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AMD management needs to make a critical decision on the launch sequence of its next-generation technology called Fusion. The Fusion processor concept merges the central and graphics processing units (CPU and GPU) onto one chip-- yielding advantages in performance (particularly graphics related), power consumption, and suitability for new computer form factors (tablets, all-in-one machines, etc.). AMD planned to launch Fusion at the beginning of 2011 with a high-end processor, code-named Llano, to impress the industry and consumers with the best the technology could offer (suited for high-end desktops and notebooks), and subsequently to launch low-powered versions, code-named Brazos (suited for small notebooks and netbooks). However, the development of Llano suffered delays while that of Brazos was ahead of schedule. AMD's executive committee raised the possibility of reversing the launch sequence and going with a "Brazos First" strategy. The case describes the microprocessor industry, its main competitors (AMD and Intel), and the evolving world of PC selling and buying. The case further provides a host of market research that AMD conducted to better understand the market. Students need to address the advisability of a reverse launch vs. waiting to launch all versions together and whether AMD can advance its competitive position relative to Intel with Fusion. Students need to outline their marketing approach (sales effort, pricing, consumer marketing, etc.) in the event that a reverse launch strategy is pursued.

Nike's Football division needs to devise a strategy to excel at the 2010 World Cup games in South Africa. Nike has gone from a niche player in the market for football apparel and footwear in 1994 to a formidable competitor to Adidas in 2008 (with revenues of over $1 billion for the sport). The case traces how Nike has gone about making this transformation and its activities at each of the World Cups since 1994. For the upcoming World Cup in South Africa, Nike has decided to change its target market focus and to use digital and social media platforms to connect more extensively with consumers. In addition, Nike plans to launch innovative new boots and engage in corporate responsibility and sustainability initiatives. The company has to do so in light of competition from archrival Adidas and the pressure of succeeding on the biggest stage in football, with billions of people around the world watching. The case allows students to analyze how a company can best integrate several value propositions into a cohesive plan and how it can best communicate with its chosen target market. It also allows for a rich discussion of the brand image the company needs to portray to leverage success beyond the World Cup event.

Gauri Nanda, the inventor of Clocky, the alarm clock that rolls off the bed stand and forces its owner to find it, has to make critical decisions regarding the future of her nascent company. As sales of Clocky show signs of declining, she must decide whether to continue her focus on the alarm clock category or to branch out into new categories. If the former, the question is which segments to pursue and what features to develop, and, if the latter, the question is whether the concept of "humanizing technology" is something consumers would value in other domains. In addition, Nanda must decide how to continue marketing Clocky and its successors, given the potential for cannibalization. Clocky's success was largely attributable to the media's intense interest and coverage, and it is not clear such attention would carry over to other new product endeavors. Students are presented with a number of new product concepts and the findings from both qualitative and quantitative market research. This allows for a rich discussion of how managers can think creatively about consumer experiences to inform their innovation strategies.

Although there's ample research to guide marketers in naming new products, little of it has addressed follow-on offerings, even though these make up the bulk of new products in many industries. Companies have two basic strategies to choose from. They can stick with a name, often adding a sequential indicator (PlayStation 2, PlayStation 3), or they can come up with an entirely new name (Nintendo's Wii). Three questions managers should consider when deciding whether brand-name continuation or brand-name change is the best way to go for their next-generation product.

Eleganzia Group management faces tough decisions heading into the summer of 2010. With tourism on the decline due to the global economic recession, General Manager Giannuzzi must decide how to set prices at the Forte Village Resort, the Group's most well-known property. His management team is further divided on whether the pricing model at the resort should change to being all-inclusive (as opposed to one where guests are charged for each additional activity or dining option on a pay-as-you-go basis), and whether to convert a large number of the 4-star rooms into 5-star suites. Recently acquired properties, such as the Castel Monastero in Tuscany and the Maddalena Hotel & Yacht Club in north Sardinia, pose a branding challenge. Can all the properties, including the Forte Village, be successfully brought under one umbrella brand, namely, Eleganzia? Moreover, what should the character of each these new properties be?

In April 2008, after successfully transitioning Octone Records to Universal Music Group and relaunching the label as A&M/Octone Records, president and chief executive officer James Diener is facing a new challenge. Diener and his executive team have trouble convincing a new, promising act, Paper Tongues, to join A&M/Octone on a so-called all-rights deal, which specified that the label would receive a percentage of all of the artist's revenue streams, including recorded music, concert-ticket sales, merchandising, commercial licensing, sponsorships, and endorsements. Negotiations have stalled. Should A&M/Octone hold on to its "all-rights or no deal" stance? Or was it time to switch to a recorded-music-only deal? Designed for use alongside "Octone Records," HBS No. 507-082, the case allows for an in-depth examination of new-product development and talent management strategies in the context of the music industry. The case provides rich insights into how contracts between labels and artists are structured, and how advances in technology are impacting the music industry and its players.

