Sai Marine Exports Pvt. Ltd. (SMEPL) had been in business for 20 years and had established itself as one of the major Indian shrimp exporters, with the United States and European Union as its primary markets. Following unprecedented market conditions due to early mortality syndrome affecting the exports of leading Southeast Asian shrimp-exporting countries in 2009, Indian companies were at a competitive advantage. SMEPL's revenues had increased significantly from 2010 to 2014. Its current markets, the United States and Europe, were lucrative, but SMEPL's chairman feared the risks of concentration in only two markets. Should SMEPL penetrate deeper into the U.S. and E.U. markets or enter new international markets like Japan and China?

Our increasing capacity to collect, store, and analyze large volumes of data has changed the way in which organizational decision makers approach their work. The ability to accurately quantify variables that previously had been assigned to the gut instinct of grizzled veterans or subject to the wisdom of sages for interpretation can now be more objectively understood. The implications for organizational performance are clear: better data and better decisions yield better performance. In many functions, like marketing, this capability has resulted in a true revolution in how companies come to understand and most profitably serve customers. Other areas, such as talent management, have lagged behind in this regard. This is largely due to the fact that many of the relevant variables (e.g., personality) are difficult to measure. It is also because the relationship between these variables and organizational performance is not entirely understood. Recent developments regarding how we understand and then link individual characteristics and performance are enabling a data revolution in the area of talent management. Herein, we offer three examples that illustrate how data can now be used to improve talent management decisions and, ultimately, organizational performance.

Should your company become a benefit corporation? In a comprehensive set of law review opinions, this installation of Business Law & Ethics Corner uncovers several fundamental issues to consider. First, the main premise for the benefit corporation--the legal preeminence of the shareholder primacy norm--may be unfounded. Second, benefit corporations may increase director liability and company costs. Third, contrary to the stated goal of such laws, benefit corporations do not empower stakeholders, and therefore are not substantially different from traditional corporations. Many legal analysts argue that, paradoxically, benefit corporations actually inhibit corporate social responsibility efforts by perpetuating the myth that business corporations do not have the flexibility to pursue social missions, and by claiming to, but failing to, empower stakeholders. They argue that the benefit corporation form is likely to increase corporate greenwashing, and that it enhances public cynicism about all corporations by creating competing sets of 'beneficial' and 'other' corporations. In the face of widespread acclaim for the benefit corporation, both corporate directors and researchers should take these significant concerns into account.

Increasingly, companies have begun to understand the importance of succession planning. Best practice companies invest considerable time and money in the identification of up-and-coming leaders; more boards of directors have also come to embrace their role in overseeing succession to the CEO position, as well as to a few senior roles such as COO and CFO. Unfortunately, unless executives are being considered as candidates for higher level roles, these development efforts rarely extend to other members of a company's senior team: the heads of major operating groups and corporate functions such as finance and IT. In this article, we identify three patterns that increase the risk of performance failure for long-tenured senior executives who are not being considered candidates for higher level roles. We then present three questions that can trigger a number of important development actions, which can in turn create more effective senior executive teams, curb unplanned attrition, and lead to more predictable succession plans.

Developing strong leadership within the organization is one of the most valuable pursuits any firm can undertake. Considering the many demands on the resources of leaders, developmental opportunities must be efficient and effective to truly impact leadership ability. Comic books and their role in storytelling can offer unique insights regarding core leadership characteristics underlying great sales leadership and act as a tool for growth in leadership capabilities. With the recent explosion in superhero awareness through blockbuster movie releases and increased comic book readership, this article presents a series of leadership characteristics and their embodiment within superheroes. A list of top sales leader qualities from a panel of practicing sales professionals is first provided. Specific examples of these leadership qualities as evidenced by a particular superhero are then offered. These examples are solicited from a panel of superhero subject matter experts and yield insight into how managers can use superhero narratives as a learning tool. We summarize the findings from our research and propose specific managerial challenges and actionable recommendations offered by the exemplars we review.

Despite the growing importance of information technology (IT) in organizations, chief executive officers (CEOs) and top management teams exhibit an alarming degree of distrust toward IT and chief information officers (CIOs). This CIO-CEO gap can be explained by several factors including failure of IT to deliver value, poor understanding of IT by business executives, lack of a clear vision with respect to IT, different worldviews of business executives and technology specialists, lack of a shared vision in relation to IT, poor relationship skills of CIOs, and criticism of IT by so-called experts in the popular and academic press. These factors stand in the way of a good CIO-CEO relationship, IT alignment with organizational goals, and improvement in organizational performance with the help of IT. Bridging the gap requires a set of joint and independent actions by the CIO, the CEO, and the entire top management team. Recommendations for both CIOs and CEOs include communication, knowledge sharing, and developing a shared vision in relation to IT. CIOs are advised to focus on business value and develop managerial, leadership, and political skills. CEOs should establish an appropriate reporting structure for the CIO, educate top managers regarding IT, and increase personal involvement in and support of the IT function and the CIO.

