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Question: You are the Marketing Manager Millcase International (fictional). Millcase makes high-priced residential furniture and markets through furniture retailers. At a recent sales meeting many of the retailers complained that Millcase products do not seem to appeal to their customers like they have in the past. Several were heard to say, "the quality just is not there anymore." Others, however, had a very good year of sales with Millcase and had no complaints. At the same time, costs of manufacturing (material and labor) have recently increased 10%. The Vice President of Sales and Marketing described the situation as a "major problem, requiring some big decisions" and asked you to provide a proposed course of action to "get us back on track." What would you propose?
Please be as detailed and specific as possible focusing on a marketing perspective. Thank you in advance for your assistance!
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