Taking a £25M hit and reputational damage for a bottle 'cap' design flaw is embarrassing. Britvic may have identified the problem early on but, until the issue has been fully resolved, the company's share price may continue to be hit.
Such recalls can have long- lasting effects on brands. With the Robinsons Fruit Shoot brand valued at £96M, Britvic will have to carefully rethink its product testing methods as a clear signal to the outside world that this is not a systemic error but a one-off.
Dr Christos Tsinopoulos
senior lecturer, operations & project management
Durham Business School