Ben & Jerry's Essay

1377 Words May 3rd, 2014 6 Pages
Ben & Jerry’s Case Study

By: Niesha M. Felder
February 22, 2014
MRKT 454

1. What do you believe is Ben & Jerry's management orientation and view toward global expansion? Provide evidence from the case to support your opinion.
Ben Cohen and Jerry Greenfield, the forefathers of Ben and Jerry’s, management orientation skills were very unique, promoting a free spirit approach for employees. Ben Cohen and Jerry Greenfield were not the standard corporate managers, instead they were quite bias against traditional business practices because of the short-term interests as well as large profits; most commonly corporate managers are under pressure to produce shareholders’ demands. Ben Cohen and Jerry Greenfield did not place
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The two most important environmental factors that determine the decision on whether or not to expand into Japan would be the fact that there could possibly be a risk of an investment's value changing due to changes in currency exchange rates and the threat that a change in the price of a production input will impact Ben & Jerry’s production in Japan; adversely creating a situation for risk pertaining to exchange rate movement and commodity.
The risk that an investor such as Ben & Jerry’s might have to close out a long or short position in a foreign currency at a loss due to an adverse movement in exchange rates, could result in a significant unrecoverable loss; Ben & Jerry’s has favorable competition in Japan and needs to be careful as they proceed forward with establishing themselves in the market. The case study states that, the product would be exported from the United States, there would be the risk of negative exchange rate movements that could make exports to Japan no longer feasible, thus making Ben & Jerry’s financial picture less predictable (Kursh et al., 2014).
Ben & Jerry are contemplating when on whether or not to decide to expand their business globally and need to deliberate the financial predicament that could possibly arise from the increasing price of milk in Vermont and the possible expenditures of having to distribute to another country. The case study

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