| Summary: | This case is about a growing international food marketing and distribution firm that is not able to produce accurate product costs or accurately track inventory. Impcorp’s business model involves sourcing quality food products from Italy for major North American retail chains. Impcorp, the fictitious name for a real firm, takes ownership of these food products, the majority of which are shipped directly from suppliers to retail chains or to public warehouses to wait for shipment. The existing accounting system does not provide the required processing and information needed to track inventory and to support the business model in terms of specifying the costs and profits of suppliers, products, and retailers. Moreover, the clients--North American retail chains--require IT sophistication beyond what the existing system is delivering. There is an option to replace the existing accounting system. Students are required to determine the current problems and how they can be resolved.
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