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Bharti Airtel's "Airtel Zero": Violation of Net Neutrality?
In April 2015, Bharti Airtel - India's largest telecom provider and a leading global telecommunications company - launched Airtel Zero, an open marketing platform that would allow Airtel customers to access mobile applications with zero data charges. Application developers would pay Airtel to join the platform, but would in turn attract more users to their products. Immediately after its launch, Airtel Zero was subjected to severe criticism on the grounds that it violated the net neutrality principle, which advocated that content should be available to customers without any form of prioritization. Subsequently, in support of net neutrality, Flipkart - a prominent Indian e-commerce company - pulled out of the platform. Was Airtel Zero a potential threat to net neutrality? With the pending decision of the government of India on the regulatory framework for over-the-top (OTT) applications and services, would Airtel Zero stand out as a viable platform? -
Parachute: Competition and Collaboration in the Market to Save Lives
Four Canadian non-profit organizations have a mandate to prevent injuries and face similar and worsening problems. Each organization is spending an escalating amount of time fundraising to support its operations. Key stakeholders are expressing confusion because injury prevention is a crowded space and many non-profit organizations are seeking both dollars and partnerships. Most troubling, the four non-profit organizations are struggling to assess whether they are actually making a difference by preventing injuries and saving lives. The leaders of the four organizations must decide how to proceed - and whether the best solution is offered by collaborative or competitive strategies. Use role play supplements. -
Gujarat Fisheries Central Co-operative Association Limited
Mr D M Patel, Senior Manager, Mobile Fish-selling Vans project, Gujarat Fisheries Central Co-operative Association Limited (GFCCA), had to present a plan to the Governing Body for the project which had been making losses for the last few years. He had GFCCA's annual accounts for 2009-2010 with him, but did not have specific details on the financial performance of the three vans. He needs to decide whether the project should be wound up or should undergo some modifications, while taking into account the objectives of the Governing Body. This case is meant for use in an introductory class in decision making for postgraduate or undergraduate management students to illustrate the process of rational decision making. It is also aimed at helping students write decision reports. The case requires the student to intuitively arrive at an understanding of the problem of fixed costs not being covered by the margin that the project is allowed to make, thus making sales volume a critical factor in breaking even. A second aspect that the students will have to identify is the possibility of reducing fixed costs by addressing cost inefficiencies or by making operational changes. -
Uber in China: Driving in the Gray Zone
CEO and founder of Uber Technologies, Travis Kalanick, had made clear to investors and the public that expansion into China was one of his company's major priorities for 2016. Uber had already demonstrated remarkable capacity for rapid, global scaling and for operating despite its unclear legal status in many markets. But the China market, while offering Uber unprecedented opportunity in terms of customer demand, presented Uber with a host of new challenges, including a murky regulatory framework and a strong, native incumbent, Didi-Kuaidi, that boasted the lion's share of the ride-hailing market. Could Uber overcome these obstacles and thrive in the China market? -
The Allergan Board Under Fire (A)
In 2014, the Allergan Inc. board of directors received a surprise takeover offer from Valeant Pharmaceuticals in alliance with hedge fund activist Bill Ackman's Pershing Square Capital Management. In the unprecedented arrangement between an acquirer and a hedge fund activist, Pershing Square had quietly amassed a 9.7% stake in Allergan prior to the Valeant bid, making Pershing Square Allergan's largest shareholder. The case presents students with many of the decisions Allergan's directors faced amid challenges to Allergan's governance, management, and business model. In particular, the Allergan board must decide whether to pursue a $10 billion acquisition of Salix Pharmaceuticals while under threat of a proxy contest and a special shareholder meeting to vote on replacing Allergan's directors with a slate more favorable to the Valeant merger. The proposed Salix acquisition would give Allergan a new therapeutic market but would also make Allergan too big for Valeant to acquire. -
The Allergan Board Under Fire (B)
In 2014, the Allergan Inc. board of directors received a surprise takeover offer from Valeant Pharmaceuticals in alliance with hedge fund activist Bill Ackman's Pershing Square Capital Management. In the unprecedented arrangement between an acquirer and a hedge fund activist, Pershing Square had quietly amassed a 9.7% stake in Allergan prior to the Valeant bid, making Pershing Square Allergan's largest shareholder. The case presents students with many of the decisions Allergan's directors faced amid challenges to Allergan's governance, management, and business model. In particular, the Allergan board must decide whether to pursue a $10 billion acquisition of Salix Pharmaceuticals while under threat of a proxy contest and a special shareholder meeting to vote on replacing Allergan's directors with a slate more favorable to the Valeant merger. The proposed Salix acquisition would give Allergan a new therapeutic market but would also make Allergan too big for Valeant to acquire. -
Altessa Motors: Ericka Schmidt in China
