What Is The Competitive Situation Of Cadbury Beverages And Orange Crush

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1. Based on your assessment of the soft drink industry, the orange-flavored category, and the competitive situation of Cadbury Beverages and orange Crush, what is your recommendation for positioning orange Crush? In 1989 Cadbury Schwepps, PLC was one of the world’s largest multinational firms. Worldwide beverage sales were at 60%, with Cadbury Schwepps, the maker of Crush Orange, being 3rd largest behind Coke and Pepsi. This status occurred through strategic focus on the brand and a broad expansion of products including club sodas, seltzer and ginger ale. The positioning of crush in from 1987-1989 was geared toward a market of teens, age 13-29. This comes from the results listed in Exhibit 13. The market share for this time period was 14% in 1987 and saw a decline in 1989 to 8%. The entrance of competitor’s products, Mandarin Orange Slice and Minute Maid Orange would be the cause of this decline, with Coke and Pepsi Co entering the market. According to Exhibit 6, in 1989 Crush would lead the case volume sales for regular soft drinks at 71.3%, however they were behind Mandarin Orange Slice and Minute Maid Orange in the diet category. To boost positioning my recommendation would be to focus on the three major industry structures, concentrate producers, bottlers and retail outlets. The Orange Crush product should be geared to families. According to the case study, the majority of supermarket sales were married women with teen age children. That being established, producing an

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