Strategy Case Studies(Catalogue II)

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S T R A T E G Y – II





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Korean Air: Chairman/CEOYang-Ho Cho’s Radical

TransformationA series of fatal accidents, coupled withoperational inefficiencies snowballedKorean Air into troubled times. Then, atthe beginning of the 21st century, its CEO/Chairman, Yang-Ho Cho undertook varioustransformation initiatives - for instance,improving service quality and safetystandards, technology integration,upgrading pilot training, better businessfocus; putting in place a professionalmanagement team, improving corporateimage through sponsorship marketing, etc.He gave a new corporate direction in theform of '10,10,10' goal. However, KoreanAir is held up by a slew of challenges. Amongwhich are inefficiencies of - Chaebol systemof management, possible clash of its cargobusiness with its own shipping company,limited focus on the domestic market andgrowing competition from LCCs. Howwould Korean Air manage growth as afamily-owned conglomerate? The caseoffers enriching scope for analysing afamily business’s turnaround strategies, withall the legacy costs involved.

Pedagogical Objectives

• To discuss the (operational) dynamicsof Korean Chaebols - their influence/effects on the country’s industrial sectorand the economy as a whole

• To analyse how family-owned businessesmanage the transition phase - from asupplier-driven economy to a demand-driven economy

• To identify all the possible reasons forKorean Air’s turbulent times andassessing whether they are controllableor not

• To critically evaluate Korean Air’stransformation efforts - in terms ofgrowth, productivity and cost cuts,especially the efficacy of '10,10,10' goalin a family-run business

• To identify various challenges to KoreanAir in sustaining growth and finding waysto overcome them.

Industry AviationReference No. COT0010Year of Pub. 2007Teaching Note AvailableStruc.Assig. Available

Keywords

Chaebols System; Civil Aviation; SouthKorea; '10,10,10' Goal; Growth,Productivity and Cost Cuts; CorporateTransformation Case Study; Cross-shareholdings; Clash of Interests in

Business Divisions; Hanjin Group;Airfreight; Air Cargo; CorporateRestructuring; Fatal Accidents - SafetyConstraints; OECD; SkyTeam Alliance;Family-owned Business Conglomerates;Cargo Shipping

Dell Back to the Future?On January 31st 2007, Dell announced theresignation of Kevin Rollins (Rollins) asthe CEO, and founder Michael Dell(Michael) took over as the next CEO.Since mid-2005, Dell had problems withcustomer service, quality and theeffectiveness of its direct sales model.Lately, Hewlett Packard, a competitor toDell, has gained on Dell and occupied theNo.1 spot as a PC vendor. During Rollins'tenure Dell also faced investigations of theSEC for accounts irregularities. Michaelfaced an uphill task to take the companyto the No. 1 position, where it was whenhe had left. Analysts felt that it would notbe easy for Michael to comeback, althoughthey felt that he would be the only personwho could revive Dell.


• The kind of leadership traits essentialto become successful in the competitiveIT industry

• How Michael Dell's strategies enabledthe company to become the top PCvendor

• The difference between the strategiesof Michael Dell and Kevin Rollins andto understand the importance ofsuccession planning

• Whether Michael Dell will be able torevive Dell with his new plans.

Industry Personal ComputersReference No. COT0009BYear of Pub. 2007Teaching Note AvailableStruc.Assig. Available

Keywords

Michael Dell; Kevin Rollins; DellCorporation; Direct Sales Model; PCMarket; AMD processor; CorporateTransformation Case Study; Intelprocessor; HP; Dell 2.0; Acer; Dell Connect;Entrepreneur; Supply Chain; Laptop

AOL: The Shift Towards FreeServices

In a conference call held in August, 2006,America Online (AOL) announced that itwould make most of its premium servicesavailable free of cost. The company hadlost 2.8 million subscribers in US in 2005,while its revenue in the same year had

declined by 5% from that of 2004. Thiscase looks into the difficulties that AOLfaced due to its primarily subscription-based revenue model, and the reasons forthis shift in strategy.


• To discuss the subscription based businessmodel of AOL

• The reasons behind declining revenues

• Whether free services model can helpthe company revive?

Industry EntertainmentReference No. COT0008KYear of Pub. 2006Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

America On-line (AOL); CorporateTransformation Case Study; On-lineadvertising; Subscription; Internet serviceprovider (ISP); Broadband; Dial-up; Media

The Downfall of Polaroid:Corporate Lessons(Part B)

In October 2001, Polaroid Corporation,the pioneer of instant photography filedfor federal bankruptcy protection underChapter 11 bankruptcy protection. Thoughit was a global brand name in 2007, thecorporate entity of this pioneer got lost inthe way.

Founded in 1937 by Edwin Land, Polaroidentered the imaging industry in 1948 withadvent of first ever instant camera.Polaroid soon developed a cult status forinstant cameras. But soon its golden yearsgot over. In late 1980s, the digitaltechnology revolutionized the picturetaking industry. Polaroid under theinfluence of its immensely valued corebusiness of instant photography could notanticipate magnitude of challenges fromDigital evolution and it also entered in thegame late. The company not only failedto position itself in digital imaging but alsolost its drive for instant photography.

In spite of being a research-and-development-driven company, Polaroidcould not save its technology driven corebusiness of instant cameras. In October2001, the corporation after bankruptcysold most of the business (including the“Polaroid” name itself and non-bankruptforeign subsidiaries) to One Equity Partners(OEP), a partner of Bank OneCorporation. Although OEP ImagingCorporation changed its name to PolaroidHolding Company (PHC), the originalPolaroid Corporation changed its name toPrimary PDC Inc. In April 2005, PettersGroup Worldwide (PGW) announced itsacquisition of PHC for US$426 million.

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The case details the evolution and growthof Polaroid as a corporation and a brand.It ends on a debate over a question ofPolaroid's success as a brand vs its failureas a corporate entity.


• To understand the importance ofperipheral vision

• The importance of innovation in adynamic industry like imaging

• To discuss why Polaroid a globallysuccessful brand failed as a corporateentity.

Industry Photographical & DigitalEquipments

Reference No. COT0007AYear of Pub. 2007Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

Polaroid; Corporate Transformation CaseStudy; Instant Photography; Edwin HerbertLand; Innovation; Core Business; BusinessStrategy; Patents; Product Development;Product Positioning; TechnologicalChange; Change Management;Organisational Inertia; 'Chapter 11'Bankruptcy; Takeover and Acquisitions;Leadership Styles; Financial Restructuring;Digital Imaging and Competition; Kodak

The Downfall of Polaroid:Corporate Lessons(Part A)

In October 2001, Polaroid Corporation,the pioneer of instant photography filedfor federal bankruptcy protection underChapter 11 bankruptcy protection. Thoughit was a global brand name in 2007, thecorporate entity of this pioneer got lost inthe way.

Founded in 1937 by Edwin Land, Polaroidentered the imaging industry in 1948 withadvent of first ever instant camera.Polaroid soon developed a cult status forinstant cameras. But soon its golden yearsgot over. In late 1980s, the digitaltechnology revolutionized the picturetaking industry. Polaroid under theinfluence of its immensely valued corebusiness of instant photography could notanticipate magnitude of challenges fromDigital evolution and it also entered in thegame late. The company not only failedto position itself in digital imaging but alsolost its drive for instant photography.

In spite of being a research-and-development-driven company, Polaroidcould not save its technology driven corebusiness of instant cameras. In October2001, the corporation after bankruptcysold most of the business (including the“Polaroid” name itself and non-bankrupt

foreign subsidiaries) to One Equity Partners(OEP), a partner of Bank OneCorporation. Although OEP ImagingCorporation changed its name to PolaroidHolding Company (PHC), the originalPolaroid Corporation changed its name toPrimary PDC Inc. In April 2005, PettersGroup Worldwide (PGW) announced itsacquisition of PHC for US$426 million.

The case details the evolution and growthof Polaroid as a corporation and a brand.It ends on a debate over a question ofPolaroid's success as a brand vs its failureas a corporate entity.


• To understand the importance ofperipheral vision

• The importance of innovation in adynamic industry like imaging

• To discuss why Polaroid a globallysuccessful brand failed as a corporateentity.

Industry PhotographyReference No. COT0006AYear of Pub. 2007Teaching Note AvailableStruc.Assig. Not Available

Keywords

Polaroid; Instant Photography; EdwinHerbert Land; Innovation; Core Business;Business Strategy; Patents; ProductDevelopment; Product Positioning;Technological Change; ChangeManagement; Organisational Inertia;'Chapter 11' Bankruptcy; CorporateTransformation Case Study; Takeover andAcquisitions; Leadership Styles; FinancialRestructuring; Digital Imaging andCompetition; Kodak

HP: Reinventing ItselfIn 2006, HP planned a million dollar globalmarketing campaign. Through thiscampaign the company wanted to send amessage to its consumers that they werealso one of the prime sellers of personalcomputers and not only high qualityprinters. HP's goal was to make the personalcomputer a more powerful personal toolfor the customers. This included ads on theinternet, TV, print and billboard. Thecompany felt that this campaign wouldincrease momentum of its PC sales. Thecase gives an insight into HP’s history fromits inception with the challenges it facedfrom its competitors. The case also focusedon HP's integrated marketing.


• To understand the challenges faced byH P

• To understand the competitorsmarketing strategies

• To analyse HP’s marketing campaign incomparison to its competitors

• To analyse HP’s focus on IntegratedMarketing.

Industry Personal ComputersReference No. COT0005KYear of Pub. 2006Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

HP; PC; Dell; IBM; Canon.

ABB India: Gaining PowerThe top line of ABB India, a 52% subsidiaryof ABB Global, Switzerland, was Rs. 8068million in the year 2000. However, it wasstruggling to grow both in terms of revenuesand profits, and at the same time its parentwas in trouble with constant restructuring.ABB India at that time was required tocontribute more to the groups bottom-lineand hence in September 2001, JurgenDormann, CEO, ABB Global brought backRavi Uppal from Volvo India to becomethe country head for ABB India. This casedetails the leadership style of Ravi Uppaland the restructuring initiatives he startedat the company. This case takes an insidelook at ABB’s unprecedentedtransformation under Ravi Uppal. ABBIndia was focusing on extensive use ofchannel partners, is there any other way itcan plan market penetration. Industrial ITinitiatives and investment into R&D willhelp ABB India in the long run.


• To discuss the main reasons that led toimproved performance at ABB India.Was it – Change of Leadership, Marketforces, Restructuring, or Governmentreforms

• To discuss the organisation culture atABB India

• To discuss whether the shift fromprojects to standardised products andservices needed.

Industry Power EnergyReference No. COT0004BYear of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

leadership; Change Management;Organisational Culture; Restructuring;Reorganisation; Power technology;Automation Technology EngineeringIndustry; R&D; Exports; ChannelPartners; Cost Cutting, Human Resource

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Management; Organisation Structure;Transformation.

Zee Telefilms: A TransitionTelevision as a mode of communicationwas introduced in the Indian market wayback in 1959 on an experimental basis.Doordarshan, a government-ownedchannel was formed in 1976 and monopolyrights were granted over terrestrialbroadcasting. In 1991, with theprivatisation of the broadcasting rights, theIndian Cable and Satellite industry saw theentry of many players. One such playerwas Zee Telefilms Limited which startedits operation in 1992. The channelenjoyed the privilege of being the firstprivate player to go on air. The channelfaced competition from other channelssuch as Sony Entertainment, Star network,etc who were also building on theirstrengths. In 2003, Zee reached around 32million homes in India and around 225million people worldwide. This casediscusses on the transition which tookplace in the company in the wake of thedeclining market share and to counter thecompetitors programming strategies.Further, the case discusses about SubashChandra, chairman of Zee Telefilms andhis intentions to make the channel as afamily run business.


• The state of the Indian cable andsatellite industry and the changingpreferences of the customers

• The strategy of Zee to increase its TRPratings in the wake of the competitorsprogramming schedule

• The product extending activity ofchannel in order to lure the customers

• The challenges that the channel wouldface with the increase in the number ofplayers entering the cable and satelliteindustry.

Industry Cable and SatelliteReference No. COT0003BYear of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Indian Cable and Satellite Industry;Doordarshan; Zee Telefilms; Star TV; SonyTV; Subash Chandra; TRP Ratings; TAM& INTAM Star TV; Sony TV; SubashChandra; TRP Ratings; TAM & INTAMOperator; Essel World; News Corporation;Transition.

Indian Banking Industry andBank of Baroda: The Need forOrganisational Transformation

Founded in 1908 by Maharaja SayajiraoGaikwad III, Bank of Baroda has grown overthe years to become one of the leadingplayers in the Indian banking industry today.Nationalised in 1969 by the Governmentof India, the Bank continued its socialbanking initiative by establishing ruralbranches. With its constant profit anddividend payout record, the Bankmaintained its key position among the PublicSector Banks (PSBs). However, theeconomic liberalisation begun in 1991-1992, permitted foreign and private playersto start their operations in the country, andthese, with their cost-efficient technologiesand value-added services backed byaggressive marketing, offered a stiffcompetition to PSBs by luring awaycustomers from PSBs. As a result, along withother PSBs’, Bank of Baroda’s market sharestarted declining giving a rude jolt to theBank’s management which felt forced totake steps to contain the slide-down. Andthus started the re-branding initiative in mid-2005 – a major initiative in the history ofPSBs in the Indian banking industry.


• To understand the Indian financialsystem and the evolution of the Indianbanking industry

• To analyse the competitive scenarioprevailing in the Indian banking industrybefore and after the liberalisation

• To understand the various reforminitiatives taken by the Indiangovernment in a bid to revitalise thebanking industry and its effects

• To make out or oppose the case ofconsolidation in the Indian bankingindustry

• To understand the growth strategiesadopted by Bank of Baroda with thechanging competitive dynamics of theIndian banking industry

• To discuss the need for an organisationaltransformation for a public sector banklike Bank of Baroda despite its goodfinancial performance and marketstanding.

Industry BankingReference No. COT0002Year of Pub. 2006Teaching Note AvailableStruc.Assign. Available

Keywords

Indian Financial System; Reserve Bank ofIndia Act, 1934; Banking Regulation Act,

1949; Scheduled and Non-scheduled Banks;Public Sector Banks and Private SectorBanks; Rangarajan Committee;Narasimham Committee; Impact ofNationalisation of Banks in India;Liberalisation of Indian Banking Industry;Priority Sector Lending; CRR, SLR andCAR; Need for Rebranding; NonPerforming Assets (NPAs); State Bank ofIndia (SBI) and ICICI Bank; Consolidationin the Indian Banking Industry.

De Beers’ CorporateTransformation: The Competitive

PressuresThe De Beers group, which maintained amonopoly on the global diamond tradesince the early 20th century, had to changeits business model by the turn of the 21st

century. It adopted the ‘Supplier of Choice’program as a response to several allegationsof unethical business practices, the issue ofconflict diamonds in Africa and the antitrustsuits filed against it in the US and the UK.De Beers consciously transformed itselffrom being a controller to stimulator ofglobal diamond business. However, it facesstiff competition from a number ofcompetitors, prominent among them beingLev Leviev, who pioneered the concept ofvertical integration in the diamond tradeand has robbed De Beers of many lucrativedeals.


• To understand how the global diamondindustry used to run through a cartel inmost part of the 20th century

• To describe the competitive landscapeof the global diamond industry in the21st century

• To analyse the business transformationat De Beers and its impact on thecompany and the global diamond tradeas a whole.

Industry Diamond & Other PreciousStone Mining

Reference No. COT0001Year of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Horizontal vs vertical monopoly; Singlechannel marketing; Central sellingorganisation; The diamond cartel; Buyerof last resort; ‘A Diamond is Forever’; DeBeers and Alrosa; Lev Leviev; Syntheticdiamonds; US antitrust; Supplier of choice;The ‘Forevermark’; Conflict diamonds;Making money the De Beers way.

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Nokia Diversifying into Services:Rediscovering its Business

PortfolioIn 2007, Nokia, the world's largest mobilephone manufacturer held 36% of the globalmarket share. Driven by trends oftechnology convergence and rapid growthacross market for internet services, Nokiadecided to re-define its business portfolioto create a new business group aroundInternet services and software. While thistransformation helped Nokia in exploringnew growth avenues in the global mobiletelecommunication market, analystsremained skeptical regarding the successof Nokia’s transformation from amanufacturer of wireless hardware into aprovider of Internet services. Further thefact that such a move would make Nokiaconfront big players like Google and Yahooin the internet industry posed seriousconcerns. Whether Nokia would succeedin transforming its business portfoliowithout loosing its focus on its core mobilephone business was yet to be seen.


• To understand the concept of'technological convergence' in themobile communication industry

• To analyse the evolution of Nokia'sbusiness portfolio

• To understand the competitive dynamicsof global mobile communicationsindustry

• To analyse the shifts in Nokia's growthstrategy and its implications.

Industry Wireless TelecommunicationEquipments

Reference No. DIS0026AYear of Pub. 2008Teaching Note AvailableStruc.Assig. Available

Keywords

Nokia; Mobile TelecommunicationMarket; Diversification Strategies CaseStudy; Mobile Handset Industry; IndustryConvergence; Technology Convergence;Business Portfolio; Diversification; CoreCompetencies; Change Management;Organic Growth; Inorganic Growth;Internet Services; Growth Strategy;Motorola; Samsung

UCB: Expanding throughUnrelated Diversification

United Colors of Benetton (UCB), thereputed international fashion house fromItaly, is losing its shine. UCB, founded inthe year 1965, has had a bullish trajectory

right from its inception. It has presence inmany parts of the world and its apparelsand accessories were much sought after bythe global customers. At a point of time,when the competition in fashion industrywas limited, UCB was the manifestation ofnot only Italian fashion houses but theentire Europe’s. However, with manyplayers entering the arena and competitionintensifying, the family-owned UCB waslosing steam. The company which wasranked within the top 200 family-ownedbusiness in the world was struggling. Itsattempts to diversify its brand were notpaying off. The revenues started toplummet and the family-owned companydecided to open its share to outsiders. Thecompany also started diversifying intounrelated sunrise ventures likeinfrastructure and aviation. Whether thisattempt to revive the family’s fortune wouldpay-off, is yet to be seen.


• Trends in the European fashion industry

• UCB's growth in its apparel business

• Need for diversification

• Analysing UCB's diversificationstrategies

• Can UCB sustain a diversified profile?

Industry Apparel IndustryReference No. DIS0025Year of Pub. 2008Teaching Note AvailableStruc.Assig. Available

Keywords

UCB; United Colors of Benetton;Acquisition; Diversification Strategies CaseStudy; Family Business; Benetton group;Fashion Apparel; European Fashion house;Luciano; Perfumes; Mergers; UnrelatedDiversification

Starbucks Diversion from Coffee:Will it Work?

In 1999, Starbucks’, the most famousspecialty coffee shop chain in the world,acquired Hear Music to push itselfaggressively in the music retail market andachieved immense success. It became arecognised music retail outlet due to thesuccess of albums by Ray Charles, Bob Dylanand others that had been sold in its stores.

Meanwhile, Starbucks coffee chain poseda threat with the increased competition incoffee business. The company decided toexpand into diverse business by leveragingon its parent coffee brand. Analysts had askeptical view that it may be risky forStarbucks to be shifting its focus away fromits coffee brand. It discusses strategiesadopted by Starbucks to replicate its coffeesuccess. This case highlighted the risks

involved in diverting the focus from thecore parent brand.


• To discuss strategies adopted byStarbucks to replicate its coffee success

• To analyse the risks involved in divertingthe focus from the core parent brand.

Industry Music IndustryReference No. DIS0024BYear of Pub. 2007Teaching Note AvailableStruc.Assig. Available

Keywords

Coffee; Diversificatio; core brand;McDonalds; Apple; Digital piracy; GrowthStrategy; Brand Equity; DiversificationStrategies Case Study; Sczultz; Hear Music;XM Satellite Radio; Paul McCartney;Unification of two Brand

Philips: Divesting the Semi-conductor Business

In order to reduce the volatility associatedwith the cyclical business-pattern of thesemiconductor industry, Royal PhilipsElectronics N.V. (Philips) decided to divestits semiconductor unit and focus more onthe emerging profitable businesses of thehealth-care segment. Philips also decidedto drop the word 'electronics' from itscompany name to emphasise the change.

The case discusses the corporaterepositioning of Philips from anelectronics-goods manufacturer to ahealthcare and wellness driven company.


• To discuss about Philips semiconductorbusiness

• To understand the global healthcareindustry

• To debate on Philips decision to divestthe semiconductor business

• To argue on Philips repositioningstrategy.

Industry SemiconductorsReference No. DIS0023KYear of Pub. 2007Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

Philips; Semiconductor; Divestment; Senseand Simplicity; Health care and lifestyle;Diversification Strategies Case Study;Gerard Kleisterlee; Volatility; Ageingpopulation; Care cycle; Telemonitoring;Ambient experience solution; Rural-urbanmigration; Interbrand; Consumer wellness

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NYTimes: Diversifying OnlineRevenue

In its effort to diversify the revenue sourceof the company and neutralise the effectof rising newsprint costs, New York TimesCompany (NYTimes) acquired BaselineStudio Systems (Baseline), a leading onlinedatabase and research firm for the film andtelevision industries. The acquisition wasalso aimed to enhance the content offeringsof NYTimes and continue the rich legacyof bringing the latest in the news acrossdiverse sectors.

The case, while providing an overview ofthe two companies, discusses the strategicshift of the traditional print media to theonline media.


• To analyse the rationale of a mergerbetween a media company and an onlineresearch firm

• To discuss the possible synergies out ofthe merger

• To understand the shift of print mediato online media

• To debate whether the deal would bemutually beneficial for both the parties.

Industry Newspaper PublishingReference No. DIS0022KYear of Pub. 2007Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

New York Times Company (NYTimes);Baseline Studio Systems; Database andresearch firm; Diversification of revenue;On-line media; Entertainment industry;Advertising revenue; Janet L Robinson;Digital space; Hollywood MediaCorporation; Diversification StrategiesCase Study; Subscription; Newsprint costs

Amul: Diversifying for GrowthAmul is India’s largest co-operative societywith revenues of US $672 million for 2004-05. Amul is also India’s largest foodproducts organisation and the marketleader in whole milk, condensed milk, milkpowder, butter, cheese, ice cream, dairywhitener and sweets. The case study ‘Amul-Diversifying for growth’, looks at how theco-operative integrated approach adoptedby Amul has been successfully used todominate the dairy products market andhow it is utilising its strong brand name todiversify into non-dairy products,processed foods and other products. Thecase study also gives a brief note on theevolution of Amul, the market scenario ofmilk and major milk societies/firms in India.


• To understand the diversificationstrategies followed by Amul

• To understand the efforts of other milksocieties to emulate Amul.

Industry Dairy ProductsReference No. DIS0021Year of Pub. 2007Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

Amul; Diversification strategy; Branding;GCMMF; Milk; Co-operative society;Yogurts; Ice-creams; Chocolates/Confectionery; Diversification StrategiesCase Study; Pizza; Baby foods; Curd; Dairywhiteners; Condensed milk; Cheese;Retailing and milk additives

Google's Diversification – Is it theRight Move?

Google, the largest and fastest searchengine in the world, had grownexponentially and was the market leaderin the search engine business. It had becomethe first company ever to have a 25% sharein all US online ad spending. One of itsmajor growth routes was throughacquisitions. Google had acquired 26companies from 2001 till 2006, most ofwhich were small startups with innovativeproducts or technologies. Although mostof these businesses were not in line with itscore area of search, Google had successfullyintegrated its acquisitions. This also resultedin Google entering new and unrelated areas.Analysts were skeptical about Google'smove and cautioned against diversifyinginto newer domains.

The case tracks the various diversificationsand partnerships of Google and highlightshow these have helped Google grow. Thecase facilitates discussion on whetherGoogle was making the right move bymoving away from its search business andentering new areas.


• To discuss the Search Engine business

• Growth by Acquisition

• Sustaining the Market LeadershipPosition.

Industry Internet TechnologyReference No. DIS0020CYear of Pub. 2007Teaching Note AvailableStruc.Assig. Not Available

Keywords

Google; Diversification; Acquisition;Internet Search Diversification StrategiesCase Study; Engine; AdWords; AdSense;

Page Rank Technology; Google Search;Partnerships; Advertising Revenue Model;Competition

LG Chem: The ChangingStrategies of the Chemical

CompanyInspite of profits of $883 million fromthe petrochemical business in 2004, LGChem, the largest chemical company inSouth Korea, was apprehensive about thefuture profitability of the unit, and decidedto increase its focus on the digitalmanufacturing unit to generate morerevenues for the company. LG Chemplanned to increase the revenues of thedigital division from $1.2 billion in 2004to $4.9 billion in 2008, and expected thedivision to account for 35% of the totalrevenues in 2008, up from 15% in early2005.

The case highlights the paradigmatic shiftin the business strategy of LG Chem in itseffort to become a leading IT componentprovider in the world.

Pedagogical Objective

• To understand the dynamics of ‘verticalintegration’

• To understand the businesstransformation of LG Chem from thepetrochemical business to electronicgoods manufacturing

• To discuss the viability of LG Chem’sbusiness model and its sustainability inthe long-run

• To understand strategic concentrationand divestment of resources to maximiserevenue.

Industry Chemical and PetrochemicalManufacturing

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Keywords

LG Chem; LG Group; Petro ChemicalIndustry; Digital Equipment; Chipmanufacturing.

Microsoft: Software to MediaMicrosoft, the global leader in software,services and solutions was under threat fromthe web based organisations. ThoughMicrosoft was an increasingly profitableorganisation but this internet basedcompanies increased their customer basethrough advertisement services. SoMicrosoft planned to become more webbased and remake the company by goingonline. The case gives an insight into

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Microsoft’s history from its inception withthe challenges it faced from the onlineorganisations and also from the opensource software companies. Moreover itdeals with the initiatives taken by thesoftware genius Ray Ozzie who was hiredby Microsoft to make the major makeover.


• To understand the software industry

• To understand the internet basedcompanies

• To analyse the difference between opensource and proprietary software

• To discuss the competitive dynamics ofweb based companies

• To discuss how Microsoft planned to shiftfrom its core business to increase itsrevenues.

Industry SoftwareReference No. DIS0018KYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Microsoft, Google; Software; Advertising.

Gateway Computers Managingthe Transaction

Gateway is the third largest computertechnology company in the US. Itpioneered the ‘built to order’ productionsystem and direct sales model to sellcomputers at low costs. However, sincelate 2000, Gateway suffered losses and lostits place in the Fortune 500 listing. Thiscase study discusses the causes resulting inthe decline of Gateway Computers and thestrategies it has adopted to make acomeback.


• To discuss the dynamics of the USconsumer electronics industry

• To discuss the factors leading to thedecline of Gateway computers

• To discuss Gateway computers strategiesto make a comeback.

Industry Information TechnologiesReference No. DIS0017PYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Gateway Computers, Brand integration;Direct sales model; Built to orderproduction system; Gateway countrystores; Circuit ity; Best Buy; eMachines;Office depot; Comp USA; Platinum

Edition; Gateway shield; Ultra portablenotebook; Advanced logic research;Beyond the box strategy.

Campbell Soup Company in2006

The case study narrates the efforts of theCampbell Soup Company in the US totransform its business in 2006. TheCampbell Soup Company in the US, afterseveral years of decline witnessed growthin one of its major product lines, condensedsoups, in 2005. It was believed that thissignificant growth was the result of thecompany’s relentless efforts since 2002.Campbell took several measures such asstrengthening the soup market in the US,introducing new and easy packaging for itsentire soup line, focusing on advertisingand promotions and also enhancing themerchandise display at the retail stores.Having achieved success with thesemeasures in 2006, the company initiatedto transform major product lines acrossthe world.


• To highlight the efforts of CampbellSoup Company to transform its business.

Industry Consumer packaged goodsReference No. DIS0016BYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Campbell; Campbell’s soup; CPG industry;condensed soup; transformation; V8chunky soup; Godiva; disinvestment;diversification; restructuring; pepperidgefarm; trading up; new markets; pack design.

Lonely Planet – On the Road LessTraveled

This case study is about Lonely Planet,considered to be the world’s most successfulindependent travel information company.The case, though narrative, makes a subtlereference to the issue.

Since publishing its first travel guide in1973, Lonely Planet has grown to becomethe largest independent travel-guidebookpublisher in the world with over 600 titles.The company has a reputation forproviding comprehensive and up-to-the-second travel information. The companyis at the forefront of print and electronicpublishing of travel content.

Over the years, the company has broadenedits market not only by covering places thatwere less traveled but, by also publishingtitles for different kinds of readers. Thoughthe company managed to survive through

the slack period following the 9/11 attacksand subsequent slump in the travel sector,the company realised that it was notimmune to such turbulence. Lonely Planetdecided to strengthen its focus on non-travel content through its business solutionsdivision. The company had the advantageto draw content from its expertise as atravel publisher. It helped Lonely Planetto deliver customised solutions to variouscompanies such as Sony, Nokia, VirginAtlantic and many others. But the pointof debate is whether Lonely Planet wasright in moving in this direction. Has thecompany lost focus? Or, as always, is thisLonely Planet’s unusual way ofstrengthening its brand?


• To understand how Lonely Planetwitnessed growth.

Industry Publishing/TravelReference No. DIS0015BYear of Pub. 2006Teaching Note AvailableStruc.Assign. Not Available

Keywords

Lonely Planet; Travel; Guidebook;Business; solutions; budget; Tony Wheeler;Shoestring; Hippe Trail; Sony; Six Degrees;LP; Nokia; Independent Traveler; ThornTree; Virgin; Atlantic.

GHCL: Global AspirationsGHCL, a Sanjay Dalmia group companywas India’s third largest soda ashmanufacturer and also had its presencehome textiles product and InformationTechnology Enabled Services (ITES)sector. With the abolition of quota regimein textile industry, GHCL decided tostrengthen its position further in the hometextiles industry. In December 2005, itacquired Dan River, the third-largest hometextiles player in the US for $93 million.GHCL with the help of its low-costmanufacturing facility in India planned toleverage the strong distribution channel ofDan River which spread across China,Pakistan.