Business models are a current hot topic, and their design has become a key to performance. In fact, business model design is often associated with innovation. Many firms, though, fail to realize the full potential of their current business model simply because they are not aware of it. Nevertheless, Google succeeded in realizing its business model's full potential by offering its main service, Internet search, completely for free while capturing value from secondary opportunities such as Google AdWords. Especially for new ventures and SMEs, capturing value from secondary opportunities or business model sophistication is of critical importance toward increasing the pool of resources at hand and giving momentum to the firm's development. But what are these opportunities, and where can they be found? Based on various examples including Google, Ryanair, the Super Girl Contest on Hunan TV, and Spreadshirt, this article develops a framework that introduces five business model sophistication strategies: (1) uncover additional functions of your product, (2) identify strategic benefits for third parties, (3) take advantage of economies of scope, (4) utilize cross-selling opportunities, and (5) involve users and the crowd. All five strategies place a strong emphasis on stakeholder commitment.

Companies often initiate strategic changes to adapt to an evolving environment and/or to improve their competitiveness and performance. In this article, I examine why some strategic changes are fruitful for the companies that initiate them whereas others are not. I propose a framework for understanding the fruitfulness of strategic changes based on their expected impact on competitiveness and likely stakeholder commitment to the changes. I propose that strategic changes are likely to be most fruitful when their potential to enhance competitiveness is high and the stakeholder commitment is likely to be high. At the other end of the spectrum, companies should avoid implementing strategic changes that have low potential to enhance competitiveness and where the stakeholder commitment is low. Being poor strategic choices, these changes may not enhance competitiveness or performance, but, in fact, detract from them. I provide case-based evidence for the framework drawing on strategic changes implemented by Starbucks, McDonald's, and Tupperware and also identify conditions, specifically relating to the decision-making process and corporate governance, under which detrimental strategic changes may be implemented. I also offer a set of recommendations to companies to help them avoid making poor strategic choices.

The development of mobile applications has represented a challenge and opportunity for companies to market their brands and products through a new channel; however, the branded mobile applications (branded apps) currently available in the market are far from perfect and existing app designs do not yet have well established mobile and social features. This article offers systematic guidelines for branded app design by identifying different levels of strategies that should be taken into consideration by companies. We illustrate five business objectives (communication, customer relationship management, sales, product innovation, and marketing research) and identify five types of branded apps (tool-, game-, social-, m-commerce-, and design-centric). Three functional building blocks are proposed to specify how mobile features, social features, and brand mention elements should be incorporated into branded app development. Various examples of branded apps are provided to illustrate relevant best practices in order to guide marketers in improving branded app design.

Managers often struggle to determine why their firm is underperforming relative to its rivals. This article outlines how managers and consultants can use an existing strategy tool, Kim and Mauborgne's strategy canvas, to robustly test whether their firm is underperforming because it is (1) properly executing the wrong value proposition's delivery or (2) failing to properly execute the right customer value proposition's delivery. Once the issues with the firm's value proposition and its delivery activities are correctly diagnosed, the strategic value curve analysis tool assists in developing recommendations to improve the firm's profitability. The article concludes by describing how the authors successfully used the tool to help a consulting client complete a review of its strategy.

Members of the Millennial Generation ('millennials') are strongly attached to their smartphones and engrossed in social media. They frequently post pictures and tweet about the products they like and buy. Consequently, established consumer brands unable to master the use of Twitter and other social media are likely to lose their ability to communicate with this generation. This article reports findings from a study of millennials' Twitter usage and presents the concept of brand entification as the next evolutionary stage of brand personality made possible by this social media. Brand entification refers to a distinct emotional and cognitive attachment between heavy-Twitter-using millennials and the brands they like, and to a unique set of attributions they make toward the brand. Herein, we explain the nature of brand entification, describe how it emerges, and distill some key lessons for brand managers interested in reaching Twitter-using millennials.

U.S. companies spent $5.1 billion on social media advertising in 2013, but a recent Gallup survey revealed that these advertisements had no influence on the majority of U.S. consumers' buying decisions. For social media marketing to be effective, we argue that social media marketing efforts need to be congruent and aligned with the different needs of social media users. To this end, this article presents a typology of current social media services using the following categories: relationship, self-media, collaboration, and creative outlet. We further elaborate on how each type of social media caters to basic human needs, and provide implications for social media marketing based on the need-congruence lens.

