Case Study Of Flare Fragrances

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Founded in 1955, Flare Fragrances has become the number four company in women’s fragrance market. The case walks you through the CEO, Joely Patterson, exploring the options put forth to grow the company to overcome a loss in growth of the past years. Since the company only gained a 2% overall growth in 2008 when they had 12% growth in 2007, the CEO needs to make some big decision to not decline further.
The single most important problem faced by Flare Fragrances is that they are seeing a decline in growth dramatically. The CEO is faced with two options to overcome this and that is to develop a new perfume brand, or increase efforts in the drug stores for sales. The primary cause of this problem is the recession. The company made revenue, unlike some companies during the recession, but the CEO is afraid that this decline may carry over into the 2009 year. To address this problem the company should extend to drug stores. The CEO wants at least 7.5 million dollars in revenues by the end of 2009, penetrating the drug store market will only increase revenues more.
Situation Overview
The m...

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