This thesis explores niche strategies and off-island, targeted locally owned, small scale
manufacturing companies, and examines the particular opportunities and challenges of doing
business on Prince Edward Island (P.E.I.) by case studies of two island companies: Fellow
Earthlings and Island Abbey Foods Ltd. The entrepreneurs of these two companies have
maximized the opportunities and minimized the economic challenges of doing business on the
island. The study discusses economic challenges, such as the small scale island market,
diseconomies of scale, and transportation costs for off-island. Also discussed are the
opportunities of doing business on Prince Edward Island, such as being adjacent to the large U.S.
market, the reduction of tariffs and duties to the U.S.A., the existing local support organizations,
the cohesive relationship among the islanders, and the high quality-of-life on P.E.I. The results
show that Fellow Earthlings’ entrepreneurs found their niche market first hand in foreign
countries and worked towards this market, creating handmade and made-to-order sunglasses as
niche products. Island Abbey Foods Ltd.’s entrepreneur conceived the idea for a niche product,
making dehydrated honey, for which special technologies were necessary, and when the
innovative products materialized, the company had both niche products and a unique technology.
The case studies suggest that light-weight products or reducing the weight of products whilst
manufacturing on the Island may be advantageous when crossing the Confederation Bridge and
off islanding by air. Developing co-partnerships with other companies which have similar
socio-economic demographic customer markets would also be a valid strategy to expand niche
markets for Island entrepreneurs