NORTHCREST SALMON

As a small $70 million in annual sales.saloman processor located in Portland.

The company has very slow growth for nearly 10 years& was looking for expand.

NAFTA seemed to offer an opportunity to exapand into new geographic area, maxico.

Northcrest is owned bytwo families:Rardins & the Peterson.

The elder rardin, who is ceo,and the elder petreson who is thechair of the bord, realized that the company is lack of growth meant less opportunity for their children to find a place in the business that they beagn to look south for growth.

Their only other international experience was CANDAN ,where they has marketed products since its origins back in 1920.

Except the north west united states and nearby parts of Canada ,rest of the united states company uses a specialized freight company that can bring other leads back to the north west thus cutting cost.

Company belives its strength lie in managing processing cost, because the company is completely vertically integrated, even doing its own catching and smoking, company can control cost better than many competitors such as “Putnam sound”.

Vertical integration mens making adjustment in how fish are prepared, as there are some regional differences in taste preference.

FSC (fjiord supply co.),a maxican fish distributers,northcrest singed a deal for fish to distribute smoked & fresh salmon in mexico , as fsc was interested in the canned product.

FSC’S Customers list includes the largest and best known restaurants and hotels’ in Monterrey .

By signing with FSC ,north crest is assumed of nation wide distribution through the consortium of five major fish distributers that distribute fish products through out mexico each talking a geography area.

FSC distributes fish products such as shrimp, lobster,crab, white fish ,Pollock and ladock to institutional user and retailers.these product are purechased directly from ships.

Institutional users include restaurant , cafeterias in school and plants ,airline food service company and hospitals.