MarketingCases.docx

MarketingCases.docx

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MarketingCases

AlpenBank:

LaunchingtheCreditCardinRomania

AlpenBankconsiderswhethertolaunchacreditcardbusinessinRomania.ThefirmrejectedtheideaseveralyearsearlierbecauseofpooreconomicconditionsinRomania.However,thecountryisemergingfromarecessionandincomesarerisingalongwithdisposableincome.Studentsdecidewhethertolaunchthenewbusinessandhowtoacquirenewcustomers.

AtlanticComputer:

ABundleofPricingOptions

AtlanticComputer,aleadingplayerinthehigh-endservermarket,hasdevelopedanewserver,theTronn,andasoftwaretool,calledthe"PerformanceEnhancingServerAccelerator,"orPESA,thatallowstheTronntoperformuptofourtimesfasterthanitsstandardspeed.HowshouldAtlanticpricetheTronnandPESA?

Onlinetool:

 Pricingmarginalmath

ClassicKnitwearandGuardian:

APerfectFit?

Inresponsetoshareholderdemandsformarginimprovements,theCMOofClassicKnitwear,aprivate-labelnon-fashionknitwearmanufacturer,considerspartneringwithanothercompanytoproduceanewlineofhigh-margin,insect-repellantclothing.

CleanEdgeRazor:

SplittingHairsinProductPositioning

Ahealthandbeautymanufacturingcompanylaunchesanewtechnologicallyadvancedvibratingrazorintothehighlycompetitivemen'smarketforshavingproducts.Theproductmanagerstruggleswithpositioningtheproducteitherasa"niche"razorforthehigh-endmarketorasamainstreamrazorfortheaverageconsumer.

New!

 Cottle-Taylor:

ExpandingtheOralCareGroupinIndia

ThedirectorfororalcareproductsinIndiadevelopsamarketingplantosupport20%growthinIndiabutherbosswantstosee30%growth.Toreachtherevisedgoal,shemustdevelopanewmarketingplanwhileconsideringmanyfactorsincludingtheregionaldifferencesbetweenruralandurbanconsumersandthelevelofacceptanceformoderndentalstandardsacrossIndia.

CulinarianCookware:

PonderingPricePromotion 

Facedwithambiguousresultsfromapreviouspricepromotion,Culinarianmustdecideifanewpromotionwilldamageitspremiumbrandorimprovebrandawarenessandstimulatesales.Whatroleshouldpricepromotionplayinthecompany'ssalesgrowthgoals?

TheFashionChannel

ThenewSeniorVicePresidentofMarketingforTheFashionChannelispreparingtorecommendachangeinthecompany'straditionalmarketingapproachbyintroducingamarketsegmentationprogram.Studentsmustevaluateconsumerresearchresults,calculatefinancialscenarios,andmaketheirownrecommendation. 

Onlinetool:

 Segmentation/ROS/ROI

FlareFragrancesCompany,Inc:

AnalyzingGrowthOpportunities

FlareFragrancesexperiencesadeclineinannualsalesgrowthandconsidersintroducinganewlineofperfumeorexpandingdistribution.Studentsstudyawiderangeoffactorsincludingbrandmanagement,consumerdemographics,productpositioning,andpricing.

GiantConsumerProducts:

TheSalesPromotionResourceAllocationDecision

Inanefforttoboostsaggingsales,theFrozenFoodDivisionundertakesariskytradepromotion.Focusesoncannibalization,brandequityerosion,andstrategicchannelissues.

HarringtonCollection:

SizingUptheActive-WearMarket

Inthewakeofslumpingsalesandsaggingprofitmargins,aleadingmanufacturerandretailerofhigh-endwomen'sapparelmustdecidewhethertoexpandintothehigh-growthactive-wearmarket.Thecaseexploresthefinancialimplications,assessestradeandcompetitorreactions,considerstherisks,anddetermineswhetherthecompany'sVigordivisionwillbeabletosuccessfullylaunchandmanageanewproductline.

ManchesterProducts:

ABrandTransitionChallenge

Manchester,afurniturecompany,hasacquiredanextremelypowerfulbrandbutcanuseitsnameforonlythreeyears-sotheVPofMarketingmustdesignaplanthattransitionsthenewbrand'spowerbacktothecompany.Thecaseexaminesdecision-makingrelatedtobrandequity,communications,andotheraspectsofmarketingstrategy.

MedNConfronts"Click-Through"Competition

InJanuary2007,"MedN"isaleadingwebsitethatprovidesscience-basedhealthinformationfreeofchargetoonlinevisitors.Itsbusinessmodelreliesonadvertisingsales,primarilytopharmaceuticalcompanies.Inthefaceoffierceadvertisingcompetition,MedNetisforcedtodefendthismodel.However,indefendingthevalueMedNetdelivers,companyexecutivesmaybebuildingthecaseforwhynichesitesmaybeabetterinvestmentfortheadvertiser'sbudget. 

Onlinetool:

 Webmetrics

Metabical:

PositioningandCommunicationsStrategyforaNewWeightLossDrug

Themarketingdirectoratapharmaceuticalcompanymustcarefullyconsiderthepositioningandcommunicationsstrategyforthelaunchanewweight-lossdrug.Poorpositioningofthedruginthehighlycompetitivemarketforweight-losssolutionscouldspelldisaster.

