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In 2014, an analyst with a leading investment company wanted to evaluate the financial performance of a kitchen appliances company, TTK Prestige Ltd., headquartered in Bangalore, India. To accomplish this task, the analyst decided to use the economic value added (EVA)-based performance measure, which accorded importance to value creation by management for its shareholders. Recently, there had been a shift away from traditional approaches of measuring shareholder value creation (e.g., earning capitalization and present value of estimated cash flow) towards more value-added approaches like EVA, which offered a more effective method for evaluating financial performance.

The purpose of this case is to illustrate why Napa Valley wine producers find it both irresistible and challenging to enter the growing Chinese wine market. Over the course of the 2000s, China went from being the 51st largest wine importer in the world to the 5th. While the Chinese consumer has an interest in foreign wine and significant discretionary income, logistical, regulatory, and cultural barriers prevent Napa Valley wineries from easily entering the market and achieving economic success. Frederick Family Vineyards, a fictional, family-run Napa Valley wine company, is interested in expanding distribution into China. The company must determine whether this geographic expansion is economically viable and then determine which go-to-market strategy will best position the firm for success. The company is deciding between four potential strategies: (1) Utilize traditional import and distribution channels (2) Leverage online sales (3) Partner with a logistics provider (4) Create a Chinese investment. Frederick Family Vineyards grapples with this decision in the face of imperfect information and an ever-changing market landscape due to President Xi Jinping's anti-corruption measures. Few luxury goods were more effected by these measures than wines and spirits. Prior to 2013, an estimated 80 percent of luxury wine imported into China was distributed as gifts, and used to help cement deals and relationships. Now global wine producers are left to wonder how Chinese demand for foreign wine will change as a result of these broader governmental changes.

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?

<p>The Nestle Maggi Case Study explores what happened on June 2015, when the Indian food regulatory body, the Food Safety and Standards Authority of India, declared Nestlé’s brand of noodles, Maggi, unsafe for human consumption. Tested samples showed excess levels of lead and added monosodium glutamate. To retain the trust of consumers, Nestlé recalled Maggi from all store shelves in the country. Management was then grappling with an improved re-positioning strategy to help Nestlé retain its considerable market share in India. The other issue that Nestlé needed to resolve was what role pricing would play in influencing consumer purchase decisions during the proposed product relaunch.</p>

In September 2014, a real estate and procurement expert was preparing his notes for an upcoming strategic meeting with the management team of the Regional Council of Lombardy (RCL), the governing body of one of the 20 regions in Italy. The RCL wanted to analyze the procurement process for two of its most important projects: the construction of Ospedale Papa Giovanni XXIII, a new cutting-edge, high-technology public hospital; and the construction of the hospital’s surrounding parking area. During the construction of the hospital, a number of scope changes had been introduced and a major issue emerged. Construction had concluded at the end of 2012—€156 million over budget. The surrounding parking area was also subject to some issues, but with relatively minor economic and reputational impacts. Two years after the end of construction, the RCL was performing post-project reviews with the intent of improving future project procurement performance.

Started in 2000, GiveIndia is a web-based donation platform headquartered in Mumbai, India. It uses online tools and social media to engage with donors and encourage donations to be made to various non-governmental organizations. GiveIndia’s chief executive officer wants to develop a strategic approach for social media communication, which is gaining greater acceptance in India. As part of its online initiatives, GiveIndia has been running a search engine marketing program with Google Grants. The chief executive officer wants to optimize the program by using the right metrics. He is also interested in applying the concept of customer lifetime value to manage the donations. GiveIndia is already present on popular social media websites such as Facebook, YouTube, LinkedIn, and Twitter, but how can the company hone its strategic focus on each of these websites?

After a relatively quiet period following the end of the Cold War, geopolitics is back. With the United States displaying a reduced appetite for violent confrontation, there are now no world policemen, few effective "neighborhood watch" schemes, and a growing number of vigilante groups and countries eager to challenge the existing rules of the game. Companies cannot assume, in any region of the world, that the strategic status quo will be sustained by neat balances of power or unbreakable promises of foreign-policy assistance from superpower states. In this new reality, the most successful multinational companies will be those that make expertise in international affairs central to their operations, adopting what John Chipman, the chief executive of the International Institute for Strategic Studies, calls a corporate foreign policy. A corporate foreign policy has two components. "Geopolitical due diligence" involves the assessment of local, regional, and transnational risks facing a company. "Corporate diplomacy" aims to enhance a company's ability to operate internationally and to ensure its success in each particular country with which it is engaged. Chipman lays out the principles of geopolitical due diligence and corporate diplomacy and argues that their successful execution can be a new source of competitive advantage for multinational businesses in a time of increased geopolitical volatility.

