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Walden Farms was started in 1972 and is a leader in the manufacture of healthful foods. People with diabetes, bodybuilders, and dieters make up the intended market category. The company aims to produce low-calorie, low-sugar, low-fat, and gluten-free foods. Its objective is to "develop healthy, specialty foods that help people control calories, fat, carbohydrates, gluten, and sugar without sacrificing flavor" ("About Walden Farms," 2020). In other words, the company seeks to dominate the market for healthy and low-calorie goods.

The key determinants of the company's site decision are the local population's health consciousness and the availability of healthy food. Portland, Irvine, and San Diego are reportedly among the top six health-conscious cities in the United States (Song, 2020). Although three other cities have a higher level for the provided statistic, the indicated areas were graded poorly for food availability and accessibility (Song, 2020). Consequently, the causes exhibit themselves in the local population's need for healthy food choices and the lack of availability of the products.

Table 1 displays the factor rating approach for the Walden Farms case. The two discovered factors, health consciousness and healthy food accessibility, were chosen. The grade of 0.6 for the former and 0.4 for the latter was calculated since the presence of demand is more significant than the availability of supply. There is no good reason to create such a firm in a location where there is no demand for the product or service, nor does its lack of availability make it more desirable. Access is also relevant due to the vast number of cities in the United States and the fact that people constantly have some interest in their personal well-being.

Therefore, the resulting rating factors are 0.60 and 0.40, where health-consciousness is marginally more important than access to nutritious food. Scoring was based only on the list supplied by the source for the healthiest cities (Song, 2020). Because the article contains roughly 100 cities, percentile-based ranking was utilized. Although the authors awarded the highest scores to locations with the greatest degree of accessibility, the figures have been inverted since the locations with the least availability are more attractive. Portland was ranked first out of one hundred cities, giving it a score of 100, using a similar methodology. The results indicate that Portland is the most likely location for the future business development due to its high health consciousness and lack of access to nutritious foods.

Table 1: Factor evaluation technique.

Location Factor Rating Portland Irvine False San Diego

Total Scoring Total Scoring Total Total Scoring

1 Healthy-mindedness 0.6 100 60 96 57.6 95 57

2 Healthy food availability 0.4 95 38 98 39.2 92 36.8

Total 98 Total 96.8 Total 93.8

In terms of Location Cost-Volume (LCV) Analysis, the crossover chart will be the focal point. It is stated that the given method combines fixed and variable expenses using a formula. Total expenditures equal FC plus v(Q) ("Facility location and layout," 2020). To create an accurate graph, it is necessary to determine annual costs and production volume. In this example, a volume will reflect the quantity of ketchup without calories. Figure 1 illustrates the findings of the analysis.

The operational analysis offered is an element of cost management. The essence is to investigate the relationships between the financial results of an economic entity and its production and sales costs and volumes. This sort of evaluation is particularly useful for planning and forecasting an enterprise's activities. It is also utilized to determine price and the next site. LCV analysis is conducted using the “cost-volume” method. When doing a factor analysis of earnings, the data from the profit-and-loss statement are utilized, with expenses assigned in accordance with the enterprise's strategic objectives. These may include costs as well as commercial, managerial, operating, non-operating, and emergency expenditures.

Location Cost-Volume Analysis, Figure 1.

With a planned yearly output of 1,500 units, Portland is anticipated to have the lowest expenses. However, the largest earnings can be recorded between 1500 and 2000, which is roughly 1750. This is the most profitable spot for Portland, but if the volume increases, San Diego will be the most advantageous location. The values were based on expected fixed and variable costs for each location, which were heavily influenced by each city's taxation rates. In addition, the average price of Walden Farms' products is approximately $5, and the average cost of production is approximately $3. The presented analysis is one of the most efficient methods for completing the first step, which includes cost measurement and analysis. It is a component of enterprise cost control that studies how the structure of costs and revenues affects the profitability of products or divisions. Through modeling, it is possible to determine the optimal relationship between variable and fixed costs, product price, and production volume.


About Walden Farms (2020). Web.

Facility layout and location (2020). Web.

Song, J. (2020). America's most health-conscious cities. Web.

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Table of Contents

Introduction Implementation of Ideas Elements of the Recommendations for the Program References


To ensure the market's economic viability, businesses deploy strategic innovations. As academics observe, entrepreneurs play a significant role in economic development (Phillips et al., 2015). The inventive activity of an entrepreneur consists of the creation, implementation, and application of a novel method or program. This encompasses the search for new ideas, the development of a project, the creation of a business plan, the launch of a project, its management, and the promotion of a new product or service. Innovation also encompasses the introduction of new business models and financial mechanisms. A successful invention improves performance and generates greater revenues as a result of the increased enterprise efficiency. For example, financial expenditures may decline as incomes increase. Innovation may also result in an increase in demand due to the appearance of new or additional goods or services, which draws new customers. New programs can also attract new employees, filling the workforce with trained professionals. Because of this, it is reasonable to predict that a company that implements innovation surpasses its competitors and becomes the market leader.

