Snapple Case - Free Essay Example

Sample details Pages: 3 Words: 917 Downloads: 2 Date added: 2017/09/16 Category Advertising Essay Did you like this example? Snapple case 1. severity The severity of this of this problem is showing in exhibit 1. Where total case sales of the first 5 months of 1992 were 6,8 million the sales of the first 5 months of 1993 were 15,3 million cases. Don’t waste time! Our writers will create an original "Snapple Case" essay for you Create order So that’s an increase of 225% in sales. And when you look at figure 1 you can really see the severity of the problem. Because normally the first five months are only 27,91% of the total sales in a year. So normal sales volume would be 24,3 million cases. But if the increase in demand stays at the same level in the second part of 1993 then total predicted sales for all Snapple products will be 54,8 million cases. This large increase in sales comes from Tea drinks which double and Fruit drinks that triple. And also soda increases 41%. This means for Snapple to overcome their shortages they need to more than double their normal production. 2. The problem The main problem in this case is that Snapple at some point in time became unable to meet demand for their products. The demand for Snapple’s products is highly unpredictable and this leads to several reasons that explain the inability to meet demand. Snapple does not have its own production company; instead, everything is outsourced to independent companies based on fixed production quantity contracts. This leads to a limited production flexibility when demand fluctuates. When the shortage became nationwide due to the increase in demand, Snapple’s product could not be shipped from anywhere and they lacked the ability to meet demand. In addition, Snapple forecasts demand for a year and base the quantity in the production contract s on this forecast. However, because demand is so variable, a year is to long a period for making a decent prediction. Another problem is the centralized product development, purchasing, inventory and shipping activities at headquarters. Because Snapple operates in several different markets – juices, sport drinks, tea, all with different needs in terms of promotion, demand, distribution points, etc. – it is not ideal to centralize all decision-making. Snapple’s market should not be seen as a whole, but as several independent and diverse markets with different needs. Snapple has a large variety of products on offer. Even though product differentiation is one of their objectives, it aides in making demand highly unpredictable. 3. Short term solutions In order to frame our solutions, we have defined â€Å"short term solutions† by those that can be achieved within 3 months. A short term, but possibly expensive, solution could be to contract independent companies in or outside the nation (for instance overseas) to supply product during peak demand. On the short term, an option would be to discontinue the production of many of Snapple’s products that together count for only a marginal part of their revenue stream. Exhibit 2 indicates that 10 of their most popular products count for over 75% of sales. It also shows that 33 of their least popular products account for 5% of sales. Our suggestion would be, based on the current research data, to cancel production of these 33 products and use that production capacity to produce more of the popular products to meet the increased demand. This is not a large group of products in production quantity, but it does improve the predictability of demand. On the other side the large product variation is indicated to be an important property of the company. Therefore this might not be a good solution. In order to make demand more predictable, promotion activities should be in line with inventory levels of the different products. In other words, promotion should be targeted at products that are readily available with little chance of a stock out. 4. Long term solutions Long term solutions are those that we feel cannot be accomplished within a 3 month period. Outsourcing all production on the basis of fixed contracts has proven to be inflexible and Snapple would be wise to invest in its own production facility. Part of the outsourced work could then be handled by themselves and it would also allow them to handle peak demands by increasing the utilization and temporarily producing extra output. This solution has been derived from Fisher’s article on functional vs. innovative products. For a product characterized by unpredictable demand, a market-responsive supply chain is recommended (Fisher, M. Harvard Business School Publishing). Such a supply chain is more able to respond to unpredictable demand to minimize stock outs, which has become the problem for Snapple. Their current supply chain is what Fisher calls â€Å"Physically efficient†, and does not match the product. Because demand is so volatile, a solution could be to adjust yearly forecasts more often, for instance monthly. This would allow Snapple to bring production more in line with demand. However, the question is whether the independent production companies are able to cope with a monthly change in production quantity, in stead of a yearly one. Decentralization in decision-making should be the long term goal. Different markets require different approaches and therefore marketing attempts should be tailored to specific market needs. For instance, the allocation of production capacity depends on the demand per market. The use of dedicated business units per market can provide the necessary focus. A thorough market research could indicate which of the remaining 26 products will continue to be profitable in the long run, and which ones can be discontinued, or which should be returned to the shelves. This could allow Snapple to further adjust their product range and focus on meeting demand for this selection.

