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What other strategies the company can explore to reach the goal of P2 billion sales revenue?

What other strategies the company can explore to reach the goal of P2 billion sales revenue?

Principles Of Marketing
Principles Of Marketing
17th Edition
ISBN:9780134492513
Author:Kotler, Philip, Armstrong, Gary (gary M.)
Publisher:Kotler, Philip, Armstrong, Gary (gary M.)
Chapter1: Marketing: Creating Customer Value And Engagement
Section: Chapter Questions
Problem 1.1DQ
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Case study question-- "Brewing Peace Phillipines"

What other strategies the company can explore to reach the goal of P2 billion sales revenue?

14:52 & O Vo) CRM_2022_RMBA_Case Qu. the future? Case 5: Brewing Peace Philippines: Customer Relationship Management Case Synopsis: Brewing Peace was an integrated coffee manufacturing and selling company in Philippines. It targeted sales revenue of P2 billion by end of 2022. Despite a base of 80 customers, 70% of its business depended on 9 key accounts, ... including its largest buyer CCEL, which accounted for 20% of Brewing Peace's revenue. The co-founder Jose realized that 55.6% rise in operating costs had resulted in only a 29.8% profitability growth. This seemed to be compounded by CCEL's new order of P30 million, which had a profit margin less than 20%, a 90day payment period and short delivery time. This forced Jose to review his relationship with his biggest client. Jose's dilemma was he could not accept this order on CCEL's terms without jeopardizing his company's payment terms with vendors and affecting the supply of its orders worth P25 million to its other customers. He wanted to retain business with CCEL yet nurture and augment his relationship with other clients. In such a case, Jose wanted to have clarity about whether to accept the order on CCEL's terms or renegotiate the price, payment terms and delivery schedule to benefit his own company. Discussion Questions: 1) Discuss the importance of CRM strategies for Brewing Peace? List the direct and indirect effects of CRM Initiative on Brewing Peace? 2) How did the relationship between Brewing Peace and CCEL evolve? Why did Brewing Peace continue its relationship with CCEL? Hint: Think of Price received and Cost to Serve (2X2) matrix. 3) What should Brewing Peace do about its recent order from CCEL? Assess the 3 options (maintain status quo, renegotiate or stop supplying products) it has. 4) What other strategies the company can explore to reach the goal of P2 billion sales revenue? How to Prepare a Case Study Report by w Prof. Herbert Sherman II ...
Transcribed Image Text:14:52 & O Vo) CRM_2022_RMBA_Case Qu. the future? Case 5: Brewing Peace Philippines: Customer Relationship Management Case Synopsis: Brewing Peace was an integrated coffee manufacturing and selling company in Philippines. It targeted sales revenue of P2 billion by end of 2022. Despite a base of 80 customers, 70% of its business depended on 9 key accounts, ... including its largest buyer CCEL, which accounted for 20% of Brewing Peace's revenue. The co-founder Jose realized that 55.6% rise in operating costs had resulted in only a 29.8% profitability growth. This seemed to be compounded by CCEL's new order of P30 million, which had a profit margin less than 20%, a 90day payment period and short delivery time. This forced Jose to review his relationship with his biggest client. Jose's dilemma was he could not accept this order on CCEL's terms without jeopardizing his company's payment terms with vendors and affecting the supply of its orders worth P25 million to its other customers. He wanted to retain business with CCEL yet nurture and augment his relationship with other clients. In such a case, Jose wanted to have clarity about whether to accept the order on CCEL's terms or renegotiate the price, payment terms and delivery schedule to benefit his own company. Discussion Questions: 1) Discuss the importance of CRM strategies for Brewing Peace? List the direct and indirect effects of CRM Initiative on Brewing Peace? 2) How did the relationship between Brewing Peace and CCEL evolve? Why did Brewing Peace continue its relationship with CCEL? Hint: Think of Price received and Cost to Serve (2X2) matrix. 3) What should Brewing Peace do about its recent order from CCEL? Assess the 3 options (maintain status quo, renegotiate or stop supplying products) it has. 4) What other strategies the company can explore to reach the goal of P2 billion sales revenue? How to Prepare a Case Study Report by w Prof. Herbert Sherman II ...
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Discuss the importance of CRM strategies for companies such as Brewing Peace. Evaluate the direct and indirect effects of CRM initiatives on Brewing Peace

 

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