Moreover, GHCL was confident inemerging as a global player in home textilesindustry with the future acquisitions plannedin England, German, France and Italy. Theanalysts were sceptical about the globalaspirations of GHCL as it possessed a lowpresence in textile sector. The casediscusses GHCL’s global foray into hometextiles industry and the challenges aheadof it.


• To discuss the market entry strategies

• To analyse the diversification strategy

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• To discuss the prospects of inorganicdiversification strategy

• To analyse the prospects of acquisitionand its chances of success.

Industry Textiles and Soda AshReference No. DIS0014AYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

GHCL; Sanjay Dalmia; Dalmia Group; DanRiver; Home Textiles; Soda Ash; Marketshare; Market potential; MarketDiversification; Acquisition; Restructuring;Quota regime; Global player; Roseby; S CBega Upsom.

Hallmark Card Inc. in 2006Hallmark Inc. founded by J C Hall graduallygrew to become the market leader (withmarket share of 50%) in social expressionindustry. Hallmark attained the leadershipin greeting card segment with a requisiteknowledge base of employee andundertaking constant changes in brandmanagement, distribution facilities, productdifferentiations and technological up-gradations. In the mean time, Hallmarkventured into entertainment business andstarted an entertainment channel, whichalso gained significant success. But due tothe lack of appropriate back-up of fullfledged media partner, Hallmark felt it wasdifficult to manage its financial positionand decided to exit from the entertainmentbusiness. In 2006, Hallmark decided tolaunch lifestyle magazines targeting thewomen segment.

The case discusses how Hallmark, at regularintervals of time pursued unrelateddiversification. At the end it attempts toinitiate the debate that whether Hallmarkwould be successful in the magazine business.


• To study the various diversificationstrategies undertaken by Hallmark

• To discuss the entry strategies forHallmark

• To analyse the prospects of Hallmarkin the magazine business.

Industry Social Expression IndustryReference No. DIS0013AYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Hallmark; Greeting cards; social expressionindustry; lifestyle magazines; Hallmarkentertainment channel; diversification;brand management; market leader.

The Virgin Group in 2005In 2005, the Virgin Group operated over200 disparate businesses and the brandvirgin was one of the most known brandsin the world. Its founder Sir RichardBranson, a brand by himself was famous inmedia and business circles for hisentrepreneurship, leadership style andpublicity stunts. The group started by mailorder records business, gradually diversifiedinto disparate businesses like music,retailing, airlines, beverages etc. Virgincompanies were renowned for itsinnovative service standards, employee andcustomer-centric approach. Branson’spersonal management style encouragedrisk-taking, delegation and participation.His disrespect for hierarchy led to a cordialand fun work environment.

The case describes the origin, growth andevolution of the Virgin Group and theindispensable part played by its leaderthroughout. The guiding principles of theVirgin Group and its insistence oninnovative services for the customers andwelfare of the employees on a continuousbasis has been highlighted. While the grouphas been successful in majority of itsventures, it also faced failures in quite afew. The case in the end raises the questionthat whether the unrelated diversificationof the Virgin Group has led to the dilutionof the virgin brand.


• To analyse the diversification strategiesand innovations undertaken by theVirgin Group

• To discuss the personal managementstyle of Sir Richard Branson

• To debate whether extensive unrelateddiversification by a company could leadto dilution of its brand.

Industry Music, Retailing, Airlines,Beverages, etc.

Reference No. DIS0012AYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Richard Branson; Virgin; branding;leadership; entrepreneurship; innovation;Virgin Atlantic; management style;franchising; work environment;diversification; brand stretching; branddilution; publicity; marketing; spacetourism; focus; brand image; brandpersonality.

ITC: Adding Shareholder Valuethrough Diversifications

The case “ITC: Adding Shareholder Valuethrough Diversifications” offers a detailed

account of the challenges faced by ITC inits core business of cigarettes and itsdiversification into non-tobacco businessis also traced. The case presents anoverview of the Indian tobacco industry,various players in the industry and thechallenges confronting them. The casestudy provides a useful setting for teachingdiversification strategy of conglomeratesbeing employed by a large firm (ITC) in afast developing economy (India). Thefocus of the case study is on the challengeof transformation of ITC from aconcentric firm (tobacco and cigarettemajor) to a highly diversified corporateenterprise.


• To identify the motivations for ITC todiversify

• To analyse the mode of diversificationemployed by ITC to increase itsshareholders value and discuss itsappropriateness

• To debate on the challenges that ITCwould face in the new businesses that ithas diversified into: To chart the futureof ITC.

Industry TobaccoReference No. DIS0011Year of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

ITC (Indian Tobacco Company); Globaltobacco companies; Cigarette companiesin India; Tobacco companies in South-EastAsia; Anti-tobacco regulations in India;BAT (British American Tobacco);Diversification strategies; Shareholdervalue; Indian tobacco industry; Indian fastmoving consumer goods (FMCG) sector;Indian hospitality industry; Indian ready-to-eat market; Indian confectionerymarket; Indian branded atta market; Indianapparel industry.

Merck KGaA’s ‘FocusedDiversification Strategy’: The

Prospects and PerilsTraditionally, the global pharmaceuticalindustry has leveraged on its blockbustermodel to become one of the mostprofitable industries in the world. However,since the 1990s, the industry has beenwitnessing a rapid growth in the genericdrug business worldwide and to add to itswoes even with increasing investments inR&D, drug innovations have declined. It isopined that the industry is heading towardsa consolidation and this prompted MerckKGaA, a German pharmaceutical group,to bid for another German company,Schering AG. However, Schering refused the

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bid on the grounds that Merck hadunderestimated its value.


• To understand the reasons andconsequences of the changing businessmodel of the global pharmaceuticalindustry

• To discuss the probable synergies thatMerck might accrue by acquiringSchering.

Industry Pharmaceuticals ManufacturersReference No. DIS0010Year of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Blockbuster model of global pharmaceuticalindustry; Growth of generic drugs;Consolidation in the global pharmaceuticalindustry; Decline in drug innovations;Increasing costs of drug innovations;Traditional drug manufacturers goinggeneric; Constraints of new drug research;Patent expires of blockbuster drugs; Riseof generic drug manufacturers.

ITC: The Indian Tobacco Major’sDiversification Strategies for

Market LeadershipITC has transformed itself from a leadingcigarette manufacturer to an umbrellagroup that offers a diversified product mixto enhance its brand image and reducedependency on tobacco related products.It has forayed into the hospitality serviceindustry and has become a major player inthe hotels segment. Its position in theFMCG (fast moving consumer goods)business is also on a growth curve;especially its confectionery and biscuitswhich are slated to achieve the top ranksamong its peers. It has made heavyinvestments to strengthen its IT(information technology) segment and tocompete with the big players like Infosysand Wipro. Although the ITC group ismarketing its image as an ideal corporatecitizen and a company that takes its socialresponsibility seriously, it still earns 80%of revenues from selling cigarettes andother tobacco related products.


• To highlight ITC’s need to diversify itsportfolio of product mix

• To highlight the strategies adopted byITC to maintain its position as one ofIndia’s leading companies

• To discuss the future possibilities ofstrategic planning by ITC.

Industry Tobacco ProductsReference No. DIS0009Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

ITC Ltd (ITC); Tobacco products industry;Market leader and market share; Fastmoving consumer goods (FMCG);Diversification strategy; Segmentationstrategy; Customisation of products; Brandimage enhancement; Hospitality industry;Product mix and positioning of products;ITC’s e-Choupal initiative; Branded foodsand apparel; Supply chain management;Vertical integration; Informationtechnology and ITC Infotech.

Novo Nordisk: The DanishPharmaceutical Company’s

Diversification StrategiesNovo Nordisk from Denmark is the world’sleading insulin maker with a global marketshare of 50%. Along with diabetes care italso operates in biopharmaceuticalsegments like haemostasis managementand growth hormone therapy. However,with increasing competition from Eli Lilly,Pfizer and Sanofi-Aventis in its corebusiness of anti-diabetes drugs, NovoNordisk has diversified into other areas likeoncology and analgesics.


• To highlight the diversificationstrategies of Novo Nordisk

• To discuss Novo Nordisk’s ability tosuccessfully enter new therapeutic areas,where it lacks core competency.

Industry Pharmaceutical ManufacturersReference No. DIS0008Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Competition in global anti-diabetic market;Eli Lilly; Pfizer; GlaxoSmithKline;Research and development expenditure bypharmaceutical companies; Sanofi-Aventis; Haemostasis management;Growth hormone therapy; Anti-diabetescare; Biopharmaceuticals; Non-steroidalanti-inflammatory drugs; Diversificationof global pharmaceutical companies.

Kores: Reinventing itself throughDiversification

As the market leader in the Indian carbonpaper market, Kores India Ltd. had donnedthe image of ‘the carbon paper company’.However, decline in the demand for carbon

paper forced the company to diversify intovarious businesses. Over the years Koresdiversified its operations to includebusinesses like: (1) computer systems; (2)business machines; (3) auto componentfoundry; (4) labeling systems; (5) artmaterials; and (6) writing instruments.Kores was confident that its diversificationstrategy would be beneficial to the companyin the future. However, analysts were ofthe opinion that Kores would face toughcompetition in the businesses it hasdiversified into.


• To provide an insight into the evolutionof Kores and the diversification strategyadopted by the company

• To discuss whether the diversificationstrategy based on leveraging Kores’ brandname would be a successful one.

Industry Scientific & TechnicalInstruments

Reference No. DIS0007Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Kores India Ltd; Diversification strategy;Core competency; Product line extension;Product portfolio management; Brandleverage; Office equipment suppliers;Convergence of distribution channel;Banking and office automation industry;Information technology (IT) peripheralssector.

Yamaha Motor Corporation’sDiversification Strategies

From the 1960s, Yamaha MotorCorporation started diversifying into otherbusinesses to reduce the company’sdependence on its motorcycle business. Thecompany’s management was confident thatthe diversification strategies being followedwould be beneficial to the company in thelong run. Several analysts were also of theopinion that the company was correct indiversifying into other businesses. Butothers were sceptical about Yamaha’sdiversification strategies and opined thatthe company should have stuck to its corebusiness of manufacturing motorcycles.


• To understand the evolution of Yamahaover the years and analyse the rationalebehind the company’s diversificationinto businesses other than motorcycles

• To discuss whether Yamaha was right indiversifying into other businesses.

Industry Automobile and TransportReference No. DIS0006





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Keywords

Yamaha Motor Corporation;Diversification strategies; Asian financialcrisis; Motorcycle industry; Outboardindustry; Automobile engines; Powerproducts; Aeronautical operations;Intelligent machinery technology;Biotechnology; Semi-conductor cycle.

Young An Hat Co: The World’sLargest Hat Maker’s Growth

StrategiesSouth Korea based Young An Hat Co (YoungAn) is the world’s largest hat maker owning40% of the global headwear market. Overthe decades, it has diversified into otherbusinesses like hotels, a supermarket chain,farm equipment, forklift and bus-manufacturing businesses. Though itsunrelated diversified businesses witnessedgrowth, analysts are sceptical about thecompany’s future growth.


• To understand the growth strategies ofYoung An over the decades

• To discuss the viability of unrelateddiversification of Young An, and itsfuture.

Industry Headwear and AccessoriesReference No. DIS0005Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Young An Hat Company; Global headwearmarket; Diversification and growthstrategies; Largest hat maker businessmodel; Restructuring plan and breakeven;Turnaround specialist entrepreneur;Unrelated diversification; Bus and heavyvehicle manufacturing; Material handlingequipment; Daewoo loss making bus unit;Clark Material Handling Company; BaikSung Hak; Internal competition bidding;Hyundai Heavy Industries; South KoreaKorean war.

PepsiCo’s Diversifications: ThePayoffs

Since the mid 1960s, PepsiCo, the world’snumber two soft drink maker, had graduallytransformed itself from a carbonated softdrink maker to a diversified food and drinkmaker. PepsiCo’s diversified portfolio,while helping it to tide over a slowdown inthe global beverage industry in the late1990s, also provided it with an unparalleledbargaining power to deal with supermarket

giants like Wal-Mart. The companywitnessed a 45% increase in its sales and afourfold increase in its net profits between1996 and 2004. By 2004, with net revenueof $29 billion, PepsiCo was the world’sthird largest food and beverage company.


• To highlight the PepsiCo’sdiversification strategies

• To discuss the challenges faced byPepsiCo’s in diversifying its portfolio.

Industry Carbonated BeveragesReference No. DIS0004Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Global carbonated beverages industry;PepsiCo’s diversification in food business;Coca-Cola; Global obesity concerns;PepsiCo’s competitive advantage; Pepsichallenge; Frito Lay; Largest food brandsin the US; New products to be launched byPepsiCo; PepsiCo’s products and brands.

Saint Gobain’s DiversificationStrategies

Saint Gobain, the largest glassmaker inFrance, had been growing throughdivestment of its traditional businesses anddiversification into new businesses likehigh-tech ceramics and catalysts. By 2004,under the chairmanship of Jean-LouisBeffa, Saint Gobain acquired 900companies and tripled its sales. Withoperations in 46 countries and a workforceof 182,000 employees, Saint Gobain hasbecome a market leader in insulation,reinforcement, major industrial ceramicsand abrasives.


• To discuss the emergence of Saint Gobainas market leader

• To discuss the diversification strategiesof Saint Gobain.

Industry Glass and Clay ProductManufacturing

Reference No. DIS0003Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Saint Gobain; Diversification; Growthstrategy; Mergers and acquisitions;Corporate restructuring; Jean-Louis Beffa;Glass industry; Building materials anddistribution; Industrial manufacturing;Expansion; Consolidation; Certain TeedCorporation; Dahl International.

Lagardere: UnrelatedDiversification to Related

DiversificationThere have been many instances in historywhen an industry or a particular companyexperienced a 10x change. Lagardere, aFrench media and technology companyunder the leadership of Arnaud Lagarderewitnessed a similar shift in strategy; fromunrelated diversification to relateddiversification, as opposed to thetraditional practices.


• To discuss the diversification strategyadopted by the Lagardere group

• To discuss the shift in focus of thecompany’s traditional business practices.

Industry Media and EntertainmentReference No. DIS0002Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Lagardere Group; Lagardere SCA;Competitive growth strategy; EuropeanCompetition Commission; ArnaudLagardere; Jean-Luc Lagardere; Matra;Formula 1; Restructuring strategy; Grolier;Editis; Accenture; Mergers and acquisitions;European Aeronautic Defence and SpaceCompany (EADS); Diversification; SocieteIndustrielle de Mecanique at CarrossereieAutomobile; Hachette DistributionServices; Publishing; Hachette Livre; Mediaand entertainment industry.

Dell’s Diversification StrategiesDell set itself an ambitious financial targetof achieving $60 billion in revenues by2006. With the growth rate for its corePC business slowing down, the companybegan to branch into segments likehandhelds and printers. But when thecompany entered the consumer electronicsmarket with offerings like flat panel TVs,MP3 players etc., questions were raisedabout the applicability of its Direct Modelto its new businesses.


• To discuss how Dell was able to dominatethe PC market by leveraging on itsDirect Model

• To discuss the company’s diversificationinto other businesses like handhelds,printers and consumer electronics, andthe challenges it is facing.

Industry Computer HardwareReference No. DIS0001Year of Pub. 2003

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Dell Inc.; Direct Model; Diversification;Handhelds; Printers; Consumer electronics;Consumer electronics products; Dell inhandhelds market; Dell in printers market;Dell in consumer electronics market; Dell’snew consumer electronics products in US;Competition in consumer electronicsmarket; Dell and Hewlett-Packard; Delland Sony; Dell and Apple.

Hollywood in Bombay –Bollywood in Beverly Hills: IndianFilm Industry's New Global Value

ChainThis case study's primary objective is toenable a discussion on pros and cons of thealliances between Hollywood andBollywood and provides insights about thepossible synergies between the two.

Amidst stagnation in movie business inmature markets, Hollywood sets an eye onthe emerging markets. Seeking ampleopportunities to grow, it forayed into Indiaby aligning with Indian production housessuch as UTV Motion Pictures and YashRaj Films by means of 'Co-production'. Butthe differences in operating modes of bothHollywood and Bollywood, besidesunderstanding the likes and dislikes of theaudience, posed challenges for Hollywood.Challenging the convention, the movieSlumdog Millionaire set an example of thefusion of Western and Eastern ways ofmovie making, winning accolades acrossthe globe. The emerging synergies betweenthe two premier film industries of the worldhowever would be successful only if theyadapt to the overall culture of the twodistinct industries.

With the two very different business andoperating models, yet, the question remains– can both of them leverage on oneanother's strengths?


• To study the strategic inflection pointsof Indian film industry and examine itstransformation

• To examine the operating and businessmodel of Indian film industry andanalyse the feasibility of replicatingsome of the key strengths when it goesglobal

• To examine reasons why Hollywoodfinds this industry lucrative

• To examine the synergies for both theIndian and foreign players in this industry.

Industry EntertainmentReference No. GGL0001Year of Pub. 2009Teaching Note AvailableStruc.Assig. Available

Keywords

Bollywood, Hollywood, Synergies, ValueChain of film industry, Studio-driven,Financing, Strategic Inflection Point, Star-driven, Collaboration

The Global and Local Strategiesof the International Food Chains

in IndiaWith the rising disposable income, livingstandards and western influence, more andmore Indian consumers are shifting towardslifestyle products and one among them is'fast food restaurants'. Growing at a rate of25%–30%, the INR 11 billion Indianorganised food and retail sector attractedvarious global food chains. Besides,liberalisation made their entry moreattractive and easier. As a result, manymajor food chains like McDonald's, PizzaHut, Subway and KFC forayed into thecountry through franchisee route.However, their global business model faceda major challenge as the countrytraditionally has had a rich and diverse fastfood culture as well as eating habits. Thisforced them to adapt to the localenvironment and tailor their menuofferings to make a mark in the industry,dominated by local food chains specialisingin Indian snacks. However, it remains tosee whether these global food giants will beable to make a mark in the country.


• To discuss and analyse the Indian fastfood retailing industry

• To understand the business model ofglobal food chains – McDonald's, PizzaHut, Subway and KFC

• To discuss and contrast the strategiesused by these food chains globally and inIndia

• To understand the need to adapt to thelocal business environment to succeedin a culturally sensitive country like India

• To debate on the success of these globalretailers in India.

Industry Fast Food RetailingReference No. GRS0274Year of Pub. 2008Teaching Note AvailableStruc.Assig. Available

Keywords

Food Chains; McDonald's; Pizza Hut;Subway; KFC; Business Model; Culture;Liberalisation; Supply Chain; GrowthStrategies Case Studies; Marketing;Distribution; Franchisee; Market EntryStrategies

IBM's 'On-Demand' Strategy :The Strategic Rationale

IBM is the world’s largest provider ofinformation technology and consultingservices. The company combined, operatesboth business and IT services, whichcomprises of the following three categories– business value, infrastructure value andcomponent value. Since 1992, IBM hadstruggled through some difficult years as ithad failed to sustain the pace of innovationin personal computers. By 1993, IBM wason the verge of bankruptcy due to hugedebt burden. The appointment of LouisGerstner in the same year saw IBM'sturnaround into one of the leading 'IT-services' provider in the world – secondonly to Microsoft. It emerged with arenewed focus on customer value. AfterLouis Gerstner's handing over of themantle to Samuel J. Palmisano(Palmisano) in 2002, IBM continued tosuccessfully serve from its serviceplatform. For the same, in 2007, IBMimplemented it's 'On-Demand Strategy'successfully and used it as a strategicrationale in their business services and ITindustries. Palmisano's new business agendafor IBM was shifting to the serviceplatform and a strategic alignment of itsproducts and services. Analysts inquire ifhe would steer IBM's succeess amidst toughcompetition.


• To study the growth strategies of atechnology firm

• To understand the applications of On-Demand strategy in the IT business

• To discuss Louis Gerstner's turnaroundinitiatives for IBM

• To evaluate whether IBM's strategic shiftfrom software to service platform wouldhelp retain IBM's leadership amidstcompetition from Microsoft, Hewlett-Packard, Dell and other IT-relatedcompanies

• To evaluate if Palmisano's strategies ofcombining both product and serviceswould increase the customer potentialin the long run.

Industry IT IndustryReference No. GRS0273CYear of Pub. 2008Teaching Note AvailableStruc.Assig. Available

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Boston Beer Company; Sam Adams; C JimKoch; Craft beer; Craft beer segment inthe US; Imported beer; Beers in the US;Repositioning; Growth Strategies CaseStudy; Light beer; Strong beer; Promotionstrategies; Advertisements; Competitors;Heineken; Corona

Rediff, Indian CommunicationGiant’s Strategies : Beat Rivals at

Home?Internet is a powerful democratising force;offering great economic, political and socialparticipation to communities and helpingdeveloping nations meet pressing needs.India is also in a phase of internetrevolution. Rediff, the first independentIndian portal not only provided a platformfor Indians worldwide to connect with oneanother online but also provided weeklynewspapers like India Abroad for the IndianAmerican community. In 2000-2001,when most of the dotcoms were going bust,Rediff continued to click. However, since2006, Rediff was losing its share tocompetitors' www.yahoo.co.in (Yahoo)and www.google.co.in (Google) in terms ofusage preference and top of the mind recall.In order to maintain a leadership positionin its home market, Rediff decided to investheavily in product innovation.


• To analyse the growth strategy of theIndian Dotcom Industry

• To analyse Rediff's strategy to beat itsrivals

• Analysing the sustainability of Rediff'scompetitive advantages and productinnovation strategies.

Industry CommunicationReference No. GRS0272BYear of Pub. 2008Teaching Note AvailableStruc.Assig. Available

Keywords

Rediff.com; Yahoo; Google; IndiaTimes;Indian portal; Microsoft; Rediffusion-Dentsu Young and Rubicam; Sify.com;Indian Digital Media; Growth StrategiesCase Study; Emails and Messaging; ProductInnovation; iShare; YouTube; Dotcoms

Lufthansa Spreading its Wings inthe US through JetBlue

On 13th December 2007, Lufthansaannounced its purchase of 19% stake worth$300 million in JetBlue Airways Corp. alow-cost carrier. The deal, without doubt,is a boost to JetBlue's financial condition

as it is operating on loss since the last fewyears. But on the other hand, analysts wereskeptical about it and felt strange aboutthe move on Lufthansa's part. But few ofthem opined that Lufthansa might bethinking about the future growth keepingin view the 'Open Skies' Agreement thatwould be enacted from 30th March 2008.


• The US Airline Industry, its dynamics,operations, regulations and thecompetition in the industry

• Lufthansa's expansion strategy in theUS Airline Industry

• Analyse whether the purchase of stakefrom JetBlue will help in Lufthansa'sgrowth in the US.

Industry Airline IndustryReference No. GRS0271BYear of Pub. 2008Teaching Note AvailableStruc.Assig. Available

Keywords

Lufthansa; JetBlue; Growth Strategies CaseStudy; US Airline Industry; Open Skies;Regulations; Deregulation; Expansion;Stake; J F K International Airport; LowFares; Low-cost carrier; Tie-up; Europeanairlines; Global aviation; Alliance

Russian Standard's GlobalGrowth Strategies

Russian Standard, a manufacturer of Vodkafounded in 1992, enjoyed leadershipposition in the Russian Vodka market with60% market share. It was ranked '4th fastestgrowing premium spirits brand globally' in2006 by 'Impact' magazine. RussianStandard Vodka was exported to more than50 countries across Europe, Asia, Northand South America. In Europe, changingconsumer tastes and preferences offeredtremendous opportunities to RussianStandard. As part of its growth strategy, itdecided to enter France's emerging Vodkamarket where young drinkers were turningto Vodka. Apart from France, it alsoplanned to enter various European marketswhere Vodka consumption was rising. But,established industry players like LVMH,Pernod Ricard, and Diageo provided stiffcompetition to Russian Standard in itsobjective to become the leading Vodkaplayer in France.


• To understand dynamics of the Europeanalcohol beverage industry

• To understand the growth strategiesopted by Russian Standard in France'sVodka market

• To evaluate changing consumer tastesand preferences and its effects on thealcohol beverage industry.

Industry Alcoholic Beverage IndustryReference No. GRS0270AYear of Pub. 2008Teaching Note AvailableStruc.Assig. Available

Keywords

Growth Strategy; European alcoholbeverage industry; Vodka; Vodka in France;Entry level strategies; Changing Consumertaste and preferences; Binge Drinker;Premium spirits; At-home beerconsumption; Russian Standard Original;Scotch whisky market; Russian Standardin France; Growth Strategies Case Study;Obesity concerns; Changing lifestyles; At-home beer consumption

Kingfisher Airlines InternationalRoute Expansion Plans : Will it

Succeed?With its takeover of Air Deccan, Kingfisherhas pre-planned its strategy for overseasoperations, anticipating Deccan's eligibilityto fly on international routes by August2008. But as per Indian governmentregulations for international operations,it would need to increase its ownershipstake to 51% from the current 46% toqualify to fly on overseas routes, or it shouldsport Deccan's colours to its tail. For itsoverseas operation, Kingfisher planned toadopt a game-changing model, offeringnonstop flights on long-haul route, firstamong Indian overseas flights. Kingfisherplanned to position itself as a first class(one first class seat equals between eightand ten economy seats) and business class(one business class seat equals between sixand eight economy seats) airline inoutbound category. It also planned torevolutionise international air travel byextending some of the services offered tofirst class and business class in outboundcategory to economy class passengers withall new aircraft. Initially, Kingfisherintended to target the key US-India route,which is already occupied by otherinternational rivals like Air India, DeltaAir Lines, and Continental Airlines.Analysts pointed out that, Kingfisher'splans might be right for overseas operationsbut were skeptical in the wake of itsdomestic losses. Whether, Kingfisherwould be able to succeed in the highlycompetitive international airline marketneeds to be seen.


• To understand the competition andconsolidation in Indian aviation industry

• Analyse the dynamic business expansionstrategy of Kingfisher Airlines

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• To understand the positioning strategyof Kingfisher Airlines on internationalroute – the business model

• Analyse the competition oninternational air travel route.

Industry Aviation SectorReference No. GRS0269AYear of Pub. 2008Teaching Note AvailableStruc.Assig. Available

Keywords

Indian Aviation Market; Passenger TrafficGrowth; International Route; GovernmentRegulations; Business Model; Positioning;Full Cost Carriers; Low Costs Carriers;Growth Strategies Case Study; OverseasOperations; Competition; KingfisherAirlines; Simplifly Deccan; Foreign AirlinesIn India; Long Haul Non-Stop Flights

Growth Strategies of Britannia :India's Emerging Food

ConglomerateIn 2007, Britannia, one of the India'slargest biscuit brands held a market shareof 38% in terms of value. Indian biscuitindustry, the third largest producer of thebiscuits in the world was highly under-penetrated. This presented numerousgrowth opportunities to new as well asexisting players. Apart from the presenceof big players like ITC Foods and Parle,the local manufacturers of biscuits andother Indian snacks had been raisingconcerns for Britannia. Besidescompetition, Britannia faced criticalchallenges due to declining margins in thebiscuit industry due to the increasing costsof raw materials. Its profit had been on adecline since 2005. Though Britannia hadforayed into dairy and bakery products,90% of its revenues still came from itscore business in biscuits category which waslargely driven by product innovation. Thecase, highlighting the Britannia's growthstrategies, provides scope to analyseopportunities and challenges for Britanniain the Indian biscuit industry.


• Product portfolio management, brandextension and market segmentation ofBritannia

• Analysing product innovation strategiesof Britannia as its competitive advantage

• Organic and inorganic growth strategiesof Britannia to face the challenges inthe Indian biscuit industry.

Industry Ready to eat IndustryReference No. GRS0268AYear of Pub. 2008Teaching Note AvailableStruc.Assig. Available

Keywords

Britannia; Indian Biscuit Industry; OrganicGrowth; Inorganic Growth; BrandRepositioning; ITC; Parle; ProductPositioning; Product Portfolio; GrowthSrategy; Product Portfolio Management;Product Innovation; Growth StrategiesCase Study; Market Segmentation; BrandExtension; Competitive Advantage

Growth Strategies for EmergingMarkets : Nokia in India

In 2006, Nokia, the world’s largest producerof mobile phones, was the market leaderin India with 78.8% of the market share.Since its entry into Indian mobile marketin 1995, it focused on manufacturing ofmobile handsets based on GSM technology.Nokia built a strong brand image withfocused marketing and distributionnetwork. It started focusing on the low-cost mobile phone segment for ruralmarkets in India, but, faced stiffcompetition from Sony Ericsson, Samsung,and Motorola who also started offeringlow-cost handsets. Nokia’s under developedinfrastructural facilities and low coveragewere the biggest challenges for it to reachrural customers. The case facilitates adiscussion on whether Nokia will be able toimprove its performance and sustain itsleadership position in India


• To understand marketing strategies inmass markets

• To understand the demand dynamics ofthe rural mobile handset market in India

• To analyse growth strategies of Nokiain the wake of increasing competitionfrom other global players

• To analyse the strategic challenges facedby Nokia in marketing in the rural mobilehandset market in India.

Industry Mobile PhoneReference No. GRS0267AYear of Pub. 2008Teaching Note AvailableStruc.Assig. Available

Keywords

Nokia; Mobile Handset Market; GSMTechnology; CDMA Technology; GPRS;Communication Strategy; Motorola;Samsung; LG; Growth Strategies Case Study;Sony Ericsson; Nokia Siemens VillageConnection; Product Innovation;Marketing Strategy; Competitors

Fortis Healthcare Limited :Corporate Hospital’s Growth

Strategies in IndiaSince its establishment in 2005, FortisHealthcare Limited (FHL), a New Delhi-based corporate hospital, gainedremarkable brand reputation in a short spanof time. It operated through multi-specialtyhospitals, providing healthcare in keyspecialty areas like cardiac care, renal care,neuro-sciences, orthopedics, etc. Besides,it operated a boutique style hospital, FortisLa Femme - focusing exclusively onwomen’s health and maternity care. Toprovide quality service, FHL differentiateditself with its contemporaries in India byadopting unique hospital design, services,and programmes that comply withinternational standards. The demographicshift and higher longevity of Indianpopulation offered tremendousopportunities to many private corporatehospitals. To tap such lucrativeopportunities, FHL followed hub-and-spoke model. To counter competition,FHL, going a step further, started acquiringother hospitals. Also, it planned tointegrate backward and set up medical andnursing college in addition to research labs.The case discusses whether FHL would beable to achieve leadership position in ahighly fragmented Indian healthcare sectorby means of inorganic growth.


