Search results

1 – 10 of 454
Case study
Publication date: 1 November 2023

Arvind Sahay

In 2015, NESTLÉ India underwent a major crisis as the product which contributed to nearly 30% of its sales had to be taken off the shelves. Maggi—the go-to convenience food for…

Abstract

In 2015, NESTLÉ India underwent a major crisis as the product which contributed to nearly 30% of its sales had to be taken off the shelves. Maggi—the go-to convenience food for all generations (especially kids and young adults)—which had entered the market in 1983, was banned. With a market share of 70-80% before the ban, NESTLÉ, which got the ban lifted in November 2015, had to undergo the task of winning back the lost market. Over a period of 8 months after its relaunch, the brand regained about 60% of its market back, but the question is how could such brand disaster be avoided in future? The case revolves around a major brand recovering from a brand disaster, and whether they did it well enough or could the situation have been managed better. It also enquires as to what road should be taken forward from here. It notes the action taken by the government against the brand and leaves it to the judgment of the readers if the actions taken against the brand were a little too harsh, solely because MNCs are usually considered a soft target in India. The readers must also understand and analyse the different brand relaunch strategies that were adopted by NESTLÉ and the next steps that should be taken by it.

Details

Indian Institute of Management Ahmedabad, vol. no.
Type: Case Study
ISSN: 2633-3260
Published by: Indian Institute of Management Ahmedabad

Keywords

Case study
Publication date: 10 October 2023

Vidhi Chaudhri and Asha Kaul

After a tumultuous five months, Nestle India was exonerated in the Maggi crisis just in time for Diwali. Although the mood was one of vindication, the leadership team with Suresh…

Abstract

After a tumultuous five months, Nestle India was exonerated in the Maggi crisis just in time for Diwali. Although the mood was one of vindication, the leadership team with Suresh Narayanan at the helm, knew they faced a major challenge to regain lost glory. Stock price had plummeted along with consumer confidence which went down from over 90 to less than 5 per cent. Part B traces the efforts of Nestle India to not only reinforce the message of product quality but also to engage consumer trust. Through changes in product strategy, organizational structure, and multi-pronged communication, Maggi was able to rekindle the emotional connect with the consumer and surge back. On 30 November 2019 despite loss of market share, consumer faith and trust in 2015, Nestlé India was trading at INR 14,453/55 (NSE/BSE;~US$225) per share after hitting a record low of INR 4981 (~US$76) on 29 February 2016. Part B of the case outlines the measures Nestle India took to bounce back and asks if Nestle India's reputation out of the woods. Could the past come back to haunt Maggi or was the worst behind them? 1. Evaluate communication strategies available to organizations in a crisis situation. 2. Analyse the power and influence of consumer sentiment in reputation management.

Details

Indian Institute of Management Ahmedabad, vol. no.
Type: Case Study
ISSN: 2633-3260
Published by: Indian Institute of Management, Ahmedabad

Keywords

Article
Publication date: 7 June 2019

Rajesh Kumar Srivastava

The purpose of this paper is to study whether the controversy because of brand crisis based on quality had any impact on consumer brand equity, brand image, brand reliability…

2131

Abstract

Purpose

The purpose of this paper is to study whether the controversy because of brand crisis based on quality had any impact on consumer brand equity, brand image, brand reliability, brand perception of quality, perceived value, brand sentiments and purchase behavior.

Design/methodology/approach

The research methodology consisted of two types of data: primary and secondary data. The secondary research consisted of social media brand sentiments and financial analysis. The primary research focused on perception study of brand quality, consumer brand equity, brand reliability, brand image, purchase and brand switch behavior.

Findings

Maggi used social media extensively to address the issue and re-build the brand reliability and confidence among its users. Communication strategy adopted by focusing on the past experience of consumers and using them as a spokesperson generated a positive sentiment towards the brand under crisis.

Research limitations/implications

While Maggi suffered the backlash because of the controversy across the length and breadth of India and was banned in a number of states, the author could conduct the primary research only in one city of the state of Maharashtra, Mumbai. The effectiveness of the survey was impacted because of the geographic limitations the author faced while collecting the responses. The survey would have definitely been more effective, with responses collected from different states and with more number of respondents. Fishbein is very old, from the 1980s, even though this theory has met the test of time. Application of the effect of experiences on experiential perceptions and how this influences value through networking could have been used to explain the same.

