個案總覽

Charles Ferguson has just heard from a venture capital (VC) consortium that it is willing to finance Vermeer Technologies, a company he has cofounded for developing Internet software. The funds are sorely needed, but the VCs have imposed some onerous conditions, including a request that Vermeer's first CEO be an outsider.

Sets out the strategy and competitive competencies of one of the leading grain trade and processing companies in the world. An overview of the company's innovations in corn and oilseed by-products is provided. The strategy of the firm is to add by-products to corn, soybeans, and wheat processing so that they become part of a food, feed, fuel, and pharmaceutical industry complex.

Describes the operations and strategy of the world's largest, fastest growing branchless bank. Using a person-to-person interface over conventional phone lines, First Direct provides standard banking and related financial products to nearly 700,000 customers throughout the United Kingdom. By employing a sophisticated customer information system and a highly educated workforce on the frontline, the bank has achieved customer satisfaction and retention levels that are roughly twice those of its nearest competitor in either direct or traditional retail banking services. This outcome was achieved through the use of information infrastructure to personalize services, model preference profiles, and cross-sell relevant products in the course of over-the-phone banking interactions. This breakthrough service model has demonstrated that banks may deliver greater quality of service at significantly lower costs by exploiting virtual or "marketspace" channels for service delivery and customer relationship management. The question facing the bank, a unit of Midland plc (which was, in turn, owned by HSBC), was how fast, in what manner, and in what market segments the organization should grow.

As in most emerging markets, a significant portion of the Indian private sector is dominated by extensively diversified, often family-owned or controlled, business groups. This case examines the strategy and structure of one of the largest business groups in India, at a time when the economy is going through substantial transition. RPG Enterprises' restructuring in response to the policy reforms in India (1991-95) allow one to understand the underlying reasons for the existence of the business group in the first instance. Also permits a discussion of some of the difficulties of restructuring in an emerging market.

In early 1997, Smith Breeden Associates, a money management and consulting firm, was pondering the future of the Equity Plus Fund. The Equity Plus Fund was an S&P enhanced-index fund that tried to outperform the S&P Index by replicating the index using low-cost derivative strategies and investing the remaining cash in a hedged portfolio of mortgage-backed securities. The fund had performed well since inception, with an annualized total return above that of the S&P Index. However, this performance had not resulted in significant growth of the fund's assets. With its performance record, Smith Breeden had a number of options. It could market the fund more aggressively, it could offer other sector-specific funds, or it could set up an enhanced index fund based on an international stock-market index.

A small team of Canadian managers from the Bank of Nova Scotia are faced with the challenge of managing a recently acquired Mexican operation. Managers must cope with a language barrier and cultural differences as they try to restructure the over-staffed Mexican financial institution.

Management at Sprint Corp. must decide what action to take with a small telemarketing operation that is about to vote on union representation. If employees vote in favor of a union, the operation would become the first business unit within Sprint Long Distance to be represented by a union. Closure of the plant is an option to be considered. This case illustrates some of the reasons employees seek union representation and requires that the student consider what implications such representation would have for the employer.

James McDowell, vice president of marketing at BMW North America, Inc., must design Phase II communication strategies for the launch of the new BMW Z3 Roadster. The program follows an "out-of-the-box" prelaunch campaign centered on the placement of the product in the November 1996 James Bond hit movie, "GoldenEye", and including other "nontraditional" elements such as a product appearance on Jay Leno's Tonight Show, an offering of a Bond Edition Roadster in the Neiman Marcus Christmas Catalog, and large-scale public relations activities. McDowell must assess the effectiveness of the prelaunch activities and design marketing tactics that can sustain product excitement until product availability in March. Includes color exhibits.

The Exxel Group, a private equity group based in Buenos Aires, is considering a buyout of Argencard, Mastercard's exclusive licensee in Argentina. To complete the deal, however, it will need to raise additional financing from U.S. investors. Both the valuation and the terms of the proposed deal prove problematic.

