CFO). He manages the cash, credit, and finances of Evergreen. For that, he has built relationships with vendors and all parties involved. He visits the stores, the market where they get material, and the banks and institutions to manage credit.     

Sheila Merlyn was hired in 2003 as a Chief Technology Officer. She adopted technologies to process orders, manage replenishment, and schedule deliveries. This allows Evergreen to manage its inventory efficiently and reduce risks of stock-outs.      

2. In what business or businesses and industry or industries is the company operating? 

Evergreen started operations in the natural market. It was first involved in the seasonal produce market. However, as time passed, Evergreen expanded operations over time by acquiring various store chains. The Company is now operating in the gourmet, natural, and organic products industry. It sold organic food and beverages. These are produced without the use of pesticides and synthetic fertilizers.

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