Question

What type of adjustment Labatt is making to its line of non-alcoholic products and explain two benefits of this change. Use examples from the case

Answer 1

Labatt is making adjustments to focus on non-alcoholic beverages, which has benefits like market expansion and building brand reputation.

Step-by-step explanation:

Labatt's Adjustment to its Line of Non-Alcoholic Products

Labatt is making the adjustment to focus more on the production and marketing of non-alcoholic beverages, such as water, soft drinks, and sports drinks. This change is in response to the growing demand for healthier beverage options and changing consumer preferences.

Benefits of Labatt's Change

1. Market Expansion: By diversifying their product line to include more non-alcoholic beverages, Labatt can tap into a larger market segment of health-conscious consumers who prefer these options. This can lead to increased sales and overall business growth.
2. Building Brand Reputation: Labatt's focus on non-alcoholic products aligns with the trend of responsible drinking and healthy lifestyle choices. This can enhance the company's brand reputation as a socially responsible and health-conscious producer, attracting more customers and fostering brand loyalty.