A Moral Dilemma- A Little Long

Business By flutterbyu Updated 12 May 2008 , 9:54am by Housemouse

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homemaluhia Posted 23 Apr 2008 , 10:40pm
post #31 of 43

Did you leave their company on good terms? Maybe they would welcome you into the "industry!"

One thing, if they "perceive" that you are purposely undercutting them, they can cause you grief ... even if you "win the case."

Also, many states have laws about purposely entering the marketplace to undercut competition. I guess the implication is that if you are undercutting you are trying to put them out of business ... food for thought.

Just my thoughts.

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littlecake Posted 24 Apr 2008 , 12:32am
post #32 of 43

Well i guess i misunderstood.....from the wording of the first post ...i thought you were gonna start whipping 1/4 sheets out in your apartment kitchen for 10 bucks or something.

You didn't indicate that you had already gone through the trouble and expense to have all your paperwork, and inspections in order to be legal....

I don't think there is a moral problem at all.....this is america...GO GET EM!

and don't be afraid to charge what the market will bear.....you won't burn out then.

there was a woman i knew of...charged dirt cheap...yeah she was busy alright...didn't make very much money, and burnt out in a year.

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Emmerdoo Posted 24 Apr 2008 , 2:42am
post #33 of 43

First off, sorry for the double post. Now onto the real topic at hand. If they have a monopoly then guess what: It is time for them to not pass go and to not collect their 200 dollars.

Seriously, if you are legal then go ahead and as long as you are doing it because you want to and not as some Danielle Steel revenge then good luck to you and don't worry about them.

Happy Caking,
Em

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shellzey Posted 24 Apr 2008 , 2:55am
post #34 of 43

good for you. you have the right just like anyone else to start a business. you also have the right to set the prices where you think are appropriate. i don't think you are undercutting if you are pricing properly. obviously it isn't your goal to undercut them.

don't be afraid to advertise. you have nothing to hide. good luck =)

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Kitagrl Posted 24 Apr 2008 , 5:10am
post #35 of 43

Technically you aren't competition...they cater, you decorate. Their cakes probably come in a package deal alot of times....? And yours are custom made in and of themselves.

Maybe I'm not up on the small town thing but I will assume they are too busy to worry about what you are doing, and that if they are really that big, that your cake business will not be a threat to their overall catering business. You can take away their $400 wedding cake, maybe, but you can't take away their $10,000 steak dinner....so its all good.

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michellenj Posted 24 Apr 2008 , 11:50am
post #36 of 43

Buttercream is buttercream, like the other postrsaid. Do you think that they made up that recipe themselves? I seriously doubt it. Go for it, and make lots of money.

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dinas27 Posted 24 Apr 2008 , 3:42pm
post #37 of 43

Go for it! I know you're probably a little nervous about going up against a monopoly but you know your product be confident in that! Have your recipes set... and just do it. There isnt a problem until they raise it, if they bring up the contract let them taste your stuff but dont give out YOUR recipe unless they sign a contract icon_twisted.gif

Just be sure not use their frosting recipe. If they want to take it further at any point I would recommend you both submitting your recipes to a neutral third party - mediator, judge, justice of the peace, lawyer

If they casually bring it up to you on the street, lay it on thick about how you learned so much and they were an inspiration and you've spent the last X number of years perfecting your own recipes and its great because you can stay at home with your kids (if this pertains) but their will be no hiding in a small town!

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cakelady15 Posted 24 Apr 2008 , 4:06pm
post #38 of 43

I just wanted to let you know that you have to be careful with this because you signed a contract. It's too bad you didn't keep a copy of the contract that you signed (you should always keep a copy by the way even if you don't think it's important at the time). I managed a restaurant that made me sign a contract saying I would never open the same kind of business as them within a certain number of miles, I would never use any of the same ingredients as them, and I would never use any of their recipes. The contract did expire after a number of years, but you would need a copy of yours to know if that's the case. The bottom line is even if they use Betty Crocker boxed cake mix, if you signed that contract saying you wouldn't use their recipes then you can't use Betty Crocker cake mix. I know that seems silly, but you did agree to it and they can sue you for that if they still have a copy of their contract. It sounds like to me your best bet might be to let them know what you want to do and how you will be different from them so you won't be taking their customers so they don't go digging up your old contract and make your life miserable.

