Publication Date: May 26, 2025

Industry: Goods, trade, and consumer services

Industry: Retail and consumer goods

Source: HEC Paris

Blooming Profits traces the global value chain of the rose industry, from flower breeding in Europe to the final sale in a boutique flower shop in Berlin, Germany. The case centers on Petal & Grace, a small yet successful florist owned by Emma Chen, who faces new competition and must decide how to strategically respond. The story takes place near Valentine's Day, the most profitable time of year for the flower industry. As Emma's boutique thrives, she receives two offers: one from a supermarket chain interested in buying her brand, and another from her cousin, an investor who sees national potential in her store concept. At the same time, a large competing florist opens just a few doors down the street, raising the stakes. The case gives students a full picture of the rose industry's global value chain. It introduces breeders who develop new rose varieties and license them, growers in Kenya, Colombia, and Ecuador who produce roses at scale, and logistics providers who move them through auctions and wholesalers to florists and supermarkets in Europe. Each step in the chain adds value-but not all players capture the same share of profit. Students are asked to analyze how value is created and captured across the chain, why profitability varies by stakeholder, and what strategic options Emma has in a competitive and fast-moving retail environment. The case also explores decisions around vertical integration, brand positioning, and growth through franchising or acquisition. It is suitable for both undergraduate and graduate students in courses on business, corporate, or global strategy and entrepreneurship. The case has been successfully used at the start of a master's-level global strategy course to spark discussion around value creation, competition, and growth, and as an integrative exercise.