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Outotec was a market leader in providing mining solutions to large mining companies. The company's specialization and proprietary technology created value for its customers and helped the firm differentiate from its competitors. Yet, Outotec was not pricing or marketing its solutions in a way that took advantage of its distinct capabilities and value-add. Outotec used a cost-based (inside/out) pricing policy, which was the industry norm. As a result, operating profit was only 8% of sales and the CEO had promised the investment community improvements above 10%. Outotec wanted to move from a cost-based (inside/out) to a value-based (outside/in) pricing and selling model to capture more profitable revenues and meet profitability targets the CEO announced to investors. But there were several challenges to this, which the case highlights for students to discuss and debate.

Supplements the (A) case, 314011. A rewritten version of an earlier supplement.

This supplement presents the actual terms of the rescue financing provided by a group of private investors to CIT. It is intended to be distributed at the end of the discussion of "Oaktree and the Restructuring of CIT Group (A)" (HBS No. 214-035) and can be used as background to reflect on the students' proposal of financing terms for the $3 billion rescue financing of CIT.

This is a supplement to 9B13B014.

It was January 2013, and Fred Khosravi, chairman of the board of AccessClosure Inc., wondered what the new year had in store for him and AccessClosure, the company he founded in late 2002. Khosravi was cautiously optimistic-the Mountain View, California-based medical device company had been cash flow positive for seven consecutive quarters with annual revenues over $70 million. Since 2007, it had shipped well over 1.5 million of its vascular closure device (VCD), the Mynx, which was stocked in more than 1,200 catheter labs worldwide. However, a 2008 patent infringement lawsuit filed by St. Jude Medical, the VCD market leader, loomed large. The case was on appeal, and a three-judge panel would hear arguments in March 2013. If AccessClosure lost its appeal, it faced a $27.1 million judgment for patent infringement and a permanent injunction from selling its Mynx family of VCDs, its sole source of revenue.

The (A) case describes the launch of a new passenger vehicle in China, produced jointly by Nissan of Japan and by Chinese automaker Dongfeng. Early sales results following the April 2012 launch were disappointing and the joint venture's managers had to decide how to respond. The case includes information on the structure of the industry, on government regulation, and on the preferences of Chinese purchasers of automobiles, including information about environmental considerations. The short (B) case, designed for distribution in class, describes further complications, as an international dispute between the Japanese and Chinese governments created further uncertainties for Chinese consumers and hence for the carmakers. The (C) case concludes the story; it too can be distributed in class.

The (A) case describes the launch of a new passenger vehicle in China, produced jointly by Nissan of Japan and by Chinese automaker Dongfeng. Early sales results following the April 2012 launch were disappointing and the joint venture's managers had to decide how to respond. The case includes information on the structure of the industry, on government regulation, and on the preferences of Chinese purchasers of automobiles, including information about environmental considerations. The short (B) case, designed for distribution in class, describes further complications, as an international dispute between the Japanese and Chinese governmenbs created further uncertainties for Chinese consumers and hence for the carmakers. The (C) case concludes the story; it too can be distributed in class.

IBM's Corporate Citizenship office created an innovation in public education through a business-school partnership for widespread replication and diffusion. In 2012, while P-TECH (Pathways in Technology Early College High School) was still in its first year operating, Stanley Litow, IBM's Vice President of Corporate Citizenship and Corporate Affairs and President of the IBM International Foundation, found himself overwhelmed by interested parties who wanted to replicate the model. Chicago Mayor Emanuel, the J.A. and Kathryn Albertson Foundation in Idaho, the New York City Department of Education, and New York Governor Cuomo were all in various stages of implementing the concept. Chicago launched five schools in 2012 that were inspired by the P-TECH model, with IBM partnering with one school. New York City developed five more schools; two were scheduled to open in fall 2013 and three more in fall 2014. New York launched a Request for Proposal with plans to open 16 of these schools in fall 2014. Meanwhile IBM remained engaged at the federal level to help accelerate the replication through policy changes. This case explores the challenges and complications of replication.

Nurturing Green is a three-year-old private company that is trying to change the gift-giving culture of India by offering attractively packaged potted plants in place of the traditional candy or cut flower bouquets presented on special occasions to friends, family and business associates. The founder of the start-up is a young, passionate entrepreneur who is risking much in order to grow his company. To realize the idea of "green gifting" to help the environment, he has accepted funding from a venture capitalist firm in exchange for giving up 25 per cent equity in his business. Now, it is time to revisit that agreement and, although the company has been very successful, the owner is concerned that the investors will demand more control and a faster growth focus than he is willing or able to meet. He is also worried about the sales forecast, return on investment for the short and the long term, monthly cash flows and employee motivation and performance reviews. Should he respond to the many requests to franchise the business or should he concentrate on developing the brand in new markets? How can he expand business-to-business sales while also opening more stores in malls in all parts of the country to sell directly to customers? Will the new website develop more online sales? As he prepares for a meeting with the auditors and investors, the owner looks for a solution to continue growing while retaining control over his company.

This is a supplement to W13361

In the aftermath of the Rana Plaza building collapse, a group of international retailers and labor unions partnered to create a proposal for more stringent inspections and enforcement of safety standards in Bangladesh garment factories. The proposal was met by opposition from several U.S. firms, which claimed the proposal carried too a high a risk of litigation for them to sign. Neither proposal relied on legislation, but options for government involvement are also discussed in the case.

This is a supplement to 9B13E010.

This case provides an update on the ultimate outcome of the transaction presented in The Abraaj Group and the Acibadem Healthcare Investment (A).

Supplement to case LBS178

Daktronics Corporation made score boards and large displays for sports venues. The company had been the "Cadillac" of the industry and commanded nearly 70 percent share of the college and professional sports venue market for large displays. Recently, however, increasingly complex, technological installations and maturing manufacturing processes and sourcing had enabled new players to enter the market. Further, buyers in the large sports venue market had been including consulting firms in the decision process. Where Daktronics had often been the unchallenged choice, they were now being challenged by greater competition and channel influences that threatened both share of market and gross margins. Jay Parker, Daktronics Sales Manager for Large Sports Venues, was trying to understand the new market realities and devise an approach that would maintain Daktronics' market leadership and profits.

This case focuses on the necessity of developing a human resource strategy for downsizing Daktronics, Inc., a company that was founded in 1968 in Brookings, South Dakota as a small producer of scoreboards for collegiate wrestling matches. By 2009, the company was generating a half billion dollars in revenue annually by producing electronic scoreboards, programmable display systems, and large screen video displays using light emitting diode (LED) technology. The dream of the founder was to grow the company to a billion dollars in revenue. However, by the spring of 2010 the recession that the United States had been suffering since 2008 had now produced negative earnings for Daktronics. Carla Gatzke, VP of Human Resources, realized that she needed a strategy to further reduce personnel costs during the duration of the recession, yet respect company culture and its relationship with communities. The plan would also need to position the company strategically for continued growth.