Virtually all managers in consumer businesses recognize major social, economic, and technological trends. But many do not consider the profound ways in which trends-especially those that seem unrelated to their core markets-influence consumers' aspirations, attitudes, and behaviors. As a result, companies may be ceding to rivals an opportunity to transform the industry. For instance, the impact of the digital revolution on consumers' daily lives is hardly a revelation. But it may be less obvious that heavy digital users tend to focus on short-term goals, demand immediate gratification, and expect to multitask. That insight, the authors argue, is as important for a company that sells lipstick as it is for one that sells smartphones. The authors present a process for identifying the trends that could reshape a business and three strategies for leveraging trends to create new value propositions: Infuse aspects of the trend into the product category to augment traditional offerings, as Coach did with its lower-priced Poppy handbags. Combine aspects of the trend with attributes of the category to produce offerings that transcend it, as Nike did with its Nike+ sports kit and web service. Or counteract negative effects of the trend with new products and services that reaffirm the category's values, as iToys did with its ME2 video game, which encourages children to be physically active.

What is next for healthcare IT provider American Well, whose innovative Online Care technology allows physicians to deliver care to patients online in real time? Using American Well's platform, patients with non-emergency health concerns can communicate with physicians online or by phone and receive advice or even a diagnosis without having to visit the physician's office. American Well's co-founders, Ido Schoenberg and Roy Schoenberg, believe this platform will reduce the cost of care delivery; create new revenue-earning opportunities for providers; and contribute to a more efficient, convenient healthcare delivery system. While the platform could benefit insurers, providers, employers, and patients alike, the company has only marketed to a few health insurance companies to date. In November 2009, 3 insurers have adopted the technology, and American Well expects several more to do so over the next 12 months. As the company plans to accelerate adoption by health insurers, it is also considering other growth options. Is it too early to commit resources to developing and marketing American Well's second-generation product, which facilitates real-time connectivity between primary care physicians and specialists? Should American Well pursue new markets in the U.S., such as hospitals, chains of clinics, and pharmacies, or even expand internationally? In a broader sense, American Well's technology solves the economic obstacle of time and place by connecting excess supply (of physician capacity) with excess demand (for patient care). Could this model be adapted to other industries, such as legal and accounting services? Alternatively, should American Well continue to focus solely on its primary product and on becoming the leader in the Online Care Industry?

The NFL faces a decision on how to continue efforts to grow its fanbase in the UK. The decision needs to take into account lessons learned from previous NFL activities in Europe, market research on the UK sports fan and the implications of any move on the U.S. fan. Moreover, the decision should be couched within the broader context of the NFL's goal to expand internationally. Alistair Kirkwood, head of NFL UK, and Chris Parsons, VP of NFL International, must propose a course of action that the London-based team can both execute and that will receive the approval of the NFL's commissioner and owners.

How will U.S. consumers respond to the proliferation of alternative-fuel vehicles, such as cars powered partially or completely by electricity, in the coming decade? After a century in which fossil-fuel-powered vehicles dominated the market, it appeared consumers would have an unprecedented level of choice as to the type of car they purchased and drove. Automakers were introducing various models that used electricity for power, and other power sources, such as fuel cells, were also seeing increased attention. Some observers believed the time was ripe for widespread adoption of these new vehicles: consumers and policymakers were increasingly concerned about the fallout of U.S. dependence on fossil-fuel-powered cars-namely, adverse environmental impacts and reliance on foreign sources of oil, plus the fluctuating price of gasoline-and innovative infrastructure technology was being developed to support electric-powered cars. Despite these promising developments, it remained unclear whether consumers were ready to switch to alternative-fuel vehicles on a large scale. Would they be willing to make the lifestyle trade-offs required for grid-dependent vehicles? How should policymakers intervene, if at all, to encourage adoption, and what marketing activities and incentives might firms employ to stimulate demand?

Tengion is a young biotech company that is at the frontier of regenerative medicine; a nascent field that seeks to promote the creation of new cells and tissue to repair or replace tissue or organ function lost due to age, disease, damage, or congenital defects. In late 2008 Tengion management faces a difficult dilemma. In light of the financial crises, the company needs to manage cash burn by prioritizing its R&D efforts. CEO Nichtberger needs to recommend to the board which of two promising new medical treatments to keep developing while placing the other on hold. In comparing the two options, a host of factors need to be considered-- these range from assessing the regulatory challenges, manufacturing challenges, marketing challenges (in particular pricing), and partnering challenges. Each of the treatments would target a unique patient population, that differ in both size and composition. Tengion must also consider how quickly it might expect to bring each of the two treatments to market. The decision could have significant long-term implications for the company's ultimate survival and success.

