You should assume that you have been hired by the leadership at Culinarian Cookware as a marketing consultant and you ha

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You should assume that you have been hired by the leadership atCulinarian Cookware as a marketing consultant and you havebeen selected to answer several questions related to theirmarketing efforts. You must advise the company, DonaldJanus and Victoria Brown on what to do.
In November of 2006, senior executives at CulinarianCookware were debating the merits of price promotions for thecompany's premium cookware products. The VP of Marketing, DonaldJanus, and Senior Sales Manager, Victoria Brown, had differentviews. Janus felt price promotions were unnecessary, potentiallydamaging to the brand image, and possibly encouraged retailerhoarding; Brown believed the promotions strengthened trade support,improved brand awareness, and stimulated sales from both new andexisting customers. The issue was complicated by a consultant'sstudy of the firm's 2004 price promotions which concluded thatthese promotions had a negative impact on profits. Janus trustedthe results, but Brown, believing the study assumptions were flawedand required further analysis, suspected the promotions hadactually produced positive results. The pressing decision iswhether to run a price promotion in 2007 and, if so, to determinewhat merchandise to promote and on what terms. The broader issue iswhat strategy Culinarian should pursue to achieve sales growthgoals, and what role, if any, price promotion should play.