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Green Mountain Coffee Roasters (GMCR)
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GMCR » Topics » Competition in the single cup brewer systems market is intense and could affect Green Mountain Coffees profitability.

This excerpt taken from the GMCR 10-K filed Dec 14, 2006.

Competition in the single cup brewer systems market is intense and could affect Green Mountain Coffee’s profitability.

There are a multitude of competitive single cup brewing systems available in North America and internationally. Competition in the single cup brewing system market is becoming increasingly intense as relatively low barriers to entry encourage new competitors to enter the market, particularly with typically lower-cost brewers that brew coffee packaged in non-patented pods. Many of our current and potential competitors have substantially greater financial, marketing and operating resources. Our primary competitors are FLAVIA® Beverage Systems (manufactured and marketed by Mars), the TASSIMO beverage system (manufactured and marketed by Kraft), the SENSEO® brewing system (manufactured and marketed by Philips and Sara Lee) and a

 

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number of additional single-cup brewing systems and brands. If we do not succeed in effectively differentiating ourselves from our competitors or our competitors adopt our strategies, then our competitive position may be weakened.

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