Practical implications

An important implication of this paper’s findings for practice, therefore, is that brands should incessantly strive to maintain the consumers’ level of trust, as it is essential for the preservation of the brand equity after a crisis. Crisis-stricken brands should safeguard their reputations from the negative effects of crises. It is even more important for any brand to act appropriately when the cause of the crisis is attributed to its actions and processes. Managers have to address the quality of products in case of brand crisis for restoring trust, image and reliability in the brand. Right type of communication to right targeted consumers will help in the restoration of the image, trust on the brand and bring back loyal customers. Managers have to build brand equity on a regular basis, as a strong brand can recover faster as seen from this paper.

Originality/value

This paper helps to upgrade the knowledge and understanding of the impact of the controversy on brand equity and image and how the crisis management strategy can be adopted to regain the mind share and equity. This paper will help the brands in the future to know how a crisis can be managed efficiently by drawing a cue from the strategies implemented by Maggi.

Details

International Journal of Pharmaceutical and Healthcare Marketing, vol. 13 no. 2
Type: Research Article
ISSN: 1750-6123

Keywords

Case study
Publication date: 23 November 2016

Babulal Yadav and Abhinandan K. Jain

Trouble was brewing for Nestle in India with a lab test finding MSG in Maggi noodles, a product brand which had been adjudged ‘most powerful’ and ‘most trusted’ in India;it was…

Abstract

Trouble was brewing for Nestle in India with a lab test finding MSG in Maggi noodles, a product brand which had been adjudged ‘most powerful’ and ‘most trusted’ in India;it was being banned in different parts of the country. Paul Bulcke, CEO of Nestle SA, arrived in New Delhi to face the heat and take necessary damage control measures. The case challenges the participants to review the events leading to a total ban on all the nine variants of Maggi noodles imposed by FSSAI, the Indian Regulator, by Nestle India. It also challenges them to suggest ways of taking care of the business in future in India as well as its effects in other countries.

Details

Indian Institute of Management Ahmedabad, vol. no.
Type: Case Study
ISSN: 2633-3260
Published by: Indian Institute of Management Ahmedabad

Keywords

Case study
Publication date: 24 February 2023

P. Sohana Akhter, Sanjana Prusty and Lalatendu Kesari Jena

We have used data mostly from published sources like The Economic Times, Forbes, The Times of India and the annual reports of Nestlé India Ltd. Because we classify it as a…

Abstract

Research methodology

We have used data mostly from published sources like The Economic Times, Forbes, The Times of India and the annual reports of Nestlé India Ltd. Because we classify it as a Teaching Case Study as per the guidelines of Emerald Publishing, we have ensured that any data presented in the case has been acquired only from published sources and is not internal company data. Citations have also been provided wherever necessary.

Case overview/synopsis

On 6 June 2015, Nestlé India’s top product Maggi instant noodles was banned nationwide for an unspecified period. The ban was imposed due to allegations of Maggi containing high amounts of lead and message, and consequently violating the food safety standards. What followed was the destruction of massive stocks of Maggi which had been taken off from shelves of stores countrywide. Furthermore, the company faced a huge blow financially as its sales plummeted. This case delves into how Nestlé India adopted relevant strategies to successfully avert the Maggi crisis. Some remedial measures included appointing a Managing Director who understood the market, improving the communication channel and boosting the churn out of new products along with greater emphasis on marketing and advertising.

Complexity academic level

This case is aimed mainly at undergraduate level students in the field of management studies and public relations management. This case is also relevant for students pursuing a specialization in Crisis Communication, Public Relations, Marketing and Organizational Change.

Details

The CASE Journal, vol. 19 no. 3
Type: Case Study
ISSN: 1544-9106

Keywords

Case study
Publication date: 15 June 2016

Asha Kaul and Vidhi Chaudhri

The case explicates a situation wherein an international flight from Newark to Ahmedabad, with a stopover in Mumbai, is delayed during the final leg of its journey between Mumbai…

Abstract

The case explicates a situation wherein an international flight from Newark to Ahmedabad, with a stopover in Mumbai, is delayed during the final leg of its journey between Mumbai and Ahmedabad. The situation is further exacerbated by the fact that all international and domestic passengers are already on board when they face this five-hour delay. The case provides a rich context to discuss issues related to difficult communication and persuasion during crisis. The captain communicates with the passengers, through a series of announcements, with updates on the situation. He attempts to manage the escalating tension within the airplane and does succeed to a certain level. The case highlights the significance of timely and well-crafted messages during crisis situations. It also illuminates how the use of rhetorical strategies influence customer perception of credibility and at times, shift attribution of blame.

