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This case is set in the midst of the attempted takeover of Walt Disney Productions by the raider Saul Steinberg in June 1984. Disney's chief executive officer ponders whether to fight the takeover or to pay "greenmail." One significant influence on the decision is the "true" value of the firm. The case offers, either directly or through analysis of it, several estimates of value. The valuation question invites a review of Disney's past performance and current competitive position. Other significant influences on the decision are the ethics and economics of paying greenmail. The rich range of issues raised in the case (strategy, valuation, performance measurement, and ethics) makes it an effective first case, review case, or final exam in a corporate-finance course. A student worksheet file is available for use with this case

This case deals with the origins of exchange rate risk and offers an introduction to hedging techniques. The case emphasizes the relationship between interest rates and exchange rates. Students are introduced to management of exchange risk in a competitive bidding situation. (The B case is UVA-F-0746.)

In the mid-1980s, Emerson Electric looked at possible two-year debt issues in three countries: the United States, Switzerland, and New Zealand. The $65 million to be raised is earmarked for general corporate expenses. Emerson has subsidiaries in 27 countries, including the three candidate countries. In this case, students act as Emerson's CFO and must evaluate the U.S., Swiss, and New Zealand economies to determine in which currency to secure the needed debt issues.

This negotiation case is meant to be used in conjunction with "Eli Lilly and Company" (F-0794); half the class works from one case and half from the other. Lilly is considering acquiring Hybritech, but the genetic-engineering company's future cash flows are difficult to predict and value. Both companies want to effect the merger, but the cases, which provide essentially the same information in all other respects, provide widely divergent projected cash flows. (The B case is F-0793.)

This case provides data on coupon bonds. Students are asked to estimate the value of portions of the bond (stripping coupons and principal) and must deal with the fact that the term structure of interest rates is not flat. There is also a description of the general nature of stripping bonds.

The financial analyst for this manufacturer of factory-automation equipment must recommend equipment lease terms to be proposed to a customer. Students must discount the lease payments and compare the net asset value and internal rate of return (IRR) of leasing with the borrow-and-buy alternative and with the lease terms of competitors.

In late 1990, this company faced a large external financing requirement and needed to reassess its traditional approaches to financing. The tasks for the student are to recommend financing tactics to be employed for the next two years and to make a general assessment of the firm's historical financing policy. Student and instructor Lotus worksheet files are available on computer diskettes for use with this case and teaching note.

Describes the Dayton Hudson CEO evaluation process, one of the most intensive in corporate America today. The board of directors' role in the evaluation is examined, as is the question of whether the Dayton Hudson CEO evaluation process should serve as a model for other corporations.

Describes the competition between Coca-Cola and Pepsi-Cola. Provides a summary of the history of the soft drink industry prior to World War II, and over the period 1950-1990 in greater detail. Major strategic competitive moves and countermoves are described. Also profiles industry developments, including the Pepsi Challenge, the reformulation of Coca-Cola, and the consolidation of the bottler network. Provides a teaching vehicle for analysis of competitors and strategic rivalry. An updated and revised version of an earlier case.

Acting as chief financial officer (CFO), students try to determine how Coleco can fend off creditors. Coleco is in default on its loans and is in a negative equity position.

This case introduces the valuation and comparison of capital investments as students evaluate eight projects' cash flows and rank them in terms of economic attractiveness using net present value (NPV), internal rate of return (IRR), return on investment (ROI), profitability index, and payback.

Examines the General Mills Board of Directors' role in the General Mills joint venture with Nestle S.A. to sell cereals outside of North America. It raises the more general question of the appropriate role for the board of directors in strategy formulation.

Marks and Spencer is a highly regarded retailer in the United Kingdom. This case examines the history of the firm, its organizational capabilities, and its long standing relationships with employees, customers, and suppliers. Also discusses the firm's expansion into Europe and Canada. May be used with Marks and Spencer Ltd. (B).

Describes Philip Morris' acquisitions of General Foods in 1985 and Kraft, Inc. in 1989, focusing on the integration of Kraft and General Foods that forms a $30 billion food subsidiary. Details the steps required to merge these two large companies, emphasizing the managerial, organizational, administrative, and strategic issues engendered by the integration of Kraft and General Foods.

Describes a series of advertising research studies conducted by Chevron to monitor the effectiveness of its corporate advertising. Specific research approaches covered include the McCollum-Spielman and Communications Techniques. The Vals Typology developed by Stanford Research Institute is used in specifying target markets.

Recent developments in the software business point to some of the reasons why companies offer their products or services in bundles. One is the opportunity to leverage market power, as Microsoft arguably has done by bundling applications software with its operating systems. Another reason for bundling is the economics of scope, as indicated by the emergence of software suites and the shift toward broad-line players (Microsoft, Lotus, and Borland-WordPerfect). But there appears to be still more to bundling: individual software programs continue to be offered in addition to suites, and suites are priced at a steep discount to the total price for the separate programs.

Berkshire Partners is a limited partnership engaged in the acquisition of companies valued between $25 million and $250 million. The purpose of the case is to examine the resources of the firm and discuss the firm's competitive advantage vis-a-vis other types of organizations.

Examines the three factors critical to this company's remarkable success in the high tech field. The first factor is the founder, Dr. Inamori's powerful leadership. The second is the strong corporate culture or philosophy of the firm. The third element in Kyocera's success is the company's management systems, i.e. the "amoeba" system of profit centers. This system is bound together by an interactive level of meetings and the strong philosophy of the company which emphasizes both creativity and working toward a higher goal for the good of the company. This philosophy of a higher common goal prevents infighting amongst profit centers and preserves a unity of purpose, while encouraging a great deal of individual autonomy and creativity through the management system. This system in conjunction with the philosophy also promotes multiple levels of leadership and individual initiative throughout the firm. Dr. Inamori's leadership communicates this philosophy to the employees.

Interco has been advised by Wasserstein Perella to reject a $70 per share offer for the company. The case deals with the various types of analysis employed by Wasserstein Perella and allows a discussion of the actions of Interco's board as well as Wasserstein Perella.

This case presents a series of financial events for students to record and to use in preparing financial statements.