1. Company: Vix Records: "Fidelity Freefall"
Topics: Ethics, technological environment, customer value
Case: Our international record company distributed millions of CD's with a new type of copy protection software on them to prevent piracy. After a short time there was a deluge of very public complaints that the 'protected' CD's were "spying" on the consumer's internet use, left them vulnerable to computer viruses, and did not provide any warning that such software would be installed automatically. After consumer and legal uproar, we have been forced to recall over two million CD's from retailers around the world, and are facing an ever-growing class action lawsuit. Consumers ...view middle of the document...
Second we have numerous exclusivity deals with other channels - this initiative does not legally infringe on those deals but could 'complicate' those relationships.
• Is this venture worth potentially alienating existing channels?
o If so how would you maintain solid relationships with other channels?
• Is this venture worth a conflict with the parent and sibling companies?
o If so, how would you finesse the proposal?
3. Company: Vix Records: "Something for Everyone?"
Topics: Packaging, Versioning, New product launch, Innovation
Case: In an attempt to target additional markets we are considering a massive repackaging program. Compilations and movie soundtracks are more often than not outselling the bulk of our mid-level artist-based records and downloadable singles are killing our CD sales. We are planning to do an ethnicity-based series, age-based series and geographic series.
• What are the pros and cons to this new branch of our overall marketing plan?
• What issues arise from this kind of segmentation?
• How would we manage conflict with artists?
• How can we deploy this program cost-effectively?
• Will this further hinder our artist's record sales or boost them?
4. Company: Yuma Puma Energy Drink: "Category Crowd Control"
Topics: Competition, Product lifecycle management, Integrated Marketing Communications
Case: 7 years ago we launched our unique beverage internationally and have grown exponentially every year, inadvertently creating a new market category - the energy drink. We've employed unconventional 'guerilla' marketing techniques to launch and grow the product - street teams, Xtreme sport sponsorships, links with sub-culture, unconventional placement like health clubs and nightclubs, and specialized distribution teams. Its success is attributed to this non-mainstream marketing approach. Now, every mammoth international beverage company is launching their own energy drink product (Coca-cola, Pepsi). These companies could definitely out-power us in promotion/advertising spending, utilize wider and faster distribution channels and offer a lower price point.
• What, if anything, do we change to remain competitive?
• Alter advertising/promotion plan?
• Alter distribution?
• Alter price point?
• If we don't alter our plan, what new initiatives do we take to remain our current market hold?
o Expand product line?
o Target new audience?
o New types of promotional ventures?
5. Company: Yuma Puma Energy Drink "The Price is Heating Up"
Topics: Pricing, Ethics, Technology, Public Relations
Case: We have been offered technology for our vending machines that will incorporate a computer chip that reads the outdoor temperature and then raises prices on hotter days and increases for late-night hours. It is extremely easy to incorporate into our mobile vending machines as well as the permanently placed. If implemented it would generate an...