There is little doubt that not all innovations can provide favorable results. Some researchers concur that deploying new initiatives is associated with greater risk-taking (Morris, 2015). The evaluation of innovation risk and response strategies play a crucial role in this instance. This case is obviously pertinent to entrepreneurship as it covers in full a new program that assists participants in implementing their business ideas. The company's emphasis on online marketing is particularly advantageous, since "the rapid increase in the number of Internet users enables businesses in this market to generate a profit" (Drobyazko et al., 2019, p. 6). Since its inception, Adobe has developed a variety of innovative business solutions that have allowed it to remain competitive and prosperous.

Implementation of Ideas

Globalization involves dismantling geographical limits and barriers between markets that have impeded corporate growth. As a result, the ability of businesses to innovate while incorporating new ideas from employees, partners, customers, suppliers, and other stakeholders is no longer a fad. In fact, innovations are becoming the primary driver of business development, thereby enhancing their efficiency and value. In addition to other elements, financial assistance is a crucial requirement for the development of innovative endeavors. Some managers view innovation as the most essential means of accelerating company change, allowing them to keep pace with the economy and business environment (Lee et al., 2016). Experts in strategy are expanding beyond traditional product categories to be the first to propose innovation in business process organization, distribution, value chain, business models, and even specialized management areas.

There are numerous obstacles that can impede the implementation of innovative entrepreneurial concepts. This Kickbox program enables users to seize the opportunity to develop a lucrative business. The concept behind Kickbox is straightforward, innovative, and proactive. People at Adobe can be irritated by bureaucracy that prevents the next product from being profitable. By distributing red Kickboxes to employees, the company provides everyone with an equal opportunity to develop and test a product. Therefore, the program argues that if employees can demonstrate that their proposal will yield great results, they may expect major expenditures from senior management.

These red boxes are effective stimulants for the creative process. Before adopting it, Mark Randall attempted to determine what is preventing employees from generating more innovative company-changing ideas. The most frequently cited reasons were a lack of funding, bureaucracy, and the necessity to document every dollar spent on an experiment. This finding suggests that some individuals require assistance to implement their company concepts. Support for innovative entrepreneurship should assist participants in overcoming the financial and organizational obstacles of their own organizations. According to the study, participants were instructed to “use the tools within the red box to gather information, refine their plans, and construct a mockup or prototype as rapidly as feasible (Dann, 2015, p. 7). In other words, it can assist them achieve their most ambitious entrepreneurial goals.

Fundraising for a project is a crucial aspect of launching a new business for every entrepreneur. The study by Davari and Farokhmanesh (2017) indicates that "many small businesses and entrepreneurs need more financial and non-financial support in the early stages to avoid bankruptcy" (p. 437). According to Yadav and Goyal (2015), entrepreneurs frequently confront a lack of resources for commercializing their discoveries, and external factors might play a facilitating role in filling this hole (p. 5). This is an evident benefit of the Kickbox program, as it affords the ability to collect and invest in funds for a startup enterprise.

The second significant advantage of this technique is that the creative flow can generate novel approaches to the situation. This year proved the need for innovative solutions in the midst of the epidemic, which has caused several problems for a variety of businesses. Nevertheless, a crisis can present an opportunity to implement long-delayed initiatives. For instance, a company can begin to introduce innovations in sales and customer service, as well as experiment aggressively with marketing techniques. The Kickbox initiative gives employees the ability to do their own business research, test their own ideas, and develop application scenarios.

However, there is one significant downside of this program that must be considered. The caliber of entrepreneurs and inventive activities must satisfy "the interest of program stakeholders, audiences, and governments" (Maritz & Donovan, 2015, p. 74). Therefore, not all projects and business ideas may receive the same amount of resources and assistance. Participants must commit a large amount of time and effort to examine their ideas, which is another disadvantage. Randall reached a stage when he seriously considered altering the program. This factor is hardly a disadvantage, however, because a thorough examination of new ideas and projects enables entrepreneurs to examine them and devise numerous implementation strategies. In addition, a thorough evaluation of the concept might assist businesspeople limit the danger of future errors.