Companies can engage with many online social networks and communities to attract customers, disseminate product information, conduct research, and stimulate innovation. However, for these activities to be successful, it is key that consumers at these platforms trust each other and are willing to share their knowledge freely. The study presented in this article assesses what companies can do to encourage members of online communities and marketplaces to share information with others. For this purpose, a netnographic study was conducted of Etsy.com, an online marketplace for handcrafted and vintage products. The study revealed several key findings: companies can stimulate information sharing through activities that build trust and develop a norm of reciprocity; rules and guidelines are helpful to discourage abuse, but do little to stimulate sharing; and companies should give the right example by sharing knowledge themselves. The guidelines that were developed based on these findings can be used by companies that own or manage an online community as well as by those who intend to engage with one.

Under the leadership of CEO and President Shen Guojun, China Yintai was increasingly committed to philanthropic initiatives. Drawing upon his experience as an entrepreneur and a philanthropist, Mr. Shen saw the urgent need to build bridges between business practices and philanthropy and cultivate a new business culture that incorporated "shared value." The case study documents Yintai's recent collaboration with Peking University on founding China's first masters program of social enterprise management. By training management professionals for China's philanthropy sector, Yintai and Mr. Shen expected to bring about revolutionary impact in the long run and change the face of China's philanthropy.

Too many CEOs believe they need to have all the answers, all the time. But companies are run well by asking questions, not having all the answers. Not understanding this sets leaders on the path to failure. This article argues that the best way for CEOs to harness the skills of others is by using the listening–sensing–observing troika. 1. Listening: Simply by listening to both customers and employees, CEOs can break the glass ceiling of imagination. While most organizations strive to hear customers, many do so while overlooking the need to hear employees. And when employees are not adequately heard, good ideas are left unexpressed and employees underperform and appear to lack skills. 2. Sensing: During the growth phase, organizations commonly develop slack in the system, which impedes fresh thinking and creates a lack of perceptiveness regarding market trends and customer preferences. To battle the slack buildup, companies need a detecting culture that can uncover hidden problems and identify unwanted behaviours. 3. Observing: CEOs must always be on the lookout for what is portrayed in rosy pictures painted by employees, as well as what is deliberately being hidden by growth and success.

The pivotal role played by Intel in the development of the semiconductor industry, from the company's founding in 1968 and focus on semiconductor memory products (SRAM and DRAM), through various innovations in microprocessor technology, and leading to the introduction of the 286, 386, and 486 microprocessors is described in this case. Intel's internal ecology of strategy-making-its strategic leadership culture and style of decision making-is described at several key moments in the company's history when strategic decisions related to the entry and exit of several business lines internally competing for resources profoundly influenced the company, and the marketplace. This case draws upon cases and research papers concerning strategy-making at Intel Corporation written between 1989 and 1994.

The case highlights the key features of the domestic Indian aviation industry in terms of its growth potential and contrasts this with the operational challenges. The exhibits hold significant information which students can analyse to get a deeper understanding. First, a discussion about the attractiveness (or not) of the Indian aviation market can be carried out. This will help to position Singapore Airlines as a new entrant and discuss its competitive advantages vis-a-vis local players. Some students might focus on the parallel entry of Air Asia, a leader in the low-cost aviation arena, with the same potential local partner - the Tata Group. This will allow for a richer discussion and enable decision making on the question posed in the case - to enter the highly competitive Indian aviation market or not? This abridged case has been designed for use in either MBA or executive classes where advanced readings are not possible. It can also be used as a standalone case to explore Porter's 5 Forces and STEEP frameworks in the context of the Indian Airline Industry without a detailed discussion of Singapore Airline's strategy specifically. As a short case, it can be read in-class in approximately 10 minutes.

Following the board’s suspension of the chief executive officer (CEO) due to a corruption scandal, Cricket South Africa (CSA) appointed an acting CEO in March 2012. After successfully restoring the organization’s damaged reputation, re-establishing the confidence of existing sponsors and attracting new corporate partners within his first four months, the acting CEO submitted his letter of resignation. In it, he cited hostility from some members of the board and a lack of confidence in his judgment. However, after his resignation he was encouraged to reconsider his decision. Should he withdraw his resignation and continue the important turnaround task? If so, could he manage the challenges facing him and CSA in a different way? If not, what would the implications be for him, the management of cricket in South Africa and the multiple stakeholders, including sponsors?

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 was written as an updated version of "The Early-Stage Term Sheet" (UV2526) and may be used in its place. In seeking funding for an early-stage company, the entrepreneur and investor will confront choices about the amount, terms, and conditions of the financing. These terms are usually set forth in a term sheet that contains a host of provisions designed to protect the value of an investor's capital. These terms define the investor's rights as a holder of a senior security to common stock and are designed to secure the investor's ownership position, provide the right to monitor and control important company decisions, and facilitate exit from the investment. The note focuses on a few key aspects of these terms-antidilution, liquidation preference, dividends, control rights, and redemption-all of which are widely regarded by practitioners as having the greatest ability to affect the economic returns for the parties involved in an early-stage investment. Although not meant to be exhaustive, the examples offer a perspective on how a term can be worded in order to confer differential rights between the parties.