Shinsei Bank was rebuilt from the ashes of a failed predecessor, and pioneered new levels of customer service in retail banking in Japan. The bank's information technology, however, was vestigial at best and not well suited to the new service models Shinsei was offering. The bank's charismatic CIO, experienced in technological change, developed a modular, flexible infrastructure based on simplicity and parity. Describes the formation of Shinsei's new IT system, and raises questions as to Shinsei's potential in selling the IT design further down the road.
Japanese corporations faced the looming threat of hostile takeovers because of the rapid dissolution of cross-shareholdings that began in the 1990s; in particular, between creditor banks and corporate borrowers. As a result of this uncoupling the share of stable shareholders, those in long-term business relationships with the corporation, fell by half over the past 10 years. On the other hand, foreign ownership of Japanese companies, which used to account for only a small percentage of all outstanding shares, rose rapidly. Thus, the proportion of free-floating shares has risen significantly, implying that buying out a company by means of a takeover bid in Japan has become far easier. Although Japanese corporations have traditionally believed that hostile takeover bids have little chance of success, Hidemaru Yamada, president of Nireco Corp.--a high-tech measuring device manufacturer--felt the need to introduce "poison pill" defenses to counter possible hostile takeover bids from foreign investors. Nireco assessed the situation regarding the introduction of poison pills, taking into account Japan's institutional infrastructure, its laws, and its economic conditions; in March 2005, it announced a "security plan," which included an issue of subscription warrants to existing shareholders in the event of an unfriendly takeover bid.
The chairman and chief product designer of lululemon athletica is preparing to address an audience at an investor's conference. He describes lululemon's great success from 1998 to 2006 and analyses the growth opportunities it faces. This case helps students understand the concept of competitive advantage in relation to the functional and emotion marketing drivers. In addition, it underlines the importance of preserving brand equity and prioritizing strategic growth options.
Focuses on DLA Piper, a global law firm resulting from the merger of the combined U.S. firm Piper Rudnick Gray Cary and the British firm DLA. At the time of the merger, the firms had similar strategies for the future and approaches to clients. While figuring out some of the details in order to successfully merge, the firm leadership has many questions about how to further align the merged firms in terms of strategy, people and systems, structure, culture, and leadership. Examines some of the steps the firm plans to take in the future to achieve greater alignment in order to move from being several local and regional entities to becoming one global firm.
The chairman and chief product designer of lululemon athletica is preparing to address an audience at an investor's conference. He describes lululemon's great success from 1998 to 2006 and analyses the growth opportunities it faces. This case helps students understand the concept of competitive advantage in relation to the functional and emotion marketing drivers. In addition, it underlines the importance of preserving brand equity and prioritizing strategic growth options.
In May 2006, a resident of Key West, FL had to decide whether to renew his policy to insure against hurricane damage. The policy would cost $13,000 for one year, $5,000 more than what he paid in 2005. At the same time, a wealthy California resident was contemplating an opportunity to buy a "cat note" that offered a high yield, but with a chance of losing the full investment if severe hurricanes struck the coastline of the United States.
This case study is concerned with the challenges posed for companies in emerging markets that seek to expand their operations beyond their borders, while maintaining leadership in their industry. The case deals with Arcor, an Argentine-based manufacturer of confectionery, chocolate, cookies and crackers. A companion reading, The Confectionery Industry: Latin America and the Global Market in 2006, Stanford GSB IB-65, provides background to Arcor's industry. Founded in 1951 in Cordoba, Argentina, Arcor has evolved from being a local player selling candy in cities in Argentina to become the world largest candy manufacturer, the main confectionery exporter of Argentina, Brazil and Chile and one of the leading chocolate manufacturers in Latin America. As Arcor grew, it expanded regionally and internationally to become an important actor in the global confectionery industry. The case sheds light on the key factors that enabled Arcor to escape the destiny of most of the industrial sector in Argentina, to become a leader in its industry. Students are encouraged to consider how the firm's strengths in Argentina both enhance and inhibit its foreign expansion and how the company can implement its strategy for future expansion into new foreign markets. Finally, the case considers the challenges that Arcor faces in operating 35 manufacturing facilities in four countries and the organizational consequences of managing affiliates throughout America, Europe and Africa.
This introduction to the Design industry includes definitions, and industry statistics, as well as descriptions of geographic clustering, design education, organizational roles of designers, how designers work and get paid, and the growing role of design in management.
