This case presents the challenging situation facing Jonathan Wiley, a fresh MBA graduate who has recently been appointed regional sales manager (RSM) of the Northern Ontario sales region of the Canadian subsidiary of Garrick Oil and Lubricants (GOAL). Wiley has to make a decision regarding the allocation of geographical territories to four territory sales managers who report directly to him.
The logistics analyst at Spartan Building Products, a large, national distributor of building materials, needs to prepare a report analyzing the company’s logistics practices. Management is particularly concerned about the high cost of servicing customer deliveries. Students are asked to evaluate factors contributing to the logistics problems at Spartan, including freight costs and the sales mix. Students will analyze the cost implications of supporting a broad product line and servicing customer orders that have a small dollar value.
This note is a brief introduction to the logic and practice of using stock options to compensate executives. The Black-Scholes option-pricing model is used to estimate the value of option grants for a company. The note affords the opportunity to apply options valuation in the context of executive compensation, and serves as a companion to introductions to options that expose the reader to the Black-Scholes option-pricing model.
This case is a study of the transnational collaboration in China's motorcycle industry from the 1980s to 2010s between Chongqing Jianshe Motorcycle Co. (CJM), a Chinese state-owned enterprise (SOE), and Yamaha Motor Co. (YMC), a Japanese global motorcycle company. It examines the implications and outcomes for the joint venture (JV) arising from differences in the JV partners' organisational cultures as well as from different industry practices, and highlights the systemic influence of political and economic factors in a fast-changing business context on each partner's strategic imperatives. It also discusses the impacts of these factors on the JV operations and outcomes. The case study provides an opportunity to explore the issues and challenges confronting cross border joint ventures at various phases of development and to identify key factors that could shape the prospects and potential of such collaborations.
By 2015 Google's Android operating system had been deployed on over one billion units worldwide. The firm had been happy with the high market segment share achieved on mobile phones, but new challenges were arising: advances by traditional competitors such as Apple and Facebook, potential fragmentation of the Android OS, new market dynamics in China and India, and the complexity of managing a large organization which sometimes had diverging goals in different product groups. This case explores how Google confronted the strategic opportunities facing the company around Android, including maintaining strong performance while being nimble enough to expand into new markets.
The Medium Corporation seeks to change how people author, consume and engage with content on the Internet. Founded by Ev Williams, co-founder of Blogger and Twitter, the company developed a digital publishing platform and set of social network tools that allow people to spend substantive time with weighty issues facing society, business and politics. Fighting the trend of quick engagement with short-form content on the Internet, Medium wrestles with how to deliver an experience that advances important topics with ease, flexibility and meaning, while working to build a large and successful company. The challenges of building a successful digital media company, balancing tool development with content curation, and organizing a firm in the 21st century are at the core topics facing the firm's leadership team.
In early 2020 Walmart Stores, Inc., the world's largest retailer, faced several strategic challenges. The company had just been ranked number one on the Fortune 500 list, but its growth rate lagged its competition. International expansion had turned out to yield uneven results, and Walmart lagged in online sales. To foster continued growth, the company was considering a strategic shift: looking outside the store's traditional customer base to attract more upscale consumers. Walmart's past efforts to move upscale had not been successful. What are the strategic risks and benefits of the company's latest efforts to improve sales?
The vice-president of policy for the Cable and Satellite Broadcasting Association of Asia (CASBAA) was asked to deal with the growing problem of signal piracy in the Philippines. CASBAA was an organization of 125 companies involving all elements of the pay television industry in Asia, including major multinational content and broadcasting companies, as well as leading Philippine cable distributors. These were multinational content producers and broadcasters concerned about the growing issue of cable television signal piracy in the Philippines — a key bellwether market for many CASBAA members. Among CASBAA’s key objectives was the protection of the intellectual property of its members. CASBAA had already pursued legal options to curtail piracy in the Philippines with limited success and the vice-president was tasked with developing a strategy that did not involve expensive litigation. To do so, he needed to present a plan, with milestones, to his constituents to demonstrate that CASBAA was capable of dealing with its members’ concerns.
The founder and owner of YU Ranch is selling all of the Texas Longhorn beef the ranch can produce. YU Ranch's grass-fed, sustainable beef is substantially leaner and healthier than conventionally produced beef. This highly differentiated product is sold at a premium to selected restaurants, food service companies and at the farm-gate. The local consumer segment has been tapped, while local businesses and distant customers need to be supplied. With the farm operating over its current capacity, expansion is inevitable but extremely expensive. What are the best ways to acquire new land, grow new business and leverage YU Ranch's core competencies — brand and reputation?
The chief compliance officer at NYR Financial Services (NYR) faces a decision-making dilemma regarding whether or not to increase a settlement offer to a client. This particular client has lodged a complaint against the investment firm, alleging that his money was inappropriately invested, given the risk tolerance level of his portfolio. The client believes that as a result of this mismanagement, he has lost over $100,000. The complaint has been reviewed by several panels of finance experts, including the Ombudsman for Banking Services and Investments (OBSI), with the latter concluding that NYR owes the client a settlement of $40,000. NYR’s compliance officer must now decide between two options: meet the client somewhere in the middle, or inform the OBSI that NYR will not be following the panel’s recommendation. If NYR chooses the latter option, OBSI will go public with NYR’s refusal to abide by the ombudsman’s advice. See supplemental case 9B14N026.