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  • Souk El Tayeb: The Good Food Market in Lebanon

    Souk el Tayeb, the farmers' market, and Tawlet, the farmers' kitchen are two legal entities, the former adopting the legal structure of an NGO and the latter, an income generating company, joined by one vision namely to "celebrate food and traditions that unite communities and support small-scale farmers and producers and a culture of sustainable agriculture." Souk el Tayeb founder, Kamal Mouzawak, first launched Souk el Tayeb, a farmer's market, in May 2004 in Beirut, Lebanon. The idea was to create a communal space for farmers across the country to sell their organic produce and products. The over-arching vision was to create a platform that joined different people celebrating food, culture and traditions and in parallel promoting and supporting the agricultural sector in Lebanon. Mouzawak and his business partner were in the process of brainstorming ways to scale the impact of their social business while not compromising quality standards and meeting the ever looming challenge of financial sustainability.
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  • Ferro Industries - Exporting Challenge in a Small Firm

    This case deals with an exporting challenge faced by Ferro Industries (Ferro), a small enterprise within the steel industry in India. The company's manufacturing facility was located in the National Capital Region of Delhi. Ferro's main products were roll-forming machines, cut-to-length lines and slitting lines; the company was one of only three firms in the Indian sub-continent catering to the market for such products. This case raises two basic questions in relation to Ferro's role as an exporter: Firstly, at what stage should an importer have to pay an exporter? Secondly, should the exporter release consignment to the importer before receiving payment? The case illustrates the challenges of exporting and international entrepreneurship for a small firm, taking into account payment risk, product pricing, deal-making strategies, promotional strategy and client-management strategies. It also addresses the complexities involved in the decision-making process while exporting, as well as outlining various conflict-resolution techniques for closing a deal effectively while considering the appropriateness of taking risks.
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  • RESTORING THE BRITISH MUSEUM

    It was also in debt and out of fashion. It had acquired a reputation as "one of the least user-friendly museums in the world." One senior figure from the museum was even quoted as saying that he didn't want children in there. Compared to rival venues, visiting the BM was like a "trip back in time" - but not in a favorable sense. In the space of nine years, MacGregor reversed its fortunes and restored its sense of pride and purpose. He raised its profile through engaging exhibitions, television shows and the Internet - but most surprisingly of all through the use of radio. He presided over a startling transformation in the image and fortunes of the BM, with net income quadrupling in nine years and donations and legacies growing eight-fold under his watch. Visitor numbers reached record highs and the BM has become a template for other museums. A cultural institution that was once in danger of becoming an embarrassing monument to British imperialism is now viewed with pride. As one commentator put it: "As an exercise in rebranding, it is surely up there with the best." The case considers the methods used by MacGregor to achieve these results and some of the key turning points, as well as the lessons for other organizations, including in the private sector. It also explores the possible complications of following a charismatic leader. Learning objectives: The case covers six key issues to do with leadership and organizational change: 1) The difficulties of changing an entrenched public sector culture, shaped by curatorial divisions and the weight of the BM's heritage. 2) The challenge of managing multiple stakeholders. 3) The various roles adopted by a leader - and changing the scope of the job. 4) The importance of finding a purpose that resonates with employees and visitors alike. 5) The process of institutional transformation and the challenge of building on MacGregor's legacy. 6) The benefits and drawbacks of charismatic leadership.
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  • Regulating Broadband in Chile: The Debate Over Open Access

    In 2011, Chile's Undersecretary of Telecommunications, Jorge Atton, was considering adopting a different policy toward regulating competition in Internet services than previously applied to voice telephony. Atton headed Chile's telecommunications regulatory agency, SUBTEL. For the past two decades, SUBTEL had encouraged the emergence of competition in telephone services in part by forcing the incumbent telephone company to give new entrants to the industry access to its customers. SUBTEL had circulated for public comment consultation document that raised the possibility of imposing "open access" requirements on the providers of broadband Internet services. This case discusses the debate over open access in Chile. This case can be used with the accompanying teaching note (HKS 878). HKS Case Number 1955.0.
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  • Macy's Department Store Repositioning