In early 1997, Harrington Bank, a small Indiana savings and loan (thrift) wondered what its next move should be. Harrington was acquired in 1988 by the principals of Smith Breeden Associates, a money-management and consulting firm specializing in the application of modern financial technology to the pricing, hedging, and risk management of mortgage securities. The Smith Breeden principals had established an arms-length contract with Harrington, where Smith Breeden advised Harrington on the pricing, hedging, active management, and risk management of Harrington's assets and liabilities. Since the acquisition, the bank had done very well. Assets had grown from $75 million in 1988 to over $520 million at the end of 1996. Its net interest margin had more than tripled, core operating profits had grown by over 400%, and return on equity had been substantially increased. Still, Harrington in 1996 was not an average thrift. 80% of its assets consisted of mortgage-backed securities (vs. 30% for the median thrift), and most of its liabilities were not deposits but other forms of wholesale funding.

A venture-funded start-up runs into trouble when health care reimbursement policies change radically. With the help of its board, the company develops a new strategy, becomes profitable, and makes a public offering. The second wave of changes introduced by Clinton health-care initiatives create the need for strategic reevaluation and operational changes. The case traces the development and strategic changes

A proposed trade of air pollution emission credits between 3M (now Imation) and Procter and Gamble is described. Though such trading is encouraged under federal environmental laws, 3M had adopted a company-wide policy against such deals. Procter and Gamble needs the credits and is an important 3M customer. Local citizens and public officials are sharply divided on the proposed deal.

The general manager of Qualibrands (QB), a Philippine company with interests in the auto components industry, must decide what to recommend to the owner of QB regarding a proposed four-way joint venture between QB, Autobelt (Malaysia), Autoliv (Sweden), and SMACA (Philippines) to produce seat belts in the Philippines. The financial projections look good, but the general manager is concerned that there may be other aspects of the proposed joint venture that might lead to the failure of the joint venture either in total or in reaching its financial and operational goals.

In 1997, an investment advisor with a major brokerage firm gave investment suggestions and helped clients manage their portfolios. Some of her clients had Coca Cola stock in their portfolios and she wondered whether to recommend the stock to any of her new clients or clients that did not currently have Coca Cola in their portfolios. The case can be used to introduce the dividend discount model, capital asset pricing model, and price-earnings models.

A small, rapidly growing retail distributor of automotive tires must present a set of forecasted financial statements to a bank in order to obtain a five-year loan. Expected growth rates given in the case and historical financial ratios derived from recent financial statements are used to forecast pro-forma income statements and balance sheets for the next two years.

Jim Sharpe, 11 years after receiving his MBA from Harvard and working for others, has finally become his own boss and 100% owner of manufacturer of aluminum extrusions. After 10 months of an unfunded search, he acquires the business in an LBO and prepares to face his employees on the first day.

A new pharmacy owner seeks advice on her financial position and operating results.

The Hydro-Quebec and Great Whale Project case focuses on the ongoing negotiations between the Quebec utility and New York Power Authority (NYPA) over a $17 billion sale of hydroelectric power. If a contract is ratified, Hydro-Quebec will proceed with the development of a major river system in northern Quebec resulting in damage to the ecosystem and the displacement of several thousand native people. Native people, as well environmental groups, have become highly vocal in their opposition to the project. These pressures, combined with falling demand estimates for electrical energy, have resulted in NYPA backing away from the negotiations. Officials at Hydro-Quebec are wondering how to proceed in an apparently no-win situation.

Discusses the role of distribution intermediaries in the electronic components industry, and describes operations at two of these distributors. Serves as a vehicle to discuss the functions provided by distributors in the channel. Also lets students understand the differences between the distributors and discuss how each of them is going to deal with issues like consolidation and the rapid growth of the Internet. Also introduces students to the complexity of managing operations at a small distributor.

A large, lucrative power plant is negotiated for construction/operation by an American power company in India's evolving privatized power sector. The process of incorporating the project is captured in this case. The American company will own and operate the plant in India, which will sell power to India.