Aguas Danone-de Argentina (ADA) was faced with an unfavorable scenario. Argentina is going through its worst economic crisis in history, and bottled water sales declined (replaced by water utilities). The company needed to increase revenues through new, innovative, and more value-added product development. Argentina displayed considerable interest in fitness. With a few market research, ADA was able to identify a segment whose needs are unmet by existing products and brands. The new product launch is planned for a target that segment. This case describes the dilemma faced by the ADA and the solutions required to develop and implement a strategy to launch new products and brand extensions in adverse scenarios. More specifically, this case provides an opportunity to discuss how the new product category can be created to address the market declines. This case describes the events that took place in 2002. The study was initiated in an interview in 2004, but it was published in 2009-12, because Danone delayed disclosure of the resolution on strategic and competitive reasons. On account of its wealth and original content, the authors decided to write the case, despite the delay. This case is also available in Portuguese and Spanish "Hide
by Javier Jorge Silva, Femando Zerboni, Andres Chehtman, Maria Alonso Source: North American Case Research Association (NACRA) 31 pages. Publication Date: 01 December 2012. Prod. #: NA0190-PDF-ENG
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