The reformulation of the original less sweet, more bitter Coca-Cola (now Coca-Cola Classic) into a new sweeter one (eventually called New Coke) was one of the biggest decisions in the firm's history. Coca-Cola was responding to Pepsi's gain in market share with its sweeter formulation and its Pepsi Challenge taste tests and commercials. New Coke replaced "old Coke" on supermarket shelves. Loyal Coke customers were incensed that "old Coke" was discontinued. They loved the taste and brand identity of "old Coke" and rebelled against New Coke. TV and print ads designed to persuade Coke and Pepsi drinkers to switch to New Coke were ineffective. After a short time, Coca-Cola reintroduced old Coke as Coca-Cola Classic and withdrew New Coke from the market. The launch of New Coke is an example of
A) good planning and good implementation.
B) good planning and poor implementation.
C) poor planning and good implementation.
D) poor planning and poor implementation.
E) poor evaluation.

Question

Quizplus · Accepted Answer

The launch of New Coke is an example of poor planning and poor implementation because the company failed to anticipate the strong customer loyalty to the original formula and the backlash that would result from changing it. Additionally, the marketing efforts to promote New Coke were ineffective, leading to its eventual withdrawal from the market.

The Reformulation of the Original Less Sweet, More Bitter Coca-Cola