Problem Statement
Saku’s executives must decide on restructuring the company’s current product portfolio to plan the coming year’s performance. Saku’s market share of domestic beer had experienced erosion in the last two years due to aggressive marketing from other domestic producers. While its flagship brand ‘Saku Originaal’ has been a market leader, the situation demands proactive measures in eliminating non performing brands and augmenting the portfolio with products that are in tune with futuristic demographic tastes. Saku must also decide on taking its products to foreign markets.
Situation Analysis
Micro Factors:
• Saku had registered gains in both market share and profits with its other alcoholic and non-alcoholic beverages such as long drinks, cider and water (See Exhibit 1). Nevertheless Saku’s goal was to be the leader and innovator in the beer market.
• The most important competitor Tartu with its flagship brand A Le Coq filled the void between......
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Approximate Word Count: 1295
Approximate Pages: 5 (260 words per double-spaced page) |