Description: Shares in Green Mountain Coffee Roasters Inc (GMCR.O) tumbled 14 percent on Friday, on fears that it may lose its near monopoly in the U.S. single-cup coffee market after partner Starbucks Corp (SBUX.O) outlined plans to launch a rival coffee and espresso machine.
Questions for discussion:
- Why have share values of the firm fallen?
- How would you expect this part of the industry to develop?
- What strategic thinking would you suggest?