Keroche (D): Transforming the Core Business

This case describes Keroche co-founder Tabitha Karanja’s decision to exit the wine business following the Kenyan government’s 2007 increase in excise taxes on wine. In August 2007, Keroche introduced the vodka drink Viena Ice as a replacement for its fortified wines, and in August 2008, it entered the beer market with the launch of its Summit Lager premium beer. The case describes the success of Keroche’s products in the Kenyan beer market, despite an initial intense advertising campaign by Keroche competitor EABL for its own Tusker beer.