11 Pages Posted: 16 Jan 2018
In this case a business school student, Kate Maxwell, must decide whether to accept a job offer in wealth management or pursue her dream of building her own company around healthy gummy snacks for children. Because Maxwell's gummies rely on high-quality, fresh ingredients that are more expensive than those used in similar gummy snacks, they would have to carry a hefty price premium in the marketplace to be viable. Could this new brand concept create enough value in the minds of consumers to justify the price tag? To answer this question, Maxwell uses Amazon Mechanical Turk to survey prospective users about her gummies, and survey results are presented in the accompanying spreadsheet for students to analyze.
Dec. 21, 2017
On a brisk late-winter morning, Kate Maxwell decided to go for light run to take advantage of the unseasonably warm weather in Charlottesville, Virginia. Maxwell, a second-year student at the Darden School of Business, was hoping an early jog could help clear her head as an important decision was looming on the horizon.
The previous summer spent working for Goldman Sachs Private Wealth Management had been an amazing two months, and the offer the company extended was tempting. Maxwell, however, had dreams of building her own new company. Along with several classmates, she had birthed the idea of creating healthy and tasty gummy snacks for kids using real fruits and vegetables. She decided to call the company UnbeLEAFable Snacks, and her Garden Gummies were an instant hit with both kids and adults in the Darden community. She struggled, however, with the viability of the business and the risks associated with starting a new venture.
Because Maxwell's gummies relied on high-quality, fresh ingredients that were more expensive than those used in similar gummy snacks, they would have to carry a hefty price premium in the marketplace to be viable. Could this new brand concept create enough value in the minds of consumers to justify the price tag? This question would have to be answered before Maxwell would be able to answer her own central question: Should she go back to the world of wealth management or pursue her dream of starting a business?
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Keywords: entrepreneur, new business, venture, startup, career path, premium segment, luxury, high-end, mechanical turk, survey, focus group, snack, gummy, garden gummies, natural food, health food, pricing, conjoint analysis, customer segmentation
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