Scenario 5-1 At Meeting with Snapple Distributors in NYC, Cadbury Executives Unveil

question 56

Multiple Choice

Scenario 5-1
At meeting with Snapple distributors in NYC, Cadbury executives unveil new ads/products and stress that the company will work to re-forge strong consumer connections for brand. Cadbury Americas Beverages CEO Gil Cassagne acknowledges, "recently Snapple's connection with consumers has been slipping (and) performance has been volatile." Snapple has had some "frustrating issues and setbacks," but promises improvements and asks distributors for "open mind" and to "believe again." He declares Cadbury will return "to the roots of what made Snapple, Snapple." He acknowledges the company doesn't yet have "all the answers." But Cassagne promises that the company will work with distributors and declares: "I'm all about winning and you are, too." He says "winning" means enjoying "above-category profitable growth."
("Cadbury Unveils New Snapple Ads and Products.'Believe Again.' 'All About Winning.'", Beverage Digest, October 24, 2004.)
-(Scenario 5-1) Snapple may have an opportunity to increase sales by encouraging variety seeking. Which one of the following characteristics of the Snapple brand situation suggests that this tactic might not be successful?

• A) Bottled iced tea is a product category of brands that consumers find involving.
• B) Brand selection in this category is commonly habitual.
• C) Iced tea is a product for which sensory experience is unimportant.
• D) There is little perceived difference between brands.

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Definitions:

Strategy Making

The process of developing and implementing plans or strategies to achieve organizational goals and objectives.

Top Managers

Individuals who hold the highest-level executive positions within a company, responsible for overseeing its overall operations.

Commander

A leader or officer who is in charge of an organization or group, particularly in military contexts.

Coach

A person who supports, guides, and motivates individuals or teams to achieve their goals and improve their performance, often in sports, business, or personal development contexts.