In the United States the premium ice cream market is declining and the low fat and yogurt market is growing because people are concerned about fat and cholesterol. Ice cream is high in cholesterol. People would rather buy a low fat ice cream or yogurt than a premium ice cream with more fat content. Haagen-Dazs has some disadvantages and advantages to making a low cost ice cream.One of the disadvantages of Haagen-dazs making a low cost ice milk ice cream is the new low cost ice cream might take sales away from its more exspenive premium ice cream. Some people might buy the cheaper ice milk ice cream instead of the more expenive ice cream. Another thing is the haagen-dazs name will lose some of it prestige. The people who only buy Haagen-Dazs ice cream because they want to show other people they can afford the more exspensive ice cream, might not want to buy the premium ice cream anymore. They might swicth to another company premium ice cream because of their social needs to be better than others. If haagen-dazs starts producing a low cost ice cream it will lower the company standards. Another disadvantage of making a low cost ice cream is the cost to produce it. If it costs the same amount of money to produce the low cost ice cream as it does to produce the premiun ice cream producing the low cost ice cream would lower haagen- dazs profit. Haagen-Dazs would also have to spend money to start a new market development plan for its new ice cream. It would have to promote awareness for its new ice cream. Haageen-dazs also would have to give free samples of its new product to let people try the new ice cream The producer of Haagen-Dazs would have to ask themselves if it would to worth putting money in to adverting a new ice cream when their old ice cram is still making money for the company and is in the maturity stage of the life cycle. I think Haagen-Dazs premium ice cream is at the top of the of its product life line in the maturity...
