...FIN 689 Ben & Jerry’s Homemade Case 3 Ang Xiao Case Study: Ben & Jerry’s Homemade (Case 3) This case focuses on the issues of asset control of Ben & Jerry’s Homemade, Inc with the four outstanding takeover offers by Dreyer’s Grand, Unilever, Meadowbrook Lane Capital and Chartwell Investment in 2001. Through the analysis of the four offers, I suggest the Board accept the Unilever’s offer. The advantage and disadvantage of each offer is discussed following. Dreyer’s Grand The offer does not maximize the shareholders wealth but retain the management philosophy. It is the best offer for Ben & Jerry’s management since the management team is maintained. In addition, Dreyer’s was also involved in community-service activities. It implies that the social drive will be strengthened after the acquisition offered by Dreyer’s Grand. However, the $31 per share offer is much less attractive than other rest offers from the shareholders perspective. In stock transaction, Ben & Jerry will share the synergy risk with the Dreyer’s Grand. Unilever The offer maximizes the shareholders wealth but disturbs the management philosophy. Unilever, as a profit oriented organization, may not encourage the philanthropy that is so important to B&J. There is a threat over the management philosophy. However, Unilever maintain select members of B&J management team. The select management team may influence policies to some extent. FIN 689 Ben & Jerry’s Homemade Case 3 Ang Xiao The offer with...
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...Ben & Jerry: Case Study 1. How has Ben & Jerry’s fulfilled its mission statement? Ben & Jerry’s has 3 dimensions on its mission statement: * Product: Ben & Jerry are making and distributing the finest quality of all natural ice cream with innovative flavors. For example they created Chocolate Fudge Brownie flavor but also Chubby Hubby, Chunky Monkey and Bovinity Divinity, which all are innovative and creative flavors with original names. For instance, they successfully avoided to ship back an amount of frozen brownie, a decision that you have both hurt Ben & Jerry and the supplier and created a new flavor with the frozen brownie. * Economic: In 1994 Ben & Jerry issued 75,000 shares at $10.5 per share exclusively to Vermont residents allowing the first supporters of Ben & Jerry to profit from its success. That both a financial and social decision. Later, the shares were listed on the NASDAQ to offer greater liquidity and capital. Ben & Jerry were also successful to cut expenses when they moved to their plant in Waterbury: instead of spending money to eliminate liquid waste they made a deal with a local farmer that would feed his pigs with the milky water. They later loaned money to the farmer to purchase 200 more pigs to eliminate all the liquid waste of Ben & Jerry. This satiation was profitable for both parties and was a financial and social success. However, at the end of the 60’s Ben & Jerry were not making any...
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...Ben & Jerry’s Homemade Inc. Case Study Case Summary This case examines issues of asset control for Ben & Jerry’s Homemade, Inc., in light of the outstanding takeover offers by Chartwell Investments, Dreyer‘s Grand, Unilever, and Meadowbrook Lane Capital in January 2000. The case requires a discussion of fundamental firm objectives and the implications of a non-traditional corporate orientation; one needs to review the development of Ben & Jerry's strong social consciousness and the takeover defence mechanisms that maintain management's control on company assets. One is required to estimate the economic cost of its social agenda, and evaluate the implications of takeover defence strategies. Ultimately, we have to take a position on whether Ben & Jerry's should continue to independently pursue its social agenda or accept one of the attractive takeover offers and accept a shift toward greater profit orientation. Company Overview Ben & Jerry's Homemade, Inc., the Vermont-based manufacturer of ice cream, frozen yoghurt and sorbet, was founded in 1978, with a $12,000 investment ($4,000 of which was borrowed). It soon became popular for its innovative flavours, made from fresh Vermont milk and cream. The company currently distributes ice cream, low fat ice cream, frozen yoghurt, sorbet and novelty products nationwide as well as in selected foreign countries in supermarkets, grocery stores, convenience stores, franchised Ben & Jerry's scoop shops, restaurants and other...
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...Ben & Jerry’s Homemade Inc. Case Study Case Summary This case examines issues of asset control for Ben & Jerry’s Homemade, Inc., in light of the outstanding takeover offers by Chartwell Investments, Dreyer‘s Grand, Unilever, and Meadowbrook Lane Capital in January 2000. The case requires a discussion of fundamental firm objectives and the implications of a non-traditional corporate orientation; one needs to review the development of Ben & Jerry's strong social consciousness and the takeover defence mechanisms that maintain management's control on company assets. One is required to estimate the economic cost of its social agenda, and evaluate the implications of takeover defence strategies. Ultimately, we have to take a position on whether Ben & Jerry's should continue to independently pursue its social agenda or accept one of the attractive takeover offers and accept a shift toward greater profit orientation. Company Overview Ben & Jerry's Homemade, Inc., the Vermont-based manufacturer of ice cream, frozen yoghurt and sorbet, was founded in 1978, with a $12,000 investment ($4,000 of which was borrowed). It soon became popular for its innovative flavours, made from fresh Vermont milk and cream. The company currently distributes ice cream, low fat ice cream, frozen yoghurt, sorbet and novelty products nationwide as well as in selected foreign countries in supermarkets, grocery stores, convenience stores, franchised Ben & Jerry's scoop shops, restaurants and other venues. Objective...
