BIO PED FRANCHISING INC. AND BIO PED FOOT CARE CENTRES

"The co-owners of Bio Ped Franchising Inc. were entering their eleventh year in business together. They had just finished conducting strategic planning meetings with their franchisees. They had been very successful in their business, having achieved a sustained annual increase in revenue of 20 to 25 per cent over this ten-year period. Their achievements were especially notable given the difficult economic climate. However, their recent failed attempt at expansion into the state of Florida had eroded their Ontario profits and cast something of a pall over the expansion plans they were considering. During this time Bio Ped had become the largest and most progressive foot orthotics business in North America. Competition was on the rise and the advent of new technology made it easier for others to enter the business. The co-owners were putting together their business plan for the next year. They wanted to develop a plan which would help them to sustain their leadership position in the industry and to plan for expansion beyond their current products and markets. The strategic challenge was to balance a strong desire to grow with an equally strong desire to avoid another failure. The Florida experience was not yet behind them and another failure would seriously jeopardize the company's performance and survival.

Teaching Note(s) : 8A96F05 (3 pages"