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Moonka Auto: Growth Strategies Of Honda Dealership
In February 2016, the owner of Moonka Automobile was struggling with the strategic decision he needed to make to increase revenue and improve profitability. Moonka Automobile had been in business as a full-service, two-wheeler dealership for eight years in India, had a strong customer base, a good reputation, and a positive relationship with the manufacturer, Honda. But, competition was increasing and business growth was slowing. The owner identified various alternatives for growth, but given the changes taking place in the two-wheeler market, the owner’s limited resources, and his excellent relationship with Honda, he needed to make some difficult decisions. -
Help Scout
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Spin Master Toys: Going Public, the IPO Process
Spin Master, a children’s toy and entertainment company, was getting ready for an initial public offering (IPO). Its founders were weighing their options with regard to some core issues: What was the right positioning for Spin Master with potential investors? What was the right approach to valuing the business? How did that approach translate into enterprise value, equity value, and share price for the IPO? -
Capitalism's Next Frontier: Competing in Outer Space (A)
Several private startups, including Planetary Resources, SpaceX, and Deep Space Industries, had initiated plans to mine minerals in space. The ventures looked promising: an asteroid one kilometre in diameter contained, potentially, $20 trillion worth of industrial and precious metals. Governments had become involved in space exploration as well, with interests that ranged from projecting military power in space to claiming resources. The current legal framework surrounding space exploration was vague, but the United Nations Treaties and Principles on Outer Space recognized extraterrestrial resources as the “common heritage of humankind.” What should a privately funded venture company consider when developing a strategy for space exploration and mining? What would be the concerns of a senior government official or a representative from a global organization such as the United Nations? Are the concerns different for different countries? Optional supplement, 9B16M054, is available. -
Capitalism's Next Frontier: Competing in Outer Space (B)
Supplement to 9B16M053. -
Kaps Ice Cream: Should It Enter the Premium Segment?
On November 1, 2015, the four founders of Kaps Foods India Private Limited (Kaps) invited external business consultants to a business strategy meeting. The ice cream industry was moving toward the premium segment of the market, and Kaps was eager to move out of its stagnant phase. However, two of the four founders were skeptical about the acceptance of the Kaps brand in the higher-end market. They believed that the market would always consider Kaps a local brand, which was not ideal for moving into the premium market. Also, taking on the bigger players at the higher end of the ice cream segment would be a daunting task for the company. The four partners had a number of issues and options to ponder and discuss with consultants. Becoming a pioneer in the ice cream industry in the central Indian state of Chhattisgarh was a proud achievement for the team, but what new marketing considerations would be involved in entering the premium market? -
Jiaduobao: Transferring Brand Associations from Wang Laoji
With a rich history stretching back to the 19th century, Wang Laoji herbal tea was one of the most popular drinks in China. The tea was sold in a green-box version by Wang Laoji and a red-can version licensed to Jiaduobao Beverage Co. Ltd. (Jiaduobao Beverage), but in 2012 the right to use the Wang Laoji name was lost by Jiaduobao Beverage following a legal dispute. Jiaduobao Beverage had to quickly transfer brand associations from Wang Laoji to its own brand and retain consumer loyalty. But was it successful in doing so? Did Jiaduobao Beverage enhance its brand equity through transferring Wang Laoji’s brand associations? What could Wang Laoji do to counter its loss of brand equity? -
Mesosphere: Creating Lasting Value on Top of Open Source Software
"Mesosphere: Creating Lasting Value on Top of Open Source Software" explores the challenges associated with building a company on top of open source software. In 2013, Florian Leibert, Ben Hindman, and Tobias Knaup founded Mesosphere. By combining proprietary software products with an open source software called Apache Mesos, Mesosphere developed a single platform called the datacenter operating system (DC/OS). With the DC/OS, companies could easily deploy, operate, and scale workloads and applications across multiple servers in a datacenter. In an era of big data analysis and software containers, companies were thrilled to find a solution that simplified the management of these complex services. For Mesosphere's co-founders, there was little doubt that Apache Mesos and the DC/OS could provide tremendous value to thousands of enterprises around the globe. However, the trio faced several challenges associated with building a successful organization on top of a free, open source product. Specific obstacles addressed in the case include: building and managing open source software communities; understanding distinct customers and customer needs; creating products (and a product release schedule) aligned with customer needs; determining how to monetize Mesosphere's products and services; aligning on what product features to open source (versus what features to make proprietary); and responding to major competitive threats. -
McPhee Distillers: Accounting Policy Choices in the Preparation of Financial Statements
In 2014, the master distiller from an established Scotch whisky producer founded McPhee Distillers on Vancouver Island, Canada, hoping to capitalize on the growing demand for whisky in the Asia-Pacific region in particular. Rather than competing with larger producers selling by the bottle, McPhee planned to sell whisky exclusively by the barrel, hoping to differentiate McPhee Distillers in the industry. As a first-time entrepreneur, the master distiller was surprised by the amount of overhead costs, but she was determined that there were no costs she could cut without compromising the quality of the whisky. Was her business model profitable, or had she made an error by focusing on barrel sales? Could she improve her operations? -
Collage.com: Scaling a Distributed Organization
Kevin Borders and Joe Golden, co-founders and co-CEOs of Collage.com, must decide how to grow their custom photo-products startup in the face of fierce competition. From 2011 through 2016, the business evolved from a hobby to a startup with $22 million in revenue and 45 employees, all of whom worked remotely from home. Customer acquisition was becoming more difficult and repeat purchase rates lagged behind Shutterfly, the industry leader. New hires would help to integrate new products and grow marketing efforts, but several experienced team members wondered whether virtual collaboration could continue to work with an influx of new people. -
