edf40wrjww2CF_PaperMaster:Desc
At the end of the case, we have a brand in a deep sales slide. It was demoralized from isolation and targeted as a pin in the eye by the parent corporation.
In my opinion, it is necessary to very well identify the problems of the mismanagement and locate the causes to the problems in order to make rightful changes to the structure purposefully and efficiently.
There are many reasons led to this crisis, and specifically from the strategic planning point, I think they are as follows:
Reason number one has to do with distribution. Quaker shot itself in the foot by initially fumbling its relations with Snapple's independent distributors. Before 1994, most Snapple drinks were sold at small shops and petrol stations. Quaker’s remarkable skills in distribution to supermarkets and mass merchants really meant nothing as far as Snapple was concerned.
Another problem was the way Quaker decided to promote the product, abandoning eccentric advertising campaigns in favor of a more conservative approach. Snapple was fast losing its innovative image, along with its customer base.
Eventually, the “vision” problem of Quaker’s CEO made the company wasted too many efforts in some unprofitable product lines and their core products were ignored.
New overall strategic plan:
• As CEO, before I leap to another big move which requires numerous spending, it is wise to sit down and analyze the situation objectively, understand the essence of a brand to be acquired.
and surround yourself with at least a few good critics. With efficient and sufficient debate, widen my vision and fully analyze the pros and cons to establish a strategic plan that the board wou ...