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Molto Delizioso: Pricing and Profits Following Brexit Devaluation
Farok ContractorCase IVEY-9B17M049-EStrategyWhen the June 2016 referendum on the United Kingdom’s withdrawal from the European Union, or Brexit, resulted in a vote to leave, the managing director of the U.K. subsidiary of Italian coffee-machine maker Molto Delizioso, SRL, faced a scenario that affected many international firms and their subsidiaries. The U.K. subsidiary imported and paid for coffee machines in euros, but when it sold these items in the United Kingdom, the revenue earned wa...Starting at €8.20