• To assess the opportunities andchallenges in the burgeoning Indianhealthcare sector

• To evaluate the feasibility of the growthstrategies of FHL

• To examine the sustenance of privatecorporate hospitals in India in the midstof competition.

Industry Health CareReference No. GRS0266AYear of Pub. 2008Teaching Note AvailableStruc.Assig. Available

Keywords

Indian Healthcare Sector; PrivateCorporate Hospitals in India; InorganicGrowth Strategy; Hub-and-Spoke BusinessModel; Fortis Healthcare Limited; LifestyleDiseases; Mergers and Acquisitions; Multi-specialty Hospitals; Fortis La Femme;Growth Strategies Case Study; RanbaxyLimited; Escorts Heart Institute andResearch Centre Limited (EHIRCL);American Institute of Architects (AIA);Greenfield Investment; Indo-ItalianChambers of Commerce and Industry(IICCI); Institute of Enhanced LeadershipDevelopment




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Bionade Soda (B): The OrganicGrowth Conundrum

Bionade Soda - a highly innovative organicdrink in Germany - was refused bydistributors to stock, as it was an unknownproduct. Fortunately, the product caughtattention of some media and advertisingprofessionals, who frequented a small barin Munich, Germany, where the bar-owner- fascinated by the product - added the drinkto his menu. With the help of low-budgetmarketing techniques and below-the-linepromotions Bionade Soda made a place foritself in the market. Having faced toughtimes in the initial years, the sales ofBionade Soda skyrocketed by 2007 andwithin a short span of time, its ownersturned into millionaires. Following theincredible success in the German market,the makers of Bionade Soda aspired forinternational expansion. The case studyhighlights how a new product offeringdeveloped by small business can bemarketed successfully with low-budgetmarketing techniques. It also provides ascope to discuss the challenges for a smallfamily firm while expanding intointernational markets.


• To understand use of low-budgetmarketing techniques to market new-product offering

• To understand the concepts of viralmarketing and below-the-linepromotions

• To analyse the international expansionplans of a small family firm.

Industry Bottled and Canned Soft DrinkIndustry

Reference No. GRS0265AYear of Pub. 2008Teaching Note AvailableStruc.Assig. Available

Keywords

Bionade Soda; BIONADE InternationalGmbH; Germany; Non-alcoholic beverage;Health drinks; Organic drinks; Family-owned Company; New product offering;Innovation; Low-cost marketingtechniques; Growth Strategies Case Study;Viral marketing; Below-the-linepromotions; Word-of-mouth;International expansion

Facebook (B) : The Start-up’sStrategic Dilemmas

Case (B) dwells on Facebook’s dilemmas asit keeps growing. Its grand social successmay woo some big company to acquire it.Yahoo!, Viacom, Microsoft and Googlewanted to invest in it. However, withFacebook turning down Yahoo! andViacom’s offers, some industry experts

began wondering if it was time forZuckerberg to sell. Facebook needs to decidewhether it should collaborate withMicrosoft or Google and build up; stayindependent and eventually go for an IPO;or sell itself off like MySpace and YouTube.


• To reason Microsoft and Google’scontinued interest in the start-up

• To analyse Facebook’s dilemma as it seesitself grow.

Industry Social NetworkingReference No. GRS0264Year of Pub. 2007Teaching Note AvailableStruc.Assig. Available

Keywords

Social Networking; Online Advertising;Mergers and Acquisitions; MarkZuckerberg; Business and Revenue Model;Google; Yahoo! and Microsoft; Parakey;Friendster; Managing NetworkedBusinesses; Growth Strategies Case Study;Dilemmas for a Start-up; Collaboration vsStaying Independent; Merits and Demeritsof Going Public

Electrolux’s Growth Dilemma :Middle Market Strategy?

In 2006, Electrolux, a Swedish global leaderin home appliances and appliances forprofessional use, sold more than 40 millionproducts to customers in 150 countries.The company has key brands like AEG-Electrolux, Zanussi, Eureka and Frigidairewhich cater to various consumer segmentsof the market. Electrolux had a majorpresence in the middle market. Howeverdue to the rapid polarisation of the homeappliance market, middle market begandisappearing. Globalisation which led to theentry of low-cost players radically changedthe market dynamics at the low-end of thehome appliance market. Also, the demandat high-end of the market rapidly grew inthe wake of major shifts in consumerlifestyles. As a result Electrolux was forcedto re-define its business model under whichit focussed on both the value end and thepremium end of the market. However indoing so, it was to face strategic challenges.How well Electrolux can identify anddeliver distinctive value to both the endsof the market was yet to be seen.


• To understand the concept of‘polarisation’ in an industry

• To identify the competitive dynamicsof the industries that are getting polarised

• To analyse the shifts in growth strategiesof players in polarised markets

• To discuss the challenges faced by playersin participating across segments in suchmarkets.

Industry Home Appliances IndustryReference No. GRS0263AYear of Pub. 2007Teaching Note AvailableStruc.Assig. Available

Keywords

Home Appliances Industry; Polarisation;Commoditisation; Globalisation; BusinessModel; Corporate Restructuring; GrowthStrategies Case Study; Branding Strategy;Double Branding; Product Development;Market Segmentation; Value Proposition;Brand Positioning; White Goods; BusinessStrategy

Wal-Mart’s Growth Conundrum :Should its Business Model be

Changed?Wal-Mart Stores, Inc., the retailing giantis the largest corporation in the world. Wal-Mart had pursued a strategy of “Everydaylow prices” which had been Wal-Mart’sprimary growth driver since its inceptionin 1962. With several players successfullyselling on the ‘low price’ plank, Wal-Martcan no longer claim it as its USP. Wal-Mart has been witnessing a slow down inits growth rates since the mid 1990s. In2006, Wal-Mart recorded its first quarterlyprofit decline in 10 years. Is Wal-Mart’sbusiness model running out of steam? WillWal-Mart be able to resurrect itsproductivity and profits, and unearth itsnext growth pool?


• To analyse factors responsible for Wal-Mart’s success

• To identify the reasons for Wal-Mart’sdecreasing growth

• To evaluate the possible solutions to Wal-Mart’s growth conundrum.

Industry RetailReference No. GRS0262PYear of Pub. 2007Teaching Note AvailableStruc.Assig. Available

Keywords

Retail, Wal-Mart, Every Day Low Prices,Business model, retail formats, growthcrisis, Target Corp, Growth Strategies CaseStudy, reputation crisis

Citigroup’s Expansion Strategiesin Russia

Citigroup had been operating in Russia since1993 and primarily catered for thecountry’s industry giants, subsidiaries of

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major multinational corporations, leadingbanks and fast-growing domesticcompanies. In 2002, Citigroup’s Russiansubsidiary forayed into the retail bankingarena in Russia in its bid to tap the ever-increasing Russian retail market and sincethen developed themselves at a fast pacedue to overwhelming customer demand forthe bank’s products and services. Russiawas one of the promising markets and thebiggest growth area in Eastern Europe. Inanticipation of enhancing their businessesacross Europe, it was obvious thatRaiffeisen would aim to strengthen itsfoothold in Russia. In a bid to retain itsdominance in the consumer, corporate andwealth management sectors; the global bankhad established around 40 branches in Russiaat the end of 2006 with 190 new branchesscheduled to be opened in 2007. Analystswere also surprised at the Citigroup’sstrategy of not adopting the path ofinorganic route of expansion in Russia tograb a major piece of the country’s bankingmarket. Critics opined that the risingbranch expansion strategy in Russia insteadof inorganic growth might not turn out tobe a fruitful business proposition for theUS bank in the long run.


• To understand the growth strategies ofCitigroup

• To analyse the benefits and drawbacksof expansion strategies associated withbanking companies

• To study the impact of Citigroup on theRussian banking sector

• To understand the trends anddevelopments in the Russian bankingsector

• Tounderstand the pros and cons of theRussian banking sector reforms.

Industry BankingReference No. GRS0261KYear of Pub. 2007Teaching Note AvailableStruc.Assig. Available

Keywords

Citigroup; Russia; CAGR (combined annualgrowth rate); Strategy; Assets; Credit;Deposits; Growth Strategies Case Study;CEE (Central and Eastern Europe);Corporate; ROE (return on equity); CAR(capital adequacy ratio); CBR (CentralBank of Russia); Domestic; Retail; Global

Banco Bilbao VizcayaArgentaria's Growth Plans

Banco Bilbao Vizcaya Argentaria (BBVA),Spain's second largest bank was formedthrough a merger of Banco Bilbao Vizcayaand Argentaria in 1999 with it's long history

since 1857, to provide a wide range offinancial products and services to thecustomers. BBVA adopted high growth andlow risk acquisition strategy for theinternational expansion. On February 16th2007, BBVA announced to acquire 100%Compass Bancshares Inc. (Compass) for$9.6 billion for further expansion in US,especially in the 'Sunbelt' area. The product-driven US banking industry remainedfragmented and provided further scope forconsolidation. Spanish banks entered USbecause the US banks failed to acknowledgeand trust the growing ethnic immigrantpopulation in the US. BBVA planned totarget the Hispanic market, whereHispanics, the largest minority group weregeographically dispersed and had potential- three times more 'unbanked' than theaverage US adult.


• To understand merger and acquisition asan expansion strategy

• To analyse the structure, trends andsegmentation of the US banking industry

• To discuss the factors that define theattractiveness of foreign banks towardsthe US Hispanic market

• To analyse the growth strategy of BBVA

• To discuss the impact of BBVA'sacquisition of Compass Bancshares Inc.on the US banking industry.

Industry BankingReference No. GRS0260AYear of Pub. 2007Teaching Note AvailableStruc.Assig. Available

Keywords

Banking Industry in US; Banco BilbaoVizcaya Argentaria; Spanish Banks; GrowthStrategies Case Study; Foreign Banks;Hispanic Market; Fragmented market;Acquisition; Compass Bancshares Inc;Ethnic Immigrant Population; FinancialInstitutions; Consolidation; BBVA

Gol, Brazil's Low-cost Airline :Popularising Air Transport

Brazil's low-cost airline, Gol broke news in2007 because of its brazen move theprevious year. It was ambitious to acquirethe country's decrepit flag carrier, Varig.Thereby, trying to out-compete its rivalslike TAM. Obviously, they have opposingbusiness models: Gol is a low-cost carrier,whereas Varig is a full-service carrier.Students will be gripped to debate whetherGol can really take off? Studying the coststructures and service value chain of thecarriers forms the basis for such analysis.Spotlight is also on the consolidation inBrazilian aviation – should Gol cooperate

or compete with TAM; or should TAMadjust or retaliate against Gol's moves?


• To analyse the cost structures of bothLCCs and traditional network carriers(full service carriers)

• To study the service value chain ofairline operations

• To find ways to cut costs and attainoperational efficiencies

• To discuss the competitive strategies ina consolidated market environment –competitor analysis

• To critically evaluate Gol's plan toacquire Varig.

Industry Civil AviationReference No. GRS0259Year of Pub. 2007Teaching Note AvailableStruc.Assig. Available

Keywords

Low-cost Carriers (LCCs); Varig; TAM;Traditional Network Carriers; Global CivilAviation; Growth Strategies Case Study;Deregulation; Hub-and-spoke model; Code-sharing agreements; Service value chain ofairline operations; Load factor and capacityutilization; No-frills service; Cost StructureAnalysis; Productivity and Profitability ofairlines; Competitor Analysis;Consolidation in aviation industry;Cooperation vs Competition

Cosmetics Industry (B) : L’Oreal’sGlobalisation Strategies

With their home markets getting saturated,cosmetic companies are skidding intoemerging markets for growth. L’Oreal isno different and its globalisation strategyamply proves this. A huge – yet diverse –customer base and its spending power drewit to these markets. But cultural complexityand indifference to premium products isdeterring them nonetheless.


• To discuss the opportunities andchallenges emerging markets offer tocosmetic players

• To discuss L’Oreal’s globalisationstrategies.

Industry CosmeticsReference No. GRS0258Year of Pub. 2007Teaching Note AvailableStruc.Assig. Available

Keywords

Globalisation Strategies; Strategies forSaturated Market; Strategies for Emerging




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Market; Opportunities in EmergingMarkets; Manufacturing Strategy vsImport Strategies; Customisation vsStandardisation; Growth Strategies CaseStudy; Market Leader’s Strategies; MarketFollowers Strategies; L’oreal’s BrandArchitecture; Product Portfolio Analysis;Distribution Strategies; Country of Originas Branding Strategy; Premium Image as aBarrier to Globalisation

Cosmetics Industry (A): NewGrowth Avenues, New Markets,

New Challenges and OldSolutions?

The global cosmetics industry is booming,but the share of developed markets - thelargest contributor to the total cosmeticglobal sales - is decreasing. US, the world'slargest cosmetics market, is no differentto this situation. Though the growth rateimproved in 2006, there is not muchmarket potential. Major players are turningaway from sluggish US domestic marketsand counting on developing markets ofAsia, Eastern Europe and Latin America.However, it is not a cakewalk for theseplayers. Premium players have an eventerrible time in a country like China, wherelow-priced goods are preferred. For massplayers, the future seems promising in theseemerging markets; while in developedmarkets, those with niche products cantaste success.


• To discuss the similarities, dissimilaritiesand challenges of the developed anddeveloping cosmetic markets

• To discuss the challenges developingmarkets pose to the players.

Industry CosmeticsReference No. GRS0257Year of Pub. 2007Teaching Note AvailableStruc.Assig. Available

Keywords

Trends in the Global Cosmetics Industry;Critical Success Factorsin CosmeticsIndustry; Growth Strategies Case Study;Basis for industry Segmentation; 5 ForceAnalysis; Ram Charan Matrix; GrowthStrategies; Opportunities in EmergingMarkets; Distribution and RetailingStrategies; Ansoff Matrix

HSBC's Growth StrategyHSBC Holdings, one of the largest bankingand financial services organizations, hasdecided to launch concrete strategies toattain market leadership in the financialworld. A growth oriented company sinceits inception, in 1998 HSBC launched a

Samsung : Betting on High-endMobile Phones

In 2005, Samsung Electronics, the thirdlargest mobile phone manufacturer in theworld, reported operating profits worthKRW2.48 trillion compared to KRW3.09trillion in 2004. Analysts stated that 2004was a better year for the company and itwas poised to become the second largestmobile phone manufacturer behind Nokia.However, in the wake of Samsung'sperformance in 2005 and the first quarterof 2006, analysts predicted that thecompany was far from the second slot.They blamed the problem on Samsung'sstrategy of focusing on high-end phonesrather than booming low-end products.Though the company was confident thatits strategy would pay-off in the long term,analysts were skeptical about it.

The case deals with Samsung's strategy offocusing on next generation, feature-packed phones. It also discusses the recenttrends in the global mobile handset industry.


• To get an overview of Samsung's mobilephone business

• To understand the trends in global mobilephone industry

• To evaluate Samsung's strategy offocusing on high-end, next generationphones

• To argue whether Samsung would benefitfrom its strategy once next generationmobile services take off.

Industry Wireless Telephone HandsetsReference No. GRS0254KYear of Pub. 2006Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

Samsung Electronics; Nokia; Motorola;Mobile phone; Code division multipleaccess (CDMA); Global system for mobilecommunications (GSM); Sony-Ericsson;Siemens; Growth Strategies Case Study;Camera phone; 3G (third-generation cell-phone technology); Global mobilecommunication industry; High-endphones; Smartphone; RAZR; Averageselling price of handsets

Jollibee Foods : Going GlobalFounded in 1975, Jollibee FoodsCorporation quickly became the biggestrestaurant chain in the Philippines. Itstarted offering American-style fast fooditems that were prepared according to thePhilippine taste. The consumers liked itvery much and soon Jollibee became ahouse-hold name in the country. Its localroots were so strong that even McDonald's,

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five year strategy to enhance shareholdersvalue called the 'Managing for value'strategy. After successfully implementingthis strategy, it introduced the 'Managingfor Growth' strategy in 2003, a strategicplan to become the world's leading financialservices company. The case discusses theinitiatives taken by HSBC to enhance itsbrand value and its global presence. Thecase also analyses HSBC's acquisitionstrategy.


• The case evaluates the growth strategiesadopted by HSBC to enhance its brandvalue and its attempts to present itselfas a global company

• It discusses the advantages anddisadvantage of organic and inorganicgrowth.

Industry Banking IndustryReference No. GRS0256PYear of Pub. 2007Teaching Note AvailableStruc.Assig. Available

Keywords

Merger; Acquisition; Brand Builiding;Growth Strategy; Banking Sector; GrowthStrategies Case Study; DevelopingCountries

General Motors in IndiaThe case analysed how General Motorsentered India through a particular segmentand created a complete product portfolio,in order to cater to all the segments in theindustry. It expanded its product line overthe years and had created a premium brandfor itself. In the year 2005, it entered thesmall car segment by introducing 'Spark'.By the end of 2012, General Motorsplanned to capture a 10% market share.


• To understand the Indian automotiveindustry

• To discuss the profile of General Motorsin India

• To analyse General Motors strategicinitiatives.

Industry Auto ManufacturingReference No. GRS0255KYear of Pub. 2006Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

General Motors; Automotive sector;Maruti Udyog Ltd; Suzuki; Daewoo; GrowthStrategies Case Study; Chevrolet; Saturn;Opel; Umbrella brand; Multi-utility vehicle;Premium segment car; Mid size segment;Sports Utility Vehicle






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the global fast food giant, faced a toughcompetition when it entered the Philippinemarket in 1981. By mid 1980s, Jollibeeestablished itself as the market leader in itsdomestic market and decided to expandoverseas. Starting from neighboringcountries, it later entered the US and Chinatoo. However, it could not replicate itssuccess in the foreign markets.Subsequently, it decided to focus itsinternational expansion on the US, Chinaand India.

The case begins with a short history of thecompany and then discusses how itestablished itself in its home country. Thenext section gives an overview of thePhilippine fast food market. Thesubsequent sections highlight Jollibee'sacquisitions and off-shore expansion. Thecase also attempts to present the problemsfaced by the company in its overseasexpansion, and its future plans.


• To understand the strategies adopted byJollibee to strengthen its presence in itshome country

• To get an idea of the fast-food marketof the Philippines

• To discuss how Jollibee successfullyexpanded into the neighboring countries

• To discuss why Jollibee failed inIndonesia, Saudi Arabia, China, Kuwaitetc

• To analyse how Jollibee plans tostrengthen its overseas presence.

Industry Fast FoodReference No. GRS0253KYear of Pub. 2006Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

Jollibee; Philippine fast food industry;Yumburger; Greenwich; Growth StrategiesCase Study; Delifrance; Chowking; RedRibbon; Yonghe King; Chun Sui Tang TeaHouse

Brand 'Bollywood': Going GlobalBy mid-2000s, Bollywood movies (theHindi language movies produced in India)were going global. These movies wereattracting larger audiences in the overseasmarkets than ever. They were gainingpopularity not only in traditional marketssuch as the UK and the US but also incountries like Germany, Israel, France,Japan, etc. With time, more and moreBollywood movies were released overseasand enjoyed by a larger audience. With arapidly growing overseas market, foreigndistributors demanded extensive changesin the style of movie-making. They wanted

films that conformed to internationalstandards in terms of content, presentation,duration, etc. In this scenario, analystswondered whether or not Indianmoviemakers would change their style tobe accepted globally.

The case deals with the evolution ofBollywood-style movies and their growingpopularity in the overseas markets. It alsodiscusses how they are performing in thenon-traditional markets and raises a debateon whether the Indian producers wouldchange their style of moviemaking.


• To discuss the evolution of Bollywoodinto the world's largest film industry

• To assess how more and more Bollywoodmovies are gaining acceptance in foreignmarkets

• To understand how Indian producers &directors went ahead and entered non-traditional markets too

• To understand the changes required inBollywood movies in order to customizethem for local audiences

• To discuss whether Bollywood moviedirectors would change their style offilm-making in order to gaininternational acceptance.

Industry EntertainmentReference No. GRS0252KYear of Pub. 2006Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

Bollywood; Indian film industry; Indianentertainment industry; Hollywood; Hindimovies; Crossover movies; Oscar; BAFTA(British Academy of Film and TelevisionArts); Monsoon Wedding; Lagaan; GrowthStrategies Case Study; Devdas; Bend it likeBeckham; Kabhi Khushi Kabhie Gham(K3G); Song-and-dance sequence; Cannesfilm festival

The Growth Trap : A Case ofMaytag Corporation

Maytag Corporation (Maytag) was one ofthe most profitable companies in homeappliance industry. During 1983–1987, thecompany's revenue and net profit, grew atmore than 5% and 9% annually,respectively. Traditionally, the company'sproduct line was restricted to washers,dryers and dishwashers. It had alwaystargeted the niche market with premium-priced products and not the price-consciousmarket segments. During 1980s, thepremium-quality niche for laundry andkitchen appliances started eroding as theconsumers became aware that the qualitydifference between high-priced and

medium-priced appliances was diminishing.Foreign players, who had entered the USmarket, intensified the competitionfurther. Maytag, like other companies,increased its operational efficiencies,thereby tried to reduce costs and increasingcompetitiveness. In response to thechallenging market conditions, Maytagmade several acquisitions by taking theadvantage of its cash rich condition.Through these acquisitions, the companydiversified into other product segments,apart from laundry and kitchen applianceswhere it had core competence. It alsoexpanded its geographic reach to newermarkets worldwide. Though Maytagchanged its traditional high-quality, high-priced positioning, it failed to maintain itsprofitability. During 2001–2004, thecompany's revenue was almost stable, butreturn on sales declined. In 2004, thecompany even recorded a net loss.

The case deals with the growth trap inwhich Maytag fell. It discusses thecompany's success phase, when it hadturned out to be the most profitablecompany in the industry, catering only tothe niche upscale market segment withhigh-quality, premium-priced laundry andkitchen appliances. The case has alsocovered the detailed inorganic growthstrategy that the company followed.Finally, the case offers a scope fordiscussion about the consequences of suchstrategy.


• To understand the market dynamics ofHome appliance industry in US

• To analyse Maytag's STP strategy

• To understand the concept of growthtrap in the context of Maytag.

Industry Home AppliancesReference No. GRS0251KYear of Pub. 2006Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

Maytag Corporation; Growth StrategiesCase Study; Major home appliances;Laundry appliances; Operationalefficiency; Growth through acquisition;Premium brands; Brand positioning; Highquality, high priced positioning; Full-lineappliance manufacturer; Growth trap;Hoover; Amana appliances

LCD Flat Panel TV – Sony'sGrowth Strategy

Sony Corporation (Sony), a leadingJapanese consumer electronics companyenjoyed undisputed leadership in the TVmarket with its CRT TVs. During early1980s, the company's leadership position




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was first challenged by the changingpreferences of the customers, who werelooking for flat and large screen TVs. CRTtechnology had a drawback that it couldnot be used for making large screen TV.Sony continued with its CRT TV to caterthe changing customers' needs just byincreasing the screen size. As a result thecompany witnessed declining market sharewhich affected its financial performance.The major initiatives to revive its TVbusiness were taken by Sony when HowardStringer (Stringer) became the CEO of thecompany in June 2005.

The Case discusses the initiatives of HowardStringer to revive the fortune of Sony whileanalyzing its ability to sustain the successin the long run.


• To discuss about the flat panel TVindustry

• To understand the challenges faced bySony's flat TV

• To discuss the strategic initiatives takenby Sony

• To debate on Sony's success in the longrun.

Industry Consumer ElectronicsReference No. GRS0250KYear of Pub. 2006Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

Sony; LCD (liquid crystal display) TV; CRT(cathode ray tube); Growth; Sharp; WEGA(industry’s first flat screen CRT TV);Samsung; Growth Strategies Case Study;Howard Stringer; Consumer electronics;Road to recovery; Diversification; Newinitiatives; Non-core business; Product mix;Branding

Shanda Interactive : The ChineseOnline Games' Growth Strategy

Shanda Interactive Entertainment Limited(Shanda) was one of the fastest growingChinese online gaming companies. Theonline games industry had come of age inChina by 2004, with a market size ofUS$297.9 million and Shanda controlled35% market share. Mushrooming of onlinegaming companies led to stiffcompetition, with each company vyingwith each other to capture the market.Shanda's "The Legend of Mir II" was oneof the "Massively Multiplayer OnlineRole-Playing Games (MMORPG)" inChina. In order to expand the size of thecompany and to enrich technologicalinfrastructure as well as the online gamecontents, Shanda undertook a lot ofmergers and acquisitions since its inception.

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By the end of 2004, the CEO of Shanda,Mr. Chen Tianqiao, intended to expand itas a global entertainment company andnot restrict it to online gaming only.However, Shanda was facing increasingcompetition from rivals like The Onlineand Kingsoft Co. Besides, the companywas adversely affected by technicalproblems such as hacking of its serversthrough cheat programs and legal problemsrelated to copyrights. This case deals withthe competitive landscape of Chineseonline game industry, the strategies adoptedby Shanda to become a market leader,challenges it might face to retain itsleadership position and strategies adoptedby Shanda to meet the challenges of thecompetitive market.


• To discuss the online gaming industry inChina

• To understand the strategic initiativestaken by Shanda Interactive

• To discuss the challenges faced by thecompany

• To argue about its growth strategies.

Industry EntertainmentReference No. GRS0249KYear of Pub. 2006Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

Shanda Interactive; On-line game; Internetinfrastructure; Interactive game; Internetservice provider; Role-playing game; Gamesoftware; Virtual community; Businessmodel; Research and development; GrowthStrategies Case Study; Short messagingservice; Market capitalisation; Literatureportal; On-line entertainment market;Beta testing

Bharat Forge : Catalyst in GlobalAuto Forging Industry

India-based Bharat Forge Limited (BFL)was globally the second largest auto forgingcompany after ThyssenKrupp of Germany.BFL was the flagship company of Pune-based Kalyani Group with interests in steel,steel-based products, forgings andautomotive components. The companymade a humble beginning in 1961 with asmall plant in Pune. Over the years, thecompany became the second largest autoforging company, globally the secondlargest engine component manufacturer.It owned the largest single-location forgingplant in Asia and globally the largest plantfor manufacturing axles. Along withmanufacturing forging items andcomponents for automobiles andcommercial vehicles, the company was alsoa global leader in producing components

for railways, earth moving equipments,hydrocarbons, sugar, steel, coal, shipbuilding, oil and gas, refinery and generalengineering equipments. Globally, BFL wasknown for its operational excellence,technical supremacy and cutting edgeknow-how. The cutting edge technologyand manufacturing excellence helped thecompany to become the preferred supplierof global automotive companies. It had anenviable buyers list from global automotivecompanies, like General Motor,DaimlerChrysler, Volvo, MitsubishiCorporation, Toyota Motor Corporationand Hyundai Motors. It also had tie-ups,joint venture and technology sharing withleading auto component manufacturers andoriginal equipment manufacturers likeMeritor, Carpenter TechnologyCorporation, Rockwell International andDelphi Corporation. As a part of thegrowth strategy, the company opted forboth green-field expansion and brown-fieldexpansion. BFL made a few significantacquisitions globally to mark its presence.Among the list of the acquisitions, CarlDan Peddinghaus, CDP Aluminiumtechnikand Imatra Kilsta AB were the mostsignificant ones.

This case study discusses in detail aboutthe expansion strategy of Bharat ForgeLimited; how the company became theglobal leader in auto forging industry,management philosophy of the company,expansion strategy adopted by thecompany to become the global leader,business model of the company andglimpses of the domestic and global autocomponent industry. This case furtheroffers a scope for discussion about thetrends and strategy of the industry, strategyadopted by the company to become themarket leader and how it leveraged itsadvantages to mitigate the pitfalls andlimitations of the strategy.


• To discuss how Bharat Forge establisheditself as the second largest global forgingcompany

• To understand the global structure of theauto component industry with theemergence of Tiers in the value chain

• To discuss how BFL started as a smallsupplier of mechanical equipments in1961, transformed itself into the secondlargest global forging company in justfour decades

• To assess how the company planned tochange its business model by forayinginto non-auto component sector as ithad been highly depended on theautomotive sector.

Industry Auto ComponentReference No. GRS0248KYear of Pub. 2006



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Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

Bharat Forge Limited (BFL); Originalequipment manufacturer (OEM); Autoforging; Auto component; Tier 1 supplier;ACMA (Automotive ComponentsManufacturers Association); DelphiCorporation; Crankshafts; Single dieforgings; Dana Kirkstall; CDPPeddinghaus; DaimlerChrysler; GrowthStrategies Case Study; General Motors;Mitsubishi Corporation; Greenfieldexpansion

L’Oreal’s Growth Strategy : TheBody Shop Acquisition

The United Kingdom-based The Body ShopInternational (Body Shop) was a retailerof natural-based cosmetics. L’Oreal, aleading brand in the global market, was aFrench company dealing with cosmeticsand beauty products. This case deals withthe proposed acquisition of Body Shop byL’Oreal. It provides brief overview aboutthe two companies and highlights L’Oreal’sgrowth through acquisitions. It thendiscusses in details, the company's recentproposed acquisition. The case also dealswith the expected synergies and possiblechallenges that will result from theacquisition.


• To understand the global cosmeticsindustry

• To discuss the core competence ofL’Oreal and Body Shop

• To analyse the probable synergies of theacquisition.