    From 2005-2006, Federated Department Stores converted some 15 regional department store chains into a single national brand, Macy's, with 810 stores across the United States. In addition, the company repositioned the consolidated Macy's in the overall retail landscape in an attempt to differentiate the new company from its competitors. These maneuvers were undertaken to counter decreasing sales and profits in the traditional department store industry. Some retail analysts suggested that the consolidation of Macy's, while interesting, was destined to fail because the traditional department store was an obsolete entity; however, other analysts suggested that Macy's strategy may have held the key to success in a declining industry. In 2008, the U.S. economy entered a recession, and, by 2011, it remained far from booming. Did Macy's need to change parts of its strategy to remain competitive? What would need to change?
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  • Infant HIV Diagnostics: Supply Chain in Sub-Saharan Africa

    Roger Osayende, a former management consultant, must advise the Ministry of Health of Ektu, a fictional country in Central Africa, on how to implement a new point-of-care diagnostic test for infants with HIV. In Ektu, mothers often transmitted HIV infection to infants during pregnancy, delivery, or breastfeeding due to inadequate resources to invest in prevention efforts. The existing procedure to diagnose infants with HIV required collecting dried blood samples at more than two hundred healthcare facilities around the country and transporting them to a central laboratory in the capital for testing. This process was characterized by significant delays due to long transportation times, batching of samples in transportation and processing in the lab, and concomitant congestion in the lab. This delay resulted in loss to follow-up, that is, lost patients due to mothers not collecting their infants' results. A new point-of-care device was about to be introduced, which would obviate the need for this centralized processing and the resulting diagnostic delay. The key decision under consideration is where to place the devices to maximize their effectiveness.
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  • Better World Books (in 2009): Social Entrepreneurship and the Triple Bottom Line

    Better World Books was founded as a for-profit "B corporation" committed to a triple bottom-line of financial, social, and environmental performance. After early growth, BWB now faces challenges growing while sustaining their social-entrepreneurship business model. Problems such as narrow margins, shrinking supply, low brand awareness, and even copycat competitors are a few of the issues BWB faces. CEO David Murphy must decide how to handle these issues in a way that keeps BWB competitive in the crowded used-book industry and creates value for all of BWB's stakeholders.
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  • Tesla Motors (in 2009) and the U.S. Auto Industry (Case A)

    After a series of entrepreneurial successes, Elon Musk invested and took a leadership role in Tesla Motors, a company dedicated to commercializing the fully electric car for the mass market. Tesla's current product, the Tesla Roadster, is considered the first fully electric vehicle capable of replacing a gasoline-powered automobile due to its high performance and acceptable range. As other companies, including the traditional vehicle manufacturers and new entrants, develop their own electric vehicles, Musk must decide what to do with Telsa Motors as a company. Should he sell to a larger manufacturer, take the company public to generate the capital for growth, or remain a private niche company? Could Tesla expand their product line to compete with the traditional players in the market?
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  • Numenta (in 2010): The Age of Truly Intelligent Machines?

    Jeff Hawkins, founder of Palm Computing, wants software that "thinks" like the human brain. His latest company, Numenta, has developed "Hierarchical Temporal Memory" (HTM), a cutting-edge pattern-recognition software that functions as the human brain does. Hawkins struggles with how to license Numenta's software while protecting Numenta's intellectual property. He must also balance moving his research forward with creating a profit and sustaining his company. Hawkins, who doesn't want to lose control of this company like he lost control of Palm Computing, must decide what strategic alliances to make or not make to ensure that his dream of making computers "more human" becomes reality.
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  • InterfaceRAISE (in 2010): Raising the Bar in Sustainability Consulting

    Teaching Note for Product #MH0004 Following Ray Anderson's guidance and vision, Interface, a modular carpet and commercial broadloom company, had implemented a business model focused on sustainability. The results had been not just good for the environment but also for Interface's costs and bottom line. When larger companies such as Wal-Mart came to see Interface's sustainability practices in person to learn how sustainability could benefit their companies, Anderson started InterfaceRAISE, a sustainability consulting company, and made Jim Hartzfeld Managing Director. Now faced with growing the business, Jim must consider what he will need to do to increase InterfaceRAISE's influence for sustainable business on the corporate world.
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  • Best Buy after Circuit City (in 2011): What's Next?

