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25 Jan 2010
Comments:3
However, the interesting development to come from this acquisition will be the reaction of the people that have made the firm a success the customers. From what I have been reading online most of the country is up in arms.
Generations of people have grown up loving the taste of Cadbury chocolate; will they now boycott the brand?
How long before the taste is lost as corners are cut in the manufacturing process to save money for the shareholders?
Also, there will be the inevitable job losses, as debt-laden Kraft looks for cost savings from Cadbury.
We have seen it happen with successful UK channel firms as well; they are taken over by an international giant, staff and customers become disillusioned and the brand goes down the pan.
Sometimes I think firms would be better staying independent and keeping the integrity of their brand, rather than selling to the highest bidder.
Underestimating the power of customer loyalty to a particular brand is a dangerous move something the Cadbury board appears to have done.
Sara Yirrell is editor of CRN. Contact her at sara.yirrell@incisivemedia.com
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Do you agree?
Did Cadbury have a choice - reply
Perhaps they did, perhaps they didn't. But that may not be what counts anymore. Now consumers may be making a choice - about boycotting Cadbury or Kraft - or both. And at the end of the day those who thought that this was such a smart deal may not look so smart any more.
A consumer boycott along with a rise in interest rates (and Kraft now has a debt of over $30-billion) ... well, not a very pretty picture - and entirely plausible, in my view
Posted by Rod | 01 Feb 2010
We have until 2nd February!!
I thought I'd pass this on as there is still stuff WE can do to stop the Kraft taekover of Cadbury. I have put a set of actions which people can do at www.savecadbury.co.uk We have until 2nd February (if you know of any additions, please let me know). I have also recorded a video about the issues at http://www.youtube.com/watch?v=bwTuxznorHc
Posted by Joe Rukin | 26 Jan 2010
Did Cadbury have a choice?
Is a shame, yes. But it's all about business, and as a PLC the shareholders make the choices. In the last 7 months Cadbury shares have grown by over 50%. Could Cadbury resist any longer?
Hertitage is great and Kraft would be wise to hold onto the brand, but in the end it 's only about one thing. Making money.
Posted by Bruce | 25 Jan 2010
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