Winston Bailey grew up in a robust African family where taking medicines for petty problems was frowned upon. Elders in the family believed that minor ailments could be cured by appropriate precaution and diet control. Winston said he was chided for wanting to eat ice-cream when his throat was sore. He was not only denied his favourite ice-cream but was also given liberal doses of ginger juice. Mr. Bailey majored in commerce in college but pursued his MBA in Marketing in the USA. He returned to his home and bought out Devon House Ice Cream and Sweet Tooth Ltd, a company recognized as the manufacturer of the finest ice-cream throughout the country. Winston was visiting his elder sister who stay in a nearby town when his throat got infected. Out of old habit, he gave up ice-cream and asked his sister for some ginger juice. His sister out of sympathy mixed some ginger juice in a bowl of ice-cream and Winston ate the innovative product with great delight. The entrepreneur in Mr. Bailey told him that his sister had an excellent marketable product. After returning to his company, he instructed the R&D centre of Devon House Ice-Cream & sweet tooth to develop a ginger ice-cream. The product so developed was named Medrak icecream and was tested in the market. The concept of an ice-cream containing ginger, which would protect the throat of those who relished ice creams was seen to have been well received so the advertising department started to use the following tagline," Medrak, your sore throat friend". Mr. Bailey therefore called a conference of various department heads to work out the marketing logistics and the appropriate method of informing the public about the product. The manager for finance wanted the price to be cost of the product plus a 100 per cent profit. The R & D chief supported him. The sales team advocated a large-scale advertising of the product. The manufacturing manager was not willing to compromise on quality to cut the price/cost. He insisted that Devon House must maintain its fair name at all costs. The purchase manager pointed out to the difficulties of buying and keeping stocks of an agricultural product like ginger. He added that this would
Winston Bailey grew up in a robust African family where taking medicines for petty problems was frowned upon. Elders in the family believed that minor ailments could be cured by appropriate precaution and diet control. Winston said he was chided for wanting to eat ice-cream when his throat was sore. He was not only denied his favourite ice-cream but was also given liberal doses of ginger juice. Mr. Bailey majored in commerce in college but pursued his MBA in Marketing in the USA. He returned to his home and bought out Devon House Ice Cream and Sweet Tooth Ltd, a company recognized as the manufacturer of the finest ice-cream throughout the country. Winston was visiting his elder sister who stay in a nearby town when his throat got infected. Out of old habit, he gave up ice-cream and asked his sister for some ginger juice. His sister out of sympathy mixed some ginger juice in a bowl of ice-cream and Winston ate the innovative product with great delight. The entrepreneur in Mr. Bailey told him that his sister had an excellent marketable product. After returning to his company, he instructed the R&D centre of Devon House Ice-Cream & sweet tooth to develop a ginger ice-cream. The product so developed was named Medrak icecream and was tested in the market. The concept of an ice-cream containing ginger, which would protect the throat of those who relished ice creams was seen to have been well received so the advertising department started to use the following tagline," Medrak, your sore throat friend". Mr. Bailey therefore called a conference of various department heads to work out the marketing logistics and the appropriate method of informing the public about the product. The manager for finance wanted the price to be cost of the product plus a 100 per cent profit. The R & D chief supported him. The sales team advocated a large-scale advertising of the product. The manufacturing manager was not willing to compromise on quality to cut the price/cost. He insisted that Devon House must maintain its fair name at all costs. The purchase manager pointed out to the difficulties of buying and keeping stocks of an agricultural product like ginger. He added that this would
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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