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...In her essay, “Visual Pleasure and Narrative Cinema,” Laura Mulvey argues that Classical Hollywood cinema encourages spectators to look at women and identify with men. Female stars receive the look, while male stars control the narrative and dominate space. She writes, “In a world ordered by sexual imbalance, pleasure in looking has been split between active/male and passive/female. The determining male gaze projects its fantasy onto the female figure, which is styled accordingly. In their traditional exhibitionist role women are looked at and displayed, with their appearance coded for strong visual and erotic impact so that they can be said to connote to-be-looked-at-ness,” (205). What kind of looks, gazes, or points of identification structure (or destabilize) The Passion of Joan of Arc (Carl Th. Dreyer, 1928)? Your response should engage Mulvey’s claims. The Passion of Joan of Arc is a silent film directed by Carl Th. Dreyer made in France in 1928. In Laura Mulvey's essay, “Visual Pleasure and Narrative Cinema,” she argues that the female stars receive the look, while male stars take control of film space. She also points out that the women’s role in the Classical Hollywood cinema is to satisfy the viewer and to be a passive character, i.e. being pleasant to look at. This essay will argue Mulvey's analysis such as: active/man and passive/female, a woman/actress being looked at as an attractive object and the female role in the cinema industry depicted by The Passion...
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...Boston University’s business school, knew well the trip to Burlington. As a member of the board of directors of Ben & Jerry’s Homemade for the past 13 years, Morgan had seen the company grow both in financial and social stature. The company was now not only an industry leader in the super-premium ice cream market, but also commanded an important leadership position in a variety of social causes from the dairy farms of Vermont to the rainforests of South America. Increased competitive pressure and Ben & Jerry’s declining financial performance had triggered a number of takeover offers for the resolutely independent-minded company. Today’s board meeting had been convened to consider the pending offers. Morgan expected a lively This case was prepared by Professor Michael J. Schill with research assistance from Daniel Burke, Vern Hines, Sangyeon Hwang, Wonsang Kim, Vincente...
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...Case Study: Nestle Introduction: Nestle is one of the largest consumer packaged multi domestic corporation in the world. Nestle is Nutrition, Health and wellness company and biggest food corporation. Nestle was a Swiss company that was that was established in 1866. Nestle has about 450 factories working in 86 countries. The turn over in 2009 was approximately $95 billion. Nestle is one of the main share holders of L’Oreal which is world largest cosmetic company. The most and successful global brand of nestle is Nescafé. In 2011 Nestle was listed as no.1 by fortune global 500 as world’s most profitable corporation. Nestle has always been about nutrition, so their global marketing over the years has been based off of demographics that show the changes in living standards and life styles. The ultimate goal of the company was to be realized by the consumers as the nutrition, health and wellbeing company and delivering a competitive return to the company’s shareholders at the same time. Key Acquisition: 1990 – Nestle opened its first factory in The United States of America. 1938 – Nestle introduced a coffee band called the Nescafe – Nescafe is one of the few brands that nestle has developed all over the world. Nescafe is the most successful of all the brands that Nestle manufacture. 1974 – Nestle enters non food business, by acquiring major stakes on L’Oreal. 1998 – Nestle acquires Spillers pet food business, making it the largest pet food maker in Europe. 2002 –...
