Natureview Farms Essay

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Natureview Farms PROBLEM IDENTIFICATION It was the year 2000 when Christine Walker, Vice President of marketing at Natureview Farms Inc., received word that the company had to find a way to increase revenues by over 50% in the following year. This meant their $13 million revenue reported in 1999 would have to skyrocket to $20 million before the end of 2001. Their strategy to achieve this goal was aimed towards making changes to the current distribution channels. The underlying decision was whether Natureview should expand into the supermarket channel and abandon their current, strong relationship with the natural foods market channel. However, the company wanted to stray away from this conflict as it would create negative ripple effects on the business. It was through the nature foods market channel where Natureview grew as a business, and did they did not want to destroy the link that brought them down the path towards prosperity. CRITICAL ISSUES Current relationship with natural foods market Natureview’s long-term partnership with the natural foods channel makes them hesitant in expanding into the supermarket channel. Leaving this current relationship could potentially anger the partners and ignite revenge against Natureview (i.e. replacing their products with competitors’ lines). Natureview kept in mind to keep the harm level to their partners at a minimum. Competition “Bellini heard rumours that one of the Natureview’s major natural competitors would soon try to expand into the supermarket channel.” – In an unpredictable competitive environment, Natureview Farms must devise strategies to keep up with the market in order to survive. This means following trends and beating competitors to the punch. ALTERNATIVES Option 1 – Expand six SKUs of 8-oz. into one or two supermarket channel regions • Advantages: o These cups were the most popular to

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