Details

Indian Institute of Management Ahmedabad, vol. no.
Type: Case Study
ISSN: 2633-3260
Published by: Indian Institute of Management Ahmedabad

Keywords

Article
Publication date: 31 December 2006

Jihong Guan, Jiaogen Zhou and Shuigeng Zhou

The rapidly emerging of Mobile Internet and the constantly increasing of wireless subscribers' number bring new opportunities and challenges to geographic information sharing and…

Abstract

The rapidly emerging of Mobile Internet and the constantly increasing of wireless subscribers' number bring new opportunities and challenges to geographic information sharing and accessing. Current Web GISs, which are accessed by using connection based approaches, are very inefficient in fulfilling the requirements of GIS applications under open, dynamic, heterogeneous and distributed computing environments such as (Mobile) Internet. In this paper, we propose a new system for accessing and sharing distributed geographic information by using mobile agent and GML technologies, in which mobile agents are used to overcome the limitations of traditional distributed computing paradigms in (mobile) Internet context and GML is adopted as the common format for spatial information wrapping and mediation, while SVG is used as a web‐map publishing format that can be processed and displayed in Web browser. A prototype is implemented, which demonstrates the effectiveness and feasibility of the proposed method.

Details

International Journal of Web Information Systems, vol. 2 no. 3/4
Type: Research Article
ISSN: 1744-0084

Keywords

Article
Publication date: 3 August 2012

Heiko Spitzeck and Sonia Chapman

This paper aims to create empirical evidence regarding shared value strategies recently propagated by Michael Porter and Mark Kramer.

8233

Abstract

Purpose

This paper aims to create empirical evidence regarding shared value strategies recently propagated by Michael Porter and Mark Kramer.

Design/methodology/approach

The authors analyze a single case study of a collaboration between BASF, André Maggi Group and Fundação Espaço Eco in Brazil. The objective is to evaluate whether the applied strategy can be considered as a case of shared value creation.

Findings

The case study on the collaboration between BASF, FEE and the André Maggi Group does qualify as a shared value strategy, more precisely as a case of redesigning productivity in the value chain.

Research limitations/applications

This single case study creates some evidence for shared value strategies; however, more research is needed to generalize the results.

Practical implications

The socio‐eco‐efficiency analysis offered by Fundação Espaço Eco creates a differentiation strategy for BASF in Brazil. The work enables BASF's clients to reduce negative impacts while increasing their financial, social and environmental performance.

Originality/value

This paper is the first empirical verification of the shared value concept. It demonstrates that shared value strategies do enhance financial as well as socio‐environmental performance and build stronger client relationships.

Details

Corporate Governance: The international journal of business in society, vol. 12 no. 4
Type: Research Article
ISSN: 1472-0701

Keywords

Article
Publication date: 7 August 2017

Eugene Woon and Augustine Pang

Information vacuums (IVs) arise from organizational failure to satisfy the stakeholders’ informational demands during crises. The purpose of this paper is to expand Pang’s (2013…

Abstract

Purpose

Information vacuums (IVs) arise from organizational failure to satisfy the stakeholders’ informational demands during crises. The purpose of this paper is to expand Pang’s (2013) study of the phenomenon of IV by investigating its nature, stages, intensifying factors and resolution.

Design/methodology/approach

Print and social media data of five recent international crises with apparent IVs were analyzed.

Findings

Poor crisis communications are intensifying factors that induce media hijacks and hypes, distancing, and public confusion. A four-stage model maps the phenomenon into a flow chart describing its development. IV termination begins when organizations either respond with information or provide solutions, results, and/or compensation. Natural and strategic silence were observed and defined.

Research limitations/implications

The study lays the foundation for future examination of how media literacy, governments, and culture, both societal and organizational, induce or exacerbate the phenomenon.

Practical implications

Immediate, adequate, transparent, credible, and consistent crisis responses manage the IV and crisis, diminish the intensification of subsequent crises, and potentially reduce image and reputational damages.

Originality/value

The knowledge of the phenomenon is further developed and new theoretical models are conceptualized to provide researchers and practitioners a clearer understanding of how an IV can develop, persist, deepen, and resolve.

Details

Corporate Communications: An International Journal, vol. 22 no. 3
Type: Research Article
ISSN: 1356-3289

Keywords

Abstract

Details

Recent Developments in Transport Modelling
Type: Book
ISBN: 978-0-08-045119-0

1 – 10 of 454