Examines one of the most important entrepreneurial decisions made in the history of Porsche, made in early 1998: to build a sport utility vehicle (SUV)--the Cayenne. After decades of relying on one or two sports car models and nearly going bankrupt and losing its independence in 1993, Porsche had to diversify its product lines. Also examines the branding implications of the internationalization of production.
CPSim2 is a Critical Path Simulator that runs under MS Windows. Participants use the simulator to manage the construction of an automated factory - a fairly complex, 43-activity project that must be completed in 107 days if penalties are to be avoided. As project manager, students must make effective trade-offs between the costs incurred by crashing (speeding up) activities, and the financial penalties for late completion. Unforeseen delays and speedups occur during the project, which require timely response. Although these appear "random," each user of the simulator is exposed to the same events during the project. This allows performances and strategies to be compared within a class and between classes. CPSim2 maintains a current display of the project's CPM network, as well as the critical path(s) and activity slacks. The time required to complete the exercise is controlled by CPSim2, and does not exceed 60 minutes. This product provides the student instructions on the running of the simulation; the software itself is distributed with a site license for an additional annual license fee (product 7B06D002) - contact Ivey Publishing for pricing and distribution information.
When a senior audit partner at a well-established Washington-based audit firm discovers that one of his employees has disseminated inaccurate information, the partner must figure out the reason--lack of communication, racial tension, or misguided management are all possibilities--and subsequently decide what course of action to take. See also the B case (UV1345).
In 2000, FedEx Express and Environmental Defense began a collaboration to develop a source of new-generation delivery trucks with dramatically improved fuel efficiency and environmental impact. By 2005, prototypes had been developed by Eaton Corp., which supplied hybrid diesel-electric transmissions, and Freightliner, which integrated the transmissions into the delivery truck chassis. FedEx tested the prototypes and announced that it intended to buy 75 of the new hybrid trucks. Describes the process by which the new trucks were specified and developed and the roles of each of the organizations involved.
Provides an overview for students of the MBA elective course Managing Networked Businesses (MNB). MNB focuses on management challenges in businesses that exhibit network effects. The first section of the note explains that such businesses comprise a large and growing share of the global economy and confront distinctive management challenges. Due to the unusual microeconomic attributes of networked businesses, designing optimal business models is difficult, and managers often must cope with winner-take-all competitive dynamics. Winner-take-all outcomes have profound implications for strategy decisions, and choices about capital structure, organizational design, and government relations. For this reason, MNB employs a general management perspective. The second section of the note reviews a set of core concepts covered in MNB and provides definitions of networks, network effects, and platforms. The final section briefly describes the organization and contents of MNB's modules.
P&G's PuR: Purifier of Water, a household water treatment sold in small sachets, was developed by P&G, in collaboration with the US Centers for Disease Control (CDC), and targeted 'bottom of the pyramid' (BOP) households, where water treatment facilities are often lacking. The product was a technological and public health success, but a commercial market failure (Case A). Internal stakeholders, however, believed in the effort. They re-positioned the initiative as a corporate social responsibility (CSR) venture, and found support within P&G's corporate organization, where it ultimately became a centerpiece of P&G's global CSR portfolio (Case B). The case chronicles the journey from product development for the commercial market, to CSR-supported BOP partnerships with the non-profit sector. A related case is available, exploring P&G's social marketing partnership with the global NGO, Population Services International (PSI): 'Procter & Gamble and Population Services International (PSI): Social Marketing for Safe Water'.
This suite of cases begins with an overview of a promising alliance between a multinational Swiss pharmaceuticals firm and a start-up with cutting-edge technology in drug delivery systems. At the end of the case, the alliance has slid into crisis. In the six B caselets, three stakeholder groups from each partner in the alliance prepare to advance their visions of how it should continue - or end.
This case delves into the operational details of values-based leadership. It addresses core issues including: how do visionary leaders set directions and clear and visible values for the firm; how do they measure performance; and how do they balance the needs of all stakeholders? It explains how the founding entrepreneurs stimulated innovation; how knowledge and capabilities at Infosys are built from top down and bottom up; how sustainability is ensured through a leadership system and how strategies for continued growth are deployed. It analyzes the way behavior and culture influence the course of an entrepreneurial organization's development.
