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  • Korean Air: The "Nut Rage" Incident

    In December 2014, after receiving poor service on a flight, a senior vice president at Korean Air lashed out at the flight attendants and delayed the flight's departure until the chief attendant was returned to the gate. Following a tepid apology from her father, Korean Air's chief executive officer, her actions drew a public backlash because they exposed the sense of entitlement prevalent among rich family conglomerates in South Korea. How should she have reacted in the face of the service failure? Why had she become the target of a public backlash? What could Korean Air do to mitigate the negative effects of this incident?
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  • Glenorna Coffee

    Glenorna Coffee, a manufacturer and exporter of coffee powder, had been in the business of instant coffee and roasted ground blends for 34 years. It sourced coffee from India and had buyers across the globe. In 2013, the owner of Glenorna had to decide whether or not to pursue backward integration and buy coffee gardens. He had called upon the company's accountant to find out whether it was viable to venture into the acquisition of coffee plantations or if the firm should remain with its existing business operations. With backward integration, Glenorna had a better chance of entering the specialty coffee business. If purchasing plantations was profitable, why had competitors such as Nestlé continued to source beans from the open market? Should Glenorna acquire plantations and venture into the specialty coffee business?
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  • Nestle's Creating Shared Value Strategy

    This case considers Nestlé's creating shared value (CSV) strategy, which focused on the three categories of nutrition, water, and rural development. In the packaged food and beverage industry, pressure had mounted since the 1990s to improve supply chain sustainability and provide healthier, more natural foods, leading to consolidation and causing sales to decline in the 2010s. With 150 years' experience in the industry, Nestlé had transformed into a nutrition, health, and wellness company and made its CSV strategy explicit in the early 21st century. By 2014, Nestlé CEO Paul Bulcke considered how best to fully embed the company's CSV strategy and to communicate it to shareholders and external stakeholders.
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  • Olitzki Property Holdings Catalyzes Change in Johannesburg

    The large-scale abandonment of property in inner-city Johannesburg had brought waves of crime, illegal building occupation and general disinvestment. The founder of Olitzki Property Holdings (OPH) saw that an improvement at a precinct level, through carefully constructed partnerships with government, other property owners, tenants and illegal residents, was the key to building a sustainable, inclusive and socially grounded entrepreneurial business. OPH identified and bought derelict or illegally occupied buildings, then renovated and leased them to a combination of blue-chip and start-up businesses. While there was no doubt that OPH was profit focused, the ability to see the important role of development was a cornerstone of its success. Could the company - and the city - expand and maintain that success?
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  • Health for All: Dr. Reddy's Laboratories and Rural India (A)

    This two-part case series is set in India and examines the challenges encountered by a leading Indian pharmaceutical company, Dr. Reddy's Laboratories (DRL), following its strategic decision to create Indura - a business unit dedicated to the rural market. In recent years, the strategic direction set by the new CEO and his "Health for All" vision has shifted the company's attention to its domestic market and the rural areas of the country. The case focuses on the implementation hurdles of such a vision and invites business executives to explore the role of strategy in building ecosystems that are essential for successful strategy implementation. Case A sets the scene by describing the business model of pharmaceutical companies in India and the rationale behind DRL's decision to pursue an alternative growth avenue. It presents the Indura project, which takes the company to rural markets. Given its large size and growth potential, rural India seems to offer a fascinating opportunity to DRL. The case highlights the unique obstacles Indura faced in its effort to access rural customers and concludes by putting the spotlight on the sustainability question: Can DRL translate its "Health for All" vision into a sustainable business model? Case B is a brief follow-on case that presents key actions taken by DRL's management during the period 2013-2015. Alok Sonig, the newly appointed leader of the India business, together with his direct report Rajaram Bagayatkar, changed the name of the unit to Pride and adopted a new plan of action, which focused on motivating the sales force. While this addressed most of the challenges, some issues remained. Case B invites participants to go beyond DRL management's actions and explore possible ways to leverage technology and social media and innovative approaches to address both the access and talent challenges.
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  • Kvantum Inc.: Social Media Dilemma and Talent Retention

    The chief executive officer of Kvantum Inc. received a distressing email from the human resources manager at Data Research Services. The two companies shared office space, and Data Research Services had invested seed capital in Kvantum. However, a Data Research Services employee was now accusing one of Kvantum's most competent junior data scientists of harassment. The Kvantum employee had apparently approached the Data Research Services employee personally and then again through a popular social networking website. If the allegations were verified, Kvantum could lose a valuable employee. Moreover, a workplace scandal could adversely impact the start-up's reputation. The issue required immediate action. Should it be considered misbehaviour? If so, what kind of misbehaviour? Most importantly, how should Kvantum resolve the problem?
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  • Theranos Inc.: Pivoting Consumer Health Care

