In December 2008, the U.S. Food and Drug Administration (FDA has determined that high-purity Rebaudioside A (Reb A), a natural and calorie-free product that a young company called PureCircie from the stevia plant is established, could in beverages, food had to be used as a desktop unit and sweetener in the U.S. the largest market for sugar and sweeteners in the world. During the FDA determination of the breakthrough for the company had hoped, much uncertainty remained obvious consumer would accept Reb A … Read more »
In December 2008, the U.S. Food and Drug Administration (FDA has determined that high-purity Rebaudioside A (Reb A), a natural and calorie-free product that a young company called PureCircie from the stevia plant is established, could in beverages, food be used, and as a tabletop unit sweetener in the U.S. the largest market for sugar and sweeteners in the world. During the FDA determination was the breakthrough the company had hoped, much remained would accept insecure-obvious consumer Reb A as a substitute for sugar or the myriad sweeteners already established on the market?’s potential seemed high given consumers growing concerns about obesity and diabetes. Yet nothing was safe. Which worries the company’s leadership was the prospect of Reb A undressing, ie assumed to be far from consumers and food and beverage (F & B) companies in the mainstream mass-market products such as carbonated the off soft drinks and timing. going Falls have Reb A mainstream Pure Circle would need at least twice as their ability to secure their position in the industry. event management overbuilt capacity the company and rebaudioside A ultimately remained a niche product they seriously compromise would Pure Circle profitability. Yet if management waited too long, the ability to exercise significant wealth for the shareholders of the Company to create would be lost. As it was the company’s founder and CEO enough by the investment in production capacity for acceptance in the beverage market niche playful – established before a market for Reb A was
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David E. Bell
Aldo Sesia
Source: Harvard Business School
19 pages.
Release Date: 19, November 2009. Prod #: 510032-PDF-ENG
Pure Circle HBR case solution
