Odwalla at the Peak of Case Study

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The apology should also be publicized creatively, such as by having company representatives stage in-store demonstrations of Odwalla products to underscore their inherent safety and offer free giveaways.

The "former company officials" mentioned in the case are anonymous, have no credentials, and no sources to back up their claim that chlorine washes might prevent bacterial outbreaks. Therefore, Odwalla should ignore the advice to use chlorine washes unless scientific evidences proves their efficacy. Although pasteurization would reduce the potential for future outbreaks, it would not do so with one hundred percent certainty. More importantly, the worst thing Odwalla could do would be to pasteurize its drinks. Their entire business model would go down the drain if they sacrificed the pure quality of their fresh juices.

The solution to the flawed production process is relatively straightforward: Tighter health, hygiene, and safety regulations enforced and practiced throughout the production process. When production rates are high, the company must hire temporary workers to offset the pressure on existing staff. Floor managers must be able to carefully monitor hand-washing and other hygiene procedures. Research should be done on how to prevent e.Coli from spreading without pasteurization to aid Odwalla in developing effective risk prevention procedures.

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An "Our Promise to You" note on future bottles of Odwalla will outline the strict health and safety regulations the company uses so that they can continue to deliver fresh and unpasteurized juices.

Reason

The company's apology enhances the core value of personal responsibility. Similarly, all consumers who purchase Odwalla beverages share the core value of personal responsibility. The purchase of unpasteurized fruit juice celebrates pure and whole food, and with that celebration comes a certain degree of risk. Many consumers are willing to take that risk, and would be loyal to a company that remains true to its core values.

Comments/Thoughts

The Odwalla case can be best understood in light of the company's target market and its core values. Values like "honesty, integrity, and respect" plus "effective communication" and "personal responsibility and accountability" prove that the company will succeed in overcoming this relatively minor disaster. Their customers will forgive Odwalla more for an e.Coli outbreak that it may not have had any control over, than for sacrificing the quality of its beverages......

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