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Corporate Strategy: Course Introduction 2018
This course overview note was prepared to aid students in Corporate Strategy. -
Corporate Strategy: Resources
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Corporate Strategy: Scope
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Sandlands Vineyards, Spreadsheet Supplement
Spreadsheet supplement for case 718438. -
Mysore Ghee Stores: Expansion Strategy for Clarified Butter Business
Mysore Ghee Store (MGS) produced and marketed ghee (clarified butter) in the city of Hyderabad in India. Most of its ghee sales were B2B to businesses like restaurants and sweetmeat makers that used it for food preparation. Decreasing B2B market margins and increased packed ghee sales to end users through the retail market prompted Satish Kumar, MGS's current owner, to enter the B2C market. He tied up with More (pronounced `moray'), a national retail chain for supplying packed ghee in October 2013. MGS's packed ghee was also made available across multiple retail channels ranging from independent mom and pop stores to regional/local chains' retail outlets and e-retailers. Packed MGS ghee sales through the various retail channels were somewhat encouraging. In April 2016, MGS was looking at two sets of issues. The first was how to proceed with the brand building driven marketing communication effort. The second was to rethink the strategic options in front of MGS and assess the need for and viability of a new strategic direction for the company. -
KBC Bank and Insurance Holding Company (KBC) (A)
This is part of a case series. The case describes the turnaround of the Belgian bank KBC under the leadership of Johan Thijs in the period 2009-2016. The case is made up of three parts - A, B and C. KBC (A) describes the situation in July 2009 when Johan This was promoted to Managing Director (MD) of the Belgian subsidiary, by far the biggest and most important unit within KBC Group. The timing is a bad one for the bank - it had just been rescued through a multibillion euro bailout by the Belgian government and the bank is on the verge of bankruptcy. Morale is at an all-time low, employees feel betrayed and are demotivated and the euro crisis is about to hit the European banking sector just when banks throughout Europe are trying to respond to the financial crisis of 2008. Johan Thijs inherits a total mess in Belgium and the case describes the facts he faces and asks the question: 'What should he do in the Belgian Unit?' At the same time to becoming MD of Belgium, he becomes member of the Group's Executive Committee (ExCo) and the case also raises the question: 'What can Thijs do as a member of the ExCo to prevent the bankruptcy of KBC Group?' -
KBC Bank and Insurance Holding Company (KBC) (B)
Supplement to case LBS109. This is part of a case series. The case describes the turnaround of the Belgian bank KBC under the leadership of Johan Thijs in the period 2009-2016. The case is made up of three parts - A, B and C. KBC (A) describes the situation in July 2009 when Johan This was promoted to Managing Director (MD) of the Belgian subsidiary, by far the biggest and most important unit within KBC Group. The timing is a bad one for the bank - it had just been rescued through a multibillion euro bailout by the Belgian government and the bank is on the verge of bankruptcy. Morale is at an all-time low, employees feel betrayed and are demotivated and the euro crisis is about to hit the European banking sector just when banks throughout Europe are trying to respond to the financial crisis of 2008. Johan Thijs inherits a total mess in Belgium and the case describes the facts he faces and asks the question: 'What should he do in the Belgian Unit?' At the same time to becoming MD of Belgium, he becomes member of the Group's Executive Committee (ExCo) and the case also raises the question: 'What can Thijs do as a member of the ExCo to prevent the bankruptcy of KBC Group?' -
KBC Bank and Insurance Holding Company (KBC) (C)
Supplement to case LBS109. This is part of a case series. The case describes the turnaround of the Belgian bank KBC under the leadership of Johan Thijs in the period 2009-2016. The case is made up of three parts - A, B and C. KBC (A) describes the situation in July 2009 when Johan This was promoted to Managing Director (MD) of the Belgian subsidiary, by far the biggest and most important unit within KBC Group. The timing is a bad one for the bank - it had just been rescued through a multibillion euro bailout by the Belgian government and the bank is on the verge of bankruptcy. Morale is at an all-time low, employees feel betrayed and are demotivated and the euro crisis is about to hit the European banking sector just when banks throughout Europe are trying to respond to the financial crisis of 2008. Johan Thijs inherits a total mess in Belgium and the case describes the facts he faces and asks the question: 'What should he do in the Belgian Unit?' At the same time to becoming MD of Belgium, he becomes member of the Group's Executive Committee (ExCo) and the case also raises the question: 'What can Thijs do as a member of the ExCo to prevent the bankruptcy of KBC Group?' -
Is Lack of Competition Strangling the U.S. Economy?
