A small startup firm in the environmental services industry has spent the majority of its time developing its technology and overcoming the significant regulatory hurdles involved in bringing its technology to market. Having achieved success with the technology, the company must now decide which path to take to grow. The owners can try to raise the money themselves through a bank loan and do the expansion on their own terms. On the other hand, they can forge a financial partnership with a venture capital firm or a strategic partnership with another firm, or they can issue preferred shares to a local investment fund or corporate bonds to a local insurance company. These alternatives will share the risks and expense of expansion, but the company may lose some autonomy in its decision making in future.
Sterling Household Products manufactures and markets a broad line of consumer goods from laundry soap and cosmetics to cleaning, disinfecting, and sanitizing products. The company has many highly regarded brand names and consistently reports impressive sales and profits to the investment community. Despite a record of success, a deeper analysis of financial measures reveals that growth rates for unit volumes, sales, and profits are low. Looking to expand into new markets with strong growth potential, the company considers acquiring the germicidal, sanitation, and antiseptic product unit from Montagne Medical Instruments, a company in the health care industry. This acquisition seems like a natural extension of Sterling's experience and expertise in the market for household cleaning supplies. Both parties reach a tentative agreement on price and Sterling considers whether the proposed investment adds value given the risks involved. Students must perform a comprehensive investment analysis and examine both the qualitative and quantitative issues associated with evaluating a strategic acquisition before making a final recommendation.
Southfield Packaging provides packaging materials and services to medical device manufacturers. The case examines the relationship between a corporate vice president, Mark Sanders, and one of his direct reports, Regional Manager Frank Belby. Sanders' preparation for Belby's annual performance review provides a foundation for discussing the common challenges and difficulties associated with performance reviews. Specific issues include the need to clearly define criteria for evaluation and the question of whether Belby's physical health should play a role in his performance review. Overall, is Southfield's appraisal process a fair and effective way of evaluating employee potential?
In 2010, the European Union faces the challenges of the global financial crisis. With 27 member states, each facing different challenges, can new EU institutions respond effectively? Will its new currency, the euro, survive?
In this two-party negotiation, a large oil company accuses a social venture supplier of overcharging and threatens to take its business to lower cost for-profit competitors. The two parties need to rekindle their collaborative relationship and re-establish the commercial logic to continue working together. The case casts the oil company in an aggressive role and puts the social entrepreneurs on the defensive to surface the stereotypes in the relationship.
The case tracks a large project for developing a chip for automobile entertainment systems. Participants evaluate the project's continuing progress and viability through three episodes. The case holds important lessons for evaluating complex new product development projects that lack visibility, as well as the efficacy of stage gates for monitoring such projects.
The case tracks a large project for developing a chip for automobile entertainment systems. Participants evaluate the project's continuing progress and viability through three episodes. The case holds important lessons for evaluating complex new product development projects that lack visibility, as well as the efficacy of stage gates for monitoring such projects.
The case tracks a large project for developing a chip for automobile entertainment systems. Participants evaluate the project's continuing progress and viability through three episodes. The case holds important lessons for evaluating complex new product development projects that lack visibility, as well as the efficacy of stage gates for monitoring such projects.
The case tracks a large project for developing a chip for automobile entertainment systems. Participants evaluate the project's continuing progress and viability through three episodes. The case holds important lessons for evaluating complex new product development projects that lack visibility, as well as the efficacy of stage gates for monitoring such projects.
The case tracks a large project for developing a chip for automobile entertainment systems. Participants evaluate the project's continuing progress and viability through three episodes. The case holds important lessons for evaluating complex new product development projects that lack visibility, as well as the efficacy of stage gates for monitoring such projects.
The case offers a role-play simulation in which a team of up to 13 participants acts as a board of directors of a privately-owned national energy company. The board has to make decisions about 1) a foreign-country acquisition proposed by management, 2) a change in executive compensation. It consists of 3 types of directors - affiliated directors representing the mother company, executive directors, and independent directors. Four sub-committees convene before the board meeting to discuss the issues on the agenda and make their recommendations.
The case offers a role-play simulation in which a team of up to 13 participants acts as a board of directors of a privately-owned national energy company. The board has to make decisions about 1) a foreign-country acquisition proposed by management, 2) a change in executive compensation. It consists of 3 types of directors - affiliated directors representing the mother company, executive directors, and independent directors. Four sub-committees convene before the board meeting to discuss the issues on the agenda and make their recommendations.
The case recounts the experience of the Dubai government-owned marine terminal operator, Dubai Ports World, when it tried to take over the American operations of P&O in 2005-2006. It describes how, in the political environment following the 9/11 attacks, the prospect of a Middle-Eastern-owned firm taking over and operating terminal services in some 20 US ports generated such strong political opposition (notably in Congress) that, despite strong support from President George W. Bush, the firm ultimately withdrew its takeover bid.
The case recounts the experience of the Dubai government-owned marine terminal operator, Dubai Ports World, when it tried to take over the American operations of P&O in 2005-2006. It describes how, in the political environment following the 9/11 attacks, the prospect of a Middle-Eastern-owned firm taking over and operating terminal services in some 20 US ports generated such strong political opposition (notably in Congress) that, despite strong support from President George W. Bush, the firm ultimately withdrew its takeover bid.
The case recounts the experience of the Dubai government-owned marine terminal operator, Dubai Ports World, when it tried to take over the American operations of P&O in 2005-2006. It describes how, in the political environment following the 9/11 attacks, the prospect of a Middle-Eastern-owned firm taking over and operating terminal services in some 20 US ports generated such strong political opposition (notably in Congress) that, despite strong support from President George W. Bush, the firm ultimately withdrew its takeover bid.
The 2012 U.S. presidential election between President Obama and Governor Romney gave both sides reasons for optimism. As such, it was popularly thought to be anyone's race to win. The election generated a wide range of polling at the state and national level. Despite the abundance of data, it still was not clear to many people whether the race was too close to call or whether one candidate had a decisive lead. On the evening of the election, two friends discuss why the result may or may not be a close one and decide to wager on the outcome.
Two aspiring musicians and music producers launch and incorporate their own record label. At the end of the company’s first year of operations, the partners face their first financial year-end, and they wonder how the company’s assets, many of which are intangible, should be presented in the statement of financial position.
The sole shareholder and manager of a premier soccer cleat retailer/wholesaler must analyze his company's 2010 performance. The company had experienced significant growth during the past two years and the manager was anxious to find out if the company's recent expansion was as profitable as he had predicted.
SaferTaxi, a taxi booking service in South America must develop its mobilization strategy; that is, it must attract enough passengers and drivers to make its service worthwhile for all. Drivers hesitate to pay for SaferTaxi's smartphones and service unless these will deliver passenger bookings -- and passengers have no reason to sign up unless drivers are available. Meanwhile, regulators question the permissibility of online taxi booking in light of regulatory requirements, and some existing taxi booking vendors feel threatened by SaferTaxi's efforts to enter the market. As SaferTaxi attempts to satisfy these diverse constituents, international competition looms. What should SaferTaxi's founders do next?