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  • IBM's Strategic Choices in China: Compete and Cooperate?

    IBM's strategy in China was to go it alone. The company researched, produced, and distributed its own products. The Chinese government, however, viewed technology as a key factor for economic growth and national competitiveness: it wanted to promote technology transfer between foreign technology firms and domestic firms. As IBM's business and ambitions in China grew, it would have to make a decision: would it compete and cooperate with local firms?
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  • UK Government Digital Service: Moving Beyond a Website

    In 2011, the UK founded a new government agency known as the "Government Digital Service" (or GDS). Facing significant budget challenges, several high profile IT failures, and growing demands to "modernize" government services, the government set a mission for GDS to champion a "digital culture" in government, ideally unleashing a wave of both cost savings and innovations. By 2012, GDS had identified billions of pounds of potential savings, centralized the government's web presence into a single domain (called GOV.UK), and received wide acclaim from technology commentators. However, the leaders of GDS felt there was significantly more work to be done--not only modernizing government services, but also convincing civil service to focus more on implementation, user needs, and digital services. This case provides an overview of GDS's work up to 2012, and considers the strategy and change management questions facing the agency as it seeks to expand. Case number 2106.0
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  • In the Cold Light of Day: A Case Study of Argentina's 2001-2002 Economic Crisis

    Argentina's macroeconomic crisis of 2001-02 is a classic case of the interaction between exchange rate policy, fiscal policy, banking and external finance. It makes for a highly engaging teaching case because of its many layers. It was at one level a product of the hard peg of the Argentine currency to the dollar, and the loss of competitiveness with changing international conditions. The proximate cause of crisis was a run on reserves and bank deposits and dramatically country risk premium. But these symptoms were also intricately linked to fiscal policy, to IMF policy, to financial conditions and to Argentina's underlying political economy. The case is designed as a simulation, focused on the key moment of end-November 2001, with roles of Domingo Cavallo (Minister of Finance), the Argentine industry association, representatives of households, and the IMF. Students have to get inside the role to understand and defend the position of each group, drawing on tailored background material for each role. Case number 2086.0
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  • Veracity Worldwide: Evaluating FCPA-Related Risks in West Africa

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  • Populism in America: Fake News, Alternative Facts and Elite Betrayal in the Trump Era

    During the 2016 U.S. election, long-time politician Hillary Clinton, a Democrat, and celebrity billionaire Donald Trump, a Republican, faced off in a contentious race for president. In the primaries, candidates from both major political parties used anti-establishment messaging to appeal to the electorate, a theme that had been on the sidelines of U.S. political discourse for decades. Trump, in particular, played into the rising anti-establishment sentiment as he embraced a populist platform and emphasized his position as a Washington-outsider. He proved to be an unpredictable and incendiary candidate on the campaign trail, garnering much media attention and creating divisions within the traditional Republican base, yet his directness and promise to "Make America Great Again" resonated with several segments of the population. While many experts predicted a Clinton victory, Trump was ultimately elected president in November 2016. During his first 100 days in office, Trump tested the boundaries of the U.S. government, and observers looked on with uncertainty as he took an unconventional and unpredictable approach to policymaking.
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  • "Clarín Lies!": Bias, Post-Truth, and Populism in Argentina's Media War

    In 2012, Argentine media conglomerate Grupo Clarín and President Cristina Fernández de Kirchner were embroiled in what some called "the mother of all battles." Grupo Clarín was one of the preeminent media companies in Argentina, with leading newspapers, cable television and Internet services, and broadcast television and radio stations. Some critics contended the company had prospered over several decades by managing relationships with governments of varying political color, such as with Néstor Kirchner (2003-2007), the popular president who helped lead the country out of the financial crisis. But its relationship with the government changed in 2008 when a divisive agricultural export tax sparked a conflict between Grupo Clarín and President Cristina Kirchner, Néstor Kirchner's wife and successor. Then in 2009, in a call for "democratizing" the media, Cristina Kirchner introduced a media reform law that would significantly limit Grupo Clarín's operations. By 2012, the conglomerate had delayed the law's implementation through the courts, but would likely have to restructure to accommodate the new regulatory environment. The case allows students to consider the assumptions that underlie media regulation and to debate the role of media in society. It may also be used to discuss how to evaluate a business decision in an uncertain regulatory environment.
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  • Donald Trump Calls Carrier Corporation