Mobiado Luxury Mobile Instruments: Form over Features
In 2016, the founder and sole owner of Mobiado, a Canadian line of luxury mobile phones, was evaluating his company’s marketing strategy. Proud of what he had achieved and passionate about his role as designer of one of the most unique and distinctive product lines in the category, he reflected on how he might need to adjust his company’s strategies to fit current trends and to remain competitive. Could the Mobiado product line continue to succeed by offering exclusive precision-engineered mobile instruments without the latest smartphone features? Would the new breed of luxury consumers continue to value form over function? -
Deep Roots Distillery
By September 2015, Deep Roots Distillery (DRD) had been operating for 22 months. While starting up had taken a little longer than originally estimated, material progress was now evident. By November 2015, the company expected to have six of its products (either spirits or liqueurs) available in the Prince Edward Island liquor store outlets. However, numerous questions remained for DRD’s owner and his small, family-run business. Given capital and resource constraints, how could DRD grow into a competitive business? How should time be allocated between research and development, production, marketing, and administration? Would the start-up’s current product/market strategy allow it to achieve its goals? If not, which expansion route should DRD take? -
The Pre-Venture Feasibility Analysis: The Andrea Kaneb Case
Andrea Kaneb had worn hearing aids for thirty years and had extensive first-hand consumer experience with available assistive hearing devices. In her view, the products she had tried were too expensive and underperformed with respect to user needs and desires. From January through August 2015, Kaneb and three of her fellow MBA students completed a two-semester, team-based, capstone project course in their MBA Program, during which they developed and assessed a new venture opportunity; wrote a business plan; and presented it to a panel of experienced entrepreneurs / investors. Kaneb's project team undertook significant primary and secondary research as a basis for analyzing the feasibility of a new venture aimed at commercializing an innovative assistive hearing system that would be superior to competing products. The topics of their feasibility analysis included: (1) The Opportunity; (2) The Micro-Market (customers, particularly initial customers); (3) The Macro-Market; (4) The Macro-Industry (especially competition); (5) The Micro-Industry (sources of competitive advantage); (6) The Business Model; (7) The Entrepreneurial Team; and (8) Projected Financial Performance. In December 2015, she met with her professor to review progress and to discuss next steps in her exploration of the opportunity. She needed to determine the most critical uncertainties that would need to be addressed before she approached investors; to develop alternative approaches for addressing those uncertainties; and to decide which approaches she would implement, and how. The case study is designed to serve as a final exam and / or topic for the case discussion in the final class of an introductory course in entrepreneurship - during which students have explored each of these issues via readings, case discussions and interactions with guest entrepreneurs. -
MBA Entrepreneurs: Crowdfunding Wipebook (A) Year One: Persistence and Success
The Wipebook case follows a start-up company over a two-year period. The company originated from a product idea proposed by a student as part of an MBA entrepreneurship course: an erasable, reusable notebook. Two other students joined him in what was to become the "Wipebook" project. Twelve months into the project, the team had realized one of the most successful crowd-funding campaigns in Canadian history: $424,314 for over 10,000 pre-orders. The partners then went on to appear on a television show, Dragons' Den, where they accepted an offer of $300,000 for a 25% stake in the company. As the reality of the entrepreneurial process set in, following the initial euphoria, a number of challenges arose. -
MBA Entrepreneurs: Crowdfunding Wipebook (B) Year Two: Growth and Obstacles
Supplement to case HEC143. The Wipebook case follows a start-up company over a two-year period. The company originated from a product idea proposed by a student as part of an MBA entrepreneurship course: an erasable, reusable notebook. Two other students joined him in what was to become the "Wipebook" project. Twelve months into the project, the team had realized one of the most successful crowd-funding campaigns in Canadian history: $424,314 for over 10,000 pre-orders. The partners then went on to appear on a television show, Dragons' Den, where they accepted an offer of $300,000 for a 25% stake in the company. As the reality of the entrepreneurial process set in, following the initial euphoria, a number of challenges arose. -
MBA Entrepreneurs: Crowdfunding Wipebook (C) Epilogue
Supplement to case HEC143. The Wipebook case follows a start-up company over a two-year period. The company originated from a product idea proposed by a student as part of an MBA entrepreneurship course: an erasable, reusable notebook. Two other students joined him in what was to become the "Wipebook" project. Twelve months into the project, the team had realized one of the most successful crowd-funding campaigns in Canadian history: $424,314 for over 10,000 pre-orders. The partners then went on to appear on a television show, Dragons' Den, where they accepted an offer of $300,000 for a 25% stake in the company. As the reality of the entrepreneurial process set in, following the initial euphoria, a number of challenges arose. -
BDP Pharmaceuticals
Spreadsheet supplement for case 317014. -
InsideSales.com (A)
This case focuses on growth requirements for a company moving from its base in SMB customers (Small and Mid-Sized businesses) to Enterprise customers (companies with more than 500 employees). It examines the differences in buying processes, product requirements, after-sale services, and the implications for organizing and deploying sales resources at InsideSales.com. -
InsideSales.com (B)
Supplement to case 817018. -
Biba: Stitching Plans for Growth
After solidifying its brand as a national leader in the ready-made, ethnic wear market in India, Biba Apparels Pvt. Ltd. (Biba) was at a crossroads when it came to determining future growth strategies. By 2014, Biba had 150 exclusive brand outlets and 225 multi-brand outlets all over India as well as an online presence. Faced with fierce competition from trendy western retailers and local competitors creating chic Indo-Western fusion clothing, Biba recognized that its customers’ preferences were changing. In order to retain its leadership status, Biba had to decide how to grow its brand. What was the best way to compete against western retailers attracting the country’s teen and young women’s market? What marketing strategies could Biba adopt? Was Biba doing enough to remain relevant in the fast-changing women’s clothing market?