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Essay / Research Paper Abstract
This 3 page paper uses a case analysis to determine how Zebra Beer can best capture the market share it wants. Bibliography lists 3 sources.
Page Count:
3 pages (~225 words per page)
File: D0_HVZebraB.rtf
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Unformatted sample text from the term paper:
the giants Anheuser-Busch and Miller, with its Zebra Beer. Problem Definition The company seems to have two major problems: it cant decide what sort of beer Zebra Beer is,
and its having trouble pricing it. Of the two, the pricing decision is probably the more pressing and so well examine this issue. Once Madcap sets a price that in
turn will tend to dictate what sort of beer it is, and that is how consumers will then perceive it. In marketing terms, we will be considering Price. Analysis of
Case - Key Facts Madcap wants to become a "player" in the craft brew segment of the beer market, but is having trouble. Craft brew drinkers are adventurous and
have little brand loyalty; they want to try whatever is new (Rosenthal and Twells, 1999). Madcap has had an initial response that is pleasing with regard to the quality of
the product, the advertising and the distribution, but end sales remain disappointing (Rosenthal and Twells, 1999). The company has undertaken a second test market effort by reducing the price of
the product and increasing incentives to distributors and advertisers (Rosenthal and Twells, 1999). The result has been to greatly increase sales of the beer, but also to increase expenses to
such a degree that the profit margin is lower (Rosenthal and Twells, 1999). The uncertainty of what to do about the pricing is reflected in the comments from company
officials who say things like "We dont know exactly who drinks our beer" and "Is $4.99 the right price point? I dont know" (Rosenthall and Twells, 1999). Alternative Solutions Since
were talking about pricing here, there are really only three alternatives: raise it, lower it, or leave it where it is. Leaving it where it is is not a viable
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