At the onset of the COVID-19 pandemic, most foreign backpackers could no longer travel to Hong Kong, a trend that continued well into 2021 and adversely affected the operations of a local hostel in the Sham Shui Po neighbourhood. The own and founder of Wontonmeen, Patricia Choi, was exploring the feasibility of repositioning to attract new customers. To explore the repositioning decision, an online survey was conducted along with consumer interviews to better understand a new market opportunity. The data provided useful information about the feasibility of repositioning the hostel to attract local Hong Kong based consumers. Using the data, Choi had to explore the risks and benefits and make a decision on how to position her beloved hostel.
In March 2024, the global energy storage market witnessed a landmark event. The Indian public utility Gujarat Urja Vikas Nigam Limited was able to lower its rates, or tariffs, for energy storage by 58 per cent, compared to bids submitted in a previously issued government tender. The low tariffs, which were the lowest rate ever reported, would open a floodgate of opportunities for the renewable energy industry. Commercially viable energy storage would encourage investments in inherently intermittent solar and wind generation. It would also offer a new alternative for improving grid availability and reliability. However, a sudden drop of over 50 per cent in tariffs also raised new questions. Was the submitted bid to the government tender feasible? Would these low rates be viable in the short and long term? Would low tariffs continue to attract investment in this sunrise sector, which was seeking significant private-sector investments? Amid these questions, the managing director of Gujarat Urja Vikas Nigam Limited had to determine how to proceed.
In December 2023, Nippon Steel Corporation, Japan’s largest steel production company, announced plans to acquire United States Steel Corporation (U. S. Steel) for US$14.1 billion. Just four years earlier, the company experienced a ¥430 billion deficit for its 2019 fiscal year. After the appointment of a new president in 2019, however, Nippon Steel successfully achieved a V-shaped recovery, rescuing it from the verge of bankruptcy. Immediately after the recovery, the president was already aiming for further global expansion. The proposed acquisition—the attempt of a Japanese steelmaker to acquire an iconic 123-year-old American steelmaker— drew immediate attention from various US sectors and stirred emotion among key stakeholders. But for Nippon Steel, was now the right time, financially speaking, to invest as much as US$14.1 billion in an acquisition? As domestic demand for steel was decreasing due to Japan’s declining birthrate and aging population, Nippon Steel needed to expand its business operations globally before it was too late.
In November 2023, top of mind for Kristen Siemen, chief sustainability officer at General Motors (GM), was how to increase consumer adoption of electric vehicles (EVs). After committing to be carbon neutral by 2040, the automotive giant has its work cut out for it: while EV purchases increased to 14% in 2022, consumer concerns, such as range anxiety and cost sensitivity, are limiting adoption. Kristen Siemen must consider how the marketing, sustainability, and communication teams should continue to work collaboratively to address this slowdown in market penetration and how to optimally position GM to reach its goal of carbon neutrality.
In March 2023, the Adani Group experienced a sharp decline in market value, losing over $150 billion. This downturn followed allegations from US short-seller Hindenburg Research, which accused Gautam Adani of inflating his net worth to $120 billion over three years, mainly through a dramatic rise in the stock prices of the group's key companies. The Adani Group disputed these stock manipulation allegations, citing a misunderstanding of Indian laws, highlighting also their consistent debt reduction over the past decade. The challenge for the Adani Group now lies in regaining stakeholder confidence and managing the crisis, which may include re-evaluating its corporate governance practices and revising its communication strategy to restore its image.
Street Business School (SBS) employed an innovative social-franchise model aimed at providing entrepreneurship training to one million impoverished women worldwide. Originating as BeadforLife, a non-profit organization that connected women in Uganda who produced recycled paper jewellery with international markets, SBS developed a tailored entrepreneurship program while working with small groups of bead producers. With aspirations to expand globally and impact more women, SBS adopted a social franchising model and certified other organizations to implement its valuable approach and curriculum. However, generating earned income proved challenging, and SBS relied heavily on funds raised from individuals and philanthropic organizations. In addition, the organization faced the dilemma of balancing its focus on scalability and global expansion with the depth of impact it aimed to achieve. In January 2023, the chief executive officer (CEO) wondered what she should recommend to the board as the most appropriate business model for scaling SBS's impact.