The marketing manager at a luxury car company attempts to deal with a range of issues that have surfaced in her first two months in the company's new China country office. China is a fast-growing country and is seen as one of the potentially largest markets for this brand of luxury vehicles in the future, and for that reason, the company has recently set up a country office to support market development efforts. In her attempts to make inroads in the China market, the marketing manager struggles to deal with issues related to language barriers and unfamiliar cultural norms for conducting business. As well, as a woman working in a male-dominant industry within a patriarchal society, she faces some resistance from staff and clients in terms of gender bias. She wonders how best to deal with these challenges while trying to establish her dealership's brand in the Chinese market for luxury sports cars. -
Introduction to Company and Industry Research
Company and Industry Research: Strategies and Resources is a five-chapter book published by Business Expert Press in 2016 and written by Hiromi Kubo, business and economics librarian at California State University, and Thomas J. Ottaviano, business and economics librarian at Cornell University's Mann Library. The focus of the book is to provide practical guidance for conducting effective business research. The authors describe important characteristics of research and emphasize the need for evaluating information gathered. They review several sources of business, industry, and general research. They also offer practical insight into the elements of a business plan. Chapter 1, Introduction to Company and Industry Research (6 pages), reviews the current environment of technology-enabled access to information. The authors emphasize the need to evaluate information gathered in a business setting because it is used strategically. They warn that the abundance of information available adds to the difficulty of determining the quality of the information. They identify the characteristics of business research as focused on problem-solving, time-sensitive in nature, and the need to be cost-effective. They also differentiate between primary research, which is original data directly from the source, and secondary research, which is data gathered from published sources. They also provide a brief explanation of five strategies for effective research: determining what information to gather, developing a plan, locating reliable information, asking experts, and analyzing information before acting. -
Company Research
Company and Industry Research: Strategies and Resources is a five-chapter book published by Business Expert Press in 2016 and written by Hiromi Kubo, business and economics librarian at California State University, and Thomas J. Ottaviano, business and economics librarian at Cornell University's Mann Library. The focus of the book is to provide practical guidance for conducting effective business research. The authors describe important characteristics of research and emphasize the need for evaluating information gathered. They review several sources of business, industry, and general research. They also offer practical insight into the elements of a business plan. Chapter 2, Company Research (30 pages), reviews resources for finding information from sources in two categories: corporate profiles, reports, and analysis and company financials. The authors explore key considerations that will impact the information available to the researcher. First, whether a company is public or private, and second, whether the company is located in the Unites States or internationally. They also discuss the nature of financial research and review the key documents available for US companies, as well as providing a detailed review of financial concepts. They also review several resources for corporate information, including Hoovers, Mergent Online, LexisNexis Academic, and ESG Manager, as well as two resources for financial information, the Almanac of Business and Industrial Financial Ratios and the Risk Management Association. -
Industry Research
Company and Industry Research: Strategies and Resources is a five-chapter book published by Business Expert Press in 2016 and written by Hiromi Kubo, business and economics librarian at California State University, and Thomas J. Ottaviano, business and economics librarian at Cornell University's Mann Library. The focus of the book is to provide practical guidance for conducting effective business research. The authors describe important characteristics of research and emphasize the need for evaluating information gathered. They review several sources of business, industry, and general research. They also offer practical insight into the elements of a business plan. In Chapter 3, Industry Research (28 pages), the authors review resources about business industries, news and trends, data and analysis, and trade. The authors emphasize the importance of understanding the industry in which a business operates and describe how Porter's Five Forces provides a universal structure for industry analysis. They suggest that the most important step for the researcher is to define the industry suited to his or her company and review standardized industry classification system codes, North American Industry Clas¬sification System (NAICS). They also offer practical tips on conducting industry research and review the sources listed at the beginning of the chapter, including Business Insights: Essentials, IBISWorld, Mintel, Factiva, Bloomberg, U.S. Bureau of the Census, and ABI/INFORM Complete. -
Further Resources for Business Research
Company and Industry Research: Strategies and Resources is a five-chapter book published by Business Expert Press in 2016 and written by Hiromi Kubo, business and economics librarian at California State University, and Thomas J. Ottaviano, business and economics librarian at Cornell University's Mann Library. The focus of the book is to provide practical guidance for conducting effective business research. The authors describe important characteristics of research and emphasize the need for evaluating information gathered. They review several sources of business, industry, and general research. They also offer practical insight into the elements of a business plan. Chapter 4, Further Resources for Business Research (16 pages), reviews additional sources for information. The authors review sources of economic data and information, consumer and marketing research, and international business information. Specific sources include Federal Reserve Economic Data, World Bank Data, SimplyMap, and CIAWorld. -
