While children do like ice cream snacks, there is growing concern in society about childhood obesity and calorie-rich snacks like Lil' Drums contribute to this problem. Taking such a product overseas could also open the company up to criticism that it is exporting America's childhood obesity problem.
The Black Cat line of Single Estate espressos is a combination of a new line and a line extension. Black Cat was formerly a single product. By adding an entire line of single estate variants of the line, Intelligentsia has repositioned Black Cat as an espresso brand rather than a single product. In the process, they have created an entirely new line of products, and extended the Black Cat name manifold.
This new line was created in response to pent-up demand, but there are risks with respect to brand dilution, since Black Cat was already established as the best espresso in the United States. At the same time, there was the risk of cannibalization since Intelligentsia is positioned at such a high market position so as to limit its potential market. Furthermore, with...
There was significant risk that the prices would not be accepted by the target market.
Sourcing the raw materials is also a challenge, since it requires the fostering of tight relationships and the abandonment of supplier flexibility. Taking these products overseas raises few ethical issues, but there are concerns with respect to marketing premium coffees and simultaneously ensuring that the farmers earn a reasonable share of that revenue.
Works Cited:
No author. (2009). Rollout: New Food Products for June 2009. FoodProcessing.com. Retrieved July 3, 2009 from http://www.foodprocessing.com/articles/2009/junerollout.html
No author. (2009). Introducting iPhone 3GS. Apple Inc. Retrieved July 3, 2009 from http://www.apple.com/iPhone/iPhone-3gs/
No author. (2009). The Black Cat Project. Intelligentsia Coffee & Tea. Retrieved July 3, 2009 from http://www.intelligentsiacoffee.com/about/black-cat-project
