Bitter Competition The Holland Sweetener Company Versus NutraSweet Essay

Bitter Competition The Holland Sweetener Company Versus NutraSweet. Harvard Business School 9794079 Rev November 13, 2000 - Essay Example The company might also use its strong brand equity to combat threats of competition. Even though it gained a name in the consumer market, NutraSweet's revenue still largely come from other business organizations like Coke and Pepsi. In response to the entry of competitors, the company is expected to further forged stronger partnerships with them by giving them special discounts or by decreasing its prices outright. With the aforementioned discussion, it a price war is more likely to happen between NutraSweet and Holland Sweetener Company (HSC). In competing in the market, HSC will capitalize in its production efficiency which will enable it to price more competitively. In fact, what HSC really desires is the lower the price level of aspartame in the market. With this move, it is expected that NutraSweet will respond competitively by lowering its prices especially in the industrial sector. However, in the consumer segment, NutraSweet will maintain its prices and further differentiate its products from the offering of other industry entrants.