11.6 You are an owner of a small independent chain of coffee houses competing head-to-head with Costa
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11.6 You are an owner of a small independent chain of coffee houses competing head-to-head with Costa Coffee. The retail price your customers pay for coffee is exactly the same as at Costa Coffee. The wholesale price you pay for roasted coffee beans has increased by 25 per cent.
You know that you cannot absorb this increase and that you must pass it on to your customers. However, you are concerned about the consequences of an open price increase. Discuss three alternative price-increase strategies that address these concerns. (AACSB: Communication;
Reflective thinking)
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Related Book For
Strategic Marketing Management
ISBN: 9781936572199
8th European Edition
Authors: Alexander Chernev, Philip Kotler
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