United Cereal Case

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United Cereal Case Study

I. Key Problem
United Cereal is a diversified company established in 1910 by Jed Thomas. The company produces snack foods, dairy products, beverages, frozen foods, baked goods, and cereals. The cereal industry generates one third of United Cereals revenue. United Cereal focuses on “commitment, diligence, and loyalty” which attracted many people to work for the company. Jed expected his Managers to adhere to a strong set of values and wanted committed Managers that would uphold his philosophy of the “The UC Way” to its customers. In addition, the company focused on listening to its customers and spotting current trends to make the market part of their core value. United Cereal was well known as an
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Kellogg’s Special K with strawberries is the only competitor in the market currently offering healthy cereal to the consumers. Jean-Luc Michel did intensive testing of the product and the analysis has shown a trend towards healthy food in France. Therefore, the introduction of Healthy Berry Crunch would be a great success in the Country. In addition, Healthy Berry Crunch will reflect the company’s core values and innovations that each subsidiary has been known for.
b. Launch Healthy Berry Crunch as United Cereals First Eurobrand – if this alternative is chosen, United Cereal will save between 10 to 15% in research and development over a period of 3 years. By being the first to launch a healthy product like this all over Europe, it will create a big advantage over United Cereal competitors and reduce the threat of competitors entering the European market. Although Healthy Berry Crunch tests were only performed in France, the overall European culture is becoming similar in that they are trending towards healthier eating habits. Therefore, the likelihood of this product being liked by the rest of the population is great.
IV. Suggested Course of Action
After analyzing this case, the best course of action is to launch Healthy Berry Crunch as United Cereals first Eurobrand concept. In order to support this
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