Foreign Policy International Politics And Relations...

Geopolitics is a study of foreign policy to understand international politics and relations through various variables. A geopolitical environment refers to a region’s political circumstance while considering the nations geology, history, religion, culture, administrative structure, and financial circumstances. It is also applied to a single country’s political situation given their geographic realities or the environment of the entire continent. The United Kingdom s prospective withdrawal from the European Union is widely known as Brexit. The result of the June 23 referendum in the United Kingdom could lead to the first instance of a member of the European Union leaving the Union’s ranks. Beyond the social and economic impact of such a†¦show more content†¦May’s comments which would initiate Article 50, which would give 2 years of time before the entire separation will happen. So, because of this article, British would leave the European Union in March -2019. This would mean the European laws wouldn’t apply on UK anymore and that UK will have its own rules and regulation when it comes to trade immigration, etc. This shocked was immediately followed by Scottish people doing major riots for Scottish exit from the UK as they feel they would be entirely under the British which they didn’t really enjoy. There was a huge response from the various countries and their great leaders. Brexit has an effect on the economy in a number of ways such as GBP hitting the all-time low since 1985. This exit proved to come at a cost of worldwide markets along with GBP losing its top position in the AAA FICO. To prevent the UK from slipping into further economical low, the BOE has decreased the loan fees to prevent the above from happening. The entire situation puts doubts in everyone’s mind what would happen once the UK exits and how it would affect the new exchange globally. This also gives UK an option to either leave the EU completely or stay a part of the EU market for the monetary zone. This also gave Russia to focus more on the Ukraine end and reduce its efforts towards the reducing oil prices. EU union was aggressive with their comments saying the remote companies would no longer work remotely asShow MoreRelatedFuture of Arab countries relations after revolutions900 Words   |  4 PagesFuture of Arab countries relations after revolutions Mohamed Abdelaziem Elchime Since the Arab revolutions in Tunisia , Egypt, Libya and Yemen , as well as in Syria mounts to talk about the impact of these revolutions on the Arab political scene in general and the Arab relations - Arab , Will lead variables internal politics which will be witnessed by those countries to reforms in other states and whether led to change in the structure of the Arab political scene in general. key words: ThisRead MoreEssay about President Bush And Us Foreign Policy1683 Words   |  7 Pagesrepublican and in the end the American people chose a new leader Mr. George w. Bush. President Bush clearly defined foreign policy objectives and goals. 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Argumentative Essay free essay sample

