...Background Information Company History Keurig Inc. was originated in 1992 by Peter Gragone and John Sylvan. The company was constructed on the concept of coffee brewing systems, and their focus was to serve high quality, fresh coffee. Keurig's groundbreaking single cup brewing system, presented in 1998, allows people to brew the perfect cup of gourmet coffee in less than a minute, without having to grind beans, measure coffee, handle filters or clean up (The Keurig Story, 2013). In 2002, Green Mountain Coffee Roaster Inc., a Vermont company, paid $14.4 million for 41 percent of Keurig. Four years later, it purchased the remainder of Keurig, selling the brewers at a sensible price and creating money on the K-Cups, which only worked with Keurig machines (Purpose, Mission & Values, 2013) Green Mountain’s vales, which can be found on their website, are; We Partner for Mutual Success, We Innovate with Passion, We Play to Win and We Brew a Better World. In 2008, Keurig made it to the Forbes ‘200 Best Small Companies’ list, but 2011 was the pioneer year. From January to September, sales rose over three hundred percent. This was due to their K-cup agreements with Starbucks and Dunkin Donuts (Badenhausen & Settimi, 2011). Today, the corporation is a leader in specialty coffee and coffee makers, and is known for its award-winning coffees, innovative Keurig Single Cup brewing technology, and publicly respectable business practices. Green Mountain supports local and global communities...
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...Keurig was ready to launch their new B100 system targeting the at home segment all in hopes of gaining the same success Keurig found in the office coffee service, in a more competitive market (Kerin & Peterson, 2007). With the competition entering the single cup brewing market, Keurig had to think fast if they wanted to succeed in the Home market (Kerin & Peterson, 2007). Nick Lazaris, President, Chief Executive Officer and Director of Keurig, had to make the decision as to proceed with a two Keurig-Cup (K-Cup) strategy; this decision had the potential to wreck the company and their launch efforts. (Kerin & Peterson, 2007). Keurig faced a few problems during their marketing and release of the B100 brewer. In order to sell the brewers, Keruig needed to show the benefits of the brewers. Keurig planned to accomplish this by demonstrations in shopping malls and high end retail stores (Kerin & Peterson, 2007). Keurig also had problems with...
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