decision problem the Coke management faced:

I think the Coke management faced the appeal of the product, who does it appeal to, What price would
they feel that it is good value for money. As an example they thought . "Should we launch a new product?"
"would it be proftable" and "bring in new customers".
Another thing is that one central mistake in Coca-Cola's decision to change the formula was
maximization. There is also I think that Coke's only deiation from the standard se!uence in
market research was that the !uantitatie surey of indiiduals appears to hae been done before
rather than after the focus groups. "he results of the focus-group phase and the surey conflicted.
Although both the focus groups and the surey had proided indications that there would be
consumer dissatisfaction#
$. "o determine consumer preferences and purchase intentions for the proposed new product.
%. "o determine the effectieness of the current adertising campaign.
&. "o determine the price elasticity of demand and the impact on sales and profits of arious
leels of price changes.
"hey did the taste tests# and they asked about adding a new ingredient to the old formula# but in
all of the market research conducted prior to the distribution of the
new formula# they neer asked customers how they would feel if the makers of Coca-Cola
changed Coke. Coke was more than a soft drink to many people. An example of the
comments the company receied from the thousands of letters written sums up the sentiment:
'Changing Coke is (ust like breaking the American dream# like not selling