In 2008, an ambitious entrepreneur was eager to succeed in India’s corporate catering industry despite having no prior experience. She learned the intricacies of the business and developed processes and systems that made her company stand out among the competition. However, an inflationary surge in food prices exposed the weaknesses in her business model—namely, the fixed-price contracts and her resolve to self-finance the venture. The entrepreneur also faced new competitors who were able to undercut her prices because they could leverage alternative revenue streams to compensate for the increased food costs. Should she make changes to her business or was it time to exit?
Brooks Sports, Inc. (Brooks) strove to inspire and promote an active lifestyle through its innovative gear, enabling its customers to run longer, farther, and faster. The shoe company had endured a number of growths and declines in its 100 years of operations. Nearly bankrupt by 2000 because of its attempt to compete with diversified athletic brands, Brooks had finally found a strategy to compete in the sports market. Operating as an independent subsidiary of Berkshire Hathaway Inc., Brooks focused entirely on the niche running market, transforming into a brand that generated over $500 million in 2014. Now Brooks had set its sights on becoming a $1 billion brand by 2020. In the past, few companies had focused on the small but growing running industry; however, with the running market becoming increasingly competitive, would Brooks’s runner-focused strategy carry the company to its $1 billion goal by 2020, or would it be forced to shift back to a diversified approach as the running market became more crowded?
In 2015, Nintendo—the iconic Japanese video game company—was faced with the decade-long challenge of responding to an industry that had changed in ways it had not anticipated. Under its new president, Nintendo had to contend with large-scale changes in the global gaming market. By not adapting to changing customer needs, Nintendo had lost the customer loyalty it had once enjoyed, as was evident from the decline in the number of units sold. It faced daunting challenges in the traditional console gaming segment from Sony and Microsoft, as well as more recent threats to its competitive position from the mobile gaming segment, which had become a preferred platform for game developers. Nintendo needed to decide how to revise its business model and strategies to move away from the decline that had been part of the company for years. Could the once-dominant Nintendo connect with its customers as it had done in the past, or was it better off as an acquisition target by a large entertainment company?
Brooks Sports, Inc. (Brooks) strove to inspire and promote an active lifestyle through its innovative gear, enabling its customers to run longer, farther, and faster. The shoe company had endured a number of growths and declines in its 100 years of operations. Nearly bankrupt by 2000 because of its attempt to compete with diversified athletic brands, Brooks had finally found a strategy to compete in the sports market. Operating as an independent subsidiary of Berkshire Hathaway Inc., Brooks focused entirely on the niche running market, transforming into a brand that generated over $500 million in 2014. Now Brooks had set its sights on becoming a $1 billion brand by 2020. In the past, few companies had focused on the small but growing running industry; however, with the running market becoming increasingly competitive, would Brooks's runner-focused strategy carry the company to its $1 billion goal by 2020, or would it be forced to shift back to a diversified approach as the running market became more crowded?
In 2015, Nintendo-the iconic Japanese video game company-was faced with the decade-long challenge of responding to an industry that had changed in ways it had not anticipated. Under its new president, Nintendo had to contend with large-scale changes in the global gaming market. By not adapting to changing customer needs, Nintendo had lost the customer loyalty it had once enjoyed, as was evident from the decline in the number of units sold. It faced daunting challenges in the traditional console gaming segment from Sony and Microsoft, as well as more recent threats to its competitive position from the mobile gaming segment, which had become a preferred platform for game developers. Nintendo needed to decide how to revise its business model and strategies to move away from the decline that had been part of the company for years. Could the once-dominant Nintendo connect with its customers as it had done in the past, or was it better off as an acquisition target by a large entertainment company?
In 2008, an ambitious entrepreneur was eager to succeed in India's corporate catering industry despite having no prior experience. She learned the intricacies of the business and developed processes and systems that made her company stand out among the competition. However, an inflationary surge in food prices exposed the weaknesses in her business model-namely, the fixed-price contracts and her resolve to self-finance the venture. The entrepreneur also faced new competitors who were able to undercut her prices because they could leverage alternative revenue streams to compensate for the increased food costs. Should she make changes to her business or was it time to exit?