    Theranos Inc. (Theranos) was a medical diagnostics enterprise based in Palo Alto, California. Having developed an innovative blood-testing system for deployment in clinical trials by pharmaceutical companies, Theranos was keen on extending the use of its system to individual consumers in the United States and Mexico. In leveraging growth opportunities for its innovation in the burgeoning field of personalized medicine, the company's chief executive officer faced two managerial dilemmas: How should Theranos navigate the chasm between early adopters (the pharmaceutical companies) and mainstream consumers? And how should Theranos navigate the cost-benefit trade-off, as perceived by individual consumers, in a bid to promote product adoption in the mainstream market?
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  • Crisis at the Bally Wedding Dress Company

    Capitalizing on low-cost manufacturing in China, Bally Wedding Dress Company (Bally) had grown quickly by exporting inexpensive wedding dresses to customers in Western countries. However, due to a rise in labour costs, currency appreciation, and increased prices of raw materials, the low-cost advantage in the manufacturing industry had by 2014 been seriously eroded. Competition had intensified together with a shortage in qualified labour. As both the sales volume and turnover decreased, Bally had to consider how to survive. The crisis that it faced represented a common issue for many Chinese manufacturing enterprises.
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  • Kitimat Clean Ltd.

    A successful business executive and avid sailor had been thinking about new solutions to an old problem: safely transporting oil products. In late June 2014, the Canadian government had just approved a pipeline to carry bitumen from Alberta to the British Columbia coast. The immediate reaction from First Nations and environmental groups was extremely negative. Against this backdrop, the executive had put forward a radical proposal to refine the bitumen in British Columbia before shipping it across the Pacific Ocean. Ultimately, he would need a $10 billion loan guarantee from the federal government. In the short term, he needed $150 million to undertake a feasibility study. What, he wondered, was the best way to proceed?
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  • Walmart China - Supply Chain Transformation

    In late September 2015, the senior vice-president of supply chain management at Walmart China was preparing for a meeting in Bentonville, Arkansas, where she was expected to make a presentation detailing plans for Walmart China's network of distribution centres. The investment in infrastructure would be the next major step in the organization's supply chain transformation. The case provides an opportunity to explore issues related to supply chain strategy in the context of an evolving economic environment in China. Students are expected to assess pending investments in supply chain infrastructure, including evaluation of the quantitative and qualitative aspects related to two competing distribution centre models.
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  • Flipkart's App-only Strategy: A Game Changer?

    By the summer of 2015, Flipkart Online Services Pvt. Ltd. of Bangalore, India, had become a significant player in the Indian e-commerce industry. The company started its online operations with an inventory model, focusing on books, but expanded to a marketplace model with music, movies and mobile phones. Its fashion retail portal Myntra, acquired in 2014, closed its website operations on May 1, 2015, and moved to an app-only platform to take advantage of the increasing use of smartphones by the Indian population for Internet searches and purchases. Although it experienced some initial losses, the parent company announced in July that it would also be moving to an app-only platform in September, becoming the first e-commerce company in the world to adopt this strategy on such a scale. Will this innovative move lead to further success and become a game changer for the industry or is it a step taken too soon into a future trend?
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  • David's Bridal: Customer Relationship Management in the Digital Age

    This case replaces UVA-M-0837. It can be used in a variety of marketing and strategy classes to understand how (1) at a macro level, a shift in consumer and environmental factors can impact firm strategy and (2) at a micro level, an e-mail-based marketing campaign designed to address these changes can impact firm-level performance. The case puts the students in the position of CEO Robert Huth as he is preparing for a board meeting. He had taken David's Bridal from a loss in 1996 to sales of over $1 billion by 2011, but he was concerned about future growth. People were waiting longer and longer to get married and, once they decided to, were spending much less than in the past, so the industry had seen year-over-year declines since 2007. How would David's Bridal establish its brand in the minds of a new generation of brides who shopped, purchased, and decided differently than had brides in past generations?
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  • The Federal Reserve and Goldman Sachs: Mike Silva

    Mike Silva, the NY Fed's senior supervisory officer for Goldman Sachs, is having trouble with Carmen Segarra, a recently hired bank examiner who reports to Silva. The two disagree about whether Goldman Sachs has a viable overall conflict-of-interest policy; Silva says "yes," and Segarra says "no." Segarra's communication style-aggressive and frank-has irritated both Silva and others in their department, although an independent report had been critical of the NY Fed for being too cozy with the banking institutions it regulated. The tension between Silva and Segarra has reached a breaking point, and Silva must decide how to handle Segarra and whether to fire her. A teaching note accompanies this case and details how it is taught in Darden's ethics and leading organizations courses.
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  • The Federal Reserve and Goldman Sachs: Carmen Segarra