Business Plans
Company and Industry Research: Strategies and Resources is a five-chapter book published by Business Expert Press in 2016 and written by Hiromi Kubo, business and economics librarian at California State University, and Thomas J. Ottaviano, business and economics librarian at Cornell University's Mann Library. The focus of the book is to provide practical guidance for conducting effective business research. The authors describe important characteristics of research and emphasize the need for evaluating information gathered. They review several sources of business, industry, and general research. They also offer practical insight into the elements of a business plan. In Chapter 5, Business Plans (20 pages), the authors offer practical tips for creating an effective document. They review common elements of a business plan and offer insight into developing each section and what information to include. The common components covered include: executive summary, company description, description of products/services, industry analysis, market analysis, organizational structure, a marketing plan, an operations plan, other key strategic plans, financial analysis, and request for assistance. The authors explain that although there is not one way to write a business plan, researchers should consider all of the elements listed. -
How CEOs Can Leverage Twitter
Few CEOs of large companies leverage the power of Twitter to the fullest extent. As of September 2014, only 42 Fortune 500 CEOs had Twitter accounts. The authors argue that rather than waiting for impressions to be driven by the media or by individuals with ulterior motives, CEOs can use Twitter to help shape their public image and that of their companies. The authors studied the Twitter activity of 25 CEOs of publicly traded companies who were active on Twitter and identified common patterns and themes. Based on the type of content tweeted most often, the authors classified the CEOs they studied into four groups: Generalists, Expressionists, Information Mavens, and Business Mavens. Generalists used Twitter to share a wide range of content. At times they tweeted about personal opinions and interests; other times, they tweeted information closely related to the business (for example, strategy, existing products and services, customer references, etc.). However, on average they had the smallest networks among the groups of CEOs, perhaps because they were not sharing information that was unique. Expressionists used Twitter extensively for non-business content sharing. These CEOs shared their opinions about events and politics and gave their followers an insight into their daily lives. In many ways, they used Twitter as a brand-building platform for themselves as they do for their companies. Information Mavens frequently shared links to information, news, and other happenings. However, they did not generally tweet information specific to their company, acting more like curators of content. As a result, relatively few people retweeted or "favorited"their tweets. Business Mavens used Twitter extensively and primarily shared business-related content. In contrast to the other CEO groups that the authors identified, Business Mavens often shared new product announcements, information about existing products, customer references -
The Founder of TOMS on Reimagining the Company's Mission
In the fall of 2012 the author decided he needed to do some soul searching. The start-up he'd founded six years earlier had grown into a global company with more than $300 million in revenue, and it was still delivering on its promise to donate a pair of shoes for every pair sold, but Mycoskie felt disillusioned. His days were monotonous, and he had lost his connection to many of the executives in charge of daily operations. He and his wife moved to Austin, Texas, so that he could take a sabbatical. He dedicated a lot of time to private contemplation, but he also spoke regularly with his executive coach, entrepreneur friends, and business nonprofit leaders he admired. He traveled to conferences around the country to learn from experts in social enterprise and international development. And he read "Start with Why," by Simon Sinek, about leaders who inspire action and companies that create compelling products. All this, combined with a chance conversation about the coffee trade in Rwanda, led to the creation of TOMS Roasting--which, like TOMS Shoes, would have a one-for-one model: For every bag of coffee sold, the company would provide a week's worth of clean water to a person in need. As TOMS approaches its 10th anniversary, the author writes, he feels more energized and committed than ever. -
The Biology of Corporate Survival
U.S. public companies are dying at faster and faster rates; in fact, they have a one in three chance of being delisted in the next five years. Why? They are failing to adapt to the growing complexity of their environments, the authors argue--misreading those environments, selecting the wrong approaches to strategy, or failing to support a viable approach with the right behaviors and capabilities. Drawing on their research at the intersection of business strategy, biology, and complex systems, BCG's Martin Reeves and Daichi Ueda, along with Princeton biologist Simon Levin, describe six principles that confer robustness in what's known as "complex adaptive systems"--principles that are directly applicable to business. Firms should: (1) Maintain heterogeneity of people, ideas, and endeavors; (2) Sustain a modular structure of loosely connected components; (3) Preserve redundancy among components; (4) Expect surprise, but reduce uncertainty; (5) Create feedback loops and adaptive mechanisms to ensure the variation, selection, and propagation of innovations; and (6) Foster trust and reciprocity in their business ecosystems. Rising corporate mortality is an increasing threat, and the forces driving it are likely to remain strong for the foreseeable future. Understanding and implementing the principles that create robustness in complex adaptive systems can mean the difference between survival and extinction. -
Manage Your Emotional Culture
