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  • Nordstrom: Expansion into Canada

    In August 2016, it had been almost two years since American fashion retailer Nordstrom opened its first Canadian store in Calgary. Nordstrom believed Canada to be an ideal location for its global expansion. Executives identified the country as a potential US$1 billion opportunity with no language barrier and a population with a higher average income than in the United States. Despite this enticing potential market, Nordstrom executives entered Canada with a slow, conservative approach. Nordstrom faced slow economic growth in Canada and fierce competition from other luxury retailers. Although Canada was an attractive potential market, increased competition and a changing economic environment presented new challenges to the retailer's international expansion plan. How could Nordstrom find success in Canada?
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  • Sprint: Turnaround in The U.S. Telecom Industry

    Sprint Corporation, a major U.S. wireless carrier, had been losing customers and suffering financially since its merger with Nextel in 2005. Sprint was also ranked the lowest among major U.S. carriers in terms of network speed and data performance. But a new opportunity emerged when the SoftBank Group acquired Sprint in 2013. The new chief executive officer (CEO), appointed in August 2014, publicly gave himself three to five years to turn around this major telecommunication company. The new CEO had a plan; however, he faced many challenges. Sprint had national brand recognition, but customers demanded improvements in network quality and service reliability, and the turnaround plan needed to be implemented in a capital-intensive industry with a saturated market. The optimistic CEO admitted that he faced the biggest challenge of his career. Would he be successful in turning around Sprint’s fortunes in this competitive industry?
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  • Sprint: Turnaround in the U.S. Telecom Industry

    Sprint Corporation, a major U.S. wireless carrier, had been losing customers and suffering financially since its merger with Nextel in 2005. Sprint was also ranked the lowest among major U.S. carriers in terms of network speed and data performance. But a new opportunity emerged when the SoftBank Group acquired Sprint in 2013. The new chief executive officer (CEO), appointed in August 2014, publicly gave himself three to five years to turn around this major telecommunication company. The new CEO had a plan; however, he faced many challenges. Sprint had national brand recognition, but customers demanded improvements in network quality and service reliability, and the turnaround plan needed to be implemented in a capital-intensive industry with a saturated market. The optimistic CEO admitted that he faced the biggest challenge of his career. Would he be successful in turning around Sprint's fortunes in this competitive industry?
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  • Netflix: International Expansion

    Netflix adopted an aggressive growth strategy to establish itself as a global force in the video streaming industry. To solidify its position as an industry leader, Netflix invested heavily in the production of in-house content. In January 2016, to deal with slow growth in the domestic market, the company announced an aggressive expansion of its services into a total of 190 countries, thereby giving Netflix coverage over nearly the entire world. International expansion did not come without its challenges. Netflix faced regulatory compliance issues in its targeted markets, competition with domestic competitors, and the need to satisfy local preferences. Was the enormous cost of such an aggressive expansion strategy the right direction for the company?
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  • Netflix: International Expansion

    Netflix adopted an aggressive growth strategy to establish itself as a global force in the video streaming industry. To solidify its position as an industry leader, Netflix invested heavily in the production of in-house content. In January 2016, to deal with slow growth in the domestic market, the company announced an aggressive expansion of its services into a total of 190 countries, thereby giving Netflix coverage over nearly the entire world. International expansion did not come without its challenges. Netflix faced regulatory compliance issues in its targeted markets, competition with domestic competitors, and the need to satisfy local preferences. Was the enormous cost of such an aggressive expansion strategy the right direction for the company?
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  • United Airlines: Frequent Flyer Program