    Best Buy has survived the economic recession that took out competitor Circuit City only to find an increasingly competitive landscape. Their dominance of the retail electronics industry is being challenged by online retailers and big-box retailers such as Walmart and Target. CEO Brian Dunn is scheduled to present a five-year growth plan to shareholders in just two months. With an uncertain economy and invading competitors, what strategies for growth should he present to keep Best Buy from the same fate as Circuit City?
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  • Bank of America (in 2010) and the New Financial Landscape

    Bank of America has historically pursued a strategy of growth through acquisition. The bank acquired Countrywide Financial in 2008 and Merrill Lynch in early 2009, but at the same time took on $100 billion in toxic assets and exposure to potentially massive losses in the mortgage industry. After being bailed out by the U.S. government preventing what would have been the largest bankruptcy in history, Bank of America is looking to the future and new opportunities. Stephanie Miller is part of a team tasked with developing a new strategy for the bank. How should the bank position itself strategically to compete successfully and grow in the future?
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  • IBM (in 2010) and the Emerging Cloud-Computing Industry

    The onset of the cloud computing industry reshaped IBM's strategy. Previously, it had excelled at vertically integrating all in-house activities to drive the value of their mainframe computers. The rise of personal computing was met with corporate denial at IBM. And, by the time it tried to enter the PC market, major players, like Apple, had a five-year lead. IBM then outsourced its operating system and microprocessors and sold its stake in Intel. The series of missteps after the era of mainframe computing brought IBM to its lowest point. After missing out on the PC boom, Cloud computing presented IBM with a new opportunity for it to become the dominant player in computing again. The question had become "How far should IBM venture into the cloud computing industry? And, which market segment would prove the most profitable for IBM?" This case shows the dynamism of the IT industry by the fact that even though IBM missed a cycle of innovation with the PC industry, it had the chance to catch the next wave with the advent of cloud computing.
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  • Merck (in 2009): Open for Innovation?

    The pharmaceutical industry faces the threat of patent expirations, diminishing new drug breakthroughs, adverse regulatory laws, increasing competition, and a harsh economic climate. Merck & Company felt these mounting pressures and had become increasingly reliant on blockbuster drugs. With its new drug pipeline running dry, Merck accepted that the biotech industry is too complicated for it to navigate alone. As it stood, it was producing only 1% of the biomedical research in the world. Thousands of new ideas were emerging around the world, both inside and outside of the company. An open innovation strategy would allow the company to source new ideas externally and at a faster rate. This came with many risks including the reduced competitive advantage of protected intellectual property. While Merck had been moving toward an open innovation strategy, its history of internal research and development had created a culture resilient to working externally. Should Merck pursue an open innovation strategy? If so, how?
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  • healthymagination at GE (in 2011)

    Jeffrey Immelt started his tenure as General Electric's CEO in what would be called the "Decade from Hell". It started in 2001 with an economic depression due to the 9/11 terrorist attacks and was followed by the global financial crisis in 2008. GE's stock price fell 13% in a single day after missing its quarterly earnings forecast in 2009. On the heels of that loss, Standard & Poor's downgraded GE's AAA credit rating. Despite Jeffrey Immelt's efforts, the share price reached its all-time low of $6.66 on March 5, 2009. By 2010, GE's market capitalization was cut in half to $200 billion. Immelt knew that something had to change with GE's Corporate Strategy. He focused efforts on innovation in energy and healthcare that became known as ecomagination and healthymagination initiatives. Ecomagination sought innovative solutions to ecological challenge while healthymagination focused on delivering solutions for the healthcare industry. By 2010, the efforts from these initiatives had restored some of GE's market capitalization, but were far from the original $400 billion that he had inherited as CEO. Was Immelt's strategic plan enough to carry the company back to its former glory? And, would investors have the patience to stick o this path?
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  • Siemens Energy (in 2010): How to Engineer a Green Future?