Most companies don't realize how central emotions are to building the right culture. They tend to focus on cognitive culture: the shared intellectual values, norms, artifacts, and assumptions that set the overall tone for how employees think and behave at work. Though that's incredibly important, the authors' research shows that it's only part of the story. The other critical part is emotional culture, which governs which feelings people have and express at work. Barsade and O'Neill have found that emotional culture influences employee satisfaction, burnout, teamwork, and even "hard" measures such as financial performance and absenteeism. So when managers ignore or fail to understand it, they're glossing over a vital component of what makes organizations tick, and their companies suffer as a result. By not only allowing emotions into the workplace but also consciously shaping them, leaders can better motivate their employees. This article describes some of the ways emotional culture manifests at work-for instance, in the form of joy, companionate love, and fear-and the impact it can have in a range of settings and industries. It also suggests ways of creating and maintaining an emotional culture that will help you achieve your company's goals. -
The Limits of Empathy
Empathy is all the rage pretty much everywhere. It's touted as a critical leadership skill, one that helps you influence others in your organization, anticipate stakeholders' concerns, respond to social media followers, and even run better meetings. But it has its limits. Empathy taxes us mentally and emotionally, and can even impair our ethical judgment. It's also a finite resource: The more we spend on one person or group, the less we have left for others. Expecting employees to continually drain their reserves can impair individual and organizational performance. Managers can prevent the ill effects of empathy and promote the good by using a few simple strategies. First, have people focus on certain sets of stakeholders, rather than asking them to understand and empathize with anyone and everyone. Second, help them meet others' needs in ways that also address their own so that they don't end up feeling depleted by every interaction. And third, give them empathy breaks, where they focus strictly on their own personal needs, to allow them to replenish their reserves. -
Collaborative Overload
Collaboration is taking over the workplace. According to data collected by the authors over the past two decades, the time spent by managers and employees in collaborative activities has ballooned by 50% or more. There is much to applaud about these developments-but when consumption of a valuable resource spikes that dramatically, it should also give us pause. At many companies, people spend around 80% of their time in meetings or answering colleagues' requests, leaving little time for all the critical work they must complete on their own. What's more, research the authors have done across more than 300 organizations shows that the apportionment of collaborative work is often extremely lopsided. In most cases, 20% to 35% of value-added collaborations come from only 3% to 5% of employees. The avalanche of demands for input or advice, access to resources, or sometimes just presence in a meeting causes performance to suffer. Employees take assignments home, and soon burnout and turnover become real risks. Leaders must start to manage collaboration more effectively in two ways: (1) by mapping the supply and demand in their organizations and redistributing the work more evenly among employees, and (2) by incentivizing people to collaborate more efficiently. -
Can Your Employees Really Speak Freely?
No matter how approachable you may be as a manager, chances are good that your employees are withholding valuable intelligence from you. Research shows that many people are more likely to keep mum than to raise important questions or suggest new ideas. Companies use a variety of tactics to get people to open up, like "climate" surveys and all-staff feedback sessions. But they usually fall short for two key reasons: a fear of consequences and a sense of futility. In this article, two professors look at how leaders' misguided attempts to promote candid expression fail to address-and sometimes stir up-those feelings. For example, if you ask for anonymous input, you may be signaling that it's not safe to speak openly in your organization. And if you don't act on feedback, employees will quickly come to believe that providing it is pointless. But there are several ways to create a much more vocal culture, say the authors. To make idea sharing less intimidating, tone down the power cues with employees, and gather feedback in regular, casual exchanges. Be transparent about the processes for gathering and following up on ideas. And if you really want to know what people think, go ask them. Research shows that when employees do speak up, organizations see increased performance. So getting all this right pays off-both for workers eager to make contributions and for their firms. -
The Innovative Power of Criticism
Thanks to powerful ideation approaches such as design thinking and crowdsourcing, it has become incredibly easy and relatively inexpensive for companies to obtain a vast number of novel concepts, from both insiders and outsiders such as customers, designers, and scientists. Yet many organizations still struggle to identify and seize big opportunities. That's because major changes in society and technology fundamentally challenge the conventional understanding of what is valuable, rendering obsolete whatever criteria companies are using to identify customer problems they could address. To see which ideas truly have potential, managers need new assessment criteria. From studying and working with 24 companies that have succeeded in capturing big opportunities, the author has devised a process to create such criteria--one that is rooted not in the art of ideation but in the art of criticism. It engages a company's own employees and helps them articulate their individual visions. These are then compared and discussed, first in pairs and later in a group, in order to distill them into a handful of even better proposals. The views of outsiders are sought only at the end.