Focuses on the formulation of the Northwestern Ordinance as the core of a development strategy for capitalism and democracy in the United States. A precursor to the Constitution, the Northwestern Ordinance was based on the New England Model to achieve a broad and relatively equal distribution of land, ensuring that the distribution of economic and political power was also roughly congruent. By the time Alexis de Tocqueville made his study of American democracy, he observed that capitalism was producing economies of scale and increasing productivity, leading to heightened inequality and the eventual formation of an aristocracy, i.e., capitalism was driving incongruities between economic and political power.
In 1996, a meningitis epidemic swept across Nigeria. Thousands of children were struck and, lacking appropriate medicine, were liable to die from the disease. Doctors at Pfizer had an antibiotic that could probably save most of these children's lives. The drug was new, however, and had not yet undergone clinical trials with children. The company must decide whether to use the Nigerian outbreak as the site for a new and potentially risky trial.
Lay's was a second mover when it introduced its potato chips to rapidly evolving post-communist Hungary. By inserting cash into its potato chip bags, Lay's increased sales dramatically and permanently (i.e., also post-promotion). In contrast, after withdrawing a second "Money in the Bag" promotion, sales fell. Students prepare case A (5 pages) at home. Three in-class cases and a teaching note provide analysis and managerial implications.
Lay's was a second mover when it introduced its potato chips to rapidly evolving post-communist Hungary. By inserting cash into its potato chip bags, Lay's increased sales dramatically and permanently (i.e., also post-promotion). In contrast, after withdrawing a second "Money in the Bag" promotion, sales fell. Students prepare case A (5 pages) at home. Three in-class cases and a teaching note provide analysis and managerial implications.
Lay's was a second mover when it introduced its potato chips to rapidly evolving post-communist Hungary. By inserting cash into its potato chip bags, Lay's increased sales dramatically and permanently (i.e., also post-promotion). In contrast, after withdrawing a second "Money in the Bag" promotion, sales fell. Students prepare case A (5 pages) at home. Three in-class cases and a teaching note provide analysis and managerial implications.
Natura is a well recognized and highly regarded brand in Brazil: it enjoyed high brand loyalty among consumers and the highest retention rate among sales representatives in the cosmetics industry. Notwithstanding the triumphs in its home market, attempts at internationalization within Latin America, had thus far not been as successful as expected. The joint Presidents of Natura now wanted to take the leap and enter developed markets in which the Natura value proposition would resonate. The case raises issues related to how Natura should expand. Which market(s)? With what strategy? And what organizational structure should they adopt?
Most cases on M&As focus on the value of an individual deal (synergies, price, integration issues). In the case series "Acquisition Wave in the Fine Chemicals Industry", we take another perspective. We aim to describe how managers' decisions to make an acquisition and to determine the acquisition price are likely to be influenced by the merger activity in their industry and their competitors' actions. Driven by shareholder pressure to focus their portfolios, leading specialty and fine chemicals players such as Degussa, Clariant and Rhodia entered into major fine chemicals acquisition in 2000 and overpaid. Subsequently, this led to decreasing stock prices and financial turmoil. The fact that the other firms overpaid, despite publicly available signals from stock markets indicating the overpayment, and the nature of the chemicals industry and management, are clear indicators for irrational herd behavior.
Most cases on M&As focus on the value of an individual deal (synergies, price, integration issues). In the case series "Acquisition Wave in the Fine Chemicals Industry", we take another perspective. We aim to describe how managers' decisions to make an acquisition and to determine the acquisition price are likely to be influenced by the merger activity in their industry and their competitors' actions. Driven by shareholder pressure to focus their portfolios, leading specialty and fine chemicals players such as Degussa, Clariant and Rhodia entered into major fine chemicals acquisition in 2000 and overpaid. Subsequently, this led to decreasing stock prices and financial turmoil. The fact that the other firms overpaid, despite publicly available signals from stock markets indicating the overpayment, and the nature of the chemicals industry and management, are clear indicators for irrational herd behavior.