In November 2014, the founder and chief executive officer of HomeZilla, in Toronto, Canada, was considering how to provide value-added services to his business. One of the company's main services was to work with real estate agents to provide web listings to attract home shoppers. Many Internet companies were analyzing web-browsing data in an effort to better understand user behaviour and thus improve their business. Inspired by this trend, the founder considered how his company could use web-browsing data to better attract home shoppers on the company's website and thereby add value to his business.
A case on scaling social impact for nonprofits. Founded in 1995, KaBOOM! quickly became a nationally recognized nonprofit in building playgrounds with strong corporate partnerships and volunteer-organizing capabilities. Over the years, KaBOOM! developed new programs, including a new web platform to enable individuals and communities to do build-it-yourself playgrounds which increased KaBOOM!'s total annual number of playgrounds built by as much as a factor of 10. The case explores how KaBOOM! evaluated its goals and determined a strategy to achieve the scale required to meet its social mission and vision of every child having a place to play.
Generali was one of Italy's largest companies and one of Europe's largest insurers and had for decades been at the center of the web of cross-shareholding that has characterized the opaque brand of old Italian capitalism. This bred sub-par returns while serving to strengthen a small group of shareholders. Under new CEO Mario Greco and his vision of a "revolution of simplicity, discipline and focus" the company underwent a successful turnaround. One of Greco's most urgent tasks was to remove uncertainty surrounding the company's majority stake in a joint venture in Central and Eastern Europe, which it had used as a vehicle for expansion in the region.
The case illustrates a wide range of strategic and implementation issues that companies face in mergers and acquisitions (M&A), particularly in an emerging market such as China. The three-part case is about Sunac, a real estate company listed on Hong Kong Stock Exchange (HKSE), and its various attempts to expand by acquiring other real estate businesses in China. Case (A) describes the overall industry environment, value chain, and analyses of Sunac (the acquirer) and Greentown (the target). It explains the macroeconomic background and the details of proposed transaction in May 2014. Case (B) reveals what happened after Sunac had paid HKD6.3 billion for Greentown. Case (C) describes two further acquisition attempts by Sunac in 2015 - of Kaisa and Yurun.
Supplement to case IN1274. The case illustrates a wide range of strategic and implementation issues that companies face in mergers and acquisitions (M&A), particularly in an emerging market such as China. The three-part case is about Sunac, a real estate company listed on Hong Kong Stock Exchange (HKSE), and its various attempts to expand by acquiring other real estate businesses in China. Case (A) describes the overall industry environment, value chain, and analyses of Sunac (the acquirer) and Greentown (the target). It explains the macroeconomic background and the details of proposed transaction in May 2014. Case (B) reveals what happened after Sunac had paid HKD6.3 billion for Greentown. Case (C) describes two further acquisition attempts by Sunac in 2015 - of Kaisa and Yurun.
Supplement to case IN1274. The case illustrates a wide range of strategic and implementation issues that companies face in mergers and acquisitions (M&A), particularly in an emerging market such as China. The three-part case is about Sunac, a real estate company listed on Hong Kong Stock Exchange (HKSE), and its various attempts to expand by acquiring other real estate businesses in China. Case (A) describes the overall industry environment, value chain, and analyses of Sunac (the acquirer) and Greentown (the target). It explains the macroeconomic background and the details of proposed transaction in May 2014. Case (B) reveals what happened after Sunac had paid HKD6.3 billion for Greentown. Case (C) describes two further acquisition attempts by Sunac in 2015 - of Kaisa and Yurun.
This case tells the story of InVenture, a data science company based in California, that has created a machine learning algorithm to identify the creditworthiness of those with no credit history by tracking their mobile data patterns. With this technology they define a credit score and can issue a loan almost instantly to the borrower via a mobile phone. The technology behind InVenture has been used to develop a smart phone app - Mkopo Rahisi - which enables loans to be approved quickly to small business owners in Kenya.
Supplement to case IN1281. This case tells the story of InVenture, a data science company based in California, that has created a machine learning algorithm to identify the creditworthiness of those with no credit history by tracking their mobile data patterns. With this technology they define a credit score and can issue a loan almost instantly to the borrower via a mobile phone. The technology behind InVenture has been used to develop a smart phone app - Mkopo Rahisi - which enables loans to be approved quickly to small business owners in Kenya.