    The global sentiment towards energy has focused on reducing fossil fuel dependence. This move to alternative energy represents an opportunity for the world's largest energy technology companies, such as Siemens, to lead the future with a disruptive innovation. There are many new and developing technologies vying to unseat fossil fuels. Wind, solar, geothermal, hydropower and nuclear are the most mature technologies. Siemens Energy has a hand in each of these technologies with its greatest focus in wind and solar, although the time has come to choose which alternative it will focus on to disrupt the industry. This decision comes down to anticipating the most successful technology for the future. Should Siemens wait to acquire a smaller company with an innovative product in order to limit its risk? Or, should Siemens partner with competitors despite bad history?
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  • Infosys Consulting in the U.S. (in 2010): What to Do Now?

    Infosys' global delivery model was being challenged by the United States backlash against outsourcing. Tax incentives and H1B visas for foreign workers were being reformed to support this policy. The tax incentives being proposed were meant to save American taxpayers $210 billion over ten years by repatriating taxes on foreign profits. Arguments for the H-1B reform advocate ensuring that where there are qualified American workers, those jobs are filled with those individuals before foreign workers. Also, competitors like Wipro and Tata were challenging Infosys' global consulting strategy. How should Infosys react to pressure to hire costly local talent while trying to remain competitive?
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  • Genentech (in 2011): After the Acquisition by Roche

    Roche had just finished purchasing the last public shares of Genentech in an effort to secure their expertise in biotechnology. However, the recent failure of the colon cancer drug, Avastin, had raised questions about the partnership. Roche's main motives in the acquisition were to gain rights to Avastin and use it for a myriad of other applications. Positive clinical trials would have lead to significantly increased sales and growth into other cancer applications. Instead, the negative results caused Roche shares to drop by 10 percent. The incident raised questions at Roche about the efficiency of drug development at Genentech. Phase III trial failures represented a significant loss of time and money. And, in this case, the FDA revoked Avastin's approval for treatment of breast cancer causing further harm to revenue opportunities for Roche. Now that Roche was in charge, expectations were raised for producing successful Phase III trials that would bring more products to market. But, what was the appropriate resource allocation for early drug discovery and Phase II and III trials? On one side, Genentech wanted to focus on early drug development as a means to keep the future product pipeline well stocked; on the other side, Roche was focused on getting drugs through Phase II and III trials and into the market to generate revenue.
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  • Apple (in 2011) after Steve Jobs

    Apple Inc.'s rise to success was punctuated by culture that Founder/CEO Steve Jobs had instilled in the company for over thirty years. This culture created the successful fusion of computing, industrial design, and brand power that led to popular innovations such as the iPod, iPhone and iPad. Apple experienced ups and downs along the way. Externally, it had to defend itself from competitors like IBM, Microsoft, and Dell. Internally, Apple suffered through power struggles that left it without Jobs for a season between 1985 and 1997. During that time, Apple's market share sunk to its lowest point - a mere three percent worldwide. Jobs returned as CEO after successfully founding Pixar Animations Studio and NeXT computer company. His return hailed one of the greatest corporate comebacks in modern history. However, what would happen to this company whose success seemed to be so closely tied to its founder when he was no longer able to lead?
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  • Better World Books (in 2013): Social Entrepreneurship and the Triple Bottom Line

    Better World Books was founded as a for-profit "B corporation" committed to a triple bottom-line of financial, social, and environmental performance. After early growth, BWB now faces challenges growing while sustaining their social-entrepreneurship business model. Problems such as narrow margins, shrinking supply, low brand awareness, and even copycat competitors are a few of the issues BWB faces. CEO Andrew Perlmutter must decide how to handle these issues in a way that keeps BWB competitive in the crowded used-book industry and creates value for all of BWB's stakeholders.
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