    From 1980 to 2010, frequent flyer programs (FFPs) had evolved from simple customer reward programs to independent profit-generation business models. The airline industry had seen enormous success with FFPs, which had become businesses of their own. In June 2014, however, United Airlines announced that as of March 1, 2015, it would move from awarding miles based on distance flown to awarding miles for dollars spent per ticket, following in the footsteps of Delta Air Lines. According to the new mileage accrual plan, most United Airlines passengers would earn fewer reward miles. Many customers saw this change as a significant devaluation of award miles and complained about United Airlines’ new policy. Who benefited from the revenue-based FFPs and how would the new program affect the behaviour of United Airlines’ customers? Should American Airlines also adopt the revenue-based FFP?
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  • United Airlines: Frequent Flyer Program

    From 1980 to 2010, frequent flyer programs (FFPs) had evolved from simple customer reward programs to independent profit-generation business models. The airline industry had seen enormous success with FFPs, which had become businesses of their own. In June 2014, however, United Airlines announced that as of March 1, 2015, it would move from awarding miles based on distance flown to awarding miles for dollars spent per ticket, following in the footsteps of Delta Air Lines. According to the new mileage accrual plan, most United Airlines passengers would earn fewer reward miles. Many customers saw this change as a significant devaluation of award miles and complained about United Airlines' new policy. Who benefited from the revenue-based FFPs and how would the new program affect the behaviour of United Airlines' customers? Should American Airlines also adopt the revenue-based FFP?
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  • Gravity Payments: $70,000 Minimum Salary Company

    In April 2015, Dan Price, chief executive officer and founder of Gravity Payments, a private credit card processing and financial services company, announced that every employee would receive a minimum annual salary of US$70,000 over the next three years. Price said he was concerned about the increasing pay gap in the United States and news of his bold move went viral, causing debate over employee compensation plans and the wealth gap in society. At first, there was applause for his radical actions, causing an initial rise in new business. However, there was almost an immediate backlash both internally and externally. One senior worker at the company resigned, claiming that lesser-skilled workers would simply clock in and out while highly skilled workers were not similarly compensated with raises. A lawsuit was filed by Price's brother, a minority shareholder, who believed that the move would hurt the company. A number of clients left Gravity Payments while other companies criticized the move, saying it made them look stingy. Price attempted to tackle pay inequality by increasing salaries, but this created controversy. Employees were not the only stakeholders affected by Price's actions. What should Price do now?
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  • Gravity Payment $70,000 Minimum Salary Company

    In April 2015, Dan Price, chief executive officer and founder of Gravity Payments, a private credit card processing and financial services company, announced that every employee would receive a minimum annual salary of US$70,000 over the next three years. Price said he was concerned about the increasing pay gap in the United States and news of his bold move went viral, causing debate over employee compensation plans and the wealth gap in society. At first, there was applause for his radical actions, causing an initial rise in new business. However, there was almost an immediate backlash both internally and externally. One senior worker at the company resigned, claiming that lesser-skilled workers would simply clock in and out while highly skilled workers were not similarly compensated with raises. A lawsuit was filed by Price's brother, a minority shareholder, who believed that the move would hurt the company. A number of clients left Gravity Payments while other companies criticized the move, saying it made them look stingy. Price attempted to tackle pay inequality by increasing salaries, but this created controversy. Employees were not the only stakeholders affected by Price's actions. What should Price do now?
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  • Apple: Corporate Governance and Stock Buyback

    An activist shareholder who invested a significant amount in Apple's stock proposed a share repurchase program. If this proposal were approved at the annual shareholder's meeting, Apple would be in a position to buy back a significant number of its shares on the stock market, which would drive up the stock price. However, the executives and board of directors opposed the proposal and recommended that the shareholders vote against it. Apple's subsequent annual meeting of shareholders was scheduled to be held on Friday, February 28, 2014. Shareholders could either vote for the proposal or follow the recommendation of Apple's board.
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  • Apple: Corporate Governance and Stock Buyback

