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Managing Brand Crisis: Bud Light Cracks Open a Can of Controversy
This case provides a chronological view of Bud Light's sponsorship of Dylan Mulvaney, a transgender influencer, and the resulting impact. It helps students and executives consider both the decision-making process when working with influencers and other promotional partners and the steps that can be taken to minimize (and even prevent) the damage that can occur when a brand and business crisis results from a partnership. Students can explore the challenges associated with (1) identifying celebrities/influencers who align with a brand/consumer base/business and (2) managing reputational damage and crisis after it has occurred. The case offers opportunities for a deep dive into strategic partnerships, corporate response to crises, and marketing's role in preventing or minimizing negative consumer behavior. This case is well suited for undergraduate, MBA, executive MBA (EMBA), and executive education programs. For undergraduate students, it can be placed in a course on brand management, crisis management, brand activism, promotions, marketing strategy, management/leadership communication, or management strategy. For MBA and EMBA students, it can be placed in a first-year core marketing course or an elective on crisis management, management communication, management strategy, or brand management. At Darden, this case is used alongside two others: "Mickey Mouse Takes a Stand: Does Sociopolitical Activism Change the Disney Story?" (UVA-M-1031), and "Coke Puts Its Brand between a Rock and a Hard Place: Aligning Activism with Brand Purpose" (UVA-M-1019). -
Hairstrong: Working Out a Marketing Plan
Hairstrong sold hair scrunchies, and the business’s founder had experienced significant success since selling her first products in September 2019. Sales had reached CA$90,000, and media coverage came from outlets such as Good Morning America, Chatelaine, and Global News. However, the founder wanted to expand on the early success to double current total annual revenue and consider making Hairstrong her full-time occupation. This meant significantly expanding Hairstrong’s exposure geographically and building an efficient and targeted marketing plan. This would not be an easy task given the myriad opportunities the founder had to consider. -
Organo: Scaling Sustainable Eco-Habitats
Hyderabad-based real estate developer Organo, led by Nagesh Battula and Vijay Durga, aimed to disrupt the market with their third project, Organo Damaragidda, focusing on eco-friendly living in Telangana. Following the success of their previous projects, Naandi and Antharam, Organo faced challenges in reaching their target audience for Damaragidda. This case study talks about how they navigate the difficult path of marketing a niche product to new market segment. -
Crack-ED: Customer Journey of an Educational Technology Start-Up
It was the afternoon of December 17, 2020, and Debojit Sen was concerned about the future of his educational technology (EdTech) start-up, Crack-ED, which was founded in March 2020 in Gurugram, Haryana, India. Crack-ED provided training to recent business school graduates in order to help them secure jobs in the competitive, post-COVID-19 marketplace. Several other EdTech start-ups such as such as Scalar Academy and upGrad Education Pvt. Ltd. had also emerged to address the gaps in the Indian education system. Crack-ED faced two challenges: it needed to differentiate its service from that of its competitors and promote its relatively new brand of EdTech service platform in a highly competitive market with stronger players. Most EdTech companies were aggressively promoting their brand digitally. Search engine optimization, video marketing, and social media promotion were among the options available for Sen to promote Crack-ED, and each option had its own pros and cons. Sen wondered which digital promotion strategy would be the best fit for Crack-ED as the company’s promotional budget did not allow him to choose all options available. -
Launching the Magnite in times of the Pandemic: Nissan's resurgence in India
In 2019, Nissan India found itself facing a turbulent market situation as it contested market space against 14 competitors. Some of its recent product launches had not been well-received, and dealers nationwide were sceptical of associating with Nissan. The following year, Nissan appointed Rakesh Srivastava as the new Managing Director of Nissan Motor India Ltd. By the end of 2019, Srivastava had revamped the entire Nissan team and, by early 2020, he began to prepare for what would be Nissan's India market turnaround - the launch of the Magnite in the compact SUV market, one of India's fastest-growing personal vehicle segments. However, soon after the Magnite was conceived, the Covid-19 pandemic set in, and India went into an unprecedented lockdown. The economy came to a standstill, and every part of the value chain from brand communication, product launch, supply chain to customer service was paralysed. Nissan had to make several changes to meet emerging challenges at each step. Through concerted efforts, Nissan overcame hostile market forces and a negative reputation to emerge as the fastest-growing player in the market. It passed the 50,000 units manufactured milestone for the Magnite within two years, which provided a much-needed boost to its declining share and relevance in the Indian market. The case outlines the journey of Nissan Magnite's launch and draws lessons from the product launch. -
Infarm: Betting the (Indoor) Farm on Food Security