    Carmen Segarra, a recently hired bank examiner in the NY Fed's supervisory office for Goldman Sachs, strongly disagrees with her supervisor, Mike Silva, about whether Goldman Sachs has a viable overall conflict-of-interest policy. Silva says "yes," and Segarra says "no." This issue is the latest in which Segarra sees what she considers regulatory capture in the NY Fed/Goldman Sachs's relationship. An independent report had been critical of the NY Fed for being too cozy with the banking institutions it regulated and suggested hiring more aggressive and vocal examiners. Segarra realizes that her aggressive and frank communication style has irritated both Silva and others in their department but is determined to do her job. The tension between Silva and Segarra has reached a breaking point and Segarra must decide what actions she must take to address both the tension and what she considers regulatory capture. A teaching note accompanies this case and details how it is taught in Darden's ethics and leading organizations courses.
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  • Reorganising Health Care Delivery through a Value-Based Approach

    Set in 2014, this case study examines the development and ongoing transition to value- and outcomes-based commissioning for diabetes care across North Central London (NCL). With the aim of improving health outcomes among their local populations, Clinical Commissioning Groups (CCGs) in NCL set out to tranform the delivery and funding of services. This involves incentivize providers to deliver on specific health outcomes that are important to patients via an integrated platform encompassing multiple entry points - primary, secondary, social care and community services.
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  • Unilever in Vietnam: The "Perfect Village" Initiative

    Unilever Sustainable Living Plan (USLP) is a global initiative integrating Unilever's commercial and sustainability-related agenda. In this context, Unilever is reviewing the progress so far of its new "Perfect Village" initiative in Vietnam, which seeks to build a financially viable rural business that also makes a positive social impact. Please visit the dedicated case website http://cases.insead.edu/unilever-in-vietnam/ to access supplementary material.
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  • Lipman: Vertical Integration in Fresh Tomatoes

    Lipman, the largest open field fresh tomato grower and marketer in the United States, has been successfully pursuing an aggressive strategy of acquisitions over the last several years. End market consolidation in the retail space has driven vertical integration in the extremely competitive fresh tomato business, where farm gate prices have not changed in 30 years. The company is facing pressure from climate change, alternative uses for farm land, and a transition to the next generation of family ownership of the business.
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  • RevenueWorks

    RevenueWorks tells the story of Mike Sutherland and how he grew the search fund company he acquired from $5 million to over $150 million in revenue. After growing the company with debt and returning dividends to investors through leveraged recapitalizations with private equity investors, Sutherland had to decide the best course to gain liquidity for his existing investors who were eager to see a return on their investment. He had to decide whether to sell the company to a strategic acquirer (at a lower valuation), take on another private equity investor, or IPO the company in the public markets.
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  • Unilever's New Global Strategy: Competing through Sustainability

    In January 2009, when Paul Polman was appointed CEO of Unilever, he inherited a company in long-term decline at the beginning of a major global financial crisis. As the first outsider ever recruited to lead the company, Polman lost little time in challenging the existing strategy and organization. But the biggest change he made was to introduce the Unilever Sustainable Living Plan (USLP), a commitment that placed three "sustainability" goals at the core of the company's strategy: to help 1 billion people improve their health, to halve the environmental footprint of making and using Unilever products, and to enhance the livlihood of those in its value chain. The case describes how the new CEO then had to convince skeptical internal and external stakeholders why a struggling company in a tough competitive environment should embrace such bold nonfinancial goals. It then follows how he translated his radically different vision into strategies and priorities that could be implemented by a global company with 170,000 employees. In the process, the case explores how Unilever's top team had to adapt and adjust is structures, systems, processes, people and culture in order to implement USLP. The case concludes as Polman and and his top team face some key decisions in 2015. Should they double down on their original 2020 US LP objectives? Should they scale back in the face of some strong economic headwinds? Or should they pivot to a new transformational strategic agenda?
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  • Indian Rupee Crisis of 2013

    The U.S. Federal Reserve System's decision to taper its quantitative easing program triggered large capital outflows from India, and the rupee depreciated by 13.7 per cent from June to August of 2013. Firms dependent on imports complained of rising costs, but exporters stood to benefit from the depreciation. On a macro level, economic growth dropped and inflation remained high, raising concerns that the much-touted "India growth story" was over. India's central bank, the Reserve Bank of India, faced the difficult task of fighting inflation and stopping the rupee's decline once the economic growth had slowed down. Expectations were high for an appropriate action from the bank, even as room for policy maneuverability appeared limited.
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