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...ever do ne it befo re. To which my response is always , " I don 't think that'll wo rk." To which my response is always, "How do we know till we try ?" So I get to go through this leading -edge, risk -takin g exp erience with Beneven tho ugh I' m really ju st like everyo ne else. The perfect duo. le e cream and chunks. Business and social chonge. Ben and Jerry. • - Be n & Jer ry 's Double Dip , As Henry Morgan's plane passed over the snow-covered hills of Vermont' s dairy land, throngh his mind passed the events of the last few months. It was late January 2000. Morgan, the retired dean of Boston University'Sbusiness school, knew well the trip to Burlington. As a member of the board of directors of Ben & Jerry's Homemade over the past This case was preparedby Professor Michael J. Schill with researchassistancefrom D aniel Burke. VernHines. Sangyeon Hwang, Won sang Kim, Vincente Ladinez, andTyrone Taylor. It was written as a basis forclass discus sion rathe than to illustrat effectiveor ineffectivehandlingof an administrative situation Copyright 0 2001 by r e . the University of Virginia Darden School Foundation. Charlottesville, VA. All rights reserved.Toorder copies, send an e-mail to dard encases@virgini .edu. No part ofthis publication may be rep roduced. stored in a retrieval a system, used in a spreadsheet, or transmitted in any form or by any means- electronic, mechanical. photocopy-,"' , ,. - - _ . L __ . •; .. ... . ,.,;,1,,,,, ,1", nermi:.....ion of the Darden...
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...Monopolistic Competition and Oligopoly 13 Monopolistic Competition W e have now examined two “pure” market structures. At one extreme is perfect competition, a market structure in which many firms, each small relative to the size of the market, produce undifferentiated products and have no market power at all. Each competitive firm takes price as given and faces a perfectly elastic demand for its product. At the other extreme is pure monopoly, a market structure in which only one firm is the industry. The monopoly holds the power to set price and is protected against competition by barriers to entry. Its market power would be complete if it did not face the discipline of the market demand curve. Even a monopoly, however, must produce a product that people want and are willing to pay for. Most industries in the United States fall somewhere between these two extremes. In this chapter, we focus on two types of industries in which firms exercise some market power but at the same time face competition. One type, monopolistic competition, differs from perfect competition only in that firms can differentiate their products. Entry to a monopolistically competitive industry is easy, and each industry is made up of many firms. The other type, oligopoly, is a broad category that covers many kinds of firm behavior and industry structure. An oligopoly is an industry comprising a small number of competitors; each firm in an oligopoly is large enough to have some control over market price...
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...Starbucks: Delivering Customer value Case Analysis Case facts • Howard Schultz’s idea with Starbucks in the mid 1980’s was to create a chain of coffeehouses with a product differentiation of specialty “live coffee”, service or customer intimacy with an “experience”, and an atmosphere of a “third place” to add to their work and home alternatives • The original stores sold whole beans and premium-priced coffee beverages by the cup and catered primarily to affluent, well educated, white-collar patrons between the ages of 25 and 44 • By 2002, there were over 5,000 stores around the globe • The specialty items included strategic alliances with Pepsi Cola to sell alternative beverages, Dreyer’s to develop and distribute a line of premium ice creams, Kraft Foods handled sales of coffee and alternative products to warehouse clubs, and various grocery store chains for their coffee. • Baristas (employees) were encouraged to interact with customers in a friendly and prompt manner, and were paid higher than average wages and benefits. Employees were considered partners and promotions were usually from within the company. • While Starbucks was the largest specialty coffee chain, many other chains competed directly with Starbucks, and many other chains could at any time enter retail specialty coffee sales (e.g. Dunkin Donuts, convenience stores, and many similar retail food stores. • New innovation was based upon partner acceptance. Customers rated the new innovations as being...
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...a very convenient coffee bar because of the many different locations. Starbucks also worked to add more depth to their product in the coffee shops. In addition to selling whole-bean coffees, these stores sold rich-brewed coffees, Italian-style espresso drinks, cold-blended beverages, and premium teas. Product mixes vary depending on the stores size and location; however, most stores offer a variety of pastries, sodas, juices, coffee-related accessories and equipment, CDs, games, and seasonal novelty items. Starbucks also sold products through non-company-operated retail stores such as hotels, airlines, and restaurants. Additionally Starbucks formed joint ventures to distribute a bottled frappuccino thru Pepsi-Cola and an ice cream thru Dreyer’s Grand Ice Cream. This allowed the Starbucks’ brand to be recognized not only in freestanding Starbucks stores, but also throughout other channels as well increasing their brand awareness. Starbucks worked very had to expand the number of retail stores as well as product innovations and service innovations. New products were launched on a regular basis, such as one new hot beverage every holiday season. The store-value card (SVC) was also introduced which led to reduced transaction times. Due to the innovations and brand equity Starbucks had built Starbucks was able to achieve extra-ordinary success. What was so compelling...
