Page 1 - CIMA MCS Workbook November 2018 - Day 1 Suggested Solutions
P. 1

Day 1 Suggested Solution




                  Chapter 11




                  SUGGESTED SOLUTIONS










                  CHAPTER TWO

                  Question                    Your response

                  When was Grapple formed     Founded in the 1965; based in Zedland (p3)
                  and where is it based?

                  What does Grapple           Carbonated soft drinks; carbonated mixers; still mixers and fruit
                  manufacture?                juices (p3)

                  What has driven revenue     Increased market share based on reputation of quality and value
                  growth for Grapple?         for money (p3)

                  What is Dudley Grapple’s    Grapple has a good reputation for looking after employees (p3)
                  legacy?


                  How old is Roger Grapple –   55 and would like to retire in the next five years (p3)
                  what is his desired
                  retirement age?

                  Who are the main players in   Two main producers – Party Pops (45%) and Carnival (37%) (p4)
                  the industry and what is
                  their current market share?

                  What are the challenges     Growing pressure form health lobbyists – sugar content is too high;
                  facing the industry?        production of new ranges of sugar –free energy drinks; innovative
                                              styles of packaging; awareness and status of brands (p4 and 5)

                  What are the opportunities   Brand extension; product development; innovative and sustainable
                  for the industry?           packaging; consolidation of competition (p5)

                  By how much did Grapple’s   61% to $Zm 143.3m (p6). Not stated why other than reference to
                  revenue grow in 2018?       reputation and high quality on (p3)
                  Why?

                  By how much did Tiger Fizz’s  Revenue fell by 12% ‐ no reason stated (p6)
                  revenue grow in 2018?
                  Why?
                  What are the key elements   To grow business whilst maintaining quality; expand distribution to
                  of Grapple’s strategy?      new markets; develop new products; brand maintenance (p7)




                  KAPLAN PUBLISHING                                                                    51
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