In February 2015, Facebook's Free Basics platform was launched in India by Internet.org, a partnership between Facebook and six mobile service and device companies. The platform was meant not only to enable Internet access on a smartphone but also to deliver low-cost Internet connectivity to the masses. Internet.org had already successfully launched Free Basics for a population of eight million people in nine countries across Asia, Africa, and South America. In India, however, the platform was not well received by a few eminent corporations and, more importantly, the Telecom Regulatory Authority of India. The launch of Free Basics stirred a nationwide debate about whether Internet.org was trying to control Internet services in India, creating an imbalance among the existing telecom service providers and causing a disproportionate development of business opportunities. Would Free Basics succeed in its goal, or would it be banned across India?

In April 2016, the yoga guru who started Patanjali Ayurved Limited declared that his company’s revenue would exceed that of Colgate-Palmolive India by the end of the year and would overtake Hindustan Unilever in India in three years. Patanjali’s revenue grew 125–150 per cent from the previous year. The company aimed to continue growing at a rate of 100–125 per cent annually over the next three years, as a manufacturer and marketer of a wide range of products including flour, biscuits, noodles, spices, honey, and toothpaste. It also considered exploring international expansion to support its high growth targets. Could Patanjali aggressively expand into more categories while maintaining sustainable growth?

In 2015, an ancillary client of a leading investment bank based in New Delhi, was looking to increase revenues from the two-wheeler and four-wheeler vehicle segments by acquiring customers that were original equipment manufacturers. A financial analyst was assigned the task of evaluating the options and identifying the right target to acquire for the client. The analyst used comparable company analysis and comparable transaction analysis, as well as valuation ratios (enterprise value-to-sales; enterprise value-to-earnings before interest, tax, depreciation, and amortization; and price-to-earnings per share) to arrive at Talbros Automotive Components Limited as the best target for the client. For comparable company analysis, the analyst also compiled a list of four publicly traded firms that were similar to Talbros Automotive Components Limited. The analyst needed to arrive at the final valuation range by combining the results of both techniques (i.e., comparable company analysis and comparable transaction analysis), which could be achieved by using a football field analysis.

In June 2015, Lee Pharma Limited, a small Indian pharmaceutical company, filed an application with the Indian Patent Office for a grant of a compulsory licence to manufacture the diabetes drug Saxagliptin on the grounds that the patented version of the drug had not been made available to the public at an affordable price. The granting of a compulsory licence was expected to make the drug more affordable for the general public, but it would also undermine the interests of the patentee, a Western multinational company. If the developed world imposed sanctions against India in retaliation for such a protectionist measure, the flow of trade and foreign capital into the country would be adversely affected. Should the patent office strictly enforce the patent regime, which would encourage higher foreign capital inflows in research and development in the Indian pharmaceutical industry and promote inventions and innovations in the country? Or should it grant the compulsory licence, thereby attaching greater weight to the welfare of India’s general public?

In December 2012, the stock of Shriram Transport Finance Company (STFC) had just breached the ?750 mark, signifying an appreciation of close to 80 per cent for the calendar year of 2012. Texas Pacific Group (TPG), the global private equity firm, had invested in STFC at a time when the share price was hovering around ?100. As was the case with most private equity firms, a successful exit from an investment was of paramount importance for TPG in order to reap handsome returns. In the course of charting the exit path from an investment, private equity firms had to consider several critical issues including exit structure, timeline for exit, and regulatory hurdles. There were three usual choices of exit routes: initial public offering, trade sale, or secondary sale. Each of the exit routes had its own advantages and disadvantages. Was this the right time for TPG to exit STFC? If yes, which option should TPG pursue?

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?

GreenDust, a company established in 2009, sold branded, unused, seconds, surplus, and refurbished products at low prices. This traditionally had been an unorganized sector. With increased pressures on the bottom line, rapid changes in technology (and fast obsolescence), strategies of channel cleaning by the competition, and imminent e-waste regulations enforced by the Indian government, GreenDust tried to mitigate these factors by revolutionizing the returns management of consumer goods by streamlining it. While it succeeded in reducing the high costs associated with product returns, the company had to determine whether its business model was sustainable in 2014. Could GreenDust succeed in other emerging markets? How could the firm leverage its strength as an environmentally sustainable business?

