Question
Sagacity Tea: What Direction for Growth? (Please refer HBS Case Study) Startled by this development, Moran believed Sagacity had five viable options. Could you help
Sagacity Tea: What Direction for Growth?(Please refer HBS Case Study)
Startled by this development, Moran believed Sagacity had five viable options. Could you help evaluate these options more?
1. Accept the brokers proposal while attempting to negotiate his requirements. 2. Set aside the retail expansion option, at least in the short term, and focus on online sales by enhancing Sagacitys website and e-advertising presence. 3. Search for a different brokerage that did not already sell another RTD tea brand. This search would be difficult. 4. Use distributors, who required less promotional support than brokers did, but whose high commissions drove up retail prices. 5. Continue Sagacitys successful regional efforts for the time being with the goal of achieving deeper market penetration in lieu of broader market reach.
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