CenturyPly India Limited (CPIL), a large wood panel products company with a supply network spread across India, had four main product lines, including laminates. In April 2020, the company's laminates range was a growth focus for management on account of its profitability and expected growth. Despite the availability of capacity, good demand, a range of designs, and inventory at the distribution centres, CPIL's order fill rates were less than satisfactory. The management team decided to look at its supply chain and identify solutions that could help. Based on the available data on sales, inventory, and lost sales, the management team needed to identify crucial insights that would help them take the best decisions. One important question was, How could the company adjust its current make-to-order supply chain to ensure it could meet order demands in a timely fashion and avoid losing potential sales?
In February 2007, Diego Papalia, founder and owner of Ottawa Pianos, was getting ready to meet with his daughter, Carmen, to discuss the strategic future of the company. Five years prior, the father-daughter duo had started separate projects within the business. Diego had launched the digital music centre and Carmen had started a piano school, with a plan to reassess which might be the more lucrative endeavour in five years' time. The DMC sold guitars, amplifiers, drum kits, and various other electronic musical equipment; however, there was a high turnover requirement as music technology was constantly evolving. Carmen's piano school had grown to over a dozen instructors and 300 students. The downside was that it took up a lot of space- in this case, the entire basement that could otherwise be used for stock storage-and yielded low profit margins. Diego and Carmen had to decide which of the two projects to retain.
Since its beginning in 2018, Jane Win LLC, a nimble and lean start-up selling amulet jewellery pieces, had seen immediate success. From the company's inception, its founder, Jane Winchester Paradis, assessed the advantages and disadvantages of an expansion strategy. Paradis also assessed the viability of expanding beyond amulet pieces to achieve substantial growth. Although the young company already enjoyed strong brand recognition and offered a meaningful unique selling proposition, there were still many questions about the company's next steps, including which growth strategy would be the most suitable. Did the company have the resources and skilled management team necessary to adequately support and monitor its growth? What legal and financial issues must Paradis consider? What marketing and operational issues were the company likely to encounter during expansion?
The Gautrain Rapid Rail Link Project was started in 2006. It is a rare example of a successful public-private partnership (PPP). The project involved the provincial government of Gauteng (represented by Gautrain Management Agency) as the public partner and Bombela Concession Company as the private partner. The general case, which accompanies this part in the exercise series, provides the basic outline of the story. The Gautrain Rapid Rail Link Project is recognized as one of the largest transport infrastructure PPP projects in Africa and as a major transport initiative of the provincial government of Gauteng. It has been breaking new ground to ensure that specific socio-economic development objectives are met. This project has set a benchmark for South Africa that can be adopted by other infrastructure providers.
This case analyzes the challenges faced by the founder of Magic Hive, an organization that offered counselling, parenting workshops (called Chetana), and self-awareness sessions for adults and children. Despite the creation of a psychologically safe climate in the Chetana workshops, several parents hesitated to participate actively. The founder was considering three strategic alternatives: personalized outreach to participants after the workshop sessions to help build rapport and trust; off-line retreats to help build connection among Chetana community members; and integrating interactive activities into the online workshop sessions to promote collaboration. Which option would be the best for Magic Hive?
Coco Fresh was a natural tender coconut water bottled by Madhura Agro Process Pvt. Ltd. (MAPPL). The chief executive officer (CEO) sensed there was a market opportunity given the health benefits of Coco Fresh compared to other beverages. He developed the technology to extract the coconut water and package it without any preservatives. This market was crowded with many players, each claiming to offer genuine coconut water. The regulations in India did not distinguish tender coconut water from mature coconut water. The CEO was in a dilemma over how to overcome this regulation and drive home the value of Coco Fresh to consumers.