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Short%20Case%201%20STAY%20CRISP%20STUDENT[1] - SHORTCASE#1...

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SHORT CASE #1 Can Stay Crisp Go National? The Company:  Stay Crisp  of Maplewood, N.J., a maker of  freeze-dried fruit snacks sold in silver packages that has  seven employees and had 2008 revenue of $2.2 million. The  snacks are a gluten-, dairy- and nut-free alternative to chips. The Challenge:  To increase sales aggressively. Stay Crisp  wanted to get its snacks on the shelves of major national food  chains. But it didn’t want to sacrifice profitability by doing  what chains generally require: discounting products steeply  and paying expensive fees in exchange for shelf space. The  company lacked the cash to “pay for play” the way Kraft or  General Mills might. And it feared that discounting its  product would undercut its premium image and hurt  relationships with its existing customers. The Background:  Since 2005, when Stay Crisp introduced its  freeze-dried slices of apples and pears, the company has  stuck to a “transparent” pricing policy, giving wholesale  customers, large or small, the same rates. Among other  things, Daisy Chen, the company’s chief executive and  founder, feared that choosing to discount or to pay fees might  represent a slippery slope that would undermine the 
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company’s long-term prospects. A first-time entrepreneur 
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