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Ice Cream Vendor

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Submitted By jolen07
Words 13105
Pages 53
CASE: ARCE DAIRY ICE CREAM

I. TIME CONTEXT

1991

II. VIEW POINT

Elsie Arce-Romero, VP Advertising and Promotions

III. CENTRAL PROBLEM

How will Arce Dairy Ice Cream compete in the ice cream industry and regain success using its new brand name?

Symptoms: Low market share, wherein, Arce Dairy Ice Cream belongs to the remaining 10% of the ice cream market.

Cause: Poor promotional and distribution strategies

IV. STATEMENT OF OBJECTIVES:

Must Objective:

To increase in one month’s time the company’s market share by 5%.

Want:

To gain favorable market control in the succeeding years.

V. AREAS OF CONSIDERATIONS

A. Internal Environment

Strengths:

1. Arce Dairy Ice Cream is made of fresh carabao’s milk (“all natural”);

2. The finished product is tastier and richer (more flavorful);

3. They have variety of ice cream flavors;

4. They use fresh ingredients like whole seasonal fruits and other natural products;

5. Arce Dairy Ice Cream has distinct taste and high quality (the firm rejects delivery of ingredients that do not pass high quality standards, no matter how inexpensive);

6. They have hundred heads of milking carabaos in the Arce dairy farm; and

7. Their ice cream product has been in the business for years (although Selecta, their former name is now being carried by a competitor, RFM Corporation).

Weaknesses:

1. Poor marketing efforts which resulted to local market share (since they seems to be contented catering to their existing customers only);

2. Low promotional and distribution strategies;

3. Limited outlet/branch; and

4. They have sold their former name “Selecta” which have already gained brand equity.

B. External Environment

Opportunities:

1. People’s acceptance to its new brand name;

2. Better company image;

3.

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