2. 3 Companies
- LeClerc Machines de Cuisine : Manufacturer of the food processors
- Creative Cuisine : Exclusive U.S. distributor for LMC
-Reliable Restaurant and Home Kitchen Supplies : Unofficial U.S.
Distributor
Based in Paris, France
Based in Atlanta, Georgia
Based in New Jersey
4. Dialogue
Creative Cuisines sales are lowering in July
Incertitude on how Reliable got the food processors
Reliable’s products seem to be genuine
A lawsuit against Reliable won’t be easy
10. Overview of the Exhibits
1. Letter sent by LeClerc to all distributors to find the Reliable
Restaurant supplier
1. Letter from Dominic to the president of Reliable Restaurant to
inform them that Creative Cuisine has the exclusivity
1. Memo from Jane Watson to Bill Lewis to certifiate that Reliable’s
food processors are genuine
1. Memo from Jane Watson to Creative Cuisines Sale Department to
inform that prices are lowering
1. Reliable’s Ad in magazines for mail order
1. Letter from Sandra Jordan to Bill Lewis to confirm the new agressive
advertising
12. Communication
• Good Communication between Bill Lewis and Jane Watson
• Marie Dominic is really concerned
• No answers from Reliable
• No answers from the other LMC’s distributors
13. Intercultural Differences
• No cultural conflict in Creative Cuisines
• No significative differences between French and American
business
• LeClerc may not care about US competition as long as
they sell their products
14. Ethics and Legality
• Reliable may be in illegality
• Good reactivity to protect CC’s interests
• The contract between Creative and LMC is clear
• The way Reliable obtained the products is not very clear
15. Management
• Efficient teamwork in Creative Cuisines
• Fast response against Reliable’s low prices
• LMC doesn’t know well their distributors
16. Pricing, Marketing and Advertising
• Good reaction with aggressive advertising
• CC lowers the prices to be more competitive
• Less sales due to the absence of a low cost
distribution channel
• Less profits on the sales
17. Statement of Problems
What can we do against Reliable arrival on the market?
Is this arrival legal or not?
19. Option n°1 :
Status Quo
Do nothing and wait for the results of the new price policy
No more time or money spent in this case
The problem still exists
Incertitudes about the economical results
20. Option n°2 :
Create our own low-cost distribution network to
compete Reliable
Creative Cuisines will be more competitive
Increase of sales
Costs a lot of money to set up
There could be a more agressive response in terms
of prices from Reliable
21. Option n°3 :
Create a new partnership with Reliable
No more problems
Creative Cuisines and Reliable may not find an agreement
22. Option n°4 :
Close Reliable by legal means
Creative will be the leader on the market
Costs a lot of time and money to set up
Not sure if Reliable’s actions are illegal
23. Option n°5 :
Stop the partnership between Creative Cuisines and LeClerc
No more problems
We lose a big opportunity on the Amercan market
24. Overview of the options
Option n°1 : Do nothing and wait for the results of the new price policy
Option n°2 : Create our own low-cost distribution network to compete Reliable
Option n°3 : Create a new partnership with Reliable
Option n°4 : Close Reliable by legal means
Option n°5 : Stop the partnership between Creative Cuisines and LeClerc
