Subject area:                      Competitive Strategy, Corporate Level Strategy, Growth Strategy, Sustainability & Development

Region:                                   Florida, United States

Industry:                               Clothing, Lifestyle brand

Company:                              Turf Life

Decision Maker:                Terrie Purdum, the founder, and Bob Bissell, the COO, of Turf Life

Dilemma: November 2016: Terrie Purdum, the founder, and Bob Bissell, the COO, of Turf Life were conversing at a local coffee shop in Winter Springs, Florida.They were worried about the future of their company, Turf Life, a lifestyle brand for people who work, play or simply love turf and want to display their connection with nature as well as a more sustainable lifestyle. Sales had not made significant progress and income had been scarce of late. They needed to decide whether to invest resources in an attempt to increase sales or find a new partner who could invest and bring marketing skills. The stakes of making a right decision are high: the company isn’t able to pay back its first balloon payment and is not on track to meet the needs of the second payment. The decision has to be made soon or they will face a stalemate in developing their brand in the sustainable industry and will struggle to make income from company operations. 

Since its start in 2013 the Turf Life sales have not significantly increased, as stated in the company’s 2015 business plan: “We need to spend some money on getting the word out.  Social media is an untapped bonanza waiting to be unleashed” (Turf Life Business Plan, 2016).

After missing the first balloon payment and estimating that they will not be able to pay the second one on time, Terrie and Bob are reflecting on the future of the company. It is clear that in order to be successful, sales need to increase, however as Bob puts it: “Terrie and I don’t have the expertise” (Bissell Interview, 2017) . 

There is pressure to repay the loans, Terrie & Bob could consider several options: they could find a focus their market efforts on a specific segment of the population or re-think the business by adding new competencies to their core.