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flutterbyu Posted 25 Apr 2008 , 2:27pm
post #39 of 43

I didn't leave on bad terms really, I mean, they were upset that I quit, but they also understood I had another job opportunity at the time.

cupcake900, you're right, I definitely should have kept a copy of that contract, but I was young and dumb at the time and didn't really think about it. I doubt it had a time limit on it, I'm pretty sure it said I could never divulge the recipes. What I can't remember is whether it said I could USE the recipes or not.

Because of the time that has elapsed, and the fact that I would be able to present actual recipes I use that don't match theirs, I think I'm ok.

But, I've thought it over the last couple of days and really mulled over everyone's opinions and I am going to see if they will talk to me. I'd rather be honest with them and hjopefully avoid a potential mess!

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AKA_cupcakeshoppe Posted 25 Apr 2008 , 4:42pm
post #40 of 43

go for it! good luck and kick some B-U-T-T! icon_biggrin.gif

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springlakecake Posted 25 Apr 2008 , 4:59pm
post #41 of 43

If you are licensed there is no reason you should feel badly about advertising. I would charge what you feel your cakes are worth. Plus you are only one person. One person with another job can only make so many cakes. I can't see that one person doing this part time will seriously hurt the other bakery.

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lardbutt Posted 25 Apr 2008 , 6:15pm
post #42 of 43

I haven't read all of the responses, but here's my two cents..........FEAR OF WHAT OTHERS THINK ABOUT ME HAVE KEPT ME FROM ACCOMPLISHING MANY OF MY LIFE GOALS!

I refuse to be driven by fear anymore! If ANYONE wants to think something about you that is not true, you can't control that. You CAN control what you think.......don't dwell on UNTRUTH! It's not healthy, believe me, I know!

BTW, on a side note I hope to NEVER live in a small town again! Hehe

I hope you go for it and have alot of sucess. I wish my state would allow me to bake from home.

Beat Wishes, MessyBaker

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Housemouse Posted 12 May 2008 , 9:54am
post #43 of 43

Just realised this was posted a couple of weeks ago and I didn't check whether you posted to say how you got on.. but as I've typed this with my one working finger (temp injury situation..) I'll still to put in my' twopence ha'penny'.

I think letting them know that you are setting up is not just a professional courtesy but also a nice thing to do if they were the first people to get you involved in cakes.

It is business and you are doing nothing wrong in setting up in another town, even if they live do there. That's just geography.

Forgive me if I say it sounds as if you were letting your worries and fears get ahead of you and perhaps you'were trying to deal with 'issues' that probably wouldn't even materialise! I do this myself - I get it all set up and then, in my case, I get a bit nervous and would start 'thinking' too much! (so, ditto Messybaker's viewpoint)

They sound like a different style of business anyway. Getting anecdotal.... I grew up in small village and we used to be the only business of our type. We welcomed competition when it finally arrived because customers like choice and they didn't have to travel to get other quotes so it suited them for there to be a choice on their doorstep.

Also, although we sold things in common we could also cater for different markets. Both businesses kept lines of communication open. The best thing was that we could help each other out in an emergency (say if we or they ran out of something).

Even when a third business (mentioned below) got chummy with our competitors and started curdling the mix we still maintained mutually cordial relations with our competitors because we both knew there was no point in doing otherwise.

Several years later all the traders shared snort of disbelief at the attitude of this other local business owner in the village. This store owner paid a visit to a newcomer who had opened up their own shop to introduce himself. He also told them them in no uncertain terms that his business was the village's original curtain maker and the newcomer had no right to be there & they wouldn't get any custom and they wouldn't last.

What I'm drivelling on about (apologies for the pre-amble) is that it takes all sorts and you have to get on and do what you need to do.

You are a person who cares so you will treat others right and I'm sure you will be a great business success. Good Luck!

H Mouse

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