Industry Personal Care ProductsReference No. GRS0247KYear of Pub. 2006Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

L’Oreal acquisition of Body Shop; Mergersynergies; Cosmetics; Beauty products;Inorganic growth strategy; Ethical businesspractices; Animal testing; Brand image;Natural-based cosmetics; Anita Roddick;Lindsay Owen-Jones; Dermatology;Growth Strategies Case Study; Personal careproducts

Macau : Emerging as the World'sCasino Capital – The Adelson

EffectOnce considered as Hong Kong's poorcousin, Macau (a former Portugueseterritory, now part of China) is soon set to

emerge as the casino capital of the world.Gambling has been legal in Macau for over150 years, and the place has for long beenknown as a tourist center associated withcasinos. However, for about 40 years (from1961 to 2001), the casino business was themonopoly of one local company -Sociedade de Turismo e Diversoes de Macau(STDM), managed by Stanley Ho. Aquantum leap in the casino business wastriggered by the local government'sdecision in 2001 to open out the gamblingindustry to foreign companies. Theobjective was to attract more tourists andvisitors to Macau, in turn increasing tourismrevenues. Two major Las Vegas companies,Las Vegas Sands Corporation and WynnResorts Ltd. took their chances and riskedentry into Macau. In 2004, SheldonAdelson's Las Vegas Sands, the world'slargest gaming company, was the first tostep into Macau. Adelson was known to bea visionary, who had successfully promotedLas Vegas, a casino gambling haven, as abusiness convention center as well.Adelson's entry into Macau was followedby others, and at least a dozen new casinosof sizeable magnitude have opened shopor are under development. Though skepticsfeel otherwise, casino gaming revenue hasbeen growing at a galloping pace, and Macauis soon expected to overtake Las Vegas asthe casino capital of the world.


• To understand the gambling industry ingeneral and casino business in Macau

• To analyse the competition andinnovation in gambling industry inMacau and how Macau is emerging asthe World's Casino Capital

• To assess the impact of gamblingindustry on tourism.

Industry Gambling/CasinoReference No. GRS0246BYear of Pub. 2006Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

China; Macau; Gambling; Casino; LasVegas; Sheldon Adelson; ConventionCenter; Tourist Center; Business Strategy;Global Expansion; Growth Strategies CaseStudy; Tourism Plan; Luxury Hotel/Resort;Stanley Ho; Wynn Resorts; GovernmentPolicy

Will the Expansion Strategies ofTata Steel Pay-off?

Tata Steel had been a flagship company ofIndian conglomerate Tata Group. By 2006,Tata Steel was the world’s 55th largest steelcompany with production capacity of 9million tonnes (MT). Though it had beenexporting to various countries for the past

25 years, it had yet to prove itself on theglobal scale. Tata Steel had an objective toincrease its production capacity to morethan 30 MT and become a global companyby 2015. Starting its journey on the globalgrowth path, Tata Steel made two majoracquisitions namely, Singapore basedNatSteel in 2004 and Thailand basedMillennium Steel in 2005. In October2006, Tata Steel made a bid to acquire theworld’s 9th largest steel company, UK-based Corus Group. If approved by Corusshareholders, the deal would create theworld’s fifth-largest steel firm and thelargest Indian takeover of a foreigncompany. Besides, Tata Steel had plans ofcapacity expansion in various countriesthrough various projects. However, the dealto acquire Corus was not finalised yet, as ittook a new turn when Brazil’s CSN(Companhia Siderugica Nacional)approached Corus’ board with a higher offerthan Tata Steel. Critics of Tata Group’sglobalisation spree argued that the grouphad intended to overpay for overseasacquisitions. Moreover, Ratan Tata, whohad been leading Tata Steel for more than12 years, would retire in 2007 at the age of70. The case highlights the globalisationaspirations of Tata Steel and the challengesahead. It traces the journey of Tata Steelfrom domestic company to global entity.The case presents a dilemma, would TataSteel be able to realise its ambitions ofputting its brand name on the world mapin the volatile steel industry? Howsuccessful would its expansion strategiesbe?


• To understand growth strategies of TataSteel

• To discuss whether Tata Steel wouldsucceed in its expansion strategies.

Industry SteelReference No. GRS0245AYear of Pub. 2006Teaching Note AvailableStruc.Assig. Available

Keywords

Tata Steel; Tata Group (TATA); ExpansionStrategies; Globalisation; Mergers andAcquisitions (M&A); Steel Industry;Consolidation; Growth Strategies CaseStudy; Challenges for Globalisation;Strategies for Globalisation; DomesticMarket; Corus Group; CSN; NatSteel;Millennium Steel; Ratan Tata; Leadership

Toyota : Looking for growth inChina

Toyota, the World's No. 2 automobilemanufacturer was a late entrant intoChinese automobile market. In 2005,Toyota's market share in China was just





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3.5% compared to 13% in US and 40% inJapan. Toyota took unconventional routein the Chinese market whereby the autoparts supplier of the Toyota group enteredin China before production of finished carsinitiated. Toyota launched its world famousCamry Sedan in China with a mission toachieve 10% market share in the Chineseautomobile industry.

The case deals with the different jointventure partnerships of Toyota whichfocused on product localisation approach.The case discusses the upcomingGovernment policy regardingimplementation of European emissionstandards, the competition scenario andproduct recall problems. Would Toyota beable to surpass its rivals by acquiring biggershare of the Chinese automobile market?


• Analyse the Chinese AutomobileIndustry and its importance for theforeign Automobile manufacturer

• Toyota's expansion strategies

• Toyota's Strategies to tap Chineseautomobile market.

Industry Automobile IndustryReference No. GRS0244AYear of Pub. 2006Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

Toyota; Global automobile industry; Chinaautomobile industry; Camry Sedan; Organicgrowth; entry level strategies; Jointventures; Growth Strategies Case Study;Original equipment manufacturer; KiichiroToyoda; International business expansion;European emission standards; FAW; BAIC;SAIC; Chinese government policy;Competition scenario; Product recall

Starwood Hotels & Resorts inChina - Strategies for Growth

Starwood Hotels & Resorts Worldwide, Inc.based in New York, was one of the leadinghotel and leisure companies in the worldwith about 850 properties in over 95countries and 145,000 employees in 2006.Starwood owned, managed and franchisedhotels and resorts under 8 internationallyrenowned brands namely Westin, Sheraton,St. Regis, The Luxury Collection, LeMeridien, Four Points by Sheraton, W andaLoft.

After North America and Europe, Asiaemerged as the most dynamic regionfuelling growth in hotel industry. In Asia,China was considered the hottestdestination due to its booming economy,emergence as one of the leading tourismdestination and the upcoming OlympicGames to be held in Beijing in 2007.

Starwood entered China in 1985 and by2006 it operated 26 hotels under 5renowned brands and had emerged as theleading international luxury hotel chain inChina. It had ambitious plans to furtherboost its presence. Other internationalhotel chains were also looking at China ina big way, leading to a clutter of worldfamous hotel brands. The cut-throatcompetition especially among the luxuryhotel operators was expected to intensify,driving the unprofitable ones out ofbusiness. In such a situation, it remained achallenge for Starwood to continue toenjoy its dominance.


• To discuss the economic growth andgrowth of tourism industry in China andits spill-over effect on the hotel industry

• To discuss the entry and growth strategiesof Starwood in China

• To analyse the challenges ahead forStarwood in China and chart outstrategies to overcome them.

Industry HospitalityReference No. GRS0243AYear of Pub. 2006Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

Starwood; luxury hotels; resorts; Westin;Sheraton; St. Regis; The Luxury collection;Growth Strategies Case Study; Le Meridien;Four Points by Sheraton; W aLoft;ELEMENT; China; Beijing; OlympicGames; Asia; InterContinental; Hilton;Hyatt; competition; growth strategies;brand positioning; brand strategy

LVMH in 2006 : ManagingFashionable Growth

LVMH - Moët Hennessy - Louis VuittonS.A. (LVMH), the world's leading luxurygoods conglomerate, was the parent toaround 50 prestigious brands withinternational retail network of more than1,700 stores. LVMH posted a profit of¤1668 million with revenues of ¤13,910million in 2005. Led by a dynamic leaderBernard Arnault, LVMH developedcompetency in building not justrecognizable brands but "Star Brands".LVMH's philosophy of extraordinaryquality and staying at top position in anyarea it chose to operate earned it the titleof the leader of the luxury goods industry.

The clientele to which LVMH catered towere very elite and rich, who could affordto buy the highly priced LVMH products.With increasing incomes, the number ofpeople falling in the category of eliteincreased rapidly, expanding the marketfor LVMH. Being a luxury goods company

it was vulnerable to the economic changesaffecting the demand of luxury goods likethe 1997, Asian crisis and 2001, attack oftwin tower in the US, which was a majormarket for LVMH.

The nature of business in which LVMHoperated demanded high level of creativityand innovation at a faster pace. LVMHmanaged its various brands in closeassociation with its designers. Withcompetitors like Gucci, Richemont, withfinancial muscle and battalion of talenteddesigners, LVMH had to be audacious andexpeditious in its endeavors to retain itsluxury leadership.

The case covers the global luxury goodsindustry, the competitive landscape forLVMH, the establishment and growth ofLVMH empire and its business groups. Thecase analyzes the business model followedby LVMH and its core competency ofbuilding Star Brands. The strategiesfollowed by LVMH for growth is discussedincluding the issues of Talent management,developing and achieving skill set fordesigners and counterfeiting.


• To understand the dynamics of the globalluxury goods industry

• To understand the core competenciesof LVMH in creating 'Star Brands'

• To discuss the growth and competitivestrategies of the industry leader, LVMH

• To discuss future challenges and strategiesfor the global luxury good giant.

Industry Luxury Goods IndustryReference No. GRS0242AYear of Pub. 2006Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

LVMH (Louis Vuitton Moët Hennessy);Richemont; Guccio Gucci; Pinault-Printemps-Redoute (PPR); GrowthStrategies Case Study; Fashion accessories;Luxury goods in Asia; Luxury goods inEurope; Cosmetics; jewellery; Product lineextension; Positioning; Multi brandingstrategy; Growth strategy; Innovation;Branding strategy; Business models;Entering international markets; Star brand;Consumer goods; France; Strategyimplementation; Managing the globalconglomerate; Decentralized organisation;Mergers and acquisitions; Synergy; organicgrowth; competition; Brand Portfoliomanagement; Leadership; Creativity

Lukoil : Russia’s Largest OilCompany’s Global Strategies

LUKOIL, one of the worlds' leadingvertically integrated Russian oil and gas

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company with the business of exploration,production and marketing of oil, gas andpetroleum products, was the second largestprivatised oil and Gas Company afterExxon Mobil with 20.3 bboe (billion barrelof oil equivalent) proved hydrocarbonreserve which accounted for 1.3% of worldoil reserves, 0.4% of world gas reservesand 18% of Russian crude oil production.

LUKOIL was founded by Vagit Alkeperov,who had strong political support fromRussian Government. With an enormousretail presence in the US and huge refiningcapacity, oil and gas reserves out side ofRussia, it aimed to transform itself overthe next decade into one of the world’slargest fully integrated energy company.The company planned to double its outputof oil and gas together with substantialrevenue growth in order to become nextoil superpower in the world.

The case mentions the competitivestrategies adopted by the company in orderto secure its leadership position. The casehighlights important strategies of LUKOILstarting from privatization to itsgeographical expansion and its growthstrategy of acquisition of variouscompanies not only in the Russia but inthe periphery of Russia.


• To understand Russia's oil and gasindustry

• To understand Lukoil's growth strategyas a market leader of Russian oil and gasindustry

• To analyse the effect of political factoron private companies of Russia

• To understand the benefits ofgeographical expansion on the growthof Lukoil

• To understand Vertical integration in oiland gas industry.

Industry Oil & GasReference No. GRS0241AYear of Pub. 2007Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

LUKOIL Oil; Gas; Privatisation; GrowthStrategies Case Study; Expansion strategies;transformation strategies; Exploration;Production; Gas Strategy; Marketing;Market Leader

Indian Railways : The JuggernautTurns Around

Indian Railways (IR), a state-owned railwaycompany, had a near monopoly in thecountry’s rail transport. It was also the

second largest with 63,028 routekilometers, 108,706 track kilometers andbusiest rail networks in the world. IR wasthe world’s largest commercial utilityemployer, with more than 1.6 millionemployees.

A legacy from the British rule, IR had beena socio-economic entity, striving toachieve its justifiable economic existence.With the liberalization of Indian economysince 1991, the policies of the railwaysbecame obsolete. To become economicallyviable in the competitive era, IR facedhurdles like duality of objectives, hazardsof safety considering its organisational sizeand the emergence of competition fromother means of transport like airlines,particularly low cost airlines.

In 2001, IR was written off as theburgeoning responsibility for thegovernment. Experts opined that byobliging to political and social agendas, IRfailed to utilize its capacity and achieve itsprofit goals. Amidst criticism, IR stabilizedits financial situation in 2002-03.

In 2004, Lalu Prasad Yadav (Lalu), afamous political leader, was given chargeof Ministry of Railways, one of the mostsought after portfolios in the governmentowned utilities of India. He proved to be adark horse, as under his leadership, IRadapted and implemented cost effectivestrategies to raise the revenues. For thefirst time the passenger fares and freightrates were not hiked to increase revenuesbut the, per train load was increased by 4-5 tonnes on selected tracks to yield higherrevenue. Such measures combined with a"value for customer" philosophy andconsiderations of IR as an economicenterprise, were elementary in bringingabout Indian Railways' turnaround. TheRailway Budget 2006-07 had great plansfor expansion and growth for railways anda landmark Dedicated Freight Corridors.

But the critical question was with thechange in political scenario or with theend of tenure of the incumbentgovernment, would IR still be able to sustainits unprecedented performance in thefuture?


• To understand the dynamics of railtransport industry in India and themonopoly of Indian Railways

• To analyse the conflicting goals of IndianRailways as a public utility organizationvs a self run profitable organisation

• To scrutinize the leadership roles playedby various politicians and its impact onthe growth and development of IndianRailways

• To debate on the future strategies ofIndian Railways

Industry RailwaysReference No. GRS0240AYear of Pub. 2006Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

Indian Railways (IR); East India RailwayCommittee; Operations of IR; Socialresponsibility versus profitability;Bureaucracy; Operational inflexibility;Railway board; Subsidized fares; GrowthStrategies Case Study; Social obligationcost; Commercialisation of IndianRailways; IR (Indian Railways); Views onprivatization of Indian Railways; Railwayfinances; Partition of India; Pensionliability of Indian Railways; Railway zones

Global Wine and Spirits GiantPernod Ricard’s Growth

StrategiesFrance-based Pernod Ricard S.A. thoughwas a major player in alcoholic beveragesbut lagged behind the market leader Diageoin the wines and spirit market. Followingthe acquisition of Seagram in 2001 andAllied Domecq in 2005, Pernod Ricardgrew from a local company to aninternational company. The stagnantdomestic market and growing internationaldemand, forced Pernod Ricard to make itbig in wines and spirit market.

After the successful acquisition of AlliedDomecq, Pernod Ricard aimed to becomeNo. 1 player. Besides expanding into thegrowing markets like UK and US with itsPremiumisation strategy, the company alsoaimed to explore the emerging markets ofAsia with its decentralized approach.Despite a promising outlook, in terms ofsales and market share, a shadow loomedover Pernod’s future, with the retirementof Chairman Patrick Ricard in 2007without an obvious family successor hadput the company in a dilemma.

The case traces the journey of PernodRicard and highlights the organic andinorganic growth strategies of thecompany. The case explores the variousstrategies the group had adopted for itsgrowth with its opportunities andchallenges in store for the company. Withall its efforts for expansion, would PernodRicard be able to realise its dream to be No.1 before Patrick Ricard retired in 2007?


• To analyse the market entry and marketpenetration strategies in emergingmarkets

• To understand the competitive strategiesand strategic shift of Pernod Ricard

• To study market leader and challengerstrategies.



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Industry Alcoholic BeverageReference No. GRS0239AYear of Pub. 2006Teaching Note AvailableStruc.Assig. Available

Keywords

Pernod Ricard; Business Strategy; StrategicManagement; Mergers and Acquisitions;Organic Growth; Inorganic Growth; MarketEntry Strategies; Market DevelopmentStrategies; Competitive Strategies; GrowthStrategies Case Study; Globalisation; MarketExpansion Strategies; HorizontalIntegration; Alcoholic Beverages; Wineand Spirits; Champagne; Sparkling Wine;Allied Domecq; Seagram; Second largestwine and spirits company; Diageo;Decentralisation; Premiumisation; crossfunctional structure

Global Aspirations of TATAMumbai based Tata Group (TATA) one ofthe oldest and largest Indian conglomeratestarted its journey in 1868, as a privatetrading firm. Consequently, TATA becamea diversified conglomerate operating in 7business sectors with 96 operatingcompanies, traditionally led by Tata Familymembers. Though very successful in IndiaTATA did not have any global footprintsuntil 21st century. Chairman Ratan Tatasteered the group on to the global route.TATA particularly began to implement itsglobalization plans in 2000 with theacquisition of UK based Tetley tea. Thegroup followed this move with other bigoverseas acquisitions and investments likeKorean Daewoo Commercial Vehicles,Thailand based Millennium Steel, US based8' O'Clock Coffee and hotel Ritz-Cartlon.In November, 2006 it proposed to acquireUK based Steel maker Corus Group withbid amount of $8.1 billion.

However, the deal to acquire Corus wasnot over, as CSN, a Brazilian SteelCompany proposed a counter bid to acquirethe same. Besides, the group also facedcritisims of overpaying for the acquisitionsand held an image of un-multinational inthe domestic market.

The case talks about the globalizingaspirations of TATA, the challenges aheadin the path and the leadership issue,following Chairman Ratan Tata's intentionto retire in 2007. The case also traces thejourney of TATA from domestic companyto would be global entity.


• To understand the strategy ofglobalisation

• To understand mergers and acquisitionsas an expansion strategy.

Industry Diversified ConglomerateReference No. GRS0238AYear of Pub. 2006Teaching Note AvailableStruc.Assig. Available

Keywords

Tata Group (TATA); Globalisation;Diversification; Conglomerate; Mergersand Acquisitions (M&A); Inorganic andOrganic Growth Strategies; ExpansionStrategies; Strategies for Globalisation;Challenges for Globalisation; DomesticMarket; Tata Steel; Growth Strategies CaseStudy; Tata Tea; Tetley; Tata Motors;Indian Hotels (Taj Hotels and Resorts);CSN; Corus Group; Ratan Tata; Leadership

French Hotel Group Accor’sGrowth Strategies

This case presents an overview of the AccorHotel Group, a French multinational,having presence in more than 100countries with 4,094 hotels (480,036rooms) involved in two core activities:Hotels and services. It is case is hotels only.Accor Hotels, evolved from single hotelchain - Novotel, adopted many growthstrategies to achieve its vision to becomemarket leader in economy and midscalesegment and major player in upscalesegment. Since its inception, Accorinitialized many moves like M&As forgrowth and faster entry, joint venture,multibrand strategy - segment centricbranding, rebranding, identify newinnovative concepts in products, productmodifications, line extension,diversification, targeting new segments likeemerging countries (geographicalsegmentation) etc.

This case can be used to address two issues.First, what is the core strategy among allstrategies adopted by Accor? The secondconcerns how well this strategy fits intothe Ansoff's product - market expansiongrid, which includes market penetration,market development, productdevelopment and diversification.


• To analyse its segmentation strategy,Multi-brand strategy and Re-brandingstrategy

• To understand Asset ManagementStrategy

• To understand the growth and globalexpansion of Accor Hotel Group

• To understand Ansoff's product - marketexpansion grid.

Industry Hospitality IndustryReference No. GRS0237AYear of Pub. 2006Teaching Note AvailableStruc.Assig. Not Available

Keywords

Accor hotels; hospitality and travel; growthstrategy; multi-segment strategy; re-branding; repositioning; Growth StrategiesCase Study; changing customer needs;Ansoff product - market expansion grid;merger & acquisitions; strategic alliances;product development; marketdevelopment; market penetration; assetmanagement strategy; positioning

eBay in China – A Difficult BidBy 2007, eBay Inc., a leading onlineservice provider offered online goods andservices, payments services andcommunication offerings to a diversecommunity of individuals and businesses.

eBay was present in more than 18countries. It entered in one of the mostchallenging and fast growing market ofChina in 2002. Though the market offeredhuge potential for growth, eBayencountered many hurdles. eBay was thepioneer in the online auction business inChina through its acquisition of Eachnetwhich controlled 80% market in China forC2C transactions. Though eBay hadcaptured the online auction market in theU.S., it made the mistake of using itsAmerican model in Asian countries.

In 2003, the popular Chinese B2B Webportal Alibaba.com started Taobao.com, aconsumer auction site and became eBay’sbiggest rival. eBay lost vital market shareto Taobao. In 2006, eBay accounted foronly 29% as compared to Taobao's 67% inthe Chinese online auction market. In2006, eBay decided to change theirapproach in China closing their foremostwebsite in China and partnering with a localassociate, Tom Online Inc., a popularInternet portal and wireless operator basedin Beijing. eBay formed a minority stakejoint venture with TOM Online.

The case discusses the challenges eBayfaced in China for its growth.


• To understand the competitive e-commerce industry in China

• To discuss the entry and growth strategiesof eBay in China

• To argue when the first mover mighthave disadvantages

• To discuss the future strategies of eBayin China.

Industry e-commerceReference No. GRS0236AYear of Pub. 2007Teaching Note AvailableStruc.Assig. Not Available

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Keywords

Offshore outsourcing; Service operations;Managing risk and fraud; Serviceperformance improvement, eBay; China;Taobao; e-Commerce; Growth StrategiesCase Study; On-line auction; Alibaba.com;Yahoo!; Competition; Revenue model; On-line payments; Emerging markets;Marketing strategy; Competitivestrategies; Asian markets; Chinese Internetmarket

Danone's Probiotic YogurtActivia : Latching on to the

Health BandwagonFrench food giant, Danone Group, is a worldleader in bottled water by volume and freshdairy products and second in biscuits andcereals, with presence in over sixcontinents. Group's sales growth increased8.1% from euro 13,024 million in 2005 toeuro 14,073 million of which Europecontributed 60.98% in 2006. Danonedecided to roll-out its tried-and-testedproduct named "Activia"-yogurt with anactive probiotic culture in US in 2006.

Americans ate less yogurt compared toEuropeans and preferred fruits andvegetables and relied mainly on the tablets,piles syrups etc. Dannon Inc. (US subsidiaryof Danone group) faced a great challengeas Americans' food habits resulted into acultural battle and minimal awareness aboutprobiotics. Dannon invested heavily tocreate awareness and generate positiveresponse to such cultural foods, educatethem about health benefits offered byActivia. They initialized manypromotional activities like direct mailing,advertising on TV, radio, sponsored survey,internet marketing, free samples, etc. Ithad also faced difficulties in designing thepackaging and making the advertisementin line with the FDA (Food and DrugAdministration) and FTC (Federal TradeCommission) guidelines.

The case also discusses American foodculture, their foods, shifting of eating habitsand impact of FDA and FTC guidelines.But analysts were debating whether thetried-and-tested product rollouts reallywork, all times? Would it be possible forDanone to cultivate success based onprobiotics targeting niche market?


• To discuss American food culture, shiftingof eating habits and impact of FDA andFTC guidelines

• To discuss the challenges faced byDanone in America

• To discuss whether Danone continue towin the hearts of consumers throughtheir troubled stomachs in future?

Industry Dairy and Food ProductsReference No. GRS0235AYear of Pub. 2007Teaching Note AvailableStruc.Assig. Not Available

Keywords

Danone Group; Dannon Inc.; Probioticfoods; Activia; functional foods; GrowthStrategies Case Study; US yogurt market;cultural shift; American food culture;shifting food habits; acculturation; productroll-out; launching strategies; changingcustomer needs

Cyworld, South Korea’s SocialNetworking Site’s Global

Expansion StrategiesCyworld, a South Korean social networkingsite started its operation in 1999, since itsinception it captured 40 per cent of theSouth Korean market. It started wooingthe tech-savvy youth in United States in2006. In South Korea, a world leader inbroadband usage rate 96% of people in the20 - 29 age groups were Cyworld membersand in China, the site recorded nearly 3.5million registered members since its launchin June 2005.

In 2005, Cyworld built its global strategyto deploy the Cyworld brand regionally andaccordingly launched its services, first inChina and then, Japan and Taiwan. Afterannouncing its US expansion plans inOctober 2005, Cyworld officially launchedits US version in August 2006.

Analysts were skeptical about the successof Cyworld in the US, especially withMySpace, a US based social networking sitecontrolling the market. MySpacedominated the US social networking scenewith about 123 million users and reinventedan internet culture since its inception inJuly, 2003. But as Cyworld was backed bythe deep pockets of South Korea's SKTelecom Co., it could carve out a lucrativespot in American market also.

The case describes Cyworld's growth andexpansion strategy, particularly in the US.It ends with a debate whether Cyworld canmake a dent in MySpace dominated USsocial networking market.


• To understand dynamics of the socialnetworking business

• To understand the global expansionstrategy of social networking site

• To study the growth strategies ofCyworld in US market

• To understand the competitive scenarioin social networking industry.

Industry Social Networking SitesReference No. GRS0234AYear of Pub. 2006Teaching Note AvailableStruc.Assig. Not Available

Keywords

Cyworld; SK Communications; Socialnetworking site; Global expansion strategy;Demographic of US Social NetworkingMarket; MySpace; Market-entrystrategies; Culture-oriented marketpenetration; Localisation as globalexpansion tool; Privacy policies of socialnetworking sites; Business model; GrowthStrategies Case Study; Monetizing of socialnetworking sites; Consumer behaviour;South Korean Market Leader; Majorplayers in US Social Networking Sites (SNS)industry

Castrol India Limited in 2006Castrol India Limited (Castrol), subsidiaryof UK based British Petroleum group (BP)was one of the active players in the retailautomotive lubricant market in India in2005. It had capacity to produce 300million tonnes per annum of lubricant.From a minor oil company with marketshare of 6% in 1991, Castrol grew tobecome second largest lubricant companywith market share of 22% in Indianlubricants market in 2005. Castrol was alsoa market leader in the retail automotivelubricants segment. In BP's worldwideoperations, Castrol in India was second interms of volume of lubricants sold afterUS, and third in terms of profit next to USand Germany.

In 2005, Castrol initiated a newcommunication and re-launch exercise,laying emphasis on the liquid engineeringconcept, and technology upgradation. Thecompany repositioned products on valueproposition, filled up gaps in the productrange and emphasized on customer benefitsin each and every application. Castrol alsointroduced computerized vehicle servicecenters and entered into strategic marketingtie-ups with original equipmentmanufacturers (OEMs). Castrol had servedover 30 million customers and expectedto add another 50 million customers in2006. Would Castrol be able to sustain itsmarketing advantage with repositioning inIndian lubricant market?


• To understand the Indian Lubricantmarket

• To analyse the marketing strategies ofCastrol in India

• To discuss the importance of brandrepositioning as a marketing strategy.




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Industry LubricantReference No. GRS0233AYear of Pub. 2006Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

Castrol India Limited; India; petroleum;lubricant; market leader; retail automotivelubricants segment; Growth Strategies CaseStudy; British Petroleum; liquidengineering; re-positioning; valueproposition; marketing tie-ups; productrange; value proposition

Al Jazeera English : Will it makeits mark?

Doha, Qatar based, Arabic televisionnetwork Al-Jazeera launched an English-language news and current affairs televisionchannel, Al-Jazeera English (AJE) on 15thNovember 2006. Al-Jazeera had Arabicnews and current affairs television channelof the same name and several otherspecialty television channels. The Arabicnews channel Al-Jazeera (Al-JazeeraArabic) was known for its up-front style,frank journalism and its readiness to discusstaboo issues. Thereby Al-Jazeera Arabicentered into several controversies and wasa thorn for several governments fromWashington to Riyadh. Al-Jazeera Englishwas broadcasted from studios in Doha,Kuala Lumpur, London and WashingtonDC, in addition to 20 other countries.

AJE was a hope for giving the Arabs a globalvoice as it was the first English Channeloperating from the Middle East. But, somequestioned in the Middle East whether thenew channel would be as blunt as its Arabicchannel. Above all with the negative pressgained by its Arabic channel would it beable to pose a challenge to its westerncompetitors and gain acceptance in westerncountries?

The case discusses about the various issuesand challenges faced by Al-Jazeera in itsnew venture AJE.


• To understand the controversy of Al-Jazeera Arabic channel

• To study the importance of brand imageand its expansion in channels industry

• To understand the challenges faced byAl-Jazeera in the US

• To understand the competitive scenarioand its impact.

• Various growth strategies of GE.

Industry Media (News)Reference No. GRS0232AYear of Pub. 2007Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

Al-Jazeera Arabic; Al-Jazeera English;International; Controversies; launch;challenges; company image; new markets;Qatari Emir; Arab new network; GrowthStrategies Case Study; Strategymanagement; Entry strategies; Businessmanagement; Opposition from US; Osamabin Laden; US government; Britishgovernment; Afghanistan; Israel; medianetwork; entry barriers; differentiation;BBC; CNN; Western media companies; 9/11 attack; 11 September attack

GE Manufacturing : ForgingAhead in Asia's Globalising

MarketsGeneral Electric (GE) is a 125 year oldmulti-business company and a global playerin plastics, insurance, finance, healthcare,infrastructure and heavy engineering. It hasbeen making significant progress in all itsdivisions. However, its financialperformance declined in the plastics andinsurance business. The insurance businesshas been making losses for the past fiveyears. The performance of GE plastics wasfluctuating since 2003 and there was adecline in the year 2006. It was then decidedto sell the insurance division to Swiss-Reinsurance and also sell the plasticsdivision. The company underwent a radicalchange when Jack Welch became the CEOin the year 1981. His launch of the sixsigma growth initiative proved to besuccessful. The shifting of the GE's focusfrom service to manufacturing started then.Jack Welch's successor Jeffrey R. Immeltintroduced a process to generate consistentorganic growth called "Growth as aProcess". By 2006, it was reported thatGE was concentrating mainly on itsinfrastructure business. GE has becomefirmly established as a world leader in theaircraft engine manufacture with higherlevel of sales and operating profits than itscompetitors.

GE is targeting the Asian and South EastAsian Markets as it finds a lot of scope forgrowth there. It has been predicted that60% of its growth over the next decadewould be from these developing markets.It finds a bright future in these marketswhich will help it keep pace withglobalisation.


• GE's Business Divisions

• GE's changing priorities in globalising

• GE's dismal performance in the plasticsand insurance divisions

• The trends in Asian markets and GE'sreasoning in venturing into thesemarkets

• Various growth strategies of GE.

