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Lora Brill

In: Business and Management

Submitted By phinoux
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Lora Brill has ideas to restructure United Cereal, because the company suffers from organizational troubles in a context of cost reductions pressure. There are also issues on the cereal market and the challenge of launching or not a new type of product, healthy oriented, on this market. The issue is to know whether the new product, called Healthy Berry Crunch, should be launched in France, in Europe as the first Eurobrand product, and what kind of organization should be implemented to make this work.

Even though Lora Brill’s project of introducing a sweet blueberry product is definitely going to cost a lot of money (approximately $20 million), it can really work in France. Indeed, the French market is increasingly health oriented. Moreover, the test operated in Lyon gave satisfying results. Besides, not launching the product on the French market would mean giving the competitors a chance to go on this market first. Of course, entering a new market and being the first to do so requires taking a risky decision, but there is a lot to win on this specific market and product in France.
Thus, Lora Brill should authorize the launch of Healthy Berry Crunch in France, probably through a different name though, so that French people could really understand the meaning of the brand name and feel concerned about it.

This decision does not imply that the Healthy Berry Crunch should be launch as the first Eurobrand anyway. Kurt Jaeger states that cultural habits are disappearing but, firstly, everyone does not agree on this position. Indeed, Darrell K. Rigby and Vijay Vishwanath develop the opposite idea in 2006 in “Localization the revolution in consumer markets” where they write “Although standardization has been a powerful strategy in consumer markets, it’s reached the point of diminishing returns. Customers are becoming more diverse, according to studies by geodemographers”.…...

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