Blood Bananas
Background
Chiquita Brands International is one of the world’s largest banana producers that were founded in 1899. Founded as United Fruit Company, Chiquita has grown to be one of the top three companies in the banana business with a combined control of 60% market share. Chiquita had annual revenues of $4.7 billion and operating plants worldwide with its main business coming out of Colombia. In this case study, it tells the story of the Chiquita business and how they faced many problems in the past years. The main problem in this study is how Chiquita paid the AUC terrorist group a combined $1.7 million from 1997 to 2004 and then told the United States Justice Department about their dealings. After the criminal investigation and plea agreement, the new CEO was faced with the decisions of a new direction for the company. Through this analysis I will help Fernando Aguirre come up with a feasible plan for Chiquita Brands International so that it can continue to be a dominant business.
Issues The key issue at hand with Chiquita Brands International is that after all of their problems, they had to face the decision with how the company would be position themselves positively. The company’s image had been shot and brand image is a very important concept for businesses to have to be able to survive in today’s business world. The CEO, Fernando Aguirre, did not know how to bring the company to a reputable standard and leave the past behind. The company now needs to learn how to move forward with their company to change the perceptions of their audience and still be a leading banana producer worldwide. Another key issue that Fernando must deal with is the reality of the issue that past, was Chiquita’s past executive team guilty or not guilty of the crime that they plead for. In order for the company to move forward, they would have to take a stance on the issue and clearly state whether they intentionally or forcefully made the payments to the AUC.
Strategic
Chiquita Brands International is one of the world’s largest banana producers that were founded in 1899. Founded as United Fruit Company, Chiquita has grown to be one of the top three companies in the banana business with a combined control of 60% market share. Chiquita had annual revenues of $4.7 billion and operating plants worldwide with its main business coming out of Colombia. In this case study, it tells the story of the Chiquita business and how they faced many problems in the past years. The main problem in this study is how Chiquita paid the AUC terrorist group a combined $1.7 million from 1997 to 2004 and then told the United States Justice Department about their dealings. After the criminal investigation and plea agreement, the new CEO was faced with the decisions of a new direction for the company. Through this analysis I will help Fernando Aguirre come up with a feasible plan for Chiquita Brands International so that it can continue to be a dominant business.
Issues The key issue at hand with Chiquita Brands International is that after all of their problems, they had to face the decision with how the company would be position themselves positively. The company’s image had been shot and brand image is a very important concept for businesses to have to be able to survive in today’s business world. The CEO, Fernando Aguirre, did not know how to bring the company to a reputable standard and leave the past behind. The company now needs to learn how to move forward with their company to change the perceptions of their audience and still be a leading banana producer worldwide. Another key issue that Fernando must deal with is the reality of the issue that past, was Chiquita’s past executive team guilty or not guilty of the crime that they plead for. In order for the company to move forward, they would have to take a stance on the issue and clearly state whether they intentionally or forcefully made the payments to the AUC.
Strategic