Industry Diversified ConglomerateIndustry

Reference No. GRS0231CYear of Pub. 2007Teaching Note AvailableStruc.Assig. Not Available

Keywords

GE; GE Aircraft engines; GE-CFM; SnecmaMotoeours; Rolls Royce and Pratt andWhitney; GE Aircraft Engines Turbines;GEnx Engines; Growth Strategies CaseStudy; GE Health care; GE Ecomagination;GE Academy; GE Advanced Materials;Growth as a process-Jeffrey Immelt; GEPlastics; GE Insurance; Swiss Re-Insurance

Apple's Future – Expansion intoDifferent Product Lines

Founded on April 1, 1976 by Steve Jobs,Steve Wozniak and Ronald Wayne, AppleInc. is an American consumer electronicscorporation, one of the most renownedcompanies in the world for computertechnology. It is headquartered atCupertino, California. Apple develops, sellsand supports a series of personal computers,portable media players, computer softwareand hardware accessories. The company'sbest-known products include theMacintosh/Mac line of personal computers,the Mac OS X, and the iPod line of portablemusic players. It also sells audio books,iPod games, music, music videos, TV showsand movies on its online iTunes Store, andannounced a smartphone, the iPhone, andthe Apple TV in January 2007. Itsworldwide annual sales in the fiscal year2006 (ending September 30, 2006) wasUS$19.3 billion. Apple pioneered arevolution in the industry and establisheditself as market leader. With a strong brandimage, it has cultivated an exceptionallyloyal customer base. It has taken care todifferentiate itself from its competitorsthrough its aesthetic design and innovativefeatures, for its products.

The following case illustrates the productsof Apple Inc. since its inception and itsentry into consumer electronics with newproducts. The future of Apple looks tochange completely along with its name andalso the new ventures it has entered into.


• Product expansion and development

• Growth strategies of an establishedplayer into new markets

• Future strategies for success for acomputer maker

• Challenges and Competition faced byApple in its new ventures.

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Industry Computer IndustryReference No. GRS0230CYear of Pub. 2007Teaching Note AvailableStruc.Assig. Not Available

Keywords

Apple Inc.; iPhone; iPod; Steve Jobs; SteveWozniak; Macintosh/Mac; Apple TV;Consumer Electronics; iTunes; Productline; Growth Strategies Case Study; NewProduct Development; Apple's Future

Mercedes: In Search of GrowthIn 2005, according to the survey conductedby Interbrand and J P Morgan Chase,'Mercedes', the brand synonymous withquality in the global automobile industry,slipped to the 11th position from itsprevious year's ranking at the 10th place.In the same year, Daimler Chrysler, ownerof the Mercedes brand, planned to withdraw1.5 million vehicles from the US andEuropean markets due to quality problems.Along with problems in quality, thecompany also experienced a sluggishgrowth rate in its premium segment, whereit was facing severe competition fromJapanese auto makers, like Toyota, Nissan,Honda and Mitsubishi. The companylaunched Mercedes A class (popularlyknown as the Baby Benz), which was aninstant hit in the European market.Analysts predicted that this was the mainreason behind Mercedes' slip in brand ratingas Mercedes lost its exclusivity. The maindilemma therefore, was the tradeoffbetween product volume and exclusivityof the brand. Daimler Chrysler also wantedto consolidate its presence in the emergingAsian markets. Therefore, the popularMercedes A class was unveiled in China andMalaysia as well. The company furtherintroduced several innovative marketingstrategies, customer relationshipmanagement practices and promotionalmethods to enhance the visibility andpresence of its premium 'Mercedes' brandin the Asian countries, particularly inChina, South-East Asian countries andIndia. A group of analysts also opined thatthe company's plans to consolidate itspresence in the Asian market might notsucceed as envisaged. Though Asia was themost lucrative market for DaimlerChrysler, the premium segment was verylimited and the compact car segmentalready had a huge number of automobilebrands. The entry of premium players(Rolls Royce, GM and BMW) in the nichecategory would make the niche segmentovercrowded and fiercely competitive.Industry experts were skecptical whether'Mercedes' could maintain its exclusivityas well as its growth in terms of productionvolume


• To give a detail about the Europeanautomobile industry, trends and patterns

• To understand the segmentation-targeting and positioning strategy inautomobile industry

• To understand the different segment inautomobile industry

• To understand the marketing strategyadopted by automobile company tolaunch a new model

• To understand the innovativepromotional strategies to make a brandsuccessful one

• To understand the key success factorsthat make a particular auto brand asuccess story.

Industry Auto ManufacturingReference No. GRS0229KYear of Pub. 2005Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

Chryslers corporation; Five pointed stardesign; Growth Strategies Case Study;Daimler-Benz AG; Daimer-Benz'scompetitors; Daimler-Chrysler; VSP of thebrand; Crisis in the European market; Newmarketing initiatives of Mercedes; Thedilemma

Sun Microsystems: A Case ofMissed Opportunities

Sun Microsystems started its operations in1982, with an office in Santa Clara, US.Sun’s biggest break came in 1995, with thedevelopment of Java, a universal softwareprogram that enabled its developers to writea program in one language that could berun on any platform. The company nettedhuge profits during the dot com boom oflate nineties when its expensive but highperforming servers (working on Solarisoperating system and powered by SPARCchips) were in great demand. However afterits meteoric rise, Sun started losing out onits business towards the end of the dotcomera in 2000-2001. During that period anumber of dotcom and telecom companieswent bankrupt; thus bringing in recessionin the world economy. As the demand forhigh end products fell, Sun’s competitorsstarted manufacturing and marketingservers powered by low-cost Intel chipsand nearly free Linux operating system.Sun however failed to read customer’s mindand continued pushing its high end products,although much cheaper versions introducedby the competitors were then alreadyavailable in the market. This lead to a sharpfall in profit & market share of thecompany.


• To discuss the reasons behind themeteoric rise of Sun

• To discuss as to how the company failedto perform amidst rising competitionand threats particularly from Microsoft.

Industry Servers and MainframesReference No. GRS0228KYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Sun Microsystems; Operating system;UNIX; Hewlett-Packard; Microsoft; Dell;IBM; Dotcom; Server; Solaris; Hardware;Intel; Linux.

KFC in AsiaIn 1986, PepsiCo acquired Kentucky FriedChicken (KFC) and it started operatingunder PepsiCo’s global restaurant company,Yum! Brands Inc, from 2002. KFC was ahuge success in the US with its specialoffering of ‘fried chicken’. Due to thestaggering growth of the US fast foodindustry, the company decided to go global.KFC’s first entry in the Asian market wasin Japan in 1970. Initially the companyfaced some impediments, but eventually,it turned out to be a profitable unit. By theend of 2004, KFC had opened 1159 outletsin Japan. Its second foray in the Asianmarket was in Malaysia in the year 1973.It was the first fast food multinational chainto enter into the Malaysian market. Beingthe first mover in Malaysia, KFC went onto become the market leader. It enteredChina in 1987 and became an instant hit.By the end of 2004, KFC had 1243 outletsin China alone. KFC ventured into India in1995 and started facing problems. Sincethen, it could not expand as much in Indiaas it had in other Asian countries. The caseanalyses the various strategies applied byKFC in the three countries where it tastedsuccess. The case also analyses the reasonsbehind KFC’s limited growth in India.


• To understand the fast food market ofAsia

• To analyse KFC’s growth strategies invarious Asian countries

• To discuss why KFC succeeded in someAsian countries while it failed in someother

• To debate about KFC’s future in Asia.

Industry Fast food & quick serviceresturants

Reference No. GRS0227KYear of Pub. 2006




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Keywords

KFC; Fast food industry; McDonald’s;Pizzahut; Growth.

Toyota: Aiming for LargerPresence in Europe

In the early 2000s, Toyota, the second-largest automobile manufacturer in the worldafter GM, was planning to expand its smallcar range in Europe. Despite its long presencein the continent the company could not gaina significant share of the European automarket. The company realised that it wasdue to growing consumer preference forsmaller and cleaner cars. Another majorfactor, according to the company, was thatthe styles and looks of the Asian car modelsdid not appeal to the European customers.In order to gain a larger share of the market,Toyota localised it European operations bysetting up manufacturing facilities, engineplant, design studio etc. within the continent.It also launched several small car models toattract the Europeans.

The case discusses in brief Toyota’s historyand its European operations along with theautomobile market of Europe. The casealso highlights how the company is tryingto streamline its European business. Finally,it raises a question regarding Toyota’sability to boost its market share in Europe.


• To discuss Toyota’s strategies to increaseits market share in Europe

• To develop an understanding of theautomobile market of Europe

• To analyse how Toyota sensed customerdemands and localised its design,production and marketing

• To understand the importance of newproduct launch.

Industry Auto ManufacturingReference No. GRS0226KYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Toyota; Small car; European car market;Compact car; GM; Ford; hyundai.

Star Cruises: The GrowthStrategies

The Genting Group of Malaysia, which wasengaged in hotels and resorts business,incorporated Star Cruises in 1993. StarCruises operated cruises primarily in theAsia-Pacific region. By the year 1999, it

became one of the largest cruise lines inthe world. In order to extend its servicesto North America, the world’s largest cruisemarket, it acquired the Norwegian CruiseLine (NCL) in 2000. Though after thetakeover Star Cruises was able to increaseits revenues, its profits started to slideresulting in a cumulative loss of US$193.5million between 2000 and 2004. However,the company management was convincedthat the investment in NCL would pay offin the long run and had ambitious futureplans.


• To discuss the growth strategies of StarCruises

• To analyse how Star Cruises grew tobecome the third largest cruise line theworld

• To develop an understanding of the Asia-Pacific as well as global cruise industry

• To understand the role of Star Cruises inshaping the Asia-Pacific cruise industry.

Industry Travel Agencies & ServicesReference No. GRS0225KYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Retail; Super Market; Wal-Mart; Tesco;Carrefour; Chinese Retail Market.

Kraft Foods: Restructuring forGrowth

In January 2006, Kraft Foods Inc., theworld’s largest branded food and beveragecompany, announced a major restructuringplan as a cost-cutting measure. Starting fromthe early 2000s, the company’s profitmargins shrank due to escalating costs andconsumer focus on low calorie foods. Inorder to deal with the situation, Kraftlaunched a restructuring plan in 2004. Whilethe first plan was underway, the companyannounced another round of restructuringin 2006 and proposed to close several plantsand cut jobs. It also planned to reorganiseits product portfolio. This led the analyststo wonder whether the company’srestructuring plans would pay off or thecompany needed to introduce new products.The case starts with a brief history of KraftFoods and moves on to the problems facedby the company. It then discusses both therestructuring plans of the company. Theconcluding section poses a question abouthow successful these plans would be insteering the company to healthy profits.


• To know the problems faced by KraftFoods, the second-largest food companyin the world

• To analyse the restructuring strategiesof Kraft Foods

• To understand the importance of beingin touch with customers

• To understand the significance ofsuccessful new product launches.

Industry Food and BeverageReference No. GRS0224KYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Power brand; Growth strategy; KraftFoods; Retail Brand.

Kodak: The Changing StrategiesBy 2000, Kodak, the company thatpioneered the imaging industry byinventing easy-to-use cameras andphotographic film, was in deep crisis. Withthe advent of digital cameras in the mid1990s, Kodak found its sales declining asconsumers preferred the new cameras,which did not use films. The growingpopularity of digital cameras led to a slumpin film sales, which was a major revenuegenerator for Kodak. Additionally, the newtechnology attracted a lot of competitionfrom traditional as well as new players. Inorder to maintain its lead in the industry,Kodak decided to adopt the new technologyand reinvent itself from a camera and filmmanufacturer to a digital imaging company.The case discusses the evolution of thedigital camera market and the shrinkingfilm business. It also highlights the strategiesadopted by Kodak to embrace the newtechnology to sustain its leadershipposition.


• To discuss the evolution of Kodak froma film company to a provider of digitalimaging systems

• To understand the gradual decline ofKodak’s film business

• To understand the evolution of digitaltechnology

• To assess the turnaround of Kodak bynew product development

• To debate whether Kodak would succeedin regaining its status.

Industry Photographical & OpticalEquipments

Reference No. GRS0223KYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Kodak; Fuji; Digital Camera; Disposablecamera; Canon; Nikon; Sony.

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Vodafone – Rethinking GlobalStrategy

Vodafone Group Plc. (Vodafone), theleading mobile telecommunicationscompany, followed a twin strategy of globalexpansion and offering mobile-onlyservice, to achieve huge economies of scale.However, its strategy failed in two of itsimportant markets – the US and Japan,where it had to adopt the local technologyto suit the market demands. Vodafone wasleft isolated when almost all the telecomoperators offered a combined package offixed & mobile telephony, broadband andtelevision services.

The case, while highlighting Vodafone’sglobal strategies, discusses their pitfalls andquestions their viability in the long run.

Pedagogical objectives

• To critically analyse Vodafone’sglobalisation strategy vis-à-vislocalisation strategy

• To discuss the potential loopholes in‘bigger is better’ strategy and thedrawbacks of economies of scale

• To discuss the viability of Vodafone’s‘mobile-only’ strategy, when majorityof the other operators were focusing onbundled offering

• To understand the changing dynamicsof the mobile market and the technologyassociated with it.

Industry Wireless network operatorsReference No. GRS0222KYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Vodafone; CDMA; GSM; 3G.

US Retailing: Saks Fifth Avenue’sHoliday Strategy

In December 2004, the total sales of SaksInc., a departmental store, increased by7.1% compared to the previous year. Thecompany attributed this seasonal surge, toits promotional campaign, particularly theHoliday Snowflake Spectacle programmeintroduced in the flagship store of SaksFifth Avenue. The campaign also aimed tobuild the brand image of Saks.

The case, along with highlighting theholiday strategy of Saks Fifth Avenue, alsogives an overview of the competitivelandscape of the US retailing industry.


• To discuss the promotional activities ofSaks Fifth Avenue to maximise seasonalrevenue

• To discuss how short-term promotionalactivities could be used in long-term brandbuilding initiatives

• To discuss the US retailing industry andthe seasonality associated with it

• To understand the competitive forcesin the US departmental stores industry

• To understand the US shopping trendsin the festive season and the consumerpsychographics associated with it.

Industry Retail Department StoresReference No. GRS0221KYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Saks Fifth Avenue; Promotion; holidayStrategy.

Nokia: Surging Ahead in ChinaBy 2005, Nokia Corporation (Nokia) wasthe leading mobile phone manufacturer inChina with 31% market share. China wasanticipated to emerge as the single largestmarket for the company, with an estimatedmobile subscriber base of 630 million by2010. In its efforts to surge ahead of itscompetitors, Nokia offered inexpensivephones for the mass markets withoutcompromising on the quality. It alsorestructured its sales force and reorganisedits distribution channels to reach the low-end customers in the rural markets.

The case, while providing an overview ofthe mobile industry in China, discusses thestrategic moves of Nokia to emerge as theundisputed leader in the country.


• To understand the localisation strategyas applied by Nokia in China

• To discuss the initiatives taken by Nokiato tap the low-end market segment andexploit the huge growth potential inChina

• To understand the mobile phone industryin China

• To discuss the viability and the potentialrisks involved in the introduction ofmobile phones for the masses and theconsequent brand dilution.

Industry Wireless telephone handsetsReference No. GRS0220KYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Nokia; China; Multimedia; Motorola;Samsung; Mobile services.

Deutsche Bank: Aiming GreaterHeights

In 2005, Deutsche Bank, the second-largestinvestment bank in the world by revenue,registered net revenues of •25 billion andwas able to reach its set target of pre-taxreturn on average active equity of 25%.Based on the continuous restructuring andcost-cutting initiatives of its CEO, JosefAckermann, Deutsche Bank was able to bringitself back to profitability. In 2006, it wasranked No.38 in the BusinessWeek’srankings for Europe’s top performingcompanies against a ranking of 126 in 2005.

The case focuses on the variousrestructuring initiatives of its CEO and itsconsequences on the business model andprofitability.


• To discuss the restructuring initiativesundertaken by Deutsche Bank to restoreits profitability

• To understand the changing landscapeof the European banking industry afterthe introduction of Euro

• To understand the optimum mix ofbusiness portfolio

• To discuss the business model ofDeutsche Bank and its sustainability inthe long-run.

Industry BankingReference No. GRS0219KYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Deutsche bank; invest banking; Personalasset and wealth management.

Carrefour in 2004: ManagingGlobalization

In fiscal 2004, Carrefour, the largest retailerin Europe and second-largest in the world,registered a 14.9% decrease in the net profit.Carrefour began to under-perform in someof the foreign markets and the company’sCEO, José Luis Duran, decided to withdrawfrom these markets and concentrate onlyon those, where it was among the top three.

The case, while highlighting on thechallenges faced by Carrefour in variousforeign markets, also focuses on theinitiatives taken by the company to restoreprofitability and global competitiveposition.


• To understand strategic concentrationand divestment of resources to maximiserevenue






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• To understand the French retail industry

• To discuss the initiatives taken byCarrefour to reorganise its businessportfolio and restore profitability

• To understand the localisation strategyas applied by Carrefour.

Industry Grocery, RetailReference No. GRS0218KYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Carrefour; Globalisation; Hyper-market;Super-market; Discount store.

Adidas: Cashing In on World CupFootball

The adidas Group (adidas), the second-largest sports goods manufacturerworldwide behind Nike, was the officialsponsor of the FIFA World Cup ’06, thegreatest football tournament across theworld. With the World Cup’s global TVand web audience exceeding that of theOlympics or any other sporting event,adidas aimed to capitalise on the four-yearly sporting extravaganza and expectedto achieve record sales in the footballcategory. adidas expected to generate •1billion in revenues from football in 2006itself and aimed to benefit from theextensive visibility of the brand throughWorld Cup-specific product offerings.

The case, while providing a broad overviewof the company, discusses the promotionalstrategies of adidas and its competitor Nikefor the 2006 FIFA World Cup.


• To understand the dynamics of sportsand sporting lifestyle market

• To understand how promotionalactivities and advertising campaigns areused in brand-building measures of adidas

• To understand the viral marketingstrategy as applied by Nike

• To critically analyse the pros and consof Above the line (ATL) and Below theline (BTL) communication strategy

• To understand how event sponsorship isbeing used to reach to the mass market.

Industry FootwearReference No. GRS0217KYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Adidas; World Cup Football; Nike; Reebok;Promotion Management; Celebrityendorsement.

Carrefour China: A Success Storyin Retailing

Carrefour, the world’s second-largestretailer, entered the Chinese retail marketin 1995. With less than five retail storesin 1995, by 2006, the company hadexpanded its operations to 73hypermarkets across 29 cities, along withits Champion supermarkets and Diaconvenience stores. In fact, in the sameyear, it was the largest foreign retailer ofChina. The case discusses how the companyacclimatised itself to the Chinesecustomers’ tastes and preferences. Itanalyses the company’s innovative andflexible business strategies of localisationof management and low-price and high-quality of its goods. In addition, the caseprovides a brief description of the emergingand lucrative retail market of China.


• To discuss the growing retail market ofChina

• To discuss Carrefour’s entry strategiesin China

• To discuss the company’s innovative andflexible business strategies of localisationof management and low-price and high-quality of its goods, with respect to itsChinese rivals.

Industry RetailReference No. GRS0216KYear of Pub. 2006Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

Retail; Super Market; Wal-Mart; Tesco;Carrefour; Chinese Retail Market.

Sandisk: Growth Opportunities inEmerging Markets

Sandisk Corporation was a leading supplierof flash memory cards. However, thecompany was troubled by the cyclicalnature of its flash business. With risingcompetition, the flash memory marketwas witnessing an increasing degree ofcommoditisation. In the emerging businessscenario, Sandisk found new opportunitiesfor growth in the MP3 player and cellularphone markets. This case provides thereader with a holistic understanding of theflash memory business, the prominentplayers therein, Sandisk’ s business profileand its growth strategies.


• To discuss the global flash memorybusiness

• To discuss Sandisk’s profile as the numbertwo player and its future growthstrategies

• To discuss the competitive scenariotherein.

Industry Memory Chips and ModuleReference No. GRS0215KYear of Pub. 2006Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

Sandisk; Toshiba; samsung; Flash Memory;SD and Multimedia cards.

Palm’s Growth StrategiesPalm Inc was the world’s largest supplierof personal digital assistants (PDA’s). Thecompany was troubled by the decliningannual shipments of its products, whichmany analysts felt were primarily due totheir slow technological obsolescence andincreasing popularity of converged mobiledevices. The case provides the reader abroad overview of the company, theexisting market scenario, Palm’s growthstrategies and the future outlook of itsbusiness.


• To discuss the existing market scenariohandhelds and smart phones, Palm'sgrowth strategies and the future outlookof its business.

Industry Personal ComputersReference No. GRS0214KYear of Pub. 2006Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

Palm; PDA; Smartphone; Handheld;Microsoft.

Imation: A Leading Name inData Storage

Imation was a leading developer ofremovable data storage products. Thedemand for data storage was increasingrapidly due to increasing availability ofhigh-speed computers, proliferation of theInternet and declining storage costs. Thecase intends to provide the reader a broadoverview of the company, the marketscenario in the removable data storagebusiness, and the various strategies that thecompany followed to increase its marketshare.


• To discuss the market scenario in theremovable data storage business

• To discuss the various strategies that thecompany followed to increase its marketshare.

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Industry Data Storgae DevicesReference No. GRS0213KYear of Pub. 2006Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

Imation; Storage; CD; DVD.

Unocal Acquisition: Chevron’sGrowth Strategy

On 4th April 2005, David O’ Reilly, theCEO of Chevron Corporation announcedthat Chevron, the second largest petroleumcompany of the US (after Exxon Mobil)had acquired Unocal, the ninth largest oiland gas company of US, for US$17 billion.This acquisition was considered as one ofthe most politicised corporate takeoverbecause both the US government andChinese government were involved in thedeal. After this acquisition, Chevronbecame the fourth-largest oil and gascompany globally and projected a growthof 5% during the period 2005-2009.However, both, the investors and industryanalysts were sceptical about thisprojection as Chevron had a history ofpromising more than it could deliver. Whatare the problems that Chevron might facein leveraging itself after the acquisition andhow it planned to overcome thesechallenges.


• To discuss the trends and patterns ofglobal oil and gas industry

• To discuss the key success factors in theacquisition process for oil and gasindustry

• To discuss the value chain of oil and gasindustry

• To discuss the ‘upstream activities’ and‘downstream activities’ in oil and gasindustry

• To discuss the problems associated withany acquisition process and how thecompanies plan to mitigate thoseproblems

• To discuss the bidding process in the oiland gas industry.

Industry SteelReference No. GRS0212KYear of Pub. 2006Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

UNOCAL; Chevron; growth strategy;global petrochemical industry; upstreamoperation; downstream operation.

Natsteel: The Growth Catalyst inAsian Steel Industry

This case analyses the globalisationstrategy of TATA Steel, the flagship ofINR 480 billion TATA Group and thesecond largest steelmaker of India. TATASteel, with an annual capacity of 4.3 mtpa,was ranked 56th by World Steel Institute.The company had a plan to increase itsproduction capacity to 15 mtpa, therebybecoming one of the top 10 steelcompanies of the world. To fulfill itsmission, the company chose to increasethe capacity of its existing facilities, setup greenfield projects and acquired newcompanies. Due to the emergence of South-East Asian countries as the major steelconsumers, it acquired Nat Steel to havean access to these markets. TATA Steelhad plans to manufacture primary steel atits plants in Jamshedpur and Orissa, (slatedto start production from 2006), placeshaving large deposits of iron ore. Thiswould help the company in transportingthe semi-finished products to the Asianmarkets and also producing and selling thefinished goods. Apart from traditional steelmanufacturing, the company also forayedinto value added steel products (automobilesteel and ferro chrome) to strengthen itspresence in the global market and becamea global company from a local one. Thecase study offers scope for discussing thetrends and present strategies in the globalsteel industry and how TATA Steel plannedto grow according to the recent trends.


• To discuss the trends, patterns of globalsteel industry and consolidation as amajor strategy in fragmented steelindustry globally

• To discuss acquisition process of NatSteelby Tata Steel, potential synergies andproblems associated with the acquisition.

• To discuss how acquisition as a growthstrategy help companies to consolidatein fragmented steel industry

• To discuss the key factors which makean acquisition a successful one

• To discuss in detail about the problemsof acquisition and how the maximumleverage can be gained

• To discuss, the bidding process andfunding of an acquisition

• To discuss the value chain of the steelindustry and primary steel makingprocess and secondary steel makingprocess.

Industry SteelReference No. GRS0211KYear of Pub. 2006

Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

NatSteel; tata Steel; Tata Group; Primarysteel making; secondary steel making.

Checkmate Mittal Steel: WhatWent Wrong (Part – B)

On 26th January 2006, Laxmi Niwas Mittal,the chairman and CEO of Mittal Steel,globally the largest steel maker made a bidfor Arcelor SA, globally the second largeststeel maker. Mittal’s bid for the Europeancrown jewel made entire Europe frenzy.Spain, France, Luxembourg and Belgiumgovernment strongly opposed the deal.Arcelor choose to merge with Severstal,the largest steel maker of Russia. The casediscusses what went wrong with Mittal steel,how Severstal plan to leverage the mergerwith Arcelor and the strategic rationalebehind it.


• To discuss the bidding process involvedin an acquisition


• To discuss acquisition process of Arcelor,the largest steel company of Europe andsecond-largest globally by Mittal Steel,potential synergies and problemsassociated with the acquisition



• To discuss in details about the problemsof acquisition and how the maximumleverage can be gained

• To discuss the bidding process andthereafter funding of an acquisition

• To discuss the concept of ‘white knight’,‘black knight’ and ‘poison pill’.

Industry SteelReference No. GRS0210KYear of Pub. 2006Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

Mittal Steel; Arcelor; Consolidation;Nippon Steel; Severstal.




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Arcelor Mittal Group: Mittal'sMaster Stroke (Part – C)

On January 26th 2006, Laxmi Niwas Mittal(popularly known as LNM), chairman andCEO of Mittal Steel, the world’s largeststeel company, made a bid for Arcelor SA,(the world's second-largest steel company).In the era, when consolidations andacquisitions were common practices in theindustry, Mittal Steel’s new move wasexpected to help it in consolidating itspresence more aggressively. The proposedacquisition price of US$23 billion (bn), wasthe biggest in the global steel industry. Theproposal was, however, strongly opposedby Arcelor’s management and the entireEurope was divided on the issue. SinceMittal Steel produced cologne, Arcelor,being the producer of perfumes only,claimed that the merger between the twocompanies was not possible. Even theFrench government and Luxembourggovernment strongly opposed MittalSteel’s move. The concept of corporatexenophobia followed the move. WhileLNM defended the move from the pointof view of the benefit of the global steelindustry and identified in it the geographic,commercial, manufacturing andoperational synergies, Arcelor denied it.The French and Luxembourg governments,moreover, accused LNM for poormanagement style and were afraid that theacquisition would result in job loss. Thecase study offers a scope for discussing therationale of the acquisition in the recentglobal trends, the value chain of the industryand how Mittal Steel plans to leverage it.The case study also allows the discussionof how Mittal Steel can leverage theacquisition by strengthening its positionacross the globe.



• To discuss acquisition process of Arcelor,the largest steel company of Europe andsecond largest globally by Mittal Steel,potential synergies and problemsassociated with the acquisition



• To discuss in details about the problemsof acquisition and how the maximumleverage can be gained

• To discuss the bidding process and fundingof an acquisition.

Industry SteelReference No. GRS0209K

Year of Pub. 2006Teaching Note Not AvailableStruc.Assig. Not Available

Keywords

Mittal Steel; Arcelor; Consolidation;Nippon Steel; Severstal.

Nestlé's 'Nutritious' Growth : PeterBrabeck's Organisational

StrategiesAt a time when the overall food market isgrowing sluggishly at 1.55 a year, PeterBrabeck, the CEO of the world's largestfood-maker, Nestlé, had different plans. Hewas too bold to see his company's growthshoot up by 5%–6%, and that too excludingacquisitions. In a market scenario, wherethe demand in the food industry was shiftingfrom convenience food to nutritious food,Nestlé decided to focus on becoming a'nutrition, health and wellness' company.Nestlé made nutrition into a full-fledgedbusiness division, on par with other foodand beverage divisions. This case highlightshow Nestlé nourished its corporate culturetowards innovation through R&D in healthand nutrition, and developed strategic toolsfor consumer information and education,and marketing strategies. Acquiring theweight management company, Jenny Craig,was aimed at reinforcing Nestlé in thenutrition segment. However, Nestlé facedintense competition not only from othermanufacturers such as Unilever, Kraft, Pepsiand Danone, but also from the growingpopularity of private label brands of retailerslike Wal-Mart, Carrefour and Tesco.


• To analyse the emerging trends, andidentify the critical success factors andkey growth areas in the food industry

• To highlight the growth strategiesimplemented by Peter Brabeck totransform Nestlé into a 'nutrition,health and wellness' company

• To examine the challenges to Nestlé'ssuccess in the nutrition segment due tocompetition from other manufacturersand retailers.

Industry Food and BeverageReference No. GRS0208Year of Pub. 2006Teaching Note AvailableStruc.Assig. Available

Keywords

Growth Strategy; Food and BeverageIndustry; Health and Nutrition; NewGrowth Initiatives; Kraft; GrowthStrategies Case Study; Danone; PepsiCo;Wal-Mart; Carrefour; Tesco; Customer-Centric Innovation; Inorganic Growth;Private Label Brands; Operational

Efficiency – GLOBE; Consumer Trendsand Preferences; Decentralisation; NewProduct Development; Innovation;Segmentation; Targeting; Marketing

Forever 21’s Acquisition ofGadzooks: Will it be an Engine

for Growth?Forever 21 Inc., is a US-based retail chainthat specialised in women’s apparel andaccessories. In 2004, the company boughtGadzooks, also a retail chain, despite itsbankruptcy status. The case provides abackground note on the retail chains andForever’s strategy to leverage onGadzooks’ brand despite analysts’ doubtover its future.

The case offers scope for discussion onbrand positioning, strategies for retailingand issues involved in takeovers.


• To make students understand the retailmarkets

• The importance of brand positioningand the choice of distribution channelsto reach a wider segment

• Takeover and Acquisition strategies.

Industry RetailReference No. GRS0207CYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Forever 21; Gadzooks; Chang; Meyer;Love 21; Wet Seal; Glendale Galleria;Accessories.

Apple’s iPod in 2005 – Copingwith new challenges?

