The case describes a five-year effort (2006-2011) of distribution rationalization and consolidation at Ford. The financial crisis in the second-half of 2008 forced GM and Chrysler into bankruptcy. Having completed the distribution overhaul work by 2011, its senior managers wondered how the transformed distribution channel would meet the needs of its new product strategy developed in response to the financial crisis.
Senior management at PSI, arguably the world's largest and most successful social marketer with impressive achievements in the field of family planning, HIV/AIDS, and malaria prevention must determine what to do about their slow-to-take-off clean water initiative. PSI's point-of-use products offered effective protection against water-borne diseases, especially diarrhea, yet the organization found it hard to attract donor funds to sustain the initiative. Its managers must determine how to alter their strategy going forward.
Founded in 1984, Dell Corp. has achieved phenomenal growth, and by 2000 had topped $25 billion in sales and over $2 billion in net income. In the 4th quarter of 2000, however, the PC industry's average 30-year growth rate crashed to a negative 10%. Dell must make difficult decisions on how to sustain its profitability in light of its broad product portfolio--PCs, workstations, and servers on storage products for a broad cross section of customers in the United States and worldwide. Should it stay the course or fundamentally change strategy?
Merrill Lynch, a full-service brokerage firm with $1.5 trillion in client assets, is under attack from both discount and electronic brokerage firms. It responds with Integrated Choice, a suite of products designed to capture clients from the do-it-yourself investor who doesn't want to use a broker to clients who want to rely completely on a broker. The strategy is high risk and requires a sea change from the company.
This case traces why the $1 billion women's clothing retailer decided to attract younger customers, what went wrong, and the actions taken to recover. By the end of 1999, the company has reestablished itself and faces several growth opportunities and must decide on the best course of action.
Despite revenues in excess of $93 million in 1998, world-renowned Dana-Farber Cancer Institute constantly faces an operating shortfall and looks to its highly successful development office to help cover the deficit. The development office raises money annually (with a $42 million goal for 1999) through its two major fund-raising arms: the Development Fund and the Jimmy Fund. In addition, it conducts a major capital campaign about every five years. A new chief development officer, Susan Paresky, needs to establish the development strategy going forward. The case reviews the major fund-raising programs in the development office and presents additional growth options. Students examine the existing programs, assess the value of the new options, and devise a development strategy consistent with the mission and philosophy of the institute.
Over the course of 12 months in 1997 and 1998, Egghead senior management decided to shut down its 180 brick-and-mortar retail stores and move to an electronic store. The case describes the evolution of that process, and the role of its CEO George Orban, and poses questions on the company's future viability.
The management of Neiman Marcus, a highly successful luxury goods retailer, is considering ways to grow the business and continue to return in excess of 15% on capital. Among the options on the table is a jewelry store concept called The Galleries.
Dell started online commerce for its PCs in 1996, and by 1997 had achieved a sales rate of $3 million a day. The case describes the internal process that led to these dramatic results and poses the question of how the firm should leverage this activity to meet Michael Dell's goal of achieving 50% of the company's anticipated $20 billion in sales by the year 2000 via Internet channels.
Records the analyses and actions taken by Merck Pharmaceuticals in its acquisition of Medco, a channel intermediary (called "pharmacy benefit manager"). While many of its competitors seem to be faring poorly, Merck seems to have managed the Medco integration superbly.
C-Car was the first automobile retailer in the United States to go public. Subsequently the owner, Mr. Gilliland, must decide how to invest the capital raised from the public ownership. This case describes in detail C-Car's highly profitable strategy of managing its stores. Concerns four potential acquisitions and their fit within C-Car's strategy.
Vistakon, an independent and entrepreneurial subsidiary of Johnson & Johnson, pioneered the production and marketing of disposable contact lenses with the 1987 launch of Acuvue, the first disposable extended-wear lens--a soft contact lens that patients wear for a period of less than two weeks and then abandon. By 1993, Acuvue was the leading brand of soft contact lens in the United States. In March 1994, Gary Kunkle, president of Vistakon, was presented with the test market results for an addition to the firm's product line, 1 Day Acuvue, the world's first daily disposable contact lens. The test market results raised a number of strategic issues relating to: 1) the positioning and pricing of the new daily wear disposable product; 2) cannibalization of the firm's existing extended-wear disposable lens; and 3) the mix of push and pull components required for the introductory marketing campaign to be effective in generating and coordinating demand from both eye-care professionals and consumers. In deciding how to proceed, Kunkle must evalute the risks associated with commencing an immediate launch with an unproven strategy as opposed to extending the test market.
One third of the 24 National Hockey League (NHL) teams are unprofitable. Another third are barely profitable. This case provides the background and market research data to help the senior managers of the NHL make decisions pertaining to how they would like to grow the fan base. The two choices under consideration are network advertising and grassroots marketing.
Nestle Co.'s Refrigerated Foods Division has very successfully launched its Contadina brand pasta and sauces. The new product has achieved nearly $100 million in sales in three years. The division now considers an extension into the pizza line. This case provides a detailed look at the use of simulated test markets to forecast a new product's potential.