Description: Godiva, one of the leading gourmet chocolate makers, is implementing new strategies to increase chocolate consumption.
Source: E. Holmes, “Breeding a Nation of Chocoholics,” Wall Street Journal
Date: November 30, 2011
Questions for discussion:
- Examine Porter’s competitive strategies framework. In what quadrant would you place Godiva prior to this new strategy? Is the new strategy attempting to reach a different quadrant? If so, which one? What is your rationale?
- For Godiva, the problem is how to get people, particularly women, to eat more of their chocolate. Does the solution reported here rise to the level of innovation? What type of business innovation might this represent?
- What is your perception of Godiva? Is the company’s new strategy working to change consumers’ perceptions? Is this important?
- It could be said that eating chocolate satisfies an individual’s need. Have a little fun with this. Think again about your perception of Godiva. It might be helpful to compare this perception to your perception of Hershey’s chocolate. If you were going to purchase Godiva chocolate, what level of needs would you be attempting to satisfy? Toward the end of the article, Godiva CEO Jim Goldman discusses the company’s strategy for placing chocolate in grocery stores. Is the company trying to force a shift in need level satisfied? Why might this be important in terms of getting people to eat more chocolate?