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Mini Case Study.
Saxonville was a 70-year-old, privately held family business headquartered in Saxonville, Ohio, with 2005 revenues of approximately $1.5 billion. The company produced a variety of pork sausage products, predominantly fresh sausage as opposed to smoked or semi-dried. The heart of the business consisted of branded products: bratwurst (70% of Saxonville’s revenues); breakfast sausage, both links and patties (20% of revenues); and an Italian sausage named Vivio (5% of revenues). Store- brand products accounted for the additional 5% of revenues. While the bratwurst and breakfast products were sold throughout the United States via both national and regional brokers and distributors, the products had very little distribution in stores in the Northeastern markets.
Since 2004, both the bratwurst and breakfast categories across all sausage producers had been flat (0% volume increase) nationwide, with little or no growth expected in the short term. Saxonville’s own brats sales had been flat, but in breakfast sausage the company had underperformed the market, resulting in a double-digit revenue decline; in December 2005, Saxonville ranked sixth out of eight national breakfast sausage brands. Italian sausage was the one category showing growth across producers in the retail sausage market, having grown at an annual rate of 9% in 2004 and 15% in 2005. Saxonville’s Vivio brand had matched that level of category growth; however, Vivio was available in just 16% of the nation’s large supermarkets, primarily in Boston, New Jersey, New York, Maryland, and South Carolina.
1.State the symptoms
2.Identify the probable problem
3.Write a brief decision statement
4.FormMini Case Study.
Saxonville was a 70-year-old, privately held family business headquartered in Saxonville, Ohio, with 2005 revenues of approximately $1.5 billion. The company produced a variety of pork sausage products, predominantly fresh sausage as opposed to smoked or semi-dried. The heart of the
Saxonville was a 70-year-old, privately held family business headquartered in Saxonville, Ohio, with 2005 revenues of approximately $1.5 billion. The company produced a variety of pork sausage products, predominantly fresh sausage as opposed to smoked or semi-dried. The heart of the business consisted of branded products: bratwurst (70% of Saxonville’s revenues); breakfast sausage, both links and patties (20% of revenues); and an Italian sausage named Vivio (5% of revenues). Store- brand products accounted for the additional 5% of revenues. While the bratwurst and breakfast products were sold throughout the United States via both national and regional brokers and distributors, the products had very little distribution in stores in the Northeastern markets.
Since 2004, both the bratwurst and breakfast categories across all sausage producers had been flat (0% volume increase) nationwide, with little or no growth expected in the short term. Saxonville’s own brats sales had been flat, but in breakfast sausage the company had underperformed the market, resulting in a double-digit revenue decline; in December 2005, Saxonville ranked sixth out of eight national breakfast sausage brands. Italian sausage was the one category showing growth across producers in the retail sausage market, having grown at an annual rate of 9% in 2004 and 15% in 2005. Saxonville’s Vivio brand had matched that level of category growth; however, Vivio was available in just 16% of the nation’s large supermarkets, primarily in Boston, New Jersey, New York, Maryland, and South Carolina.
1.State the symptoms
2.Identify the probable problem
3.Write a brief decision statement
4.FormMini Case Study.
Saxonville was a 70-year-old, privately held family business headquartered in Saxonville, Ohio, with 2005 revenues of approximately $1.5 billion. The company produced a variety of pork sausage products, predominantly fresh sausage as opposed to smoked or semi-dried. The heart of the