This preview shows page 1. Sign up to view the full content.
Unformatted text preview: e a leading company with other profitable products in the same line can absorb a temporary loss, for a fledgling competitor this strategy might be very risky and may even result in business failure. Finally, the argument relies on the assumption that Superior’s promotional campaign for its newest coffee was successful. However, the memo provides no evidence that this was the case. It is possible that the promotion was entirely ineffective, and that Superior remains the leader in its field despite this small failure. If so, Excelsior may be illadvised to follow Superior’s promotional strategy. In conclusion, the two companies are too dissimilar to justify the recommendation that Excelsior model its promotional strategy on Superior’s. To strengthen the argument, the author of the memo must establish that Excelsior has sufficient operating capital to launch the recommended sales campaign, and that this strategy would be more effective than another strategy, such as using extensive media advertising. 55. The following...
View Full Document
This note was uploaded on 05/05/2009 for the course ECAS asdfasdf taught by Professor Asdfaf during the Spring '09 term at Academy of Art University.
- Spring '09