    This case examines the influence of political pressure on corporate decision-making. It questions whether fidelity to domestic operations ought to be a corporate social responsibility, and thus it challenges the limits of "social responsibility" as a corporate ideal. Specifically, the case focuses on Donald Trump's effort to encourage U.S. companies' domestic operations, through a study of one company's decision to backtrack on a factory relocation plan. In February 2016, the Carrier Corporation (a maker of heating, ventilation, and air-conditioning equipment and a division of United Technologies Corporation) announced a plan to relocate operations of a furnace factory from the United States to Mexico. The case notes that Carrier began to outsource and offshore operations, in an effort to reduce costs, around 1921. While Carrier's previous United States factory closures had garnered major press coverage, the 2016 announcement ramified differently. Days later, then-presidential candidate Donald Trump referenced the relocation in a Facebook post. Soon, Carrier's plan became a touchtone to Trump's anti-globalization and anti-free trade campaign messaging. The case documents that he was not the only candidate or politician to reference Carrier during the 2016 campaign. Still his declaration to "call up the head of Carrier" upon winning the presidency became a stump-speech refrain popular with his audiences, and contrasted with other political figures' more measured language. Ultimately, the case outlines the events set in motion after Trump kept his campaign promise and called Carrier's parent company's CEO one week after his surprise presidential election victory.
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  • Media Markets Down South: Goldman Sachs' Investment in Grupo Clarín

    Founded in 1945, Grupo Clarín expanded over several decades to become Argentina's largest media conglomerate. With leading positions in newspapers, broadcast television, broadcast radio, cable television, and Internet services, Grupo Clarín caught the attention of U.S.-based investment bank Goldman Sachs, which acquired an 18% share of Grupo Clarín for US$500 million in 1999. While Grupo Clarín struggled during the economic crisis from 2001 to 2002, it was well positioned to grow as the economy began to recover in 2003, in part due to government policies that helped stabilize the media industry. Now in October 2007, Grupo Clarín was preparing to make an IPO in London and Buenos Aires, and fund managers at Goldman Sachs were reevaluating their position. What price would the IPO reach and how much, if any, of their stake should they sell? What was the return Goldman Sachs would obtain if they sold its entire position, or just one part?
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  • Cracking the Monolith: California's Child Welfare Services Disrupts Technology Procurement (A)

    In October 2015, two senior California officials: Marybel Batjer, Secretary for Government Operations, and Michael Wilkening, Undersecretary for the Health and Human Services Agency seized on an idea that had the potential to turn the state's long dysfunctional technology procurement process on its head. After years of planning, California was about to request bids for a new child welfare management system to replace a twenty-year-old technology that, as part of the country's largest child welfare program, was accessed by approximately 25,000 state and county employees, to serve millions of California's children. The request for bids called for a "waterfall" approach to software development, where all aspects of the project would follow a pre-ordained sequence and likely cost the state nearly half a billion dollars. Just weeks before the request was to be released Batjer and Wilkening met with former U.S. Chief Technology Officer Todd Park and members of a tech nonprofit, Code for America, who warned that both the waterfall approach and the large size of the project posed significant risks. First, they proposed an alternative "architecture" that would break up the "monolith" proposal into its component parts. Rather than build and replace one giant system with another, why not replace the system in parts-or in modules? Second, for each of these modules, teams of programmers and social workers could work together to build a prototype and iterate till the final product satisfied the needs of the state-in a process known as "agile" development. But could California's bureaucracy, with its stringent procurement rules pivot to a modular approach? And could Batjer and Wilkening convince state staff and county partners to experiment with agile development, a methodology never attempted in California government before? Case number 2101.0
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  • Cracking the Monolith: California's Child Welfare Services Disrupts Technology Procurement (B)

    Supplement to case KS1235. In October 2015, two senior California officials: Marybel Batjer, Secretary for Government Operations, and Michael Wilkening, Undersecretary for the Health and Human Services Agency seized on an idea that had the potential to turn the state's long dysfunctional technology procurement process on its head. After years of planning, California was about to request bids for a new child welfare management system to replace a twenty-year-old technology that, as part of the country's largest child welfare program, was accessed by approximately 25,000 state and county employees, to serve millions of California's children. The request for bids called for a "waterfall" approach to software development, where all aspects of the project would follow a pre-ordained sequence and likely cost the state nearly half a billion dollars. Just weeks before the request was to be released Batjer and Wilkening met with former U.S. Chief Technology Officer Todd Park and members of a tech nonprofit, Code for America, who warned that both the waterfall approach and the large size of the project posed significant risks. First, they proposed an alternative "architecture" that would break up the "monolith" proposal into its component parts. Rather than build and replace one giant system with another, why not replace the system in parts-or in modules? Second, for each of these modules, teams of programmers and social workers could work together to build a prototype and iterate till the final product satisfied the needs of the state-in a process known as "agile" development. But could California's bureaucracy, with its stringent procurement rules pivot to a modular approach? And could Batjer and Wilkening convince state staff and county partners to experiment with agile development, a methodology never attempted in California government before?
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  • A Sharper Look at Zero Tolerance: Reports of Sexual Assault Rock the United States Air Force Academy