Apple’s iPod with its compact design andhigher storage capacity had captured themarket for portable music players in a shortspan of time. Despite competition fromseveral players, iPod remained the marketleader. In 2005, Apple replaced its hugelypopular iPod mini with nano that was morecompact. iPod, despite its popularity, alsosuffered setbacks such as lost patent battlesand lawsuits pertaining to the product’sbattery life and display screen. The casedetails iPod’s advantages, its competitorsand the hurdles it faced.


• To discuss the portable music playermarket

• To discuss Apple’s iPod competitivechallenges and its hurdles.

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Industry ElectronicsReference No. GRS0206CYear of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Apple; iPod; Nano; Creative; Nomad;video; patent.

Evolution of eBay: MegWhitman’s Success Strategies

In online auctions, eBay was the mostpopular and widely used site. It began as aconventional online site for auctions anddeveloped into a multibillion businessmodel under the leadership of MegWhitman. When she joined in 1998, eBaywas a US$5.7 million business. It had salesof 5.58 billion in 2006. eBay acquired apayment platform called PayPal in 2002and a communication platform calledSkype in 2005. The idea which MegWhitman had in her mind was that eBayusers would use Skype for communicationand in turn use PayPal to pay for calls andauction payments.

A big part of eBay’s advertising was doneby Google. These advertisements increasedcustomer responses and recalled manycustomers to use eBay. eBay also promotedsmall businesses and entrepreneurs to carryout their activities through eBay. Takinglead from the growing business of eBay,Google launched new services as a part ofits diversification strategy. Google talkwhich allowed free communication in textformat became a threat for Skype andGoogle Checkout which was a paymentmethod using credit cards was a directcompetition to PayPal. There were manycompetitors in the Asian region likeTaobao of alibaba.com. The case discussesMeg Whitman’s strategies to revive eBay.


• To discuss about Online Auction Industry

• To convey the dominant role of eBayin online auction industry

• To highlight threat of substitute servicesto eBay

• To discuss eBay’s Model of e-commerce.

Industry Online Auction IndustryReference No. GRS0205CYear of Pub. 2006Teaching Note AvailableStruc.Assign. Not Available

Keywords

eBay; Meg Whitman; eBay- Skype_PayPalmodel; online auction industry; seller-biddernetwork; half.com; Shopping.com;strategic alliance with Yahoo; credit cardpayments; video conferencing; strategic

alliance with UPS and USPS; Google Talk;small and enterprise level business; GoogleCheckout; Google Talk.

Growth Strategies of WuMart: TheWal-Mart of China

WuMart was founded by Stanford graduateDr. Zhang Wenzhong in 1994, when itestablished its first supermarket. Within10 years, the company had become one ofthe top ten leading retail chains in China,with rapid expansion in scale and steadygrowth in both revenue and profits. It wassuccessfully listed on the Hong Kong StockExchange in November 2003 and its stockprice value had crossed HK$25 by mid2006. By 2006, WuMart had becomeBeijing’s biggest retailer with over a dozenhypermarkets, nearly 50 supermarkets,444 convenience stores, and 8 chain drugstores. Additionally, it had over 500 storesin Beijing and other surrounding areas whichZhang planned to double by the end of thedecade. Major retail chains had only 0.5%of retail sales in the Chinese market whileWuMart’s market share in the greaterBeijing area, including Beijing city, was justover 5%.

The case traces the history of the retailtrade in China and the developments overthe last decade. It talks about the increasingbuying power of the emerging andexpanding Chinese middle-class in both theurban and rural sectors. The case analysesWuMart’s strategies and discusses the threemajor acquisitions made by the companyin 2006. It also talks about WuMart’sattempt to evolve as a national brand inChina by trying to penetrate into theunrepresented Western and North Easternregions. Promotional campaigns by thecompany as also technical up-gradationusing SAP are also discussed. Competitionfrom local business houses and foreign retailgroups is also analysed.

The case further looks at the challengesahead for WuMart. Some of the factors tobe considered are: the importance of localpreferences based on cultural differences,the growing appetite for brands amongChinese consumers, the need for moreHypermarket stores, expansion linked toeconomies of scale, M&As of local andmedium sized retail companies, andconsolidation together with marketleadership.


The case is expected to help studentsunderstand and analyse the following points

• The development of the retail trade inChina and the rise of local businesshouses like WuMart

• The leading presence of WuMart in theBeijing area and the need to expand

markets in the least developed regionsof China so as to become a national brand

• The threat from competitors, both localbusiness houses and foreign retail groups

• Mergers and Acquisitions by WuMart,especially in 2006, to consolidate its top10 ranking

• The use of SAP and other software byWuMart to enhance its position in theChinese retail business.

Industry RetailReference No. GRS0204CYear of Pub. 2006STeaching Note AvailableStruc.Assign. Not Available

Keywords

Wumart; China; Wal-Mart; Retail trade;Convenience Stores; Supermarket; MiddleClass; WTO; strategy ; acquisitions;takeover; Zang Wengzhong; Supply Chain;Market Share; Consolidation and Growth.

Whole Foods Market: The Futureof Organics

In 2005, the Austin, Texas based WholeFoods Market (WFM) was the world’sleading retailer of natural and organic foods.WFM had grown from a single shop in 1980to 180 stores with a sales turnover of $4.7billion in 2005. WFM’s success and growthof natural products attracted competition.A host of natural food chains had enteredthe market. Even regular grocers began tooffer natural products and increased theirshare of organic sales. Analysts felt that thecompany was at the crossroads of growthand development and wondered if WFMcould nurture and expand its niche marketin the face of growing competition.

The case discusses the issues facing WFMand the organic industry, the differentplayers in the market, positioning of thebrand, and the challenges ahead.


• The case discusses Whole Food Marketsin USA and organic industry

• The case highlights the competitionfrom regular grocers selling naturalproducts.

Industry Consumer foodsReference No. GRS0203CYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Whole Foods Market ; Organics; Consumerneeds; Retail; Market leader; John Mackey;whole Kids; NOP; QAI; Retail Stores;Brand; LOHAS; Health Food; Trader Joe’s;Green Mission.




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Cisco’s Chambers – The RouteAhead

Cisco, the market leader in Switches andRouter market had lofty ambitions andwanted to become the first company to beworth a trillion dollars. Company sourceshad revealed unofficially that the internalgrowth target Cisco had set was anambitious 20% a year. Analysts remainedskeptical and believed that it was hard togrow that quickly for a company as big asCisco. What was more, the industry expertsfelt that the growth target presumed thatthe firm would dominate the growthmarkets, and that its core business wouldcontinue to expand rapidly, neither ofwhich could be taken for granted. Industryexperts speculated that Cisco’s revenuesin the long run were likely to be “eitherflat or down”. Experts predicted that Ciscomight lose its footing as it fought for thenew middle ground of combined data, voiceand video services.

And there were dangers that the companymight become a victim of its own success– as Microsoft and Intel had done – byattracting the unwelcome attention ofAmerica’s antitrust enforcers. As Ciscogradually moved away from its coreinternet routing business of selling switchesand routers and steadily got to new areas.Investors viewed with scepticism, its abilityto find new businesses that could sustain itscushy profits.


• To discuss about Cisco’s new business andtheir future

• To analyse Cisco’s growth targets.

Industry IT, Internet, NetworkingReference No. GRS0202CYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Cisco; Chambers; Switches; Routers;Internet; networking Peripherals; RealTime Enterprise; IOS (Internet OperatingSystem); Data Communications.

Toyota’s Bid to Replace GM:Issues and Challenges

In December 2005, Toyota, Japan’s largestautomobile maker announced that it wouldincrease its global production by 10%, to9.06 million units in 2006. This madeindustry analysts take note of the fact thatToyota’s estimates exceeded GeneralMotors’ (GM) estimated production of 9million units. Therefore, experts began toanalyse if Toyota, already the second largestautomobile maker in 2005, would replaceGM to obtain the top slot. The casediscusses in detail Toyota’s performance

from 2000 to 2005 and lists the growthplans and strategies adopted. Theperformance of GM during the period andits turnaround plan for 2006 onwards arelso discussed.

The case gives ample scope to students fordiscussion on whether, given theperformance and challenges faced by bothToyota and GM, it is possible for Toyotato become the world’s largest automobilemaker replacing GM.


• To discuss how Toyota became world’slargest automobile maker replacing GM

• To discuss about Toyota’s growth plansand strategies.

Industry AutomobilesReference No. GRS0201CYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Toyota; General Motors; Automobileindustry; world’s largest automobile maker;technological upgradation; operationalstrategies; strategic management; GM’sTurn around plans; Toyota’s global vision2010; GM’s financial troubles; ModelRecalls; Quality Control; Successfulperformance.

JetBlue Airways: Can SuccessContinue with Growth?

JetBlue Airways, the low-cost airline basedat New York, was a hugely successfulstartup story in the history of the US airlineindustry. From a net loss of US$21.3million in 2000, JetBlue earned net profitof US$47.5 million in 2004. The Airlinewon the Best Low-Cost Carrier, BestCustomer Service and Best DomesticAirline awards from various BusinessTravel magazines surveys since 2002.

JetBlue’s success had been achieved duringa major slump in the US airline industry.Although JetBlue’s first five years had beenhighly successful, analysts wondered if thesame momentum could be maintained whenthe size of the airline increased. There wereconcerns about whether the on-timeflights, in-flight facilities and customerservice could continue to attract customerswhen the number of routes and fleet sizeincreased. It also remained to be seen ifthe low fare could be maintained amidsthigh fuel and employee costs.

The case allows for discussion on challengesfaced by low-cost airlines and what futurestrategies the airlines should adopt to facecompetition.


• To discuss the reasons for Jet Blue’ssuccess when airline industry was facingslump

• To discuss challenges faced by low-costairlines

Industry AirlinesReference No. GRS0200CYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

JetBlue Airways; US Airline Industry; LowCost carriers; Start Up success; Operationalstrategies; word of mouth advertising;Technological upgradation; HumanResource Strategies; Financial strategies;expansion strategies; principles ofleadership; quality customer service; DavidNeelman; United Airways Ted; DeltaAirlines’ Song.

Zara, the Spanish Fashion Chain’sGlobal Expansion: Is It Moving

too Fast?The dynamics of the fashion industryrequire the players to adopt a particularbusiness philosophy. More or less all thebig and sizeable players have adopted thesimilar business principles; be it supplychain management, designing or retailing.Zara, the fastest growing fashion retailchain in the world, has rapidly grown overthe years by adopting unique competitivestrategies to emerge as a successful playerin the fashion industry. With the objectiveof globally and rapidly expanding its stores’network, Zara chalked out a plan in 2005.According to the plan, the companyintends to establish an outlet every dayanywhere in the world. However, Zara’srapid expansion plan is being questionedfor several reasons.


• To understand the dynamics of the globalfashion retailing industry

• To discuss the evolution of Zara intothe fastest growing fashion retail chainin the world

• To understand the unique competitivestrategies adopted by Zara

• To analyse and discuss the globalexpansion plan of the fashion retailer

• To debate whether Zara’s rapid globalexpansion will have a negative impacton its performance in future.

Industry Fashion RetailReference No. GRS0199Year of Pub. 2006Teaching Note AvailableStruc.Assign. Available

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Keywords

Inditex Group; Fastest Growing FashionRetailer; Short Lead Time Strategy;Strategy of Limited Styles; Strategy ofInfrequent Shortages; Producing MoreStyle Quantities; Vertical IntegrationBusiness Concept; Distinctive OperationalStructure; Strategy of Zero Advertising;Pricing Strategy; Gap Inc.; Hennes &Mauritz AB; Global Expansion Strategies;Location Identification Strategy; ZaraHome.

Nordstrom: The FourthGeneration Expansion StrategiesNordstrom, one of the largest specialtyretailers in the US, was started as a shoestore in 1901 by John Nordstrom and hisfriend Carl Wallin in Seattle. When its shoebusiness started to decline, the secondgeneration Nordstroms diversified intoapparels. Under the third generationNordstroms, the company went public.The third generation of Nordstromshanded over the reins of the company toJohn Whitacre under whose leadership, thecompany witnessed a decline in profitabilitydue to its decentralised buying structure andoverall customer dissatisfaction. Thefourth generation Nordstroms took overthe company after Whitacre’s resignation.They restructured the company, broughtin new technologies, expanded into newmarkets and transformed the companyinto one of the largest family-run businessesin the world.


• To understand the traditional businessmodel of Nordstrom through threegenerations

• To analyse the reasons behind thefinancial downturn of Nordstrom underJohn Whitacre

• To discuss the expansion strategiesadopted by the fourth generationNordstroms

• To discuss the dynamics of a typicalfamily-run business.

Industry Apparel and Accessories retailReference No. GRS0198Year of Pub. 2006Teaching Note AvailableStruc.Assign. Available

Keywords

Apparel Retailer; John Nordstrom; ReturnPolicy; Commission selling; Faconnable;Inverted pyramid structure; Customerservice; Decentralised purchasing process;Merchandise mix; Perpetual inventory;Multi-channel integration; Fashionindustry.

Intuit’s Growth StrategiesIn fiscal 2004, Intuit’s revenue growth hasfallen from 26% in 2003 to 13% in 2004.Intuit’s revenue is expected to grow by just6% to 9% in fiscal 2005. In the eyes ofWall Street, the premier high-growthcompany has become a value stock. Intuit’score brands – Quicken for personal finance,QuickBooks for small-business finances,and TurboTax for income-tax filing aremarket leaders in their respective segments.However, wth slowing growth rates, Intuitis facing the possibility of its first-everyear of single-digit revenue growth. CEOStephen Bennett is launching severalinitiatives to make Intuit once again a ‘safeand hot’ company with annual growth ratesof 15% to 20%.


• The case discusses Intuit’s growthstrategy. The effective manner in whichit has retained market leadership andtackled competition despite havingcompetitors ten times its size

• The case can be used to highlight how asmall company with little resources cantake on big players by being in tune withits buyers and their requirements.

Industry IT (Information Technology)Reference No. GRS0197PYear of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Bennett; Strategy; Quickbooks; Software;Marketing.

Infosys’ Growth StrategiesInfosys Technologies (Infosys), one of thefastest growing companies in India isgrowing at an annual rate of over 40%.Infosys believes it has a strong and resilientbusiness model, which has been successfullyadapted to the changing marketrequirements over the years. Infosys hasadded services like independent softwaretesting and enterprise applications to itsofferings. It has also re-organised itselfalong verticals or industries compared tothe geography-specific orientation it hadconformed to earlier.

To maintain its scorching pace of growthInfosys has devised a new business model.It intends to build a super-efficient platformthat could offer the entire range of softwareservices, from consulting to businessprocess outsourcing, and layer it over withnew initiatives, such as the emphasis onbusiness solutions, to ensure that thecompany does not fall into a commoditytrap. “Scalability is the name of the game,”points out N.R. Narayana Murthy,chairman and chief mentor.


• The case discusses Infosys’ earlierbusiness model – the global deliverymodel, its growth strategy and its effortsto become a globally competitivecompany

• It discusses the growth of offshoresoftware development, the challengesfaced by such developers and their future

• The case also discusses Infosys’‘scalability model’.

Industry IT (Information Technology)Reference No. GRS0196PYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Infosys; Growth; Global Delivery Model;Competitive.

Yum! Brand’s Key GrowthStrategies

KFC, Pizza Hut and Taco Bell are theworld-wide leaders in Chicken, Pizza andMexican food restaurants respectively. Allthese are sister brands and belong to Yum!Brands Inc. Yum is one of the world’s largestquick service restaurant companies andowns two more brands: A&W RestaurantsInc. and Long John Silver’s. The restaurantcompany faces competition from brandslike McDonald’s and Subway. To combatcompetition the company implementedcertain strategies. The case discusses theseinnovative strategies and their success.Yum’s strategies have helped the companyin improving its brands and have placedthem among the top brands in the foodindustry globally.


• To discuss the growth strategies adoptedby Yum! Brands globally

• To discuss the concept of multibrandinginnovated and employed by therestaurant group and its advantages

• To discuss the strategies behind thesuccess of all the brands in the group.

Industry Food IndustryReference No. GRS0195PYear of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Yum; KFC; Pizza Hut; Fast Food/FoodIndustry; Taco Bell; China; Tricon;PepsiCo; Long John Silver’s; A &WRestaurants; Multibranding strategy; Dualbrands.





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TCS in 2006: India’s First ITServices Multinational

Tata Consultancy Services (TCS) was thelargest Indian software company to offerthe entire value chain of InformationTechnology (IT) services that includedconsulting, Business Process Outsourcing(BPO) and engineering services. TCS wascredited for bringing the software industryto India. TCS had also expanded itsoperations outside India and had becomean Indian IT multinational. In 2000, TCSoutlined its ambition to become one of thetop 10 global IT companies with revenuesworth $10 billion by 2010.

The case discusses the five-bubble growthstrategy employed by TCS to achieve itsaim and change brought about by thecompany in its business model.


• To discuss the growth of TCS as an Indiansoftware company domestically

• To discuss the Global Delivery Model(GDM) adopted by TCS to become amultinational IT company

• To discuss the five-bubble growthstrategy employed by TCS to becomeone of the Top 10 global IT companies

• To discuss the Network Delivery Model(NDM) adopted by TCS for executingits growth strategy.

Industry Information TechnologiesReference No. GRS0194PYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

TCS; a Tata group; software (IT) industry;initially catering to Tata group companies;extending IT offerings to other IndianCompanies; expanding to serve US;European markets; ODCs (offshoredelivery centers); TCS’ GDM (GlobalDelivery Model); GDM of TCS’ Indiancompetitors; goal of becoming 1st Indian$10 billion IT MNC; five bubble growthstrategy; five strategic growth areas;engineering; infrastructure services;consulting; BPO & IT products; domestic& foreign acquisitions by TCS; TCS’ NDM.

Rotary International: A GlobalNGO Facing stagnation

Rotary International, described as a ‘GlobalNetwork of Community Volunteers’ is oneof the largest voluntary organisations inthe world. Members of RotaryInternational, known as Rotarians, areinvolved in various humanitarian andcommunity service projects worldwide. In2005, there are around 1.2 million

Rotarians in 32,000 Rotary clubs spreadacross 170 countries. Since 1994-1995, thetotal number of members in all the clubsput together has remained stagnant at 1.2million. The case discusses the variousreasons for membership stagnation andmeasures adopted in the past to increasethe membership. It also discusses thevarious options that Rotary can exploreto increase its membership in the future.


• The case discusses the various reasonsfor membership stagnation

• It outlines the measures adopted in thepast to increase the membership

• It also discusses the various options thatRotary can explore to increase itsmembership in the future.

Industry NGOReference No. GRS0193PYear of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Service Clubs; Lions; Jaycees; Kiwanis;Turnover; Mision of Rotary; Avenues ofService; Object of Rotary; Four Way Test.

Reliance Infocomm’s TeethingTroubles-B

This is the second of a two-case series.Reliance Infocomm (Infocomm) waslaunched in December 2002, by RelianceIndustries, India’s largest private businesshouse. Infocomm was launched nation-widewith a huge fanfare. Though most peoplehad expected it to be a major successInfocomm did not turn out to be so.Infocomm had not achieved its targets andthere was a lot of concern amongst itscustomers. This case discusses Infocomm’sstrategies and its turn around.


• To discuss the strategies adopted byReliance Infocomm to overcome thetroubles that it faced at its launch.

Industry TelecomReference No. GRS0192PYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Reliance Infocomm; Telecom sector;Infocomm Rollout; Teething Troubles;Dhirubhai Ambani Entrepreneurs; CDMA;Cellular Telephony; Monsoon Hungama;RIM.

Ikea in 2005: Evolution of GlobalMarketing Strategy

The case discusses the evolution of Ikea’sglobal marketing strategy under various P’sof marketing. Ikea, the largest and the mostfamous furniture retailer in the world, hasa reputation for low prices and fresh,innovative design. Its products epitomisestrong design, logistical efficiency, andconstant cost-cutting. It does not bring anew design to market unless it is affordable.To cut transportation costs, Ikea knocksdown furniture into disassembled parts,which can be packed and shipped in flatcardboard. Ikea practices a form of “gentlecoercion” to keep customers as long aspossible in its stores. Apart from its cheapbut stylish inventory, Ikea stores’ reversepositioning strategy, satisfied customersand referrals are the key to its success.Ikea has a quirky, irreverent approach tomarketing with strong emphasis on usingnon traditional media for promotions. Tomaintain the buzz Ikea creates legendrystories. Analysts wonder if Ikea canmaintain its cult following as direct linksto Ingvar Kamprad, its founder disappears?


• The case discusses the evolution ofIkea’s global marketing strategy undervarious P’s of marketing.

Industry FurnishingReference No. GRS0191PYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Ikea; Marketing Strategy; Reversepositioning; non-traditional media;Kamprad; Sweden; Dahlvig; Costleadership; Innovative packaging; Unusualpromotions.

eBay – Future Perfect?In 2006, eBay, the world’s largest onlineauction business, is one of the fastestgrowing companies in the world. The casediscusses eBay’s unique business model, itsCEO Meg Whitman’s initiatives, its workenvironment and its global expansionstrategy. eBay’s management hasresponded quickly and well to newchallenges and crisis situations. It hasexpanded without jeopardising its corebusiness. It’s a business model has scaledextremely well. Off late however eBay’srevenue growth has been slowing,especially in the United States, it’s mostmature market. Experts point that eBaymay not have the pricing power it hasenjoyed earlier. eBay’s business is verycustomer driven and it may becomedifficult to predict what would attract ordrive away customers in droves. The

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ultimate question is how can eBay fend offencroachment from rivals, maintain itsfocus and build the infrastructure andmanagement team to continue to evolve.


• The case discusses eBay’s unique businessmodel, its CEO Meg Whitman’sinitiatives, its work environment and itsglobal expansion strategy. EBay’smanagement has well-responded quicklyto new challenges and crisis. It hasexpanded without jeopardising its corebusiness. Its a business model scaledextremely well

• The case discusses eBay’s growthstrategy and the challenges that lieahead.

Industry Online auction businesssatellite Television

Reference No. GRS0190PYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

eBay;online auction; e-marketplace;business model; Meg Whitman; globaltrading platform; product life cycle; skype;Networking; Eachnet site; China; uniqueselling proposition; pay-per-calladvertising; Taobao.

STAR India: Time forConsolidation?

The case is set in 2004 and talks aboutSTAR India, a constituent unit of STARGroup. STAR Group is a Hong Kong basedsatellite television unit of RupertMurdoch’s News Corp. Started in 1991,STAR India became a leading televisionnetwork in the country. It brought in manynew and innovative programming andmarketing concepts in the newlyderegulated Indian television market. Thebusiness unit has been so successful thatSTAR Group’s primary focus for growthwithin Asia was shifted from China to India.The case talks about the cable and satellitetelevision industry in India, and the keysuccess factors for success in the industry.The case maps in detail how STAR wenton to create and implement its successfuloperations in India. The case also talksabout the steps being taken by STAR toincrease its revenues and consolidate itsleadership position in India.


• Structure and economics of satellitetelevision industry in developing nations

• Designing and programming issues oftelevision content

• Marketing television content

• What steps should STAR India take toretain its leadership position?

• Can STAR India replicate the success ofits flagship channel, STAR Plus?

Industry Satellite TelevisionReference No. GRS0189BYear of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

STAR TV; Satellite television industry;Cable operators; TV industry; Cableoperators; Programming; Contentdevelopment; Revenue sources;Advertising revenue; Subscription revenue;Soaps; Movies; Carton Channels;Marketing television channels Zee TV;Sony TV.

Low-Cost Carriers in India: ASmooth Ride?

The aviation sector in India is boomingwith a growth of 24% in 2004-2005. Muchof this growth is attributed to the OpenSky policy of the Government and theadvent of Low Cost Carriers (LCCs) whichled to a drastic drop in air fares. Air Deccanwas the first LCC in the country followedby Kingfisher Airlines and Spicejet. Thisspurt in growth of LCCs is affecting themarket shares of the mainstream carrierssuch as Jet Airways, Sahara Airlines andIndian. These airlines too have entered thefight by introducing discounted fares andcustomer loyalty programs to retain theircustomers.

Given the vast population of the country,there is great potential for the LCCs andthe market is yet to see a number of newentrants. High fuel costs, lack of adequateinfrastructure and trained personnel havebeen the challenges faced by the LCCs.Experts opine that conditions in the Indiaare not favourable to the growth of theLCCs and hence could be a major hindranceto their success.


• To discuss the effect of LCC on airlinesindustry

• To understand the benefits andlimitations of LCC in India.

Industry AirlinesReference No. GRS0188BYear of Pub. 2006Teaching Note AvailableStruc.Assign. Not Available

Keywords

Business Model; Low-Cost Business Model;Budget Carriers; Domestic AviationIndustry; Indian Airlines; Air India; AirDeccan; Air Sahara; Spicejet; Kingfisher

Airlines; Jet Airways; LCC Business Model;Aviation Infrastructure; GoAir; IndiGO.

Four Seasons Hotels and ResortsFour Seasons Hotels and Resorts, theworld’s leading operator of luxury hotelswith a history spanning four decades and aportfolio that extended worldwide, wasmanaging 63 properties in 29 countries by2004. In addition, 21 properties, to beoperated under the Four Seasons brandname were under development in anotherseven countries around the world. Thecompany owed its success to its businessstrategy based on four decisions, i.e. to focuson small to medium sized luxury hotels,concentrate on managing rather thanowning the hotels, and most notably thecompany built on customer service coupledwith employee satisfaction. This casenarrates in detail the growth of FourSeasons over the decades on the four pillarbusiness strategy it adopted. It alsoemphasises on the company’s future plansfor growth and expansion and highlightsthe probable challenges it might have toface.


• Four Seasons’ expansion strategy in thechanging geopolitical environment

• Future of Four Seasons if Isadore Sharp,founder, chairman and CEO quit thecompany.

• “Customer Satisfaction is achievedthrough employee satisfaction” was themotto of Four Seasons; could its successbe related to this factor alone

• Four Seasons was concentrating on small-to-mid-sized hotels only; should itchange its focus towards more of large-sized convention hotels

• Managing hotels was reaping high profitsover owning hotels, but could this impactFour Seasons’ brand and quality

• Expanding to more diverse locationsacross countries threaten its integrity.

Industry Upscale and Luxury HotelsReference No. GRS0187BYear of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Hotels and Motels; Human ResourceManagement; Customer Service; ServiceManagement; Business Model; IsadoreSharp; Long lasting CEO; Growth Strategy;Hotel Management; Luxury Hotels;Organisation structure; Business Strategy;Revenue Per Available Room (Rev PAR);Occupancy rate; AAA Five DiamondAwards.




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Macau: The Next Las Vegas?Macau (Macao) in China, which legalisedgambling way back in 1847, generatedaround $6 billion gambling revenue in 2005which was in par with the revenues of LasVegas. Las Vegas which operated witharound 44 casinos witnessed stiffcompetition and maturation of the casinosand the guests. So, the major casinooperators wanted to replicate their successin the Far East especially China, Singaporeand other Asian countries. However,Chinese, the hardcore gamblers, consideredgambling as a battle with destiny unlikeAmericans who felt that gambling wasmainly entertainment and calculatingprobabilities. Analysts were sceptical anddoubted whether the Las Vegas style ofcasinos would be accepted in Macau sincethe market was focused only on puregambling rather than entertainment.


• The state of the casino industry in LasVegas and China

• The strategies adopted by the Macau andLas Vegas gamblers

• To analyse the move made by the LasVegas operators.

Industry GamblingReference No. GRS0186BYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

US Gambling; Macau; Gaming; Casino; LasVegas; Gambling; Card Games; Roulette;Baccaret; Poker;Table Games; MGM;China; Wynn; Tourism.

ING Direct in the USEstablished in 2000 in the US, ING Directused its time-tested business model andsucceeded in capturing a large share of theUS market. ING offered higher interestrates on its savings products and promoteditself through a slew of extremelyinnovative campaigns. Looking at thegrowing popularity of online banking, newplayers began to enter the market in 2004-2005. With the US government fixing afederal interest rate structure common tosavings accounts for all banks, the positionof ING Direct was being challenged.

This case highlights the growth of INGDirect in the US and sheds light on theinnovative marketing techniques utilisedby the company. It can be used to discussthe growth and the business model of onlinebanks, with special focus on ING Direct.


• To understand about the online bankingscenario in the US

• To understand how ING was operatingin the US.

Industry Online BankingReference No. GRS0185BYear of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

ING Direct in the US; Success Story ofING Direct in the US; ING Direct; INGGroup; Online Banking in the US; Prosand Cons of Online banking; Success andfailures of Online banks in the US; Effectof US Fed Rates on online banks;ArkadiKuhlmann; Brand building of ING Directin the US; ING Direct Market EntryStrategy; Innovative promotionalStrategies of ING direct in the US;INGDirect Café; Orange Saving Account; Webmarketing of ING Direct in the US.

IKEA – Invincible Key to Excel inAmerica (USA)

IKEA was a multinational home furnishingscompany with more than 226 stores in 33countries in 2005. The company designedand sold a wide range of furniture productsincluding beds, bookcases, chairs, lamps,rugs, desks, sofas and tables as well asvarious accessories for bathrooms,kitchens and offices. This case studydiscusses in detail the expansion of IKEAinto the US and the initial hitches. Thecase further discusses the unique strategiesIKEA adopted to succeed in the US market.


• Compare and contrast IKEA from othertraditional furniture stores

• How strong is IKEA in the competitiveworld?

• Pros and cons of the IKEAs uniqueshopping experience

• How best is the pricing strategy ofIKEA?

• After a prolonged expansion in US, IKEAwas planning for a jump start, howfavourable was this expansion strategy.

Industry Home Furnishing andHousewares Retail

Reference No. GRS0184BYear of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

US Home Furnishing and Housewares RetailIndustry; Consumer Marketing; Furniture;

Retail Operations; Growth Strategy;Expansion Strategy; Product Design andvariety; Unique Shopping Experience;Low-price strategy; Target Marketing;Ingvar Kamprad; Flat-pack furniture;Swedish company; Kitchen utensils.

Hard Rock Café On Sale: RankTo Gamble With Its Future?