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...Mr. Howard Schultz, the chairman and CEO of Starbucks Corporation is faced with some immediate and long term challenges in the year 1996. He needs to keep up the brand image of Starbucks, beat the competition, foray into new horizons for expansion, improve on the real estate strategy while maintaining the ‘coffee ‘ experience Starbucks is known for. Immediate issues 1. MacDonald is petitioning for a contract to serve Starbucks coffee. Mr. Howard is sceptical that granting this contract will dilute the brand image of Starbucks. While this can boost revenue in the shorter term, this can also lead to loss in clientele and reputation. Should Mr. Howard agree to the proposal? 2. Starbucks has a goal of having 2000 stores by the year 2000. The number of ‘A’ sites in market has decreased and the task of “street sniffers” is becoming increasingly difficult. The immediate challenge is to expand in different regions of the city. Should he put laser focus on Doppio strategy ? Basic Issues 1. Given Mr Howard’s bad experience at the University store , Starbucks needs to take an active look at the speciality agreements with retailers , restaurants and service providers. They are a big source of revenue generation but any compromise either on the coffee quality or coffee ‘experience’ could lead to loss in clientele, loss of brand and a hard earned niche market segment. 2. The regional competitors such as Second Cup in Canada and Best coffee in Seattle are eating the Starbuck’s...
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... Principal of Marketing Course Code : Mkt101 Section : 1 East West University Date of Submission August 4, 2011. EAST WEST UNIVERSITY In writing this term paper, we are extremely indebted to almighty Allah who creates us is this transitory world along with concerned with this Term Paper. It could not possibly thank all of those marvelous people who have contributed a lot of this assignment. There are, of course some very special people who could not go without mention. First of all, we would like to convey our felt gratitude and regards to “Kashfia Ahmed” honorable Senior lecture, Department of Business Administration, East West University whose enthusiastic guidance and help during the entire study period made it possible for us to prepare this report. We are grateful to some prominent authors worldwide whose book I have consulted in the preparation of the assignment. We also thank to our course mates for their advice and comments to the success of the report. Thank You, Jahid Hasan Rajib Id- 2010-3-13-059 On Behalf of the Group September 28, 2012 Kashfia Ahmed Senior Lecture Department of Business Administration East West University 43 Mohakhali C/A, Dhaka- 1212, Bangladesh. Subject: Submission of Assignment on “Marketing Strategy of Nestle. Dear Madam, With due respect, we are please to submit herewith the assignment on “Marketing Strategy of Nestle” that you are assigned us to prepare by August 4, 2011. Thank you for assignment...
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... Principal of Marketing Course Code : Mkt101 Section : 1 East West University Date of Submission August 4, 2011. EAST WEST UNIVERSITY In writing this term paper, we are extremely indebted to almighty Allah who creates us is this transitory world along with concerned with this Term Paper. It could not possibly thank all of those marvelous people who have contributed a lot of this assignment. There are, of course some very special people who could not go without mention. First of all, we would like to convey our felt gratitude and regards to “Kashfia Ahmed” honorable Senior lecture, Department of Business Administration, East West University whose enthusiastic guidance and help during the entire study period made it possible for us to prepare this report. We are grateful to some prominent authors worldwide whose book I have consulted in the preparation of the assignment. We also thank to our course mates for their advice and comments to the success of the report. Thank You, Jahid Hasan Rajib Id- 2010-3-13-059 On Behalf of the Group September 28, 2012 Kashfia Ahmed Senior Lecture Department of Business Administration East West University 43 Mohakhali C/A, Dhaka- 1212, Bangladesh. Subject: Submission of Assignment on “Marketing Strategy of Nestle. Dear Madam, With due respect, we are please to submit herewith the assignment on “Marketing Strategy of Nestle” that you are assigned us to prepare by August 4, 2011. Thank you for assignment...
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...5/23/2015 5/23/2015 Saqib Nawaz Assignment 2 Saqib Nawaz Assignment 2 Starbuck’s Coffee Strategic Management Starbuck’s Coffee Strategic Management Executive Summary: Starbucks could be an international company operative within the low retail market since 1972. The corporate, that has positioned itself as a merchandiser of premium low merchandise, has greatly swollen its market position and presence within the past 20 years. Despite a positive market outlook, Starbucks is in would like of strategic content because the company faces to not be underestimated challenges within the short- to medium-term. Those challenges emanate from established competitors like some others fast food companies internationally defy Starbuck’s market leadership position by driving aggressive low-pricing methods in established and rising markets. Moreover, new trends within the low business have spread out new segments with high growth potentials. Starbucks remains unsure however tackle new segments and what impact trends may wear its product portfolio. This report is supposed to be a strategic scout that aims at illuminating totally different strategic alternatives within the lightweight of the numerous opportunities and threats that lie ahead. The report will provide recommendation on a way to utilize internal strengths to maximize opportunities and the way to attenuate weaknesses to avoid threats. (Lee, Ristic and Franke, 2014) Question No. 1 Which of porter's competitive strategies...
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