Metabical:

Pricing,Packaging,andDemandForecastingRecommendationsforaNewWeight-LossDrug 

ApharmaceuticalcompanydevelopsanewweightlossdrugcalledMetabical.Theseniormarketingmanagerexploresthreedifferentpricingmodelsandconsiderstheeffectsonprofitabilitybeforemakingafinalrecommendation.

MountainManBrewingCompany

MountainManBeerCompanybrewsjustonebeer,MountainManLager,knownas"WestVirginia'sbeer,"popularamongblue-collarworkers.Whenthecompanyexperiencesdecliningsales,theCEOconsiderslaunchinganewbeer,MountainManLight,inthehopeofattractingyoungerdrinkers.MountainManLager'sbrandequityisakeyassetforthecompany.WillMountainManLightenhance,detractfrom,orirreversiblydamagethebrand?

Onlinetool:

 Break-evenanalysis

NatureviewFarm

NatureviewFarm,aVermont-basedproduceroforganicyogurtwith$13millioninrevenues,istheleadingnationalbrandsoldintonaturalfoodsstores.Whenthecompanyfacesfinancialpressuretoincreaserevenuesto$20millionduetoaplannedexitbyitsventurecapitalinvestors,theVPofmarketingmustdecidewhethertoexpandintothesupermarketchannel.

Onlinetool:

 Channelmargins

New!

 ReedSupermarkets:

ANewWaveofCompetitors

ThemarketingVPatahigh-end,conventionalsupermarketchainisconcernedaboutincreasedcompetitionfromdollarstoresandlimited-assortmentstoresofferingverylowpricepoints.Shemustdecidehowtochangethecurrentmarketingandpositioningplantoincreasemarketshare.

RelianceBakingSoda:

OptimizingPromotionalSpending

ThenewDomesticBrandDirectorneedstocreateamarketingbudgetthatdeliversaprofitincreaseof10%,weighingthevalueofadvertising,priceincreases,andtheroleofthebrandwithinthecompany.Studentsareexpectedtocreateanddefendasimilarbudget.

RosewoodHotelsandResorts:

BrandingtoIncreaseCustomerProfitabilityandLifetimeValue

RosewoodHotels&Resortsisasmallfirmrunning12individuallybrandedluxuryproperties.Itsnewleadershipiscontemplatingwhetherthefirmshouldsignificantlyincreasetheprominenceofthecorporateidentity,makingRosewoodacorporatebrand.Studentsmustcalculatehowcustomerlifetimevaluewouldbeaffectedbyashiftfromindividualbrandingtocorporatebranding.

Onlinetool:

 Customerlifetimevaluecalculator

SaxonvilleSausageCompany

SaxonvilleSausage,a$1.5billionmanufacturerofporksausageproducts,isexperiencingfinancialstressbecauseitsleadingproductlineshavelatelyproduceddecliningrevenues-exceptanItaliansausagenamedVivio,whichhasrecentlyexperiencedasignificantincreaseinrevenues,ashastheentireItaliansausagecategorynationwide.WhatstepsshouldthecompanytaketoexpandViviointoapowerfulnationalbrand?

SorenChemical:

WhyIstheNewPoolProductSinking?

SorenChemicalslaunchesanewwaterclarifierforresidentialswimmingpoolscalledCoracleandissurprisedbypoorsales.Coracleischemicallysimilartothecompany'shighlysuccessfulwaterclarifierforlargepoolsatrecreationalfacilitiesandoffersthesamesuperiorproductperformance.Themarketingmanagersuspectsthego-to-marketstrategymaybeflawedbutcanshediagnosetheproblembeforetheendofthesellingseason?

TheSpringfieldNor'easters:

MaximizingRevenuesintheMinorLeagues

Themarketingdirectorofanewminor-leaguebaseballteammustdesign,conduct,andtheninterpretsurveyresearchtodetermineoptimalticketpricingthatwillyieldlargeattendancefiguresandcontributetotheowner'sgoalofbreakingeveninthefirstyearofplay.Thepricingassignmentbecomesmorechallengingwhenothervariableslikeconcessionsrevenueareconsidered.Studentsareaskedtocompleteaquantitativeassignmentaspartofcaseanalysis,andtheymustalsograpplewithlessquantifiablefactors.

TruEarthHealthyFoods:

MarketResearchforaNewProductIntroduction

TruEarthHealthyFoodswantstobuildonitssuccessfulintroductionoffreshwholegrainpastabyintroducingasimilarproductconceptforpizza.Actingasbrandmanagers,studentsanalyzethedataanddecidewhethertobringthenewproducttomarket.

AlpenBank:

LaunchingtheCreditCardinRomania（BriefCase）

In2006,thecountrymanagerforAlpenBankinRomania,GregoryCarle,considerswhethertorecommendthelaunchofacreditcardbusiness.ThefirmrejectedtheideaseveralyearsearlierbecauseofpooreconomicconditionsinRomania.However,RomaniaisexperiencingaperiodofeconomicgrowthafterjoiningtheEuropeanUnionandCarlebelievesitistimetoreconsidertheopportunitydespitecontinuedskepticismwithinthecompany.CarlefacesseveralimportantdecisionsbeforehecanpresenthisplantotheheadofInternationalConsumerBusinesses.HemustdecidewhethertolaunchacreditcardbusinessinRomania,howtopositionthecreditcard,andhowtoacquir