Emotiv is getting ready to launch its innovative brain-computer interfacing (BCI) technology. The company has developed a special headset, called EPOC, and highly sophisticated software that can translate a person's emotions, cognitive thoughts and facial expressions into digital outcomes. Emotiv wants the technology to be adopted by mainstream consumers and is leaning towards the video game market as its primary initial target. However, it needs to decide whether to continue efforts to convince one of the big three console makers (PS3, Xbox 360, Wii) to enable the EPOC on their platform or to settle for the PC gaming market. Alternatively, the company could have chosen a number of different markets to focus on (such as medical, military, market research). A host of additional marketing decisions (pricing, channels, bundling a demo game) need to be made. The case allows students to grapple with the issues of: selecting a target application for the launch of an innovation; determining the importance of having a big name partner for the launch by an unknown start-up; considering the wisdom of taking a B2C rather than B2B approach with a novel technology; using analogous products to forecast demand and sales for a new technology.

Marketers are often tasked with exploring the factors that impact the long-run adoption of a new product or technology. The new product under consideration here is the drug-eluting stent: a device which props open a clogged artery to the heart and then releases medication that reduces the risk of artery re-blockage. In light of recent medical and competitive trends in the market, the case prompts students to examine the future adoption of drug-eluting stents as well as to consider the potential marketing actions to be taken by Medtronic for ENDEAVOR - a newly approved stent that will hit the market in 2008.

This note develops a framework for considering the challenges of incorporating marketing input when setting innovation strategy. The framework lays out the possible innovation opportunities a firm can entertain and describes how the customer knowledge gained from conducting market research at the front end of NPD affects which of these opportunities the firm should pursue. Pitfalls in analyzing the customer data are described, along with guidelines on how to overcome them. The impact of competition in the context of setting innovation strategy under market uncertainty is also addressed.

Outlines the challenges faced by Sony with the launch of its PlayStation 3. Information on the 2006 and 2007 holiday seasons and the success of rival consoles is outlined. In addition, the case allows examining the costs and revenues associated with a business model based on the sale of the hardware and game titles. Can be used with "Home Video Games: Generation Seven" (505-072), which provides supplementary information on the industry.

In February 2007, Octone Records founders James Diener, Ben Berkman, and David Boxenbaum had been highly successful with the first two bands they had signed, Maroon 5 and Flyleaf. Known for its grassroots marketing campaigns, Octone operated through a unique joint venture model with SonyBMG Music Entertainment's RCA Music Group, which enabled the nimble record label to orchestrate mass marketing campaigns once an artist was ready for "prime time." Octone had been less fortunate, however, with its third act, Michael Tolcher. Despite significant investments, Tolcher's first full album had not sold enough copies to recover its costs and merit RCA's marketing support. Octone's executives faced a decision: whether to continue to support Tolcher's first album, increase the stakes by financing a second album, or cut their losses and instead focus on other artists. At the same time, Octone had to evaluate a proposal from Universal Music Group to buy out SonyBMG's interest in the joint venture. Allows for an in-depth examination of new product development and launch strategies in the context of the music industry. Provides rich insights into how grassroots and mass marketing approaches can facilitate new product/artist development. Octone's "hybrid" marketing structure is described in considerable detail, and supporting economic data is provided. By enabling an analysis of how long and how aggressively an artist should be supported before commercial success is achieved, serves as a vehicle for contrasting different approaches to the new product development process.

Examines the evolution of the PC hardware industry over the span of two and a half decades. The open architecture design of the IBM Personal Computer followed by the rapid appearance of clones drove a high level of standardization and modularity in the industry, and value was distributed along the value chain depending on levels of competition and ability to substitute components at each level. On the hardware side two component segments, the microprocessor and the graphics processor unit (GPU), ultimately became the most valuable parts of the chain. The GPU business had settled into a duopoly with Nvidia, Inc. and ATI Technologies (ATI). Intel had dominated the microprocessor segment, but Advanced Micro Devices (AMD) was consistently a thorn in Intel's side. Addresses the prospects of the graphics function becoming integrated with the microprocessor on a single piece of silicon. AMD had just announced the acquisition of ATI and Paul Otellini, Intel's CEO, is faced with the question of what he should do. Should he buy Nvidia, should he continue with his own internal graphics efforts, or should he listen to some of his customers and leave things separate?

Describes the dominant firm in the Korean cosmetics market up to the mid-2000s. Gives background on AmorePacific's historical evolution, its current brands, and the competition it faces from local and international players. Also provides information on the market structure and prominent channels of distribution.

An abstract is not available for this product.

AMD's launch of the Opteron microprocessor in 2003 has allowed the company to make inroads into the lucrative server segment. A long-time follower to Intel, AMD management felt it was in a position to lead the microprocessor industry in new directions. However, in 2006 it was not clear whether Opteron's success in the server segment would translate into success in other microprocessor segments, notably corporate desktop and laptop, and whether the initial success in servers could be sustained in the future. Intel's imminent new product and pricing plans, as well as its existing brand power, could greatly hamper AMD's growth and thwart its new initiatives--which included opening up its architecture for end users to customize and recast its brand identity. Also examines how a company tries to gain competitive advantage through an approach to innovation that emphasizes customer centricity.