Seifeddine Souid| 06/05/2013| What extra class should MSB offer outside of the business domain? | The Mediterranean School of Business offer a License program which represents a unique opportunity for ambitious graduates wanting to acquire, in a multi-cultural environment, managerial skills and leadership opening their professional horizons internationally. The curriculum that MSB made, has a diversified and coherent business Curriculum in which you found from analytic subjects such as Math I amp; II, Business Statistics, Accounting and so on, to Soft skills subjects like Management and Leadership Development and Human Resources Management and also gives classes about new innovative technologies such MIS I amp; II, and to complete their well selected choices, the faculty choose 3 extra business subjects to add diversification which are Psychology, sociology and American History amp; Society. But still I think that it is not enough or let’s say we can improve it by adding another extra business domain subject which Art class. More than 293 billion cigarettes were purchased in the U.S. during 2012 alone. At first glance it seems like a huge amount of money that the country can lose if the government prohibits the production and sale of cigarettes, but this is not true. The U.S. will lose much more than they profit if cigarettes remain available to the public. The Center for Disease Control and Prevention states that the U.S. spends billions of dollars each year because of tobacco use. To be precise, 193 billion is spent each year. This includes 97 billion in lost productivity, and 96 billion in health care expenditures. Another argument against smoking bans is that they go against freedom of choice. Society tends to accept people who do things that hurt themselves, as long as it doesn’t hurt others in the process. Smokers may feel that their smoking habits don’t affect those around them, but the truth is that it does. According to eHow Health contributor, Auselio Locsin, smoking fills the air with harmful pollutants that cause unpleasant smells and discoloration in clothing. Along with the unpleasant odor that clings to anyone exposed to the smoke, there are also health risks. In an article by Amanda Rumble, eHow Health contributor, she states that passive smoking, or secondhand smoke exposure is responsible for many cases of asthma in children and adults. The primary argument for  smoking bans is the effects of smoking on others. Smoking is hazardous to other people’s long-term health. As stated earlier, smoking does not just affect the smoker, but those around them as well. According to the U.S. Surgeon General, breathing other people’s smoke, known as secondhand smoke, can shorten a person’s lifespan. Secondhand smoke also causes cancers and respiratory diseases in both children and adults. In fact, secondhand smoke often contains more cancer causing and toxic chemicals than those found in smoke that the smoker inhales himself. The New Jersey Department of Health Services states that secondhand smoke is responsible for 53,000 deaths of non-smokers each year, the third leading cause of preventable death. Secondhand smoke also contributes to Sudden Infant Death Syndrome, and statistics show that infants who are exposed to smoke are twice as likely to die from SIDS. Another reason the production and sale of cigarettes should be made illegal, is because they are highly addictive due to the nicotine found in them. According to the Greater Dallas Council on Alcohol and Drug Abuse, people would not smoke tobacco if it wasn’t for nicotine. This clear liquid, which is found in tobacco, acts on the brain and alters moods, appetites, and alertness. Nicotine is highly addictive, and once smokers get a taste of it, they will soon always have a need to smoke it. Because nicotine is so addictive, it is very difficult to quit smoking, and quitting can cause unpleasant symptoms of withdrawal. As smokers continue to smoke over time and consume nicotine, they will experience long-term effects including cancer of the mouth, esophagus, lungs, kidneys, bladder, and larynx. According to the U.S. Center for Disease Control and Prevention, another dangerous side effect of nicotine consumption is loss of life. In the late 1990s, the CDC estimated that female smokers lost 14.5 years of their lives, and males lost 13.2 years as a result of smoking. It is clear that smoking is a dangerous habit that affects people in many different ways. If we want to help eliminate unnecessary deaths and illnesses, it is important to take steps to rid our country of tobacco products. Making the production and sale of cigarettes illegal will be beneficial to the overall health of our country in the long run.

The Clementine Conundrum free essay sample

I was excited when I passed my state boards to become an EMT. I was delighted when I earned my first award at a forensics competition. And I was thrilled when I placed at my first national rowing regatta. But I was truly ecstatic when I thought I had cracked the code. The algorithm of all algorithms. The formula that would potentially alter my dining experience for the rest of my (hopefully) fruitful existence. I thought I had determined the exact external indicators for a seedless clementine. â€Å"Why would anybody care?† you might ask. And I would reply, â€Å"Have you ever had lunch with someone who was eating a seeded clementine orange? Did you not think it was disgusting when every couple of seconds they had to spit out seeds?† Its basically the social equivalent of gagging at the table. Something had to be done. So, I ate clementines like it was my job (at home, of course), taking careful note of the peel thickness, color, texture, smell, and â€Å"button† size. We will write a custom essay sample on The Clementine Conundrum or any similar topic specifically for you Do Not WasteYour Time HIRE WRITER Only 13.90 / page After a couple of weeks, I thought I had it. The characteristics of a seeded clementine, so that when I packed my lunch in the morning, I could choose a clementine that would allow me eat without fear of gagging on seeds. I enjoyed seedless clementines at lunch for a couple of weeks, and merely laughed at others trying to subtly spit seeds into their napkins. Alas, eventually my algorithm failed. One sunny Tuesday, I sat down for lunch, peeled my clementine, placed a segment into my mouth, and was greeted with a mouthful of seeds. Somewhere, the clementine gods are laughing at me. But, mark my words, clementine gods: I will conquer you. Someday I will find the momentous algorithm, and I will once again enjoy clementines at the lunch table.