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Chapter 1: The Cherry Lady Chapter Contents
Book Title: Strategic Management An Integrated Approach
Printed By: ALICIA LI (aliciali0626@gmail.com)
© 2015, 2013 Cengage Learning, Cengage Learning
Cae 1
The Cherr Lad
Chapter Introduction
1-1 The Chocolate Industry
1-1a Market Size
1-1b Inputs and Traits of Chocolate Products
1-1c Competition
1-1d Demand
1-1e The Premium Chocolate Segment
1-2 Alicia’s Background
1-2a The Origin of Tart Cherry Caramels
1-3 The Cherry Lady
1-3a Product Line
1-3b Markets
1-3c Production
1-3d TCL’s Financial Resourcesand Performance
1-4 Growth Opportunities
Chapter 1: The Cherry Lady Chapter Introduction
Book Title: Strategic Management An Integrated Approach
Printed By: ALICIA LI (aliciali0626@gmail.com)
© 2015, 2013 Cengage Learning, Cengage Learning
Chapter Introduction
Alicia Gans, The Cherry Lady
J. Michael Geringer, California Polytechnic State University
In early July 2007, Alicia Gans leaned back against the food mixer in her hot, cramped, rented kitchen after putting another batch of Tart Cherry Caramel chocolates onto racks to cool. As she wiped the perspiration from her brow, she contemplated the challenges that confronted her and her young company. Alicia had founded The Cherry Lady (TCL) in
October 2004 to comercially produce her distinctive chocolates. Within three Christmas seasons, TCL’s sales had increased tenfold and the customer base had grown to nearly 100.
Earlier in the day, Alicia received a voicemail message from a major mail order catalog http://ng.cengage.com/static/nbreader/ui/apps/nbreader/print_preview/print_preview.html 1/24
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company, Epicurean Selections, indicating that TCL had received approval to become a preferred vendor. Now Alicia had three weeks to accept their offer, two months until the first trial shipment would be sent, and three months before the peak Christmas season would begin. While this approval was certainly exciting, it intensified