In the summer of 2023, the co-founders of Infarm, a controlled environment agriculture (CEA) company, were contemplating a major pivot going forward. While Infarm had successfully shown it could grow over 75 products-mainly herbs, leafy greens and mushrooms-in modular indoor facilities, and was able to sell the yield to major supermarket chains across Europe and North America for almost a decade, recent developments required a major rethink of the business. The dramatic rise in energy prices, especially in Europe, as a result of the Russia-Ukraine conflict, made growing crops indoors much costlier; inflationary pressures had further led retailers to look for cheaper produce alternatives. Consequently, Infarm had to shut down most of its growing centers. At the same time, the company's scientists had demonstrated the ability to grow wheat indoors, with a yield per square meter that was already thirty-eight times that of wheat grown conventionally in an open field. CEO Galonska and his leadership team were now pondering whether to shift the company's focus to wheat and target countries that desired to achieve food self-sufficiency. For the pivot to be successful, Infarm would have to convince leaders in these countries to heavily support (and subsidize) the creation of massive "gigafarms," capable of producing thousands of tons of wheat annually, as well as develop a plan for selling at least some of the yield commercially. Another decision facing management was what to do with the existing units in Europe. Infarm could either try to find a local player to take on their operation, or again aim for countries that imported much of their produce and ship the units there. Either way, Infarm would remain involved in technical and operational support under a Food as a Service (FaaS) model. -
Customer Data Privacy
This note provides an overview of the evolving landscape of customer data privacy in 2023. It highlights two pivotal aspects that make privacy a central concern for businesses: building and maintaining customer trust and navigating the intricate regulatory environments. The note examines common privacy risks and their potential impacts on businesses, including reputational damage and compliance issues. It also offers insights into the differences between European and American regulatory practices. Furthermore, the note explores prevalent business practices related to data privacy and the challenges faced by industry professionals. It concludes by analyzing the perspectives of both consumers and regulators on privacy, identifying key challenges, and posing thought-provoking questions for further exploration in this digital age. -
Manik Distribution Agency: An Existential Challenge
Mr. Dharamdas Desai was running a distribution agency in Madhopura, a town in the state of Madhya Pradesh, India. He asked his son, Paresh, to analyze the business’s financial situation. Paresh found that the business’s post COVID compound annual growth rate was around 4 per cent and the operating profits had also declined. Paresh looked at the business situation and wanted to revamp the business strategically. Paresh came out with three alternatives to revive their business, Manik Distribution Agency: diversify into new product categories distribution; adopt a hybrid model (distribution and retailing of the products); and enter into the digital/e-commerce market. Paresh wanted to keep the business, so he needed further clarification. -
Advantage Legrand: Building a B2B Brand
In January 2019, Mohit Sehgal, assistant manager in the marketing team of Legrand India (Legrand), part of a global conglomerate in the electrical and digital infrastructure sector, had been asked to propose initiatives to enhance the brand’s visibility and deepen stakeholder engagement based on the chosen brand platform: Advantage Legrand. The Legrand brand, present in India since 1996, represented a vast product portfolio and was connected to multiple stakeholders with diverse needs. It had successfully grown its business in India with a focus on customer-centricity, a heavy investment in research and development, and a focus on innovation and design. While Legrand was well-respected and strongly associated with premium, ethical products, brand awareness was limited, especially among end-consumers, and the brand was perceived as distant. The Advantage Legrand brand promise was initiated as a first step in increasing the brand’s charisma. Legrand had also worked to enhance customer and stakeholder experiences, expanding brand touchpoints to include experience centres and virtual showrooms and working to deepen its engagement with end-users through social media campaigns. One year after the launch of Advantage Legrand, Sehgal needed to propose a brand-building strategy for the coming year and work out the implementation details. He was excited as he prepared for his upcoming presentation. -
The End of Averages for Marketing Budgets
For marketers, budget averages have long equaled spending power â€" or vulnerability. When budgets are below average, CMOs seek more funding. When budgets are above average, CFOs seek to tighten the belt. However, the authors argue that marketing-budget averages can be misleading. Here’s what they learned about how marketing budgets break down across several more-specific factors â€" and how to make better comparisons â€" through their analysis of data from The CMO Survey. -
SenseTime Global IPO: Strategic Reaction to American Attack
Hong Kong-headquartered SenseTime Group Inc. (SenseTime) was founded in 2014 to commercialize artificial intelligence (AI) and was a global leader in deep-learning AI, with applications in Smart Business (facial recognition), Smart City (property damage and theft detection), Smart Life (interacting with the Internet of Things to improve consumer experience), and Smart Auto (autonomous driving). December 10, 2021, was supposed to be the date for setting the offer price for SenseTime shares in the company’s global initial public offering. Instead, it was the date that Xu Li, co-founder and chief executive officer of SenseTime, learned from Hong Kong Clearings and Exchange Ltd. that American President Joe Biden was about to designate SenseTime a Communist Chinese Military Company—an action that prevented American investors from legally investing in SenseTime, derailing the initial public offering. How should SenseTime alter its marketing, research and development, and listing strategies in the light of the American government’s actions? How would the increased tension affect the geographic, technological, and customer aspects of SenseTime’s efforts to drive business growth? -
Café Niloufer: Exploring Potential Growth Alternatives
