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The Chattanooga Ice Cream Division Essay

717 words - 3 pages

The Chattanooga Ice Cream Division

In the beginning of the case one thing is immediately clear; changes will have to be made. The loss of one of their biggest clients might result in big problems for the company. Although it is clear there is no possibility that Stay & Shop will get back to Chattanooga in the next 2 year, they do have 90 days until Stay & Shop will be gone as a customer. In this small period of time significant changes will have to be made to recover the losses suffered from the loss of this client. In addition, possibilities to make significant changes to the product, the manufacturing process, marketing etc. will have to be discovered as well to make sure not ...view middle of the document...

As suggested in the case, the market changed over the last few decades with a big increase in demand for more luxurious ice-cream, mixed-in ice- cream etc. Chattanooga did not did anything with this trend and is now figuring out they made a big mistake blindly following the previous president.
Chattanooga is now almost forced to make these big investments in order to become competitive again. By increasing the assortment of ice-cream, by also offering mixed-in ice-cream and investigate further the formula of the non-fat ice-cream they will be able to regain market share. The market shows a big movement to these more luxurious and different ice-creams. The company should embrace this movement in order to get back up their feet again.
In addition, the new president will have to severely change his tactics. At the moment, he wants everybody to freely participate and actively offer new ideas and evaluate ideas of others. Clearly this does not work since everybody is pointing at the other department when something went wrong and they do not tell each other straight in the face if one...

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