In 2006, The Rank Group Plc (Rank) wasan international gaming and leisurecompany, consisting of two majordivisions, namely ‘Gaming’ and ‘HardRock’. Rank had one of the UK’s leadinggaming businesses, and one of the mostglobally recognised music, entertainmentand dining brands, Hard Rock.

Hard Rock Café (HRC) was a chain of casualdining restaurants. It embodied the spiritof rock music through its signature cafes,hotels and casinos; collectible and fashionmerchandise; live concerts andperformance venues; and the Hard RockRecords music label. In 2005, Hard Rockgenerated the strongest performance whenoperating profit increased by 24.7%. Incontrast, though the company’s Gamingdivision represented over 50% of theGroup’s operating profit, the division’soperating profit decreased significantly dueto various reasons in that year. Despitethis, on July 4th 2006, Rank announcedthat it would sell its iconic Hard Rock Caféchain to concentrate on the gamingbusiness as the British government wasexpected to relax the strict gambling laws.But analysts felt that the company wasgambling with its own future by selling outHard Rock.


• To understand the different gamingdivisions of Rank and strategies adoptedby the company.

Industry Gaming & leisureReference No. GRS0183BYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Rank Group PLC., Gaming and leisure;company; Mecca bingo; Hard Rock Café;UK Gaming industry; Music Memorabilia;Grosvnor; casinos; Blue Square; Rankorganisation; Joseph Arthur Rank; Bingoclub; casino; relaxation of Gaming laws;Hard Rock merchandise; Jimmy Hendrick’sflying V guitar.

BOSE: The Sound of SuccessBose Corporation (BOSE) was the storyof how a young MIT grad, Amar Bose’squest for the perfect stereo system led to

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the creation of unparalleled BoseCorporation in 1964. The privately-heldcompany went on to become a soundtransnational, with an annual sales turnoverin excess of $1.7 billion in 2005-2006(5.9% revenue growth over last F.Y.) and areputation of building the world’s best audiosystems and a paragon so difficult toemulate by others. According to industryexperts, it was this zeal, passion andinnovation that had made BoseCorporation a highly valued company withdeep roots in principles, philosophy, qualityand R&D, resulting in Bose being featuredon the 2006 Forbes Billionaires list with$1.2 billion. The company anticipatedcontinued growth for the foreseeable futureand 100% of profits were reinvested in thecompany’s growth and development. Boseloudspeakers were the best selling in theUnited States and throughout the world.The closely held company recentlyreached another milestone. Bose wasranked in 2006 as the most trustedconsumer brand by far among 22 well-known tech companies, ahead ofheavyweights like Apple, Microsoft, Dell,Intel, and Sony, according to a survey of4,732 US households by ForresterResearch. The company gained nine pointsof market share, to a total of more than20%, and is now second in market share inhome audio to heavyweight Sony in USmarket.

But Bose was not without its criticism.Critics said that the company’s productswere overpriced and gimmicky – and thatBose overspent on marketing to thedetriment of sound quality. BoseCorporation said the criticism wasunfounded. The company had consistentlyclaimed ‘Better Sound Through Research’.So was its reputation more than qualitythat had given Bose consistent success?


• To understand about the growth of BoseCorporation.

Industry Audio-systemReference No. GRS0182BYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Bose, Amar Bose; direct/reflectingspeakers; sound; Acoustimes; leadership;entreperenuership; MIT; research;marketing; approach; ethics.

BRIC: Building Blocks of the NewWorld?

Goldman Sachs’ (GS) forecasts of globalpower shifts and long-term economicprojections were treated with caution,given the number of variables in action. In

the next several decades, it seemed that atleast two Asian “emerging-market”countries, China and India, would moveinto the front rank of the world’seconomies and would increasingly exerciseinfluence as global powers. Analyststhought that a change of such magnitudein the global power balance was likely tochallenge the positions of even the mostpowerful Western countries or at least, theexisting G-7 countries would have to adjusttheir policies to accommodate the interestsof these rising powers.

The rapid expansion of the BRICeconomies was creating a powerful paradoxin which both opportunities and threatsare emerging. Paramount to the success ofCEOs worldwide was their ability to makethis clash of interests work to theiradvantage.

Were Asia-Pacific CEOs willing to conductand build their businesses in theseeconomies, despite the growing threat ofcompetition? And if so, which country’smarket opportunities did they perceive ashaving the most potential, as well as themost likely competitive threat?Despite the cautious language of the GSreport, its authors were reasonablyconfident that their long-term economicprojections are sound. Althoughconservative growth rates were used, GSprojections did rely on stable growth anddevelopment. GS agreed that disruptionsin growth would alter the projectionssignificantly, but noted that the projectionswere nonetheless useful in imagining theeconomic potential that the BRICeconomies possess. Discussion amongstanalysts and economists largely centeredaround the plausibility of the projectionsgiven the difficulty in imagining stable,consistent growth in the BRIC economies.They wondered whether sufficientattention had been paid to the politicalfactors and substantially large populationunder poverty that could affect the futuresof these four large nations. For manypeople it seemed that the time was notright to invest funds in the BRIC, but GS’sreport did clearly suggest that shifting ashare of investment portfolio to the fourcoming giants might not be a bad idea.Although the title of the report had words“dreaming with BRICs”, the dream couldturn into reality and in consequence theradical changes the future could unfold.More important still, it suggested thatwestern politicians who thought that thecurrent world order would last through thiscentury needed to do some seriousrethinking. Was it too early to startrethinking?


• To understand about the BRICeconomies

• To discuss whether it is beneficial forother countries to invest in BRIC.

Industry Not ApplicableReference No. GRS0181BYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

BRIC; Brazil; Russia; India; China;Goldman; Sachs; economic size; economicgrowth; international trade; global demand;currency; sustainability; growth; dollar;international relations.

Gazprom: The Leading EnergyGiant Going Global

Gazprom was the largest Russian companyand biggest natural gas extractor withmarket capitalisation of US$300 billion.The company restructured its businessprocesses to implement verticalintegration. Gazprom, headquartered atMoscow, employed 396,571 people andwas the world’s largest gas company with a25% of the global gas reserves. In May,2006, Gazprom had market capitalisationof US$300 billion and earned revenues ofUS$50,824.4 million in 2005. Gazprom’sassets included gas reserves, world’s longestpipeline network with 150,000 km,banking, insurance, media, constructionand agriculture. The core activities of thecompany were gas exploration,production, transportation, processing andmarketing. It supplied gas to every regionof Russia and exported to more than 25European countries. The company reliedheavily on Western exports andpartnerships.

In 2005, Gazprom restructured its gasbusiness to increase profitability, efficiencyand scalability of operations. In 2005-2006, Gazprom was looking forward forthe Central and Eastern Europeancountries along with the Asia and Americafor the gas markets. The company plannedfor global expansion to become the world’sbiggest gas producer. It focused on the globalmarket especially the European, Asian andAmerican markets. New approaches weredevised for the expansion. Gazprom facedchallenges of investments and risks withits expansion plans. Would Gazprom beable to succeed with its global plans?


• To understand Gazprom’s strategy toachieve excellence in its business.

Industry Oil and GasReference No. GRS0180BYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available



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Keywords

Oil; Gas; Gazprom; Russia; Globalization;European Market; American gas market;Asian gas market; Restructuring; BusinessStrategy; Energy market.

Ocean Spray in 2006: Will itsucceed?

Ocean Spray was a leading producer ofcranberry and related products in theMassachusetts cranberry market. In 2006,its market share declined to 60%, from70%. To regain its market share, itintroduced new products to woo the dieters.With the fall in the cranberry prices andstiff competition analysts were scepticalabout it regaining its market share throughits products.


• To understand about the US cranberryindustry

• To discuss about the performance ofOcean Spray in the cranberry market.

Industry CanberryReference No. GRS0179BYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Canberry Industry, Ocean Spray;challenges; strategy; future-plan.

Payless Worn Down at the Heel:Makeover Strategies in 2005

Payless ShoeSource, Inc. (Payless)celebrated its golden anniversary in 2006.Started in 1956 with a single store inTopeka, Kansas, the company grew overthe period into a substantial footwearretailer. In 2005, with more than 4,600stores, Payless ShoeSource was the largestspecialty family footwear retailer in theentire Western Hemisphere.

Payless ShoeSource was founded by twobrothers with a strategy of selling low-cost,high-quality family footwear. More thanfour decades later, the concept continued.However, it was felt by the customers thatthe company did not showcase its newproducts in its stores, and the stores werefound very pale and shabby. Payless alsocontinued to use a ‘1980s-era bubble-lettered logo’ even in the 21st century. But,since the late 1990s, the shoppers werebecoming more judicious in their apparelpurchases, buying several pairs of shoes tofreshen up their wardrobes rather thanreplacing it. The big shoe chains such asFamous Footwear and Shoe Carnival werealso changing themselves according to the

market need. And to compete and retainits position in this changing market, in2005, with a new CEO, Matthew E. Rubel,Payless took up several new strategies.


• To emphasise the importance ofinnovation in retailing stores

• To discuss how design in products serveto achieve success in the retail market.

Industry FootwearReference No. GRS0178BYear of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Payless; Footwear Company; Kansas;Mathew E. Rubel; Western Hemisphere;Makeover strategy; Bargain Shopper;Bubble-lettered logo; Self-selection formatAthletic shoes; Style in Shoe; Parade Stores;Bundles/Tootsies; Dyelights; Payless Kids.

Home Depot’s Entry into China –Now or Never

In 2006, attracted by the large and growingChinese market, Home Depot, the world’slargest home improvement retailer wantsto make its mark there. However, it hadmissed the opportunity in 2003, when theChinese retail market had been at its peak.Other retailers like B&Q, Orient Homeand IKEA have established themselveswell, having entered China from 1998onwards.

Would Home Depot be able to successfullytackle the challenges arising out of itsdelayed entry?


• To discuss about the home improvementmarket in China

• To discuss about the need for timelydecision while entering a new market.

Industry Home Improvement IndustryReference No. GRS0177BYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Home Depot; Home Improvementmarket; China; Entry Strategy;international; expansion; internationalbusiness; retail strategy; big box retailing;one stop shop; first mover advantage;challenges in China; well entrenchedcompetition; localised strategy; OrientHome takeover; GRDI labour index.

McDonald’s Instigating Price Warin the US: Winning strategy?

The US fast food industry was dominatedby McDonalds followed by Burger King andWendy’s in the 1990s. In 2002, McDonaldsand Burger King were involved in a pricewar and this price war had an adverse affecton the entire US fast food chain. All theplayers in the fast food industry experienceddecline in their sales. McDonald’s wasfacing more problems due to the price warand started working on its turnaround plan.In 2006, Wendy’s had plans to enter thebreakfast business which was dominated byMcDonald’s since 1973. McDonald’ssensed this as a threat to its business and soprepared for a price war against Wendy’s.Analysts felt that another price war byMcDonald,s would only ruin its imagefurther and were skeptical about its successin the longer run.


• To discuss how price war can affect theentire fast food industry

• To understand how McDonald’s wasaffected by price war.

Industry Fast FoodReference No. GRS0176BYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

McDonald’s; price war; fast food industry;Wendys; Burger King; Market leadership;quality; eroding image; standardisationturnaround; competition.

VF Corp.: The World’s LargestApparel Maker’s Retail

Expansion StrategiesFounded as the Reading Glove and MittenManufacturing Company in 1899, VFCorporation manufactures differentapparels, namely, jeanswear, imagewear,outdoorwear, innerwear, sportswear andfootwear. The stagnation in the US apparelmarket in the early 21st centurynecessitated VF Corp’s venture into theretail market and as of 2006, 13% of itsrevenue comes from retailing. Thecompany plans to increase its revenuesfrom retail to 20% by 2009 and hasannounced that it would be opening 400new retail stores across the globe.


• To understand new trends in the USapparel market

• To analyse the reasons that encourageda traditional apparel manufacturer likeVF Corp. to foray into retailing

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• To discuss the retail expansion strategiesof VF Corp.

Industry ApparelReference No. GRS0175Year of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Retailing; Expansion strategies; Lee;Wrangler; Stagnation in US apparelmarket; US retail market; Retailacquisitions; Changes in customerpreferences; Changes in the US retailmarket; Speciality stores; Restructuring;Mackey McDonald.

Kikkoman, The World’s LeadingSoy Sauce Maker: Globalisation

and Localisation StrategiesKikkoman, the world’s largest soy saucemanufacturer was started in Japan as acottage industry in the 17th century. Forcedby a decline in the Japanese consumptionof soy sauce, the company expanded intoother countries, developing new marketsand coming out with new products byemploying new technologies. By the late20th century, Kikkoman had its operationsacross Europe, Asia and in the US. Theguiding principle behind Kikkoman’s globalgrowth has been its ability to cater toconsumer tastes in each market it enteredand educating them about the versatilityof its products.


• To highlight the strategies that enabledKikkoman to grow from a cottageindustry to a global enterprise

• To analyse the localisation strategies ofKikkoman for its global products

• To understand the importance ofinnovative marketing ideas, innovativeproducts and menu proposals accordingto local tastes, for a global food retailer.

Industry Sauces and CondimentsReference No. GRS0174Year of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Customer Insights; Shoyu; Value addedproducts; Production plants;Diversification; Product innovations;Brand awarness; Promotional strategy;Globalisation; Localisation; Expansionstrategies of a global food retailer.

Deutsche Bank – ManagingGrowth

In 2005, Deutsche Bank AG (Deutsche),one of the leading financial servicesproviders in the world with •840 billion inassets; employed more than 65,400people, with operations spread over in 74countries. The group reported net profitsof •2.5 billion ($3.2billion; £1.7billion) in2004, 87% higher on y-o-y basis.

In spite of the huge profits, Deutsche’smanagement team had triggered off acontroversy by announcing job cuts at atime when Germany’s unemployment ratewas at its highest since the 1930s. Thebank’s management had been accused ofwrong doing in the Vodafone takeover bidby paying high bonuses. The restructuringdrive undertaken by the bank involvingemployee lay-offs was also highlycontroversial. With Deutsche planning tocut a total of 6,400 jobs from its domesticand global workforce, German politiciansaccused the company of lacking socialresponsibility.

The job cuts were aimed at bringingDeutsche’s cost base in-line with itsinternational competitors. The currentweakness in the German economy and highlabour costs could have a negative impacton Deutsche’s profitability. With thebanking industry consolidating globally,would Deutsche be able to sustain its growth?

The case describes the growth strategiesfollowed by Deutsche. It highlights thedilemma faced by the bank to operateefficiently in the competitive globalbanking and financial services industrywhile balancing the labour cost in a highlyprotected German economy.


• To understand the German economicalenvironment in which Deutsche bankoperated

• To discuss the growth strategies followedby the Deutsche bank

• To analyse the dilemma faced byDeutsche to operate efficiently in acompetitive environment

• To understand the structure of bankingand financial services industry (globally),the consolidation wave and its impacton Deutsche bank

• To debate the goal duality of socialresponsibility vs profitability.

Industry Banking and FinancialServices

Reference No. GRS0173AYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Growth Strategy; Labour market;Germany; Social responsibility;Globalisation; Restructuring organisations.

Wikipedia: Will Pernod RicardSay Cheers With Champagne?

The highly fragmented alcoholic beverageindustry comprised mainly of threesegments: Beer, Spirits and Wine. Amongstthe grand array of wines, ‘Champagne’,the most famous sparkling wine wassupported by strong international demandand registered a growth rate of 2%-3% peryear.

The France-based Pernod Ricard S.A. wasthe second-largest player in the overallwine & spirits segment. Though it was amajor player in other segments of alcoholicbeverages, the company lagged far behindthe market leader LVMH in the champagnemarket. It ranked No.4 in the globalchampagne market. Following the stagnantdomestic market and growing internationaldemand, Pernod Ricard had huge ambitionsto make it big in worldwide champagnemarket. Besides expanding into the growingmarkets like UK and US, the companyaimed to explore the emerging marketslike Russia and China. But analysts predictedthat Pernod Ricard would have to strivehard to meet its global ambitions inchampagne business as the brand portfolioof the company still lacked majorchampagne brands. Moreover, PernodRicard missed an opportunity of acquiringa big champagne house “Taittinger”.

The case traces the journey of PernodRicard and highlights the organic andinorganic growth strategies of thecompany. The case explores theopportunities and challenges in store forthe company and aims at ensuing a debatethat whether Pernod Ricard will emerge asthe prominent player in the globalchampagne market.


• To highlight the entry strategies for newmarkets and market regaining strategiesin highly fragmented markets

• To discuss the competitive strategies ofPernod Ricard

• To exemplify the inorganic growthstrategy in business development

Industry Alcohol Beverage IndustryReference No. GRS0172AYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Pernod Ricard; Business Strategy; StrategicManagement; Mergers and Acquisitions;




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Organic Growth; Inorganic Growth; MarketEntry Strategies; Market DevelopmentStrategies; Competitive Strategies;Globalisation; Market ExpansionStrategies; Horizontal Integration;Alcoholic Beverages; Wine and Spirits;Champagne; Sparkling Wine; AlliedDomecq; Seagram; Second-largest wine andspirits company.

The Future of MySpaceThe development of technology andincreased usage of internet gave thetraditional social networking concept a newdimension. MySpace.com (MySpace), asocial networking website launched in 2004,became successful within a short period oftime. MySpace offered services such asblogs, messaging, member searching, musicand events. By 2006, MySpace with amarket share of 75.56% became the leaderamong the social networking websites andin March 2006, it was ranked as 2nd mostviewed website (by page views) in the US.

The popularity of networking websites haddrawn many popular sites to launch theirown social network sites. The competitionhad become intense. Further, the USFederal Communications Commissionintroduced legal amendments to controlthe activities of social networking websitesand their misuse. In the cluttered maze ofnetworking sites how would MySpacemaintain its leadership needs to be seen?


• To study the concept of socialnetworking websites and its benefits tothe consumers and marketers

• To study the efforts of MySpace inattaining leadership position within ashort period of its inception

• To discuss the growth strategies followedby MySpace

• To discuss the challenges of legalamendments laid by the US on the socialnetworking companies

• To analyse the leadership prospects ofMySpace in future.

Industry Social networking websiteReference No. GRS0171AYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

MySpace; social networking website; NewsCorporation; Rupert Murdoch; productdifferentiation; market leader; acquisition;revenue model; consumer behavior; socialimage; diversification; Friendster.com;Classmates.com; Cingular Wireless; HelioInc.

Samsonite In 2006Samsonite Corporation (Samsonite), oneof the world’s largest and most recogniseddesigners, manufacturers and distributorsof travel goods, posted net sales of $966.9million in 2006.

Samsonite depended heavily on luggagesales and the luggage sales depended on thegrowth of travel industry. The impact ofthe dot.com burst in 2000-01, SARS in2002-03 and 9/11 (terrorist attack on TwinTowers in the US) had hit the travelindustry and in turn the luggage sales. In2001-2002, the global travel turnover haddropped by 4%-5%. Realising the need fordiversification and to minimise itsdependence on the luggage segmentSamsonite began to emphasise on otherproducts like apparels, eyewear andfootwear.

In 2004, Marcello Bottoli (Bottoli), aformer president and Chief ExecutiveOfficer (CEO) of Moet Hennessy LouisVuitton (LVMH) joined as the CEO ofSamsonite. He wanted to revamp thecompany as he believed that the strain ofmultiple changes in ownership, ever sinceShwayder family sold Samsonite in 1973,had begun to take its toll. Bottoli’s plansincluded foraying into the “affordableluxury” category, adding markets,diversifying the Samsonite productportfolio as well as targeting more sales inglobal markets for the company’s valuelabel, American Tuorister.

Though Samsonite was a well-known globalbrand, it made losses for almost 4 yearssince 2000-2001, turned profitable in2003-2004 and again posted a loss in2004-2005. By 2006, it was positioningitself as the “travel solutions company”,but it still posted a loss of US$1.5 millionin 2005-2006. Although the strategicinitiatives to turn the brand over andextend the portfolio had paid off in termsof revamping Samsonite’s image, expertswere still skeptical of Bottoli’s initiativesto keep the company profitable.

The case describes the growth anddevelopment of Samsonite as a global brandand organisation. The competitiveadvantage for Samsonite was innovationand it had tried to capture various rangesof the market by servicing through allsegment brands. Its manufacturing and out-sourcing strategy has also been a keymanifestation of its corporate strategy.The case details the image makeoverstrategy of Samsonite and ends with thediscussion whether this will provideSamsonite the success it aims at.


• To understand the nature and structureof global luggage industry

• To discuss the growth strategies followedby the market leader Samsonite

• To discuss how Samsonite has beenestablished as a global brand

• To analyse the diversification strategyfollowed by Samsonite

• To discuss the market positioning,product and brand management bySamsonite

• To discuss the image makeover ofSamsonite from a luggage manufacturerto a ‘Travel Solutions Provider’

• To debate whether Samsonite’s strategieswill keep it at the top of the industry.

Industry Luggage IndustryReference No. GRS0170AYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Global luggage industry; US luggage industry;Soft side and hard side luggage; Productcategories of Samsonite; Product lineextension; Growth through diversification;Positioning of Samsonite products;Promotion through advertisement; Onestop shop for luggage; Multi brandingstrategy; Life is a Journey; Samsonitespinners; American Tourister; SamsoniteSilhouette; Samsonite Black Label.

Aspiration of Starbucks in China:Popularizing coffee among tea

drinkersIn 2006, the specialty coffee retailingcompany, Starbucks had over 11,000 storesin 36 countries of the world, employedover 10,000 people and every week over40 million customers visited Starbuckscoffeehouses. After phenomenal success inthe US, its home country, andrevolutionising specialty coffee culture,Starbucks undertook internationalexpansion and popularised its specialtycoffee worldwide. The initial pages of thecase delineate the origin and growth ofStarbucks as a company and a brand andthe paramount contribution of HowardSchultz and other key leaders.

In 1999, Starbucks entered China, theworld’s most populous country and anemerging superpower, through selectivejoint ventures. It opened retail outlets athigh visibility locations. It did not marketor advertise its stores and relied mainly onword-of-mouth promotion. Instant coffeewas popular in China, but specialty coffeewas introduced and popularised among theChinese by Starbucks and became themarket leader in specialty coffee in China.Witnessing its success, many competitorsfollowed suit. Starbucks entered one regionafter another and within a few years of

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operation and initial success in China,Starbucks had moved China up to the No.1 priority and proclaimed it to be the secondlargest future market after the US.Starbucks was all prepared, but accordingto industry analysts, the task ofpopularising coffee, primarily a westernconcept, in a traditionally tea-drinkingcountry, was gigantic and will not be easy.How Starbucks continues to bolster itssuccess and achieve its aspiration remainsto be seen. The case is targeted atmanagement students and can be taken upin their Strategic and General Managementcurriculum. On the background of theinformation provided in the case, thestudents can discuss and chart out furtherstrategies of Starbucks in China and theroadmap of its success.


• To trace the journey of Starbucks froma modest start to its becoming the marketleader; worldwide and in China

• To analyse the Chinese beverage marketon the basis of Michael Porter’s fiveforce model

• To discuss the growth and competitivestrategies of Starbucks in China anddebate on its future potential keeping inview the increasingly fierce competition.

Industry Specialty retailing/BeveragesReference No. GRS0169AYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Starbucks; Howard Schultz; Seattle; Japan;China; specialty coffee; instant coffee;coffee culture; third place concept; barista;differentiation; market expansion; spokeand hub strategy; word-of-mouthpromotions; market entry strategy; jointventure; competitive scenario; marketstructure; market development; Starbucksexperience; Frappuccino; lifestylemarketing; market leader strategies.

Quiznos Sub in 2006Quiznos was a fast food sandwich chainspecialized in toasted submarine sandwichesin North America. Though still a fractionof the size of Subway, it had over 4400outlets in the US alone, over 300 in Canada,and 100 other outlets scattered in 13 othercountries. The company was aggressive atexpansion; it opened a new store every 16hours. The Subway restaurant chain wasthe world’s largest submarine sandwichfranchise chain and had held number oneposition since 2001. By February 2006,Subway had opened more than 25,000restaurants in 83 countries. Subway andQuiznos were locked in an unusual

competition. They competed for the samemarket. At the same time, they shared acommon goal of luring customers awayfrom the burger joints. One analyst believedQuiznos offered a better product thanSubway but might have limited its growthpotential by positioning itself between fastfood and fast casual. Quiznos’ aggressivemovements signaled intentions similar toSubway’s early ambitions. Could Quiznosup root Subway from the number oneposition in the sandwich franchise market?


• To discuss the growth and expansionstrategies of Quiznos, a relatively smallcompany and how it posed threat to themarket leader

• To discuss various advertisementcampaigns of Quiznos

• To analyse the unique business model ofQuiznos.

Industry Fast Food IndustryReference No. GRS0168AYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Quiznos Subs; Subway; Fast FoodRestaurant; Fast Casual; Sandwich Chain;Submarine Sandwich (Subs); Franchise;Marketing; Advertising; Promotion; LowCarb sandwich; Business Model; industryleader; Product Differentiation.

Yahoo in 2006Yahoo Inc. recorded revenues of $5.2billion in 2005. Started as a web directoryin 1994, during the dotcom boom, Yahoorapidly established itself as a leading webportal. But with the dotcom bust in 2000,Yahoo’s revenues saw a steep downturn.The company reported a loss of $9.2million in 2001. The leadership change in2001 was a rescue effort. Under Terry Semel,Yahoo staged a comeback by undertakingvarious strategic initiatives. By 2006,Yahoo emerged as an integrated onlinemedia company. But some analysts opinedthat Yahoo’s diversification strategy madeit lose focus and rendered it without anycompetitive advantage in any particulararea.

The case describes the growth strategiesfollowed by Yahoo. It highlights thecompetitive advantage Yahoo acquired invarious industries and the case ends with adebate whether Yahoo’s jack of all tradesstrategy make it master of none?


• To understand the structure of searchengine industry

• To discuss the growth strategies followedby Yahoo in a competitive market

• To analyse the unique model of Yahooand its pros and cons

• To debate on the success of such a modelfor Yahoo and whether its a competitiveadvantage for Yahoo.

Industry Information TechnologyReference No. GRS0167AYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Innovation; Peripheral Vision;Diversification in related Industries;Challenging the Leader; Growth Strategiesof an Innovator; Competitive Advantage;Search Engine Industry.

Albertsons Incorporated’sDilemma

Albertsons Incorporated, America’s second-largest supermarket chain with more than2,500 stores and revenue of around $40billion enjoyed a presence across 37 statesof the US. It operated under various brandnames including Albertson’s, AcmeMarkets, Bristol Farms, Jewel, and Shaw’s.

Albertsons faced competition from Kroger,Safeway and Wal-Mart. The supercentresof Wal-Mart, which offered products atlower prices, affected the net income ofAlbertsons, which fell from US$865 millionin 2003 to US$556 million in 2004. Inspite of the revival efforts undertaken byAlbertsons, the net income further declinedto US$474 million in 2005. CEO LarryJohnston eventually decided to sell thechain but faced dilemma whether to sellthe whole or a part of it.

The case traces the origin, growth andvarious acquisitions undertaken byAlbertsons, the second largest supermarketchain in US. The case focuses on therevival efforts carried out by Albertsons tosustain competition from Wal-Martsupercentres and ends with the dilemmafaced by Larry.


• To discuss growth and competitivestrategies in retail industry

• To analyse the competitive scenariocreated by the presence of new storeformats.

Industry Retail chainsReference No. GRS0166AYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available




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Keywords

Albertsons Inc.; Supermarket industry; JoeAlbertson; Larry Johnston; Kroger;Safeway; Wal-Mart; Supercentres; AcmeMarkets; Bristol Farms; Jewel; KohlbergKravis Roberts & Co.; Consumer spending;Consumer purchase behaviour; automation;distribution; customer relation; acquisition;competitive strategy; price war; marketshare; buyout; bidders; managementdilemma

The Chocolate TrailSweet snacks dominated the global snackmarket with sales exceeding US$112 billionannually. Chocolate was the largest sectorin terms of value within the global snackmarket. The industry was faced with asluggish economy, market consolidation,rising costs and intense competition. Eventhough the growth of global confectionerywas tortuous, but still there was anincreasing demand for premium chocolates,healthier confections, exotic flavours andcolours. The developing markets hadample growth opportunities througheffective market segmentation.

Like coffee, chocolate was going complexand upscale. The latest rage for chocolatein the US was to go to a ‘Chocolate Bar’instead of buying a ‘chocolate bar’. Thehistory of chocolate houses was beingrepeated. Would the chocolate lounges beable to give a Starbucks-like experienceand increase the consumption ofchocolates?


• To analyse the global and US chocolateindustry

• To illustrate effect market segmentation

• To understand growth strategies ofChocolate bars.

Industry Sweet SnacksReference No. GRS0165AYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

History of Chocolates; trends in chocolateconsumption; ethel’s chocolate lounges;premium chocolates; Hershey; Mars; Lindt;Cadbury’s; Nestle; Candy; gourmetchocolates; market leader; global sales;chocolate consumption; confectionery;Sweet snacks; market segmentation; theUS chocolate market.

Arcleor: Roche in China in 2006In 2006, F. Hoffmann-La Roche & Co.(Roche) was one of the world’s leading

research-intensive healthcare groups andits core businesses were pharmaceuticalsand diagnostics. Roche employed about65,000 people in 150 countries. Rocheentered China in 1926 and had establishedits subsidiary in Shanghai. But for almostsix decades, it did not have significantoperations and presence and returned tothe Chinese market in 1988. Roche hadlargely made its presence felt in Chinathrough joint ventures and it is onlyrecently that it has opened a researchcentre in China. In 2004, Roche openedits new R&D center in Shanghai, China,which was part of Roche’s global R&Doperations and which worked incollaboration with its other global centers.This is indicative of the growingimportance of China for Roche and thepharmaceutical industry of the world.

The case traces the entry, re-entry, growthand ambitions of Roche in China. The caseanalyses the pharmaceutical industry inChina and attempts at identifying thepotential and challenges the countrypresents for Roche. The long term aim ofRoche in China is to discover and optimizenew molecules which would address theunmet medical needs of China and theworld. How Roche capitalised on thegrowing pharmaceutical industry of Chinaand realised its ambitions remained to beseen.


