Please make a Discussion based on all of these.

Case Study #2

PR-U has contacted the Caesan Cheese Cooperative regarding a prospective licensing agreement with Jameson Irish Whiskey. Please discuss the advantages and disadvantages of the marketing strategy that might be implemented to enter the lucrative Irish whiskey market. Additionally, please list three justifications for it as well as three potential objections from the board. Given the potential advantages of the deal, Kelley should recommend to the board that they approve the PR-U agreement. However, the board should be made aware of the risks associated with the acquisition before making a final decision.

1.

The program's greatest strength is the fact that the planned marketing strategy would allow the Caesan Cheese Cooperative to enter the lucrative Irish whiskey market. This would provide a large new source of funding for the cooperative, which could assist to balance some of the current problems. [As an example:] The concept's biggest flaw is that a sizable initial investment would be required without any guarantee that the program would be successful. There is also a chance that the program could harm the cooperative's reputation if it is not implemented properly.

2.

The fact that the proposed licensing deal would grant the Caesan Cheese Cooperative the sole right to utilize the Jameson Irish Whiskey name on its goods is the most significant advantage of the proposed arrangement. This would be an invaluable asset for the cooperative, and it could be used to help differentiate the items it offers from those of its rivals. The fact that the cooperative would have to make a payment to the Jameson brand in the form of a royalty, which would cut into its revenues, is the most significant downside of the deal. There is also the possibility that Jameson could pull out of the arrangement at any time, putting the cooperative in a precarious position. This is a danger that must be ignored.

3.

Not including Jameson : Exhibit 6 in the case presents the Total Marketing Charges, which are then divided by the Wholesale Price per unit less the marketing costs per unit. 1,800,000/4.45 - 2.751 = 398,889 units When drinking Jameson: Exhibit 6 in the case presents the Total Marketing Charges, which are then divided by the Wholesale Price per unit less the marketing costs per unit. 1,800,000/4.75 - 2.947 = 378,737 units

4.

The following are some of the reasons why Kelley ought to suggest the PR-U transaction to the board:

1) The Caesan Cheese Cooperative would be granted exclusive rights to utilize the Jameson Irish Whiskey brand on any of its future goods if the purchase goes through.

2) The transaction would result in the establishment of an important new source of revenue for the cooperative.

3) The transaction would be beneficial in differentiating the items produced by the cooperative from those produced by its rivals.

On the other hand, the board may not approve of the transaction for the following reasons:

1) The cooperative would be required to pay a royalty to the Jameson brand, which would cut into its revenues if the purchase went through as planned.

2) Jameson can pull out of the arrangement at any time, which might put the cooperative in a precarious position.

3) If the programmed is not carried out in the appropriate manner, there is a possibility that it will hurt the reputation of the cooperative.

Kelley ought to suggest to the board that they agree to the PR-U agreement given the possible benefits that could result from the transaction. Nevertheless, before adopting a decision that is final, the board should be informed of the dangers that are involved.

Please make a discussion based in all of this information