In February 2022, Café Niloufer, based in Hyderabad, India, was contemplating transforming its product lines of Irani tea, onion samosas, and Osmania biscuits, to grow its customer base over several other competitive brands. Anumula Shashank, Café Niloufer’s managing director, wanted to update the brand by strengthening their product portfolio to meet the needs of new-age consumers. Cafes/lounges that provided a variety of beverages were projected to propel the competition in the coming years. Shashank wanted to grow the café business. He had three alternatives: add the products to the existing product line, add a new product line, or open new retail outlets. Shashank also wondered what analysis process and decision criteria he should use to make his decision. -
SenseTime Global IPO: Strategic Reaction to American Attack - Student Spreadsheet
Student spreadsheet for Ivey product W33293. -
SenseTime Global IPO: Strategic Reaction to American Attack - Instructor Spreadsheet
Instructor spreadsheet for Ivey product W33294. -
The more they know: Using transparent online communication to combat fake online reviews
Technological advances and shifts in consumer preference continue to further the critical roles that digital platforms and online word-of-mouth play in organizational success. Within this context, a key concern is the growing proliferation of fake online reviews, which mislead consumers and damage businesses' reputations, resulting in additional platform maintenance expenditures to curb this problem. This article demonstrates that a successful avenue to turn these expenses into effective investments is to embrace a culture of transparency by effectively communicating the platforms' actions online. To this end, we first provide evidence of the danger posed by fake reviews. Using data from Amazon.com and ReviewMeta, we show that reviews suspected as fake and deleted by Amazon's algorithms are, counterintuitively, more likely to be perceived as helpful by consumers. In addition, two experiments reveal that including subtle messages into the review section of an online retailing website, messages that communicate a company's efforts to remove fake reviews, can successfully improve both perceptions of consumer helpfulness and purchase intention. Finally, a four-stage framework, VIEW-verify, inform, explore, and watch-provides a roadmap for managers of online review platforms to combat the problem of fake reviews. -
Kickstarter: Crowdfunding for the Arts
Kickstarter was a virtual crowdfunding platform and community that allowed creators of all kinds to raise funding for creative projects. The executive team was wrestling with a tension in its business model: the organization earned the majority of its revenue from projects that were not closely aligned with its mission. The executives saw the mission as raising funds for art projects, however such projects only accounted for 3% of total funds raised. They were also concerned that societal interest in arts was declining. Kickstarter was a Public Benefit Corporation and therefore it measured its success by how well it achieved its mission, not by the size of its profits. -
Reliance Jio Infocomm Limited: Retailers’ Predicament
In 2016, Reliance Jio Infocomm Limited (RJio), a subsidiary of Reliance Industries Limited, disrupted the Indian telecom sector by offering consumers access to the latest cutting-edge fourth-generation (4G) data and voice services at affordable prices. Competitors alleged that RJio had indulged in predatory pricing to acquire customers, but they lost the litigation as the anti-trust regulator held that the company should enjoy the benefits of a start-up and no predatory pricing rules were applicable. Within five years of its launch, RJio had become the top Indian telecom company. In 2023, competitors had caught up by offering better services at equitable rates. Had RJio indulged in predatory behavior to establish itself in a price sensitive market? Could the company continue at the same pace in the future? Had RJio transitioned into a new role as a technology company? What role should retailers play in ensuring customer acquisition to support RJio’s future growth strategy? -
Mamaearth: Navigating Growth Beyond Baby Care
<p align="justify">Mamaearth, founded in 2016, started as a direct-to-consumer personal-care brand and carved a niche for itself as a trusted, toxin-free baby-care, skin-care, and hair-care brand in a competitive Indian personal-care market landscape that included established multinationals. In 2022, its parent company, Honasa Consumer Private Limited (HCL), raised $52 million in financing for a valuation of US $1.2 billion, becoming the first unicorn of 2022. HCL also acquired BBlunt, a hair-care and styling-products business in a ₹1.34 billion deal that was seen as a significant step toward meeting Mamaearth’s growth aspirations.<br><br> In a competitive personal-care market landscape, the leading companies had realized health-aware consumers’ need for natural and toxin-free products and were innovating and aggressively pushing chemical-free products. Mamaearth now faced a challenge in taking the next leap forward: it needed to grow its market, retain its sustainable positioning, determine its consumer segment, and build a communication strategy around these factors as a trusted, toxin-free skin-care and hair-care company. -
Team Liquid: Fueling the Business of Fandom
In 2023, the co-CEOs of Team Liquid, one of the world's most prominent Esports organization, are deciding whether and how to evolve their business model to include (1) a greater focus on enterprise revenue; and (2) more direct-to-consumer activity. Team Liquid has one of the largest global fanbases in the world. The case is an exploration of how an organization can build a business that is anchored by its FANS, as opposed to customers per se. The learnings are applicable to any organization with a strong fanbase--including sports teams, social media influencers, and the like. -
Procter & Gamble: Recall of Old Spice Deodorants
In November 2021, Procter & Gamble Company (P&G)’s announcement regarding the recall of more than a dozen of its Old Spice and Secret aerosol deodorants and sprays over elevated levels of benzene threatened to damage their brand value. Considering that product recalls come at a cost and involve various phases, P&G need to assess how the recall will impact their brand value. As the Cincinnati, Ohio, multinational consumer goods corporation progress with their recall, what can they do to sustain trust and confidence among their consumers and use the recall as an opportunity to solidify their brand image and superiority proposition and prevent an irreversible loss in their profits?