    This case traces the sexual assault scandal that rocked the United States Air Force Academy in 2003. Over a period of several months, dozens of current and former female students came forward to the media and government representatives about being sexually assaulted by their male peers on campus. Several victims also implicated the Academy's leadership for not doing enough to address the problem. When the scandal broke, Lieutenant General John Dallager was the Academy Superintendent (equal to President of a civilian university). The Academy's decade-old sexual assault program guaranteed confidentiality for victims of sexual assault. The program also offered a slew of prevention and support services. Many Academy staff regarded the sexual assault program as the "gold standard." But the rising number of allegations shined a harsh light on the Academy's culture and immediately cast doubts on Dallager's leadership. Why had he and other senior officials at the Academy failed to notice the scale of the problem? Or had they willfully ignored it? Case number 2098.0
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  • A Sharper Look at Zero Tolerance: Reports of Sexual Assault Rock the United States Air Force Academy (Sequel)

    Supplement to case KS1231. This case traces the sexual assault scandal that rocked the United States Air Force Academy in 2003. Over a period of several months, dozens of current and former female students came forward to the media and government representatives about being sexually assaulted by their male peers on campus. Several victims also implicated the Academy's leadership for not doing enough to address the problem. When the scandal broke, Lieutenant General John Dallager was the Academy Superintendent (equal to President of a civilian university). The Academy's decade-old sexual assault program guaranteed confidentiality for victims of sexual assault. The program also offered a slew of prevention and support services. Many Academy staff regarded the sexual assault program as the "gold standard." But the rising number of allegations shined a harsh light on the Academy's culture and immediately cast doubts on Dallager's leadership. Why had he and other senior officials at the Academy failed to notice the scale of the problem? Or had they willfully ignored it? Case number 2098.1
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  • Money & Morals: The Minimum Wage and the American South

    In 2014, U.S. President Barack Obama called on Congress to raise the federal minimum wage from $7.25 per hour to $10.10. To the surprise of no one, Congressional Republicans blocked the move, as they had a similar proposal the year before. Seeing little hope of federal action, wage activists turned their sights on state and local governments. Riding a tide of popular support, dozens of jurisdictions voted in hikes in their own state and city minimum wage levels between 2012 and 2016. Focusing especially on the American South, which had historically opposed the minimum wage, the case uses this wage struggle as the point of departure for a review of the issues and arguments raised in this longstanding public policy controversy. Presented as a friendly overview of economic thinking for non-economists, the case explains why liberals and conservatives view the issue of income inequality so differently, why they disagree about basic wage data, and why they vigorously dispute the impact of minimum wage laws on low-income wage earners. Case number 2099.0
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  • Philippines: From Sick Man to Strong Man

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  • Goodbye IMF Conditions, Hello Chinese Capital: Zambia's Copper Industry and Africa's Break with Its Colonial Past

    Over the past several decades, rapid growth in Chinese investment and trade has created for Africa a new development partner. China represents an alternative to U.S. and European nations whose past imperialism, resource avarice, and economic dictates-through the conditionality of IMF and World Bank lending-remain a negative legacy. This case uses the story of Zambia's Chambishi copper mine, which was purchased in 1998 by the state-owned China Non-Ferrous Metals Mining Corporation, to illustrate China's growing interest and involvement in the African continent. While many in Africa welcome the substantial Chinese investment, resentment over labor abuses, low pay, and substandard working conditions at some Chinese-owned enterprises fuels anti-China sentiment. At Chambishi copper mine, a 2005 explosion, caused by management's shoddy adherence to safety standards, killed nearly 50 miners and sparked outrage among Zambians. The explosion marked the first in a long series of protests and safety violations that would unfold at Chambishi over the next ten years.
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  • China's State-Owned Enterprise Reforms: Then and Now

    China's economy has experienced multiple radical changes since 1978, in which state-owned enterprises (SOEs) have played vital roles and transformed accordingly. In the era of Xi Jinping, China has been launching new plans for SOEs reform aiming to improve enterprise efficiency and adjust the industrial structure. This case discusses the development of socialist economy and key characteristics of SOEs reforms before and after 2012, and explores the challenges China faces in the new stage.
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  • Uber in Colorado: Seeking Regulatory Certainty

