ABSTRACT

There can be few better known brands in the world than Kellogg's, and most particularly its branded breakfast cereals, led by Cornflakes. However, at the end of 1998 the world saw the unthinkable spectacle of Kellogg's losing market share and profitability; and share value suffering accordingly. The company is struggling to find a way to revive the brand and its experiences suggest that the underlying problem may be more serious than can be overcome with conventional marketing responses such as price cuts and increased promotion, or through management restructuring.