Components of the Plan

Employees can participate in a two-day workshop that will offer them with valuable new customer service and engagement measurement abilities. The recipient then receives a red package with instructions detailing when and how to use the contents. A ballpoint pen, two packs of stickers, a timer, a notebook for ideas, a chocolate bar, and a $10 Starbucks gift card are all included. Importantly, the box contains $1,000 in innovation funding that employees can use without notifying their supervisor. The kit provides everything a new business owner would require. Randall's belief that people can exceed all expectations when they are encouraged and trusted is the driving force behind this effort. Therefore, employees are permitted to be the general managers of their ideas and to profit from them.

The motivational value of Kickbox is another important aspect of the sport. In addition to offering independence, free thought, and financial support, it encourages the pursuit of ideas. The process is totally self-controlled, but the box's contents also contain checklists. They assist staff in advancing the product development process. The incentive element lies in the fact that the innovator receives another reward after completing all levels. It has a blue box that aids in advancing the process of developing a new company concept. Therefore, staff are motivated to continue thinking, which enhances the company's inventive and entrepreneurial environment.

In addition to being reliant on the skills of the leader, the success of any innovation in organizational management is also a crucial characteristic. The ability to plan and support the entire process from inception to completion has a substantial bearing on the program's outcome. The fact that the Kickbox program eliminated the necessity to declare expenses may have unintended consequences if the employee chose to use the financial assistance for an other purpose.


While trusting employees may seem like a nice method to develop rapport between the manager and the employee, it may sometimes be abused. To ensure that the money is spent on business projects, it would be advantageous to implement a straightforward reporting system. Thus, there would be no dispute that Adobe Systems' organizational capabilities are sufficient. In addition, it is important to note that, despite the fact that many application and product ideas sprang from the Kickbox program, Adobe did not establish any official projects. The corporation accepted numerous concepts that were not well received by customers. As anticipated, a number of creative and novel ideas have not gone viral. One participant remarked, “Finding the supply of creatives was not too difficult, but it was difficult to establish sufficient demand among consumers.” (Dann, 2020, p. 9). Supporting a creative flow of ideas appears to be a fantastic idea for the expansion of the company, however it would be tough to select one project above others. In addition to obtaining Adobe's authorization, it is essential to attract new clients, which can be challenging. The fact that no Kickbox projects earned additional recognition and funding indicates that the program's usefulness has yet to be demonstrated. This is due to the organization's financial investment in supplying these boxes to entrepreneurs. Therefore, it is unlikely that the Kickbox project was profitable.

Many business owners now recognize the significance of startups to the economy and job market. Mark Randall feels that trusting others is the key to invention; therefore, he designed this program to assist his colleagues in this area. In conclusion, this program appears to be unquestionably creative. However, it would be difficult to assess if it was successful until Adobe creates commercially successful products based on participant suggestions. The difficulties of controlling the finances and selecting the finest projects continue to be relevant for the creators and administrators of this program. Adobe's organizing capabilities require more development till then. Even though Randall and Wadhwani are satisfied with the early findings, they are considering making adjustments.

Nonetheless, it is apparent that the designers of the Kickbox initiative were able to provide their staff with an excellent opportunity to experiment with their projects. It boosts the innovative entrepreneurial climate in the organization and the flow of ideas, which is crucial for a company that want to remain competitive in the marketplace. Information technologies and artificial intelligence will soon have a profound impact on the global economy and society. Companies that promote startups and give financial investments are establishing the groundwork for a new economy in the present day. Mark Randall's decision to establish this assistance initiative illustrates that the business recognizes the apparent need for innovative concepts. Even if the Kickbox idea need more development, it laid a solid foundation for creativity.


Dann, J. B. (2015) "Kickboxing" at Adobe Systems. Center for Entrepreneurial Studies at Lloyd Greif.

Davari, A., & Farokhmanesh, T. (2017). Impact of entrepreneurial policies on startup possibility. Management Science Letters, 7(9), 431-438.

Drobyazko, S., Hryhoruk, I., Pavlova, H., Volchanska, L., & Sergiychuk, S. (2019). Model of entrepreneurial innovation for the telecoms industry. 22(2) Journal of Entrepreneurship Education.

Lee, C., Hallak, R., & Sardeshmukh, S. R. (2016). (2016). Innovation, entrepreneurship, and restaurant performance: A structural model of higher order. Tourism Management, 53, 215-228.

Maritz, A., & Donovan, J. (2015). Education Training and innovation and entrepreneurship.

Morris, Michael H. (2015). Wiley Encyclopedia of Management, 1-5, entrepreneurial vigor.

W. Phillips, H. Lee, A. Ghobadian, N. O'Regan, and P. James (2015). An analysis of social innovation and social entrepreneurship. 40(3), 428-461.

Yadav, V., & Goyal, P. (2015). Case studies of user innovation and entrepreneurship in rural India Journal of Innovation and Entrepreneurship, volume 4, number 1, page 5.

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