    This case study details the issues and challenges that faced ride-sharing company Uber following its arrival in the state of Colorado as a new alternative to traditional taxi and limousine services. It is written from the perspective of Will McCollum, general manager of Uber Denver, a recent MBA graduate who is given responsibility for all aspects of Uber's initial Colorado launch and ongoing operations. The case provides a unique example of the oft-seen process by which new entrant companies use technology and new business models to challenge incumbent firms and traditional industries. The highly regulated and very stable nature of local transportation markets and rapid speed of Uber's rise to prominence makes Uber's experience particularly noteworthy. Uber faces public legal battles with the Colorado Public Utilities Commission and other transportation companies within the area. After some early success in opposing regulatory restrictions, the decision facing McCollum and Uber is whether to continue to fight regulation in Colorado or instead proactively work with state politicians to develop a set of ongoing rules under which the industry will be required to operate. The case can be used to introduce or illustrate Porter's Five Forces, industry disruption and disruptive innovation, stakeholder analysis, the legislative and regulatory process, and corporate political strategy.
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  • Values-Based Leadership Across Difference: The Life and Legacy of Nelson Mandela

    On December 10, 2013 more than 90,000 South Africans gathered at the FNB Stadium in Soweto outside of Johannesburg to mourn the death of the country's first black president, Nelson Mandela. At the stadium, several dignitaries addressed the mourners, which included United States President Barack Obama and then-current or former heads of state or government from over 100 countries-one of the largest assemblages of world leaders in history. Obama took the podium to eulogize Mandela: "[His] passing is rightly a time of mourning, and a time to celebrate a heroic life," he said. "But I believe it should also prompt in each of us a time for self-reflection. With honesty, regardless of our station or our circumstance, we must ask: 'How well have I applied his lessons in my own life?'" This case provides students with a short history of South Africa followed by a contextualized biography of Nelson Mandela-from birth through death-that emphasizes the key events and actions that served to shape his life and reflect his values and leadership. Mandela demonstrated adaptability and malleability and many shifts in strategy, emerging from the impetuousness of youth to become a Zen-like elder statesman. Over the course of his life, though, his core values did not change. Mandela showed ability to navigate and negotiate with different stakeholders. How did he get power from both sides while maintaining legitimacy in both camps? How was he able to avoid the neither/nor that can alienate both sides? These are the key questions students will grapple with during the class discussion. Case number 2104.0
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  • Trade Promotion Authority and the Trans-Pacific Partnership

    The Trans Pacific Partnership (TPP)-a massive free trade agreement between the United States, Japan and ten other Pacific nations-was a vital element of US President Barack Obama's trade policy. If completed, the TPP would be the largest regional trade agreement in history, accounting for 40 percent of the global economy, and nearly one-third of global trade. In 2015, after five years of negotiations the TPP countries were close to agreement. But one major obstacle remained. US President Barack Obama had not yet received Trade Promotion Authority (formerly known as fast track)-a legislative measure that gave the President the authority to present a finalized trade agreement for an up or down vote in the U.S. Congress. In the Spring of 2015, the White House had just a few short weeks to secure fast track, before the next scheduled round of TPP negotiations, and before the US Congress recessed for the summer. But if the past was any guide, Obama was about to face a bruising battle with Congress, where the TPP had already proved divisive. A large swath of Obama's own Democratic caucus was vociferously against the trade agreement. Most Republicans on the other hand, welcomed the TPP. Just as President Bill Clinton had done in the 1990s, Obama would have to forge an uncomfortable alliance with some of his fiercest opponents in the Republican Party to ensure the survival of his ambitious trade agenda. In doing so he would have to confront fellow Democrats, who were being lobbied heavily by labor unions and consumer groups to vote against Trade Promotion Authority. Case number 2095.0
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  • Rio de Janeiro Galeao International Airport Concession

    In 2013, Rio de Janeiro's main international airport, Galeão, was set to be privatized through a 25-year term concession. The Brazilian government set a minimum bid value of $4.8 billion for the airport. Five consortia submitted bids, surpassing the minimum bid value by at least 36 percent. The winning consortium of Singapore's Changi Airport and the Brazilian construction company Odebrecht surprised everyone by offering to pay R$19 billion, almost four times the minimum bid. The case lays out the assumptions used in arriving at the minimum bid value and discusses where the additional value might be coming from. Case number 2097.0
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