    An activist shareholder who invested a significant amount in Apple’s stock proposed a share repurchase program. If this proposal were approved at the annual shareholder’s meeting, Apple would be in a position to buy back a significant number of its shares on the stock market, which would drive up the stock price. However, the executives and board of directors opposed the proposal and recommended that the shareholders vote against it. Apple’s subsequent annual meeting of shareholders was scheduled to be held on Friday, February 28, 2014. Shareholders could either vote for the proposal or follow the recommendation of Apple’s board.
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  • Amway Korea: Creating Shared Value

    Amway Korea Ltd. faces both motivations and challenges as it pursues enhancement of the firm's social responsibility in a multi-level marketing industry. This case asks students to consider whether the firm's social participation can be an effective solution to gain legitimacy and enhance its reputation. Stakeholders and the general public have two different views about the firm's attempts at corporate social responsibility: the window-dressing view (that the firm is making a distrustful attempt to deceive stakeholders) and the value-enhancement view (that the firm is making a genuine investment to improve its responsibility and stakeholder value). Students are also introduced to the concept of creating shared value, which Amway Korea adopts as a strategic initiative in its role as a corporate citizen.
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  • Hyundai Securities: International Expansion

    Firms in Korea’s securities and brokerage industries have experienced fierce competition in the domestic market, which has led to international expansion being considered a popular strategic alternative. The chief executive officer of Hyundai Securities Co., Ltd., a Korean securities firm, envisions his company becoming the “pan-Asian market leader.” As a result, he is pursuing an international expansion strategy in Hong Kong and Singapore. However, given the popularity of international expansion in these areas, the markets are highly competitive. Has the CEO made an appropriate strategic decision?
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  • Hyundai Securities: International Expansion

    Firms in Korea's securities and brokerage industries have experienced fierce competition in the domestic market, which has led to international expansion being considered a popular strategic alternative. The chief executive officer of Hyundai Securities Co., Ltd., a Korean securities firm, envisions his company becoming the "pan-Asian market leader." As a result, he is pursuing an international expansion strategy in Hong Kong and Singapore. However, given the popularity of international expansion in these areas, the markets are highly competitive. Has the CEO made an appropriate strategic decision?
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  • Amway Korea: Creating Shared Value

    Amway Korea Ltd. faces both motivations and challenges as it pursues enhancement of the firm's social responsibility in a multi-level marketing industry. This case asks students to consider whether the firm’s social participation can be an effective solution to gain legitimacy and enhance its reputation. Stakeholders and the general public have two different views about the firm’s attempts at corporate social responsibility: the window-dressing view (that the firm is making a distrustful attempt to deceive stakeholders) and the value-enhancement view (that the firm is making a genuine investment to improve its responsibility and stakeholder value). Students are also introduced to the concept of creating shared value, which Amway Korea adopts as a strategic initiative in its role as a corporate citizen.
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  • Lenhage AG: Ethical Dilemma

    The general manager at the Seoul location of a European manufacturing company faces an ethical dilemma involving bribery and "facilitation" payments. A key decision maker in a local construction company's purchasing department has asked for a "facilitation" payment as a necessary condition for securing an order. If the expatriate manager decides to pay the money, he will secure an order that will lift his company to a new level of success for years to come. If he decides not to pay, the order and all the company has worked for over the last year will be lost. The expatriate manager must decide whether or not the payment would violate laws internationally, locally and in his home country. What are the real risks? Who can help him answer the many questions he has regarding this local practice?
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  • Lenhage AG: Ethical Dilemma

    In 2012, the general manager at the Seoul location of a European manufacturing company faces an ethical dilemma involving bribery and “facilitation” payments. A key decision maker in a local construction company’s purchasing department has asked for a “facilitation” payment as a necessary condition for securing an order. If the expatriate manager decides to pay the money, he will secure an order that will lift his company to a new level of success for years to come. If he decides not to pay, the order and all the company has worked for over the last year will be lost. The expatriate manager must decide whether or not the payment would violate laws internationally, locally and in his home country. What are the real risks? Who can help him answer the many questions he has regarding this local practice?
    詳細資料