• To analyse the pharmaceutical industryin China and its growing relevance inthe global pharmaceutical industry

• To undertake the SWOT analysis ofRoche with regard to its ambitions inChina

• To discuss the growth strategies of Rochein China.

Industry Pharmaceutical IndustryReference No. GRS0164AYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Roche; China; Pharmaceuticals;Diagnostics; Research & DevelopmentCentre; industry structure; patent laws;intellectual property; WTO; low-costmanufacturing; traditional medicine;market potential; GMP; demographics;challenges; counterfeited drugs; Guanxi;joint venture; Customer RelationshipManagement.

Subway in 2006The Subway restaurant chain was theworld’s largest submarine sandwichfranchise chain and had held number oneposition since 2001. By February 2006,

Subway had opened more than 25000restaurants in 83 countries. Subway hadfranchises throughout the US and in severalcountries, in locations such as freestandingbuildings, airports, convenience stores andsports facilities. It employed about 150,000people worldwide.

The fast food chain was criticized for itsfranchising policies. It was claimed thatSubway was involved in many legal disputeswith franchisees, usually for its overaggressive expansion (one Subway was veryclose to other Subway, which ended incompeting with each other) and highroyalties. The DAs were blamed as it wasin their best interest to saturate marketswith Subway outlets in a region. Subwaywas sued by some of its franchise owners.Subway included arbitration clause in itsfranchise agreements. As 2006 got underway, the Subway management wonderedwhat direction the company should take.

The case discusses the growth andexpansion of a restaurant chain whichbecame number one in the industry in ashort span of time. The case also discussesdifferent ad campaigns of the company togain consumer attention. The casehighlights unique business model adoptedby the company and its productdifferentiation strategies. The industryleader is now criticised for its overaggressive expansion policies.


• To discuss the growth and expansionstrategy of the market leader

• To discuss the advertisement campaignsof the company and its unique businessmodel.

Industry Fast Food IndustryReference No. GRS0163AYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Subway; Fast Food Restaurant; Fast Casual;Sandwich Chain; Submarine Sandwich(Subs); Franchise; Marketing; Advertising;Promotion; Business Model; IndustryLeader; Product Differentiation; NutritiousFood.

Wikipedia: The ultimateinformation destination!

Wikipedia was a non-profit, multilingual,open content online encyclopedia. Sinceits inception Wikipedia grew consistentlywith enormous pace and as of February,2006 had a collection of more than3,380,000 articles written by about 43,000authors, across the world in about 200languages.

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Jimmy Wales (founder of Wikipedia) alongwith his friend Larry Sanger initially startedNupedia, an encyclopedia which wasreviewed by experts. Later on with theadoption of software Wiki, Nupedia lostimportance and Wikipedia prospered.Though within a short period, Wikipediagained enough prosperity it often facedcriticisms on the reliability of the data onits website.

The case discusses how both Jimmy Walesand Larry Sanger started Nupedia, why theyshifted to Wikipedia and the loss ofcompatible corporate governance betweenthem, which forced Larry to leaveWikipedia and start his own encyclopedia,Digital Universe.


• To study the concept of open sourcesoftware and its benefits

• To discuss the success of Wikipedia

• To discuss the corporate governance andethical issues in the Wikipedia

• To discuss the growth strategies followedby Wikipedia.

Industry Open content onlineencyclopedia

Reference No. GRS0162AYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Wikipedia; Open content onlineencyclopedia; Nupedia; Wiki; Productcannibalisation; Leadership issues; Ethics;Corporate governance; Britannica;Reliability of information.

Singapore International Airlinesin 2006

Singapore Airlines Limited (SIA), one ofthe most successful airlines in the worldwas a favourite among business travelerson long flights. Chew Choong Seng, theCEO, faced the challenge of ensuring thatthe travellers kept flying SIA even ascompetition intensified. While full-serviceairlines were facing a global decline in 2003,with the US and the European Air carriersgoing bankrupt and slashing staff, flightsand passenger amenities, SIA was flyinghigh. In 2004, SIA began its first ever non-stop air services between Singapore andthe United States. The major drivers ofthe SIA brand were innovation, genuinequality and excellent customer service. SIAmaintained the youngest fleet of aircraftand replaced older aircraft with newerbetter models.

Cheong Choong Kong had led SIA throughthe Asian economic crisis in 1998, whenmost travelers and airlines were grounded.

After taking over SIA in 1984 as CEO,Cheong stretched the airline worldwide.Cheong left in mid-2003 after running SIAfor 19 years.

In 2006, SIA faced new competition notonly from low cost airlines, but also fromplayers like Emirates Airlines whichoperated out of a hub in Dubai. The carrierand its base had modeled themselves onSIA and Singapore’s Changi Airport.OneWorld, SkyTeam and Star Alliance(SIA’s partner) were three predominantglobal alliances. The open-skies restraintsforced SIA to join the Star Alliance. SIAhad become the sixth-largest airline in theworld in terms of international passenger-kilometers. Meanwhile, SIA faced variousconcerns. It was fraught with low yieldamong all major international airlines dueits hub and spoke model.


• To illustrate brand management,customer service management, growthstrategies

• To discuss the growth strategies of anairline

• To illustrate the leadership qualities of aCEO and crisis management.

Industry Airline IndustryReference No. GRS0161AYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Singapore International Airlines;Leadership; Strategy; Managing GlobalAirline; History of SIA; Quality CustomerService; SARS; Fuel Prices; Cost;Innovation; youngest fleet; Chew ChoongSeng; Cheong Choong Kong; Star Alliance;Hub and spoke model.

Samsung Electronics in 2005In 2004, Samsung Electronics (Samsung),the flagship company of Samsung Group,was the world’s largest memory chip makerand Asia’s biggest electronics manufacturer.Samsung’s revenues accounted for 6.6% ofKorea’s GDP. It had strategic alliances withvarious global companies such as Sony, IBM,Microsoft, Hewlett Packard and Dell. In1997, the company was facing problemsdue to Asian Financial Crisis, and at thesame time, demand and prices of memorychips were falling. Yun, the CEO, took stepsand transformed the image of the companyfrom manufacturer of me-too products tostylish, premium, latest technology productsand helped company to gain market sharein each product segments. In 2005, themanagement of the company was worriedas dollar was depreciating; growth of cellphone markets were shrinking and oil prices

were rising which hurt exports. An outdatedfamily-controlled corporate structure wasalso a concern for Samsung. Would Samsungbe able to sustain its growth when it wasfacing competition from local as well asglobal players?

The case discusses how a market followercompany restructured and turned itself intoa leading global electronics manufacturerin the span of 10 years. The case highlightshow the investment in Research andDevelopment, even in times of financialcrisis, helped the company achieve growthand become market technology leader. Thecase details out Yun’s style of leadershipand the strategies he implemented totransform the company. The company’semphasis on Research and Development,marketing, brand equity, human resource,and inventory management helpedcompany to gain market share. As thecompany’s main source of income wasthrough exports, managing the fluctuationin the Won-Dollar exchange rates alsobecame a matter of concern.


• To discuss the growth strategies followedby Samsung

• To discuss the leadership at Samsung andits impact on the corporate strategy

• To debate the sustenance of its growthin future.

Industry Consumer Electronics IndustryReference No. GRS0160AYear of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Samsung Electronics; Electronics Industry;Consumer Electronics; South Korea;Chaebol (Conglomerate); DynamicRandom Access Memory(DRAM); StaticRandom Access Memory (SRAM); flashmemory chips; flat panel LCD displays;cell-phones; LCD monitors; NAND flashmemory; nano; Technology; Yun JongYong (Yun); Organisation Restructuring;Transformation; Leadership; Research andDevelopment; Product Innovation;Inventory management; CoreCompetence; Business Strategy; HumanResource Management; Marketing;Branding; Corporate Governance; Nichemarket; Strategic Alliance; Globalisation.

Westside in 2004In 2004, the Indian retail market was atINR 8,000 billion, with the organisedsector accounting for a measly 2%. Thecase examines the foray of Tatas, one ofthe largest business houses in India, intoorganised retailing with Westside – a chainof department stores.




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The case highlights the key decisionvariables and the winning elements inWestside’s business model – from privatelabeling strategy to its merchandisemanagement, to its customer centricapproach. It also details out Westside’sstyle of functioning in terms of operations,marketing, customer relationshipmanagement, customer services and humanresource management – the chain’semphasis on pricing, merchandise mix,store interiors and training theiremployees. It reflects on how Westsideidentified and implemented a retail model:the success that followed.


• To discuss the growth strategies followedby Westside for its growth in Indianretail market

• To understand the Indian retail industry

• To discuss the retail model adopted byWestside and its success in thecompetitive environment.

Industry RetailingReference No. GRS0159AYear of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Retail strategy; Private Label strategy;Vendor management; MerchandiseManagement; Supply chain management;Store layout and interiors; Retail marketingmix – Positioning; Pricing; Branding; VisualMerchandising; In-store sales promotion;Customer relationship management

Razors Duel: For Women’s Sake!In 2005, the razor war between Gilletteand Schick had intensified. Gillette, wasthe undisputed leader. Schick was thechallenger and BIC was the follower, inthe Personal Care and Hygiene Industry.Gillette was the pioneer of therevolutionary disposable razor designed in1895 by King Camp Gillette. It went intothe blade and razor business in 1901 andsince then was a strong believer in constantproduct innovation. In 2000, Gilletteintroduced Venus a razor for women whichsoon became the No.1 women’s brandworldwide. Schick followed suit byintroducing Intuition, Women’s razorwhich made some gains against Gillette.BIC also followed and served the Women’ssegment. The three major razor makershad been jostling for shelf space for almostthree decades. In January 2005, Gillettedecided to merge with Procter & GambleCo. which gave it greater distribution inemerging international markets and acompetitive advantage over its rivals.


• To discuss and bring out the importanceof peripheral vision and the “lossleadership” concept

• To discuss Porter’s five forces model ofIndustry structure analysis

• To analyse the growth strategies adoptedby the leader, challenger and the followerin the given industry.

Industry Personal CareReference No. GRS0158AYear of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Business Strategy; Loss Leadership;Strategic Management; Core Competence;Product Placements; Product Innovation;Peripheral vision.

The Otto Group: Germany’sLeading Private Retailer’s Multi-

channel Sales StrategyIn 1949, Werner Otto founded OttoVersand as a mail-order shoe company inGermany. Through alliances, joint venturesand acquisitions, the company diversifiedinto textile, furniture, logistics and hardwaresectors eventually. The Otto Group becamea mail-order behemoth in Germany,specialising in catalogue retailing. In 1981,Michael Otto, son of the founder, becamethe CEO of the Group. Michael Ottostrengthened the competitive position ofthe Group by introducing a multi-channelsales strategy in the mid-1990s. The newstrategy included selling via three primeroutes: e-commerce, catalogue and over-the-counter. Under e-commerce, Otto alsoprovided t-commerce (through television)and m-commerce (through mobile)services. Under his leadership, Ottobecame the largest international mail-orderand catalogue retail company and thesecond largest online retailer after Amazon.


• To discuss the growth of the Otto Groupover the years

• To discuss the multi-channel sales strategyintroduced by Michael Otto and identifythe underlying reasons for its success

• To discuss the sustainability of theadvantage that the Otto Group has overits competitors in the light of growingcompetition and a difficult businessenvironment.

Industry RetailingReference No. GRS0157Year of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

The Otto Group; Multi-channel salesstrategy; E-retailing; Catalogue retailing;Over-the-counter retailing; Michael Otto;Mail-order; Expansion strategy;Competitive strategy; Businessenvironment; M-commerce and T-commerce; Introscope solution; MicrosoftWindows XP Media Center Edition 2005;German consumer behaviour; Amazon andeBay.

Deutsche Bank: TheTransformation from a

Domestically-focused RetailBank into a Global Powerhouse

German financial giant, Deutsche Bank(DB) had been striving to move away fromits age-old precept of serving only thedomestic market. The German financialmarket is fragmented and it is a herculeantask to manage a business due to provincialpolitics and huge losses in lending loans toits compatriot companies. To reduce itsdependence on its domestic markets andleverage on the booming global financialmarkets, DB was endeavouring to becomea global financial powerhouse. With itsoperations in 74 countries, DB has becomeone of the largest global banks and alsowon “Bank of the year” award in 2003 andfor the second time in 2005. “Passion toperform” tagline has spurred its 64,000staff worldwide to do better and achieve25% return on equity in 2005.


• To discuss the need for DB to change itsbusiness focus from domestic retailbanking to becoming a global financialpowerhouse

• To understand the strategies adopted bythe company towards achievement ofthis objective

• To evaluate the strategies adopted to goglobal

• To discuss the challenges faced by DB inmanaging a global business withdiversified product portfolio.

Industry BankingReference No. GRS0156Year of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Corporate and Investment Bank (CIB);Private Clients and Asset Management(PCAM); Corporate Investments (CI);Retail banking; Josef Ackermann; AnshuJain; Integration of global operations;‘Bank of the year’ award; Productinnovation; Risk management.

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AT&T and BellSouth Merger:Reshaping the US Telecom

Industry?This case captures the evolution of the UStelecom industry and the competitivescenario of the industry after theimplementation of theTelecommunications Act of 1996. Besides,the rapid technological changes intelecommunications sector coupled withdigitisation and integration oftelecommunication services withcomputers have created intense pressureon traditional pricing structure, especiallyin voice telephony. This has led to aconsolidation in the US telecom industry,the biggest example being the proposedmerger between AT&T and BellSouth.However, analysts observe that the primechallenge for the US telecom industry wouldbe the question of survival, as consumersmight be unwilling to pay a premium forthe innovative services which the telecomcompanies are introducing in rapidsuccession.


• To understand the evolution of the UStelecom industry, the rise of AT&T as amonopoly and the effect of telecomderegulation on the industry

• To discuss the concept of digitalconvergence and how it is transformingthe once segmented US telecom marketinto a converged market

• To discuss the role of the FederalCommunications Commission inallowing small telecom companies in theUS to consolidate and form a few bigcompanies to offer similar productsthrough different media

• To analyse the financial viability of theAT&T and BellSouth merger.

Industry Local Exchange CarriersReference No. GRS0155Year of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

US telecommunication industry;Consolidation in US telecom industry;Digitisation in US telecom industry;RBOCs (Regional Bell OperatingCompany); BellSouth; MCI; Verizon;Southwestern Bell Corporation; Mergersand alliances in the US telecom industry;Synergies in the US telecom industry;Bundling services; Telecommunication Act1996.

Disney in the Digital Age:Profiting from New Media

PlatformsDisney-ABC, a part of the Media Networksof Walt Disney Company had establisheditself well in the traditional broadcast TV.But the broadcast media was going througha frenetic phase with the emergence ofnew media platforms, such as Digital VideoRecorders (DVRs or PVRs), Video OnDemand (VOD), and portable viewingtechnologies like Video iPod, Mobile TVsand the Internet. The potential of earningincremental revenues from subscriptions,licence fee and advertising had attractedmajor media companies to adopt thesetechnologies. Disney-ABC, in October2005 entered into an agreement with AppleComputer to offer its content throughApple’s iTunes Music store. But itencountered opposition from its affiliatestations who feared the threat ofcannibalisation. Added to this, researchshowed that customers preferred thetraditional broadcast model to video iPod.Analysts say that the new media platformsare only additive to the traditional TVviewing. It remains to be seen whetherDisney-ABC would manage to add moreviewers to its base with the use of theemerging media platforms.


• To understand the changed dynamics ofthe television and broadcasting industryand its resultant effect on the mediacompanies

• To learn about new media platforms suchas DVR, VOD, iPod, Mobile TVs andthe Internet, and their advantages anddisadvantages

• To analyse whether Disney’s adoptionof the new media technologies would beprofitable

• To understand the limits of competitionand unearth various issues Disney-ABChas to resolve while adopting new media.

Industry Television and BroadcastingReference No. GRS0154Year of Pub. 2006Teaching Note AvailableStruc.Assign. Not Available

Keywords

Disney-ABC; Traditional BroadcastTelevision (TV); Video On Demand (VOD);Video iPod; Internet and mobile TV; Newmedia platforms; New business venture;Business life cycle extension; Revenuemodel; Business model; iTunes Music Store;Video piracy; Cannibalisation.

Dell in India: The GrowthStrategies

In 2001, Dell, the world’s largest PCmanufacturer, set up its first fully-ownedsubsidiary in India. In 2003, Dell Indiawitnessed sharp decline in its business as ithad to encounter the anti-outsourcingbacklash in the US. However, it bouncedback within a short span of time and hasemerged as the biggest contributor to Dell’sstrategic vision of global dominance in thePC market. By the end of 2005, Dell Indiabecame Dell’s biggest base outside the USand it is believed to play a stellar role tohelp Dell achieve its goal of becoming a$80 billion company by 2010.


• To describe the growth strategies of DellIndia amidst challenges like anti-outsourcing backlash in the US andunavailability of trained personnel toperform complex functions

• To understand how Dell Indiatransformed itself from an outsourcingdestination to one of the strategicallyimportant operations for Dell

• To focus on how Dell is trying to gainprominence in the lucrative Indian PCmarket against challenges like thepresence of a big unorganised sector, lowinternet penetration and intense pricecompetition from other major globalvendors like Lenovo and HP.

Industry Personal ComputersReference No. GRS0153Year of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

The global personal computer (PC)manufacturing industry; Global PC market;Dell India; Pertech Computers Limited;Dell’s initial operational constraints inIndia; Dell’s captive centres across theglobe; Dell’s Global Development Centres;Dell’s Direct Model for India; Growth ofthe Indian PC market; Dell’s competitorsin India.

EvrazHolding: Growth Strategiesof the Largest Steel Manufacturer

of RussiaEvrazHolding, one of the largest verticallyintegrated steel manufacturing and mineralore-processing group in the world, hasgrown over the years by mainlyconcentrating its operations in Russia andother countries of the erstwhile SovietUnion. The success of the group could beattributed to its competitive strengths likea dominant low-cost producer of steelproducts, a vertically integrated business,





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a dynamic and experienced managementteam, and an ever-growing mining business.To continue its growth, the group wasplanning to establish its operations in otherEuropean countries as well as in Asiathrough acquisitions.


• To understand the evolution of thedomestic Russian steel industry

• To discuss the strategies adopted byEvrazHolding to establish itself as thedominant steel producer in Russia

• To discuss the future growth strategiesof EvrazHolding to be a leading producerof steel globally by establishing itself inother European countries as well as inAsia through acquisitions

• To debate whether EvrazHolding wouldbe successful in its future growthstrategies in face of increasingcompetition.

Industry SteelReference No. GRS0152Year of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Russian steel industry; EvrazHolding;Alexander Abramov; Evroazmetall; EAMGroup; Vertical integration; Inorganicgrowth strategy; Acquisitions and mergers;Economies of scale; Operational efficiencyat EvrazHolding.

BSkyB: James Murdoch’s“Differentiating” Growth

StrategiesBritish Sky Broadcasting Group plc.(BSkyB), the largest Pay-TV serviceprovider in the UK, has been at theforefront of introducing new technologiesin UK’s Pay-TV market. It has eightmillion subscribers and plans to introducethe High Density Television Service in2006. In 2003, James Murdoch, the son ofRupert Murdoch of News Corp., wasappointed as the CEO of BskyB. Despitecriticisms against this appointment, thecompany has grown rapidly under hisleadership and is expected to attain its goalof having 10 million customers by 2010.


• To describe the growth of BSkyB amidstchallenges posed by convergence oftechnologies

• To discuss how BskyB is trying toestablish itself as the leader in the BritishBroadcasting market by differentiatingitself through technological innovationsand value-added services to its customers.

Industry Direct Broadcast ServicesProviders

Reference No. GRS0151Year of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

British Sky Broadcasting Group Plc.; HighDensity Television; Growth strategies ofBSkyB; Differentiating strategies ofBSkyB; Convergence in communicationsindustry; UK television broadcasters; JamesMurdoch’s strategies; UK televisionbroadcasters; Sky services; Easynetacquisition; Triple play service providers.

Starbucks in China: ExpansionStrategies

In the 1990s, Starbucks Corporation, theworld’s No.1 specialty coffee retailer fromthe US, started expanding intointernational markets. After its success inJapan in the mid-1990s, it started focusingon China in the late 1990s. In 2005, afterits initial expansion in the major cities ofChina, Starbucks embarked on anexpansion spree into China’s second-tiermarkets. However, analysts opine that inthis initiative, Starbucks might facechallenges like cultural differences, highreal estate prices, unavailability of land andsuitable employees.


• To understand the market entry strategiesof Starbucks in the Asian market andhow it became successful in Japan

• To discuss how Starbucks rapidlyexpanded in the major cities of Chinaand which factors might restrict its plansto capture China’s second-tier markets.

Industry Speciality eateriesReference No. GRS0150Year of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Coffee retailing in the US; Coffee businessin Europe; Growth strategies of Starbucks;China’s coffee market; Joint venturesamong coffee retailers; Competitivestrategies; McDonald’s; KFC; Brandbuilding by coffee retailing chains; ShanghaiPresident Coffee Co.; Starbucks in Ireland;Maxim’s caterers.

Tesco, UK’s Largest SupermarketGroup: International Expansion

StrategiesIn the mid-1990s, saturation in its domesticmarket forced Tesco, UK’s largest and

world’s third-largest retailer, to expand intoforeign markets for sustaining its futuregrowth in the global retail industry. Thecompany initiated its internationalexpansion strategy by venturing intoCentral Europe, Asia and the US. Despitehaving sufficient scope to expand globally,Tesco faced challenges like varied customerdemands, different cultures and decliningsales growth in different markets.


• To understand both the organic as wellas the inorganic growth strategies ofTesco as a part of its Internationalexpansion strategy

• To discuss the market entry strategiesadopted by Tesco to enter the US retailmarket· To address Tesco’s challengesin its international expansion.

Industry Grocery RetailReference No. GRS0149Year of Pub. 2006Teaching Note AvailableStruc.Assign. Not Available

Keywords

Retailing industry in UK; Global topretailers; Retailing in Asia; Retailingscenario in Europe; Carrefour; China’sretailing industry; Localisation strategies;European retailers in the US; Expansionin Asia; Market entry in the US retailmarket; Wal-Mart; Metro.

Hynix’s Cost Efficiencies: TheSouth Korean Chipmaker’s

Growth StrategiesHynix Semiconductor Inc. was establishedin 1983 as Hyundai Electronics IndustriesCo. Ltd. Between 1997 and 2001, Hynixwas on the brink of bankruptcy due to adownturn in the global chip market thatleft a huge debt burden on the company.However, it managed to come out of thecrisis and transformed itself as the world’ssecond-largest and the most efficientmanufacturer of memory chips in theworld.


• To understand the growth of Hynix fromthe early 1980s and its decline in thelate 1990s

• To discuss the strategies adopted byHynix to recover from the brink ofbankruptcy and become the second-largest memory chip manufacturer in theworld by efficiently managing its costs.

Industry Memory Chips & ModulesReference No. GRS0148Year of Pub. 2006Teaching Note AvailableStruc.Assign. Not Available

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Keywords

World’s top memory chipmakers; SouthKorean chipmakers; Cost efficiency in chipmanufacturing; DRAM (Dynamic RandomAccess Memory) chip manufacturers;Hyundai Electronics Industries Co Ltd;Micron; Samsung; LG Semicon; Corporaterestructuring in South Korea;STMicroelectronics; NAND (Not And)flash chip manufacturer; ProMOSTechnologies Inc; Deutsche Bank AG;Ekahau RTLS System; Downturn in globalchip market.

Kodak in Asia.Eastman Kodak Company, established in1881, is the world’s largest manufacturerof photography and optical equipmentsapart from being the No.1 in photographicfilms. However, since the 1990s, thecompany has been witnessing rapidtransition from film-based photography todigital imaging. As Asia has traditionallybeen considered a big market for traditionalproducts like films and film cameras, Kodakexpected to continue its traditional businessprofitably in this region. However, Kodak’scalculations went berserk when the Asianmarket embraced digital technology muchfaster than its Western counterparts.


• To discuss the reasons for Kodak’smisinterpretation of the Asian market

• To debate the appropriateness of thestrategies adopted by Kodak to transformitself into a digital imaging company andtap the growing Asian markets.

Industry Photographic & OpticalEquipment/SuppliesManufacturers

Reference No. GRS0147Year of Pub. 2006Teaching Note AvailableStruc.Assign. Not Available

Keywords

Kodak’s film photography business;Emergence of digital imaging; Digitalcompetitors of Kodak; Kodak’s Asianmarket; Kodak going digital; Digitalphotography business in Asia; The newlogo of Kodak; Kodak’s region-wise salesglobally; Kodak’s digital cameras.

National Australia Bank in UK:Cross-Selling Strategies

Since its entry into Europe in the late1980s, National Australia Bank has focusedon expansion through acquisitions and hasbeen operating as a one-stop shop for allthe financial needs of its customers.However, in the UK, due to intense

competition and its absence in the ‘wealthy’southeast England, the bank faced theproblem of ‘too many branches, too fewcustomers’. It was forced to sell off itsIrish banks and focus on its core UKbusiness. To revamp its declining sales, thebank launched various cross-sellinginitiatives, changed its work culture andredesigned its offices to offer its customersa club-like ambience.


• To discuss the various cross-sellingstrategies adopted by National AustraliaBank

• To discuss whether it can achieve itstargeted growth in the highlycompetitive European banking industry.



Keywords

NAB (National Australia Bank); Crossselling initiatives; Expansion throughacquisitions; European banking industry;Restructuring strategies; Organisation workculture; Streamlining of operations;Australian banking industry; Yorkshire andClydesdale Bank; Autonomy and decisionmaking; Trading scandal in NationalAustralia Bank (NAB); John Stewart;Customer relationship management;Integrated Financial Solutions Centre;Customer satisfaction and retention

ZTE Corporation: The ChineseTelecom Equipment Maker’sGlobal Expansion Strategies

Shenzhen-based ZTE Corporation is oneof the largest telecommunicationsequipment manufacturers and local wirelessservice providers in China. With increasingcompetition in the domestic market, ZTEbegan to expand in the internationalmarkets. The company is planning to havea strong presence in Asia, South Americaand Africa. ZTE, which invests 10% of itsannual income in its research anddevelopment, is also planning to foray intoNorth America and Europe.


• To understand the growth of ZTE inChina and analyse the competitivescenario in its domestic market

• To discuss its global expansion strategies.

Industry TelecommunicationsEquipment

Reference No. GRS0145Year of Pub. 2006


Keywords

Chinese telecom market; China telecom;Competition; China mobile; Expansionstrategies; Localisation; Cisco; Motorola;Research and development innovation;Acquisitions and partnerships; Alcatel;Market share; Wireless; Challenges forZTE.

AIG in China: The ExpansionStrategies

Although AIG’s Chinese connection couldbe traced back to the property/casualtyinsurer American Asiatic Underwriters(established at Shanghai in 1919), it was in1992, that AIG officially entered China bysetting up a subsidiary there. Over the years,AIG was able to establish itself as a leadinginsurance company in China. However, thecompany faced several challenges in thefuture and critics were sceptical about thecompany’s continued success in China.


• To highlight the expansion strategiesbeing followed by AIG in China

• To discuss whether the company wouldbe able to achieve continued success inthe Chinese market.



Keywords

American International Group (AIG);Chinese insurance sector; State-ownedmonopolies; American InternationalAssurance Co. Ltd.; Underwriting; WorldTrade Organisation; Wholly-ownedbranches; Expansion strategies; Jointventures; Regulatory framework; MauriceGreenberg; Martin Sullivan.

Caterpillar Inc.: World’s LeadingEarthmoving Machinery

Manufacturer’s Growth StrategiesIn 2005, Caterpillar set out its vision for2010 – to become a $50 billion company.Deriving its business from industries thatare cyclical in nature, Caterpillar adopteda strategy to generate profits during timesof economic downturn. The companybelieves that the strength of its strategylies in its remanufacturing division, whichrecycles old parts and engines and sells themto its clients at half the price of new ones.






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• To discuss the growth strategies ofCaterpillar

• To discuss whether the company coulddepend upon remanufacturing forrealising its vision in the face of visiblesigns of slowing down of the globaleconomic growth rate.

Industry Construction, Mining andOther Heavy EquipmentManufacturing


Keywords

Six-Sigma; Critical success factors;Diversification; Product demand cycles;Low-cost strategy; Vision; Globalexpansion strategies; Remanufacturingindustry; Ford; Service marketing; Marketstagnation.

Microsoft’s Net Strategy: TheBusiness Model Makeover

Microsoft, the No.1 software company inthe world, started expanding into Internet-based services from the mid-ninetiesonwards. The company launched a numberof Internet-based services to take on itscompetitors. However, increasingcompetition from Internet-based serviceproviders like Google and Yahoo! forcedMicrosoft to come out with a new strategyfor its Internet-based services as well as anew business model. But the questionremained whether Microsoft would be ableto dominate the Internet-based services asit has been doing in licensed software sinceits inception.


• To highlight Microsoft’s strategyregarding Internet-based services and itsnew business model

• To discuss whether Microsoft would beas successful in its Internet-based servicesas it has been in its licensed softwarebusiness.

Industry Development Tools, OperatingSystems and Utility Software


Keywords

Microsoft; Internet-based services; Netstrategy; Google; Yahoo!; NetscapeNavigator; Obsolescence of technology;Business model makeover; Windows Live;Advertising-driven revenues.

John Hood’s Plans to ReinventOxford University: The

ChallengesFor over nine centuries, the name OxfordUniversity has been synonymous withexcellence in teaching and learning. But oflate, it has faced tough competition fromcash-rich US universities like Yale, Harvardand Stanford, drawing the best of teachingtalent and students. Oxford encountered asevere resource crunch, and its oldinfrastructure was in need of revamping.In October 2004, Dr. John Hood, a NewZealander, was appointed as the vicechancellor of the university. He plannedto reinvent the university to give it anedge over others by focusing on threethings: (1) developing the academicstrategy; (2) reviewing matters ofgovernance; and (3) upgrading the financialposition of the university.


• To highlight the strategies adopted byHood to help Oxford regain its old glory

• To highlight the challenges faced byHood because of the opposition fromacademicians to change age-old practices

• To discuss whether Hood will besuccessful in his endeavour.

Industry EducationReference No. GRS0141Year of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Dr John