The Chattanooga Ice Cream Division

1050 Words5 Pages
CASE 1: The Chattanooga Ice Cream Division 1. PROBLEM IDENTIFICATION The main problem is, the Ice Cream Division sales were declining over the past four years. Sales revenue presented more than 180millions of Dollars in 1991, but in 1995 presented only 150 millions of Dollars. During this period, growth of consumption of ice cream had slowed and competition in Chattanooga´s markets had increased substantially. Charles Moore try to find the best idea to solve a problem with declining production. 2. PROBLEM ANALYSIS In 1995 for the first time in recent memory of group, the division was unable to dividend cash up to its parent. Moves and the departure of members of the top management group within five years had also destructive effect on…show more content…
Leadership is organizing a group of people to achieve a common goal. Somebody whom people follow, or somebody who guides or directs others. There are many different leadership styles that can be exhibited by leaders in business. In my opinion Charles Moore has to make a change in division. Old system seems bad, if the production is going down. If I were Charles, I will agree with Walkins. Product line is too short, so few products are distributing, that competitive is so high. They have to compete with flavors, not only usual but some unusual and new flavors they have to arrange to their product portfolio. The best sales line is vanilla flavor, so maybe mix-in with other flavor can be good choice. It is a trend to live healthy. Healthy lifestyle is highlighted by more and more people, it is not trend only between women but men are trying to find bio and eco products to live healthy. Bio and eco product have a future. Probably frozen yogurt is favorite one between nowadays people. It is healthy and tasty, plenty of vitamins. Modern people are searching for these products. On the other hand, if we want to sell new product, we will make a promotion of this product. So without spending some money to marketing it wouldn´t be working. As Barry Walkins said “you have to spend money to make money”, we don´t have to wait for money without any action. Cutting costs is very difficult, if the division want to implement new products. It will spend some money. If they
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