Sanofi Pasteur's newly approved dengue vaccine, Dengvaxia, was unusual in that it was launched in the Philippines and other at-risk countries. By choosing to "flip the model" - launch in an emerging market setting as opposed to developed markets - it had to overcome various obstacles across the value chain, from registration to financing to supply. The company spent 20 years and invested $1.7 billion to develop Dengvaxia, taking several high-risk decisions and making trade-offs along the way. The case highlights the stakeholder interdependencies and uncertainties that remained as the vaccine implementation programme crept closer. If successfully resolved, it could potentially offer a blueprint for others.
The case examines the downward spiral of Nokia, the mobile technology giant that once conquered the world, seen from the perspective of 'insiders' - based on interviews with Nokia executives at top and middle management level. They describe the emotional undercurrents of the innovation process that caused temporal myopia - an excessive focus on short-term innovation at the expense of longer-term more beneficial activities. Nokia's once-stellar performance was undermined by misaligned collective fear: top managers were afraid of competition from rival products, while middle managers were afraid of their bosses and even their peers. It was their reluctance to share negative information with top managers - who thus remained overly optimistic about the organisation's capabilities - that generated inaccurate feedback and poorly adapted organizational responses that led to the company's downfall. The case covers the period from the early 2000s to 2010, with a focus on 2007 (the introduction of the iPhone) to 2010, when the CEO left.
The Joffrey Ballet is a landmark Chicago nonprofit performing arts organization that helped shape the landscape of American ballet. In 2016, the Joffrey was at a point of transformation after a period of financial crisis and artistic decline. It had successfully raised $4 million for the widely anticipated new production of the Nutcracker. With annual revenues at around $20 million, this production represented a significant investment, and the organization needed to continue its artistic momentum while maintaining fiscal responsibility. The leadership team decided to launch an $80 to $120 all-funds campaign to ensure the artistic and financial health of the organization. Known for its diversity, the Joffrey Ballet had a history of balancing highly athletic performances of canonical works with boundary-blurring new ballets. Founded in New York City in 1954, it carved a niche as the distinctly American company in the ballet ecosystem known for its classical European influences. After its relocation to Chicago in 1995, the ballet relied upon its New York reputation in the face of financial and artistic woes. By 2016, however, the Joffrey Ballet was poised to reemerge as a major player in the national and international dance landscape. It had just celebrated its 60th anniversary and its 20th year in Chicago, and the leadership team debated the essential areas for investment going forward. The endowment, currently at about $1.4 million as of June 30, 2016, needed to be grown. The profitable Academy needed more space and funds to grow, while Community Engagement programs offered the potential for impact in the community. Programming large-scale works from the most important choreographers was essential but costly. In order to attract donors and secure the Joffrey's future, the organization needed to craft a compelling fundraising case supported by a sound business plan.
This case examines the recent emergence of Chinese business philanthropy through the case of the SOHO China Foundation established by the wife and husband real estate moguls Zhang Xin and Pan Shiyi. It begins by describing the early careers of Zhang and Pan, and how they came together to create a highly successful real estate company active in Beijing and Shanghai. The case puts their creation of the SOHO China Foundation in the context of the wider emergence of business philanthropy in China, especially after the Sichuan Earthquake in 2008, and under the heavy influence of the government and the growth of inequality. Zhang and Pan deviated from the norm by limiting their domestic philanthropy while endowing $100 million to create financial aid for Chinese students to obtain undergraduate education at top universities in the United States. A $15 million gift to Harvard and a $10 million gift to Yale was part of this initiative. Their two sons attended those universities shortly afterwards. The gift to rich American universities received considerable criticism in China, as did the couple's failed attempt to sell SOHO China to Blackstone in 2021. The case ends with the implications for Zhang and Pan's philanthropy of the changing political situation after 2016, including the anti-corruption campaign, multiple new restrictions on the real estate sector, and President Xi's pursuit of common prosperity which encouraged the wealthy businesses and people to give back to society. The case can be taught in courses concerning business and philanthropy, and more generally on the real estate sector in modern China.
Zurich Insurance was undergoing organizational change after implementing five new people practices focused on: manager development, diversity and inclusion, job model and data analytics, recruitment, and talent pipeline. The case provides background of the company, as well as a description of how its culture was changing and how its allocation of resources was being examined as it tried to improve its position in the marketplace. Students are asked to prioritize which people practices are most important for Zurich as it tries to shift its culture and more effectively leverage its human capital in order to reach its organizational goals.