Vendedy was the world’s first mobile network connecting global travellers to local street markets. Inspired by the emergence of the sharing economy, Vendedy’s founder and chief executive officer had always been passionate about uniting social and economic empowerment with entrepreneurial development. A complex platform linking street vendors in some of the world’s poorest countries to travellers seeking authentic tourism experiences and souvenirs, Vendedy’s founder faced numerous challenges. Where should the venture’s focus be? How quickly should she try to roll out the platform, and across how many countries? How was she going to recruit a full-time team for Vendedy? Could the company succeed in transforming how global travellers accessed the products and stories of street vendors around the world?

In February 2013, the senior marketing manager of Aquasi India (Private) Limited (Aquasi) met with the company’s chief executive officer to consider the challenges faced by Aquasi that had arisen due to globalization after March 1997. India’s competitive environment had completely changed; new technology had swept into the country and workers did not possess the essential skill sets to use the new machinery. Given sharp declines in quality and production output, Aquasi’s sales suffered significantly. The number of competitors increased and began to eat into the company’s market share. In the midst of these problems, Aquasi planned to develop and grow a web-based portal to manage the business in hopes that it would enable the company to move forward and survive in the difficult times ahead. However, the question remained as to how to implement this new online strategy; Aquasi’s marketing and information technology teams were novices with respect to digital media, and would face several challenges.

An angel investor had invested seed capital in a start-up company that aggregated and sold value-added services for mobile telecommunications in India. The company had done well since its inception in 2009, but the revenue growth figures reported for 2014 were concerning. According to the performance report, the start-up had grown 12 per cent in 2014—less than half of the estimated industry revenue growth figure for mobile value-added services. The investor wondered if his investment was profitable despite the negative cash flows and significant lifetime company losses incurred during the first three years of operation. Should the investor stay invested with, or divest from, the start-up? What would the company’s exit value be?

AGL Energy, a long-time traditional energy supply company in Australia, was facing competition as alternative sources of energy, such as solar power and batteries, were taking root in both the marketplace and with energy-conscious homeowners. The trend of homeowners who opted to supply their own energy needs and go off the grid was described as a “death spiral” for utility companies. In response, AGL Energy appointed a new chief executive officer in 2015 to address concerns related to falling demand, customer retention, and unpredictable energy prices. With climate change issues pushing so-called green energy sources into the forefront, what were the strategic options that would ensure AGL Energy's continued presence as a leader in the energy industry?

In April 2016, the owner of Moonka Automobile, a two-wheeled vehicle dealership for Honda Motor Company Ltd., was facing some difficult decisions regarding recruitment for Moonka Automobile’s new branch in Jamshedpur, India. The owner wanted to improve the process for recruiting salespersons for this second branch. In addition to the constraints of a tight budget, limited managerial time and availability, and the need to complete the recruitment quickly, the owner’s challenges included (1) identifying the knowledge, skills, and attitude he needed to look for in potential salespersons; (2) encouraging the appropriate candidates to apply for the job opening; and (3) improving the process to be followed for recruitment. The owner certainly did not want to rush things and end up recruiting unsuitable employees, which could have disastrous consequences for the business. At the same time, he needed to get sales underway in the new branch. How could the owner balance his many responsibilities while finding the right salespersons for Moonka Automobile?

Café Coffee Day pioneered retail café culture in India with its entry into the market in 1996. After enjoying success for more than a decade, the brand felt the need to evolve in order to suit consumer preferences and better compete in the market space. The Café Coffee Day management team commissioned a brand image study to better understand consumer perceptions. The results showed that although Café Coffee Day's “regular guy/girl” brand archetype had evolved over time, there was a clear gap between the intended brand identity and the image that was projected. To make the brand relevant to Café Coffee Day’s core target group (i.e., young, urban Indian consumers), the company had to make sure that its positioning was relevant and clear, its brand identity was refreshed, and its café experience was well defined and differentiated. Café Coffee Day wanted to identify various positioning platforms through analysis of the company, its competition, and its customers, and then to evaluate these platforms to arrive at an appropriate positioning choice.