IJIC.Volume 6 (2022)

Synopsis
Khushboo, the founder and owner of K’s Kitchen, wants to expand the K’s Kitchen market geographically. The expansion is expected to improve the sales and profitability of her small home kitchen service in Nagpur, India. The uncertain environment due to the COVID-19 pandemic and the competition from similar home kitchens concerns Khushboo. She must analyze her venture’s cost, make an operating plan for the next quarter, and decide on expansion.

Keywords
Operating plan, operating budget, break-even analysis, food delivery, India.

Target Audience and Usage
This case may be used for the undergraduate and graduate students of Cost Management or Management Accounting. The case deals with assessing the financial feasibility of expanding the market geographically by developing the operating budget/ plan. Before undertaking this case, the students are expected to understand the concepts of the variability of costs and the cost volume profit analysis.

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