Surveys educational outcomes among public school students in the United States. Educational outcomes are categorized as achievement outcomes (measured primarily by students' performance on standardized test results) and attainment outcomes (measured primarily by students' completion rates at various grade levels). Deals with outcome trends within the general U.S. school-aged population and covers educational outcomes in various subpopulations of students, including ones defined by race, income, family background, and gender. Describes student outcomes in U.S. public education; it does not explain them. For example, the first half of the note presents data on stagnating achievement levels in the general U.S. population over the last 30 years, but it does not cover in any detail the debate that surrounds the causes of this trend. Similarly, the second half of the note summarizes, but does not interpret explicitly, certain stark correlations between students' educational prospects and their race and socioeconomic status.
Describes the revenue structure of U.S. public education. Covers funding by federal, state, and local governments. Examines in detail two federal education laws: the Elementary and Secondary Education Act (ESEA) and the Individuals with Disabilities Education Act (IDEA). Although these laws account for less than 7% of U.S. public funding for education, their mandates strongly influence the activities of schools and school districts. Includes a bibliography. A rewritten version of an earlier note.
Ayala Corporation is the oldest conglomerate in the Philippines and has been controlled by the Zobel de Ayala family for seven generations. Over the past 25 years, Ayala has evolved from a real estate family business into a highly diversified and professionally managed business group, with a significant number of non-family shareholders. Between the holding company and its four largest subsidiaries, the Ayala group accounts for a quarter of the market capitalization of the Philippines Stock Exchange. Provides data to assess the value created for Ayala's stockholders in the ten years leading up to 2006, when the transition to the seventh generation of the Zobel de Ayala family culminated.
Clifford Chance, LLP, a global law firm headquartered in London, needs to make a decision whether to stay in the central business district of London or move to a redeveloped business park at Canary Wharf, 3 miles outside of central London. Peter Charleton, head of the London Office, is proposing to move to Canary Wharf and building a single, landmark headquarters with all the necessary amenities and premium fit-outs that is appropriate for an elite law firm. The tension surrounding the case is the choice to move from the hub of commerce in central London to a relatively obscure site whose owners (Olympia & York) have a history of financial bankruptcy. What business elements (clients, operations, employees, etc.) should they consider if they move the firm and how much relative weight do they place on each element? How do they frame the advantages and disadvantages between central London and Canary Wharf? What type of items should they program into the new facility (cellular or open floor plans, ceiling heights, common space, dining facilities, gymnasiums, etc.)? How should they prioritize these items?
In 2006, Jiang Wei, CFO of China Resources Corporation, was seeking to implement a variety of new management control systems in a complex diversified corporation during a period of rapid economic expansion in mainland China. Instilling efficiency, productivity, management, and control into what had been a traditional state-owned enterprise posed challenges on many fronts. The case enables a discussion of the various ways in which balanced scorecards and strategy maps can be integrated with traditional management control systems to govern strategy implementation in a diversified corporation. Additionally, it allows students to appreciate the benefits and challenges of using highly formal performance management systems in the face of strategic uncertainty.
Barilla, the world's largest pasta company, has introduced a new high-quality, high-priced product line that features a range of authentic Italian food products sourced from artisan producers. Management believes the line will appeal to consumers seeking healthier foods and convenience, and will help extend Barilla's brand identification beyond pasta. However, the new line is a bold departure from Barilla's core competencies of high-volume production and sales of fast moving, low-priced goods. Provides an opportunity to discuss trends in consumer eating habits, supply chains for locally-produced goods, and changes in retail formats. In addition, provides an opportunity to discuss the difference in investment philosophy between a family-owned company and a publicly-traded company.
Wipro Technologies, a rapidly growing software services firm based in India, decided to use principles from the Toyota Production System (also known as lean) to fundamentally change their operating model. Looks at why Wipro chose to use lean and how they went about implementing it in a novel context such as this. Provides detail of Wipro's internal and external environment, which was necessitating the change (shift from delivering a low-cost product to providing a business solution). Also, explores whether this new approach can lead to a substantial competitive advantage.
MySQL, an open source software firm, grew from a small $10 million company in 2004 into a successful $60 million business by 2006. As it had anticipated, MySQL attracted the attention of the big three IT companies, IBM, Microsoft, and Oracle. Actively defending their high-margin, $10 billion database business, the big three implemented various strategies to combat their open source competitors. Details these actions and explores MySQL's options for preserving and growing its business in an increasingly competitive and hostile environment.