• Zhiyuanhui's Digital Innovation: Technology First or Scenario First?

    This case details the journey of Chengdu Zhiyuanhui Information Technology Co., Ltd. (referred to as "Zhiyuanhui") in pioneering digital innovations within public transport since its inception in 2010. From the start, Zhiyuanhui resolutely adopted a strategy combining digital technology innovation with scenario-based applications. By continually refining these integrations, Zhiyuanhui introduced first-of-their-kind products to the world. These included the "Smart Screen," "QR Code Riding," "Facial Recognition Riding," and "Masked Facial Recognition Riding," providing an ever-evolving comprehensive smart transit management service system in settings such as subways. In 2020, Zhiyuanhui ventured into smart city construction, bringing achievements as well as new competitive challenges and market conditions. By February 2022, it had become imperative for Deng Bo to reevaluate Zhiyuanhui's long-held development strategies. How could they refine their smart city model of "digital technology + scenario operations" within the smart transportation domain? Moreover, what strategic priority should have been assigned to digital technology versus scenario operations?
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  • The WeChat Ecosystem: Unleashing the Potential of the Long Tail to Stay Innovative

    This case illustrated the business ecosystem of WeChat from two perspectives. From an external perspective, the WeChat ecosystem was part of Tencent's overall ecosystem. Using this perspective, the case examined the external relationships between the WeChat ecosystem and the external environment. Looking closely, the various parties collaborating on the WeChat platform formed an ecosystem. From an internal perspective, the case examined the internal relationships within the WeChat ecosystem. The platform was not a closed, impenetrable ecosystem. Expertise, resources, and value could flow in and out, enabling sharing and exchanges. However, it was not entirely open. Certain boundaries protected the independence and distinctiveness of the WeChat ecosystem. As a result, participants better suited to the nature of the WeChat ecosystem would thrive. Externally, WeChat was born with the mission of delivering Tencent's new strategy to encourage openness and sharing, representing Tencent's determination to change after its former core product, QQ, was accused of monopolistic behavior. Apart from serving the more extensive "Tencent ecosystem," WeChat was also developing its own ecosystem. The two systems supported and empowered each other. Internally, WeChat helped various types of participants find their most appropriate roles within WeChat. Through product and function design, capacity empowerment, resource channeling, and rulemaking, WeChat ensured there was room for key enterprises, users, distributors, suppliers, and even competitors. All parties would find their proper places. In this newly established value network, WeChat would help capital, information, and traffic flow in an orderly manner. Different parties could seek monetization and exchange value to sustain their survival, co-exist with others, and contribute to a symbiotic environment.
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  • Alibaba's Values Dilemma

    This case starts by exploring the brief history of Alibaba from 1999 to 2020 from the perspective of strategy and values. The case shows how a company's strategy and values are mutually interdependent, but each retains a degree of autonomy. Values are based on and then applied to the implementation of strategy. The case next describes how Alibaba used values to influence and check employee behavior. It highlights Ali's unique value-centric rules, organizational structure, and value-based KPIs while describing the company's evolution toward a more flexible approach concerning values. It links this evolution to the company's different development stages. The case concludes by specifying the challenges Ali faced and would face in enforcing and popularizing its values, namely (i) business expansion was bound to dilute Ali's values; and (ii) business diversification would introduce other business cultures. The main purpose of this case study is to identify potential solutions to these challenges.
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  • Advantech: Evolution of Its IoT Ecosystem Strategy

    This case describes why and how Advantech Co., Ltd. (hereinafter referred to as Advantech) has transformed in the age of the Internet of Things (IoT). Aware of the ecosystem attributes of the IoT industry and committed to the company's principle of altruism, Advantech strategically positioned itself as an "IoT platform provider" and an "enabler" of IoT applications. Since carrying out reforms in terms of its internal management, external cooperation, and development model, Advantech has evolved from an industrial computer maker into an IoT solution provider. Since the launch of the "co-creation model" at the end of 2016, Advantech has drawn attention from many excellent companies in traditional industries. With the Internet of Everything close at hand, Chairman KC Liu is well aware that there are many challenges to overcome as Advantech strives to build an industrial IoT ecosystem, the evolution continues. Case discussion will be carried out based on a three-step analysis of ecosystem strategy (seeing the ecosystem-choosing your position-winning the game) proposed by Ron Adner. Students will take a close look at the critical decisions made by Advantech as it made inroads into the IoT ecosystem as well as its organizational transformation and exploration as the company implemented strategic decisions. Through this case, students will not only learn about the latest developments of the emerging IoT industry, but will also gain a systematic understanding of "ecosystem strategy" and get to know a new corporate growth model called "co-creation."
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  • Building Smart Neighborhoods at Bouygues

    Can a consortium of 16 organizations, including multinational corporations, local government agencies, and startups, turn a run-down Paris suburb into a "smart" (ecologically viable, high-tech, livable) neighborhood? This case explores how Bouygues Immobilier led such a project involving Alstom, Bouygues Energies & Services, Bouygues Telecom, EDF (Electricity of France), ERDF (Electricity Distribution Grid of France), Microsoft, Schneider Electric, Steria, and Total in Issy-les-Moulineaux (France). The enormous scope and diversity of the project is presented as well as the teaming strategies and governance model that facilitated its success. IssyGrid® earned the "Golden Issy" and "Grand Paris," among other awards, for its innovation and performance.
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