There's no question that most American industries have become more concentrated. Economists are trying to understand whether this is necessarily a bad thing for competition. The short answer: It's complicated. Innovation superstars like Google have created winner-take-most markets largely by exploiting network effects, not through predatory behavior. However, research from the wider economy (including the tech sector) uncovers classic signs of unhealthy concentration: rising profits, weak investment, and low business dynamism. The government's approach to antitrust violations is due for an overhaul. And regulators need to pay more attention to protecting economic vitality and consumer well-being--and less to industry lobbyists. -
Why Compliance Programs Fail
Firms spend millions of dollars annually on whistle-blower hotlines, training, and other efforts to ensure adherence to laws, regulations, and company policies. Yet malfeasance remains entrenched in the corporate world. Why? Too many firms treat compliance as a box-checking exercise, making employees sit through training and attest that they understand the rules, but failing to assess the effectiveness of their compliance programs, or doing so with faulty metrics. The authors explain how we reached this sorry state--and how we can remedy it. Firms should start by linking compliance initiatives more closely to specific objectives: preventing misconduct, detecting it, or aligning policies with laws and regulations. Then, using careful model design and some creativity, firms can develop better metrics to measure what's working and what isn't. -
Qwikcilver and Woohoo Developing a Complementary Platform
This case on Qwikcilver and Woohoo analyses the development of the Qwikcilver gift card processing business, its various challenges in evolving the primary B2B business model and how the firm has introduced the Woohoo platform to help with direct customer connect. It begins with the efforts of the founders in identifying a green field opportunity, how they go about bringing in the initial customer base and then the case delves into the different developments that have shaped the firm's evolution. The case helps develop an understanding of the gifting market in India, the challenges of building a sustainable business in this sector and how the firm compares with the rest of the competition worldwide. It highlights how a Software-as-a-Service (SaaS) business model could increase resilience to competition by bringing in a new side in the form of direct connect with customers who buy or redeem gift cards, thus transforming from a pipeline business to a two-sided platform business model. The case is used to teach the basics of pipeline and multi-sided platform business models, the different actors in the platform business and the concept of network effects. It should help the students appreciate the differences between the pipeline and platform business models, and how a platform business model can bring in additional competitive differentiation as compared to a pure SaaS approach by increasing switching and multi-homing costs for the customers. -
Qwikcilver and Woohoo Developing a Complementary Platform (Abridged)
This case on Qwikcilver and Woohoo analyses the development of the Qwikcilver gift card processing business, its various challenges in evolving the primary B2B business model and how the firm has introduced the Woohoo platform to help with direct customer connect. It begins with the efforts of the founders in identifying a green field opportunity, how they go about bringing in the initial customer base and then the case delves into the different developments that have shaped the firm's evolution. The case helps develop an understanding of the gifting market in India, the challenges of building a sustainable business in this sector and how the firm compares with the rest of the competition worldwide. It highlights how a Software-as-a-Service (SaaS) business model could increase resilience to competition by bringing in a new side in the form of direct connect with customers who buy or redeem gift cards, thus transforming from a pipeline business to a two-sided platform business model. The case is used to teach the basics of pipeline and multi-sided platform business models, the different actors in the platform business and the concept of network effects. It should help the students appreciate the differences between the pipeline and platform business models, and how a platform business model can bring in additional competitive differentiation as compared to a pure SaaS approach by increasing switching and multi-homing costs for the customers. -
Corporatization of Bollywood
Set in 2016-17, the case describes the evolution of the Hindi movie industry, popularly called Bollywood, in India. Specifically, the case focuses on an exogenous shock that occurred in 2000 when the Government of India formally recognized Bollywood as an 'industry' through a policy change. This change ushered in the corporatization of Bollywood which, in turn, affected the industry's structure. Keeping production companies at center stage, students must analyze whether and how corporatization changed the bargaining power of different stakeholders vis-Ã -vis production companies. The analysis also helps evaluate how the industry might evolve in the future. -
Collaborative Commerce for Empowering Marginalized Communities: The Autorickshaw Community Empowerment (ACE) Ecosystem and t4u
The case as the title reveals is about a collaborative program called ACE which combines technology, with a social need through a creative business model to empower the autorickshaw driver community to improve their livelihoods. Launched in Bangalore South India, the empowerment of the auto driver community is through paid advertising panels fixed at the back panel of the autos. The autos are monitored with real time feeds and forwarded to advertisers. With traditional advertising media fast losing credibility and patronage by big brands, ACE aimed at providing advertisers visibility, transparency and capabilities to plan and predict campaign outcomes better. The case details how the unique and novel initiative provided a non-disruptive, cross-sector ecosystem for the auto community. -
Reading the Room: Leveraging Popular Business Books to Enhance Organizational Performance
Managers need to think creatively about ways to improve organizational performance. We explore one such tool. Popular business books that offer unique takes on important topics can serve as an effective tool to engage workers and lead them to new understandings. In particular, we discuss the key insights for organizations offered by ten classic and popular bestselling business books. Each one offers enduring lessons of value for employees interested in helping their organizations become more successful. -
Correcting Analytics Maturity Myopia
Companies face increasing pressure to compete in the practice of analytics and strive for analytics maturity to sustain their competitive advantage. A single-minded, narrow focus on gaining analytics maturity, however, leads to analytics maturity myopia. Based on our studies of analytical capabilities and numerous conversations with executives and managers, we offer a scorecard for organizations to identify the presence of analytics maturity myopia and propose a framework for organizations to correct this issue. The proposed framework partially explains the mixed and conflicting results regarding the relationship between analytics maturity and business value found in the literature. Specifically, we recommend that companies focus on three factors that are critical to realizing value from analytics initiatives: (1) a balanced view of value to different stakeholders, (2) a continuous expansion of the business ecosystem beyond current stakeholders to identify and pursue new opportunities, and (3) use of an emergent strategy to take advantage of unexpected opportunities and develop organizational agility. -
Circle Mapping Your Firm's Growth Strategy
This article offers an innovative graphical approach to facilitating an interactive discussion about identifying and assessing potential growth opportunities. Our approach, circle mapping, visually conceptualizes growth as occupying space, where market space is defined by a set of concentric circles. The circle presently occupied by the firm is defined by its current set of customers and the value proposition offered to them, while the outer concentric circles represent growth opportunities that are defined by new customers and value propositions. The process of circle mapping prompts leadership teams to formulate a growth strategy by visually mapping the value proposition for future customers in relation to the firm's capacity to access the resources and capabilities needed to successfully occupy those spaces. The model allows leaders to conceptualize growth strategies, such as leveraging success in one circle to target consumers in another. It can also allow leaders to evaluate the rewards and risks associated with different growth opportunities, while the visual aspect of the model assists with overcoming some common challenges of applying strategy frameworks to develop new strategies. By having leaders visually depict and justify where and why they want to grow, circle mapping helps firms conceptualize a profitable future and then confidently move toward that space. -
Managing Innovation Dilemmas: The Cube Solution
Innovation has become a universal feature of corporate life. Almost no company can survive without innovation. However, when it comes to developing innovation strategies, managers often are left alone to decide which innovation types to pursue, how to balance them in an overall portfolio, how to allocate resources, and how to implement them. In short, managers face a variety of innovation dilemmas. One of the most pertinent problems is how to distinguish innovation types in a meaningful way. In this article, we introduce the innovation cube, a tool that helps position innovation types in a managerially meaningful way. Once managers know how to relate and compare their innovation types to those of other companies, the cube helps them to better formulate their innovation strategy. -
Managing Future Uncertainty: Reevaluating the Role of Scenario Planning
The business environment for many firms is changing rapidly and is becoming increasingly uncertain due to the disruption caused by new digital technologies, deregulation, new business models, and the threat of new competitive entrants. This dynamic competitive environment increases the level of uncertainty for senior executives and strategic planning teams who bear responsibility for the strategic development of the firm, particularly in terms of the future direction, scope, and the strategy required to deliver on corporate objectives. This in turn, places increased scrutiny on the strategic planning tools that are used to undertake a rational and comprehensive analysis of the competitive dynamics that inform strategy formulation. This article presents empirical findings and reflections on a scenario-planning project that sought to develop a long-term corporate level strategy. While scenario planning is an established constituent of the strategist's toolbox, the increasing level of dynamism and uncertainty in many markets has meant that it has seen a resurgence. This article presents empirical findings on how the scenario-planning tool was selected and applied before reflecting on the individual and organizational outcomes of using scenario planning to develop an organizational strategy in uncertain market conditions. -
Digital Transformation at La Presse (A): Crafting a New Digital Strategy
This (real) case takes place in the context of the newspaper industry, which is being turned upside down by powerful socio-technological changes. It focuses on La Presse, one of the leading actors in the Canadian newspaper industry, which, faced with a survival crisis, has set out to innovate and reinvent its business model, including its value proposition, channels, costs, revenue streams, and key resources. The core driver of this reinvention is the design and marketing of its new digital product, the La Presse+ tablet app.