The problem definition is stated as follows: Kate Hoedebeck, Director of Marketing at Cadbury Schweppes American Beverages, and her team must develop a marketing plan for 2005 that focuses on clarifying the position, innovation, and advertising of Hawaiian Punch moving forward in regards to their two manufacturing and distribution networks. The objective of this problem is to decide what changes need to be implemented in the marketing plan to be successful at maintaining the high brand equity. II) Strategic Alternatives There are three strategic alternatives concerning Hawaiian Punch and the decisions that need to be made in order to increase brand awareness thus resulting in higher sales: a) Do Nothing b) Remove the finished goods network …show more content…
Additionally, they should add new flavors and reduce sugar content to keep up with competitors and tap into the exotic flavor industry. This should do a lot of market research and create products based off of regional preferences. There are some risks associated with doing this. These risks are that this strategy might end up being very expensive for the company, as it requires additional spending in advertising and marketing. Additionally, they have to constantly keep trying different tactics, such as introducing new products, to maintain their brand awareness, even though it is currently very high. Also, when introducing new products, their customers need to be aware of these new products and where they will be available for them to buy. Although, all of this requires spending a lot of money out of the company’s budget (pg. 401), by doing this, the company will have chosen a differentiated strategy which will give them a competitive advantage, while maintaining the same great taste and quality to their