Golden Valley Foods, Inc - a Case Study

In: Business and Management

Submitted By jennpark
Words 827
Pages 4
Jennifer Park
Nicolas Marks
MGMT 514 – Principals of Marketing
24 January 2016
Golden Valley Foods, Inc.: A case study
Golden Valley Foods, Inc. is a 127-year-old company that prepares packages and sells canned and frozen foods which include fruits, vegetables, pickles and condiments. Golden Valley has more than 30 processing plants in operations and annual sales of approximately $650 million. Much of Golden Valley’s management staff comes from their parent company with the previous president saying “The influence of our old parent company is still with us. As long as new products look like they will increase the company’s sales volume, they are introduced. Traditionally, there has been little, if any attention paid to margins. We are well aware that profits will come through good products in large volume.” (William D Perreault Jr.) Recently this company has gone through a transition with the removal of several directors and the prior president of the company. The newly elected president, Neal Middleton, is facing a severe decline in profits over recent years as well as low personnel morale.
Golden Valley Foods, Inc. has major issues facing them with both a decrease in profits and low morale due to the recent departure from their parent company, removal of several directors and the introduction of a new president. By bringing over policies and influences from their parent company, Golden Valley has overlooked an opportunity to tap into some markets their parent company may have overlooked. This company has a line-forcing policy in effect where any store wishing to carry their product must carry most of the 65 item line. This limits the company to having their product primarily in large, chain grocery stores like Safeway, Kroger and A&P. Most smaller Mom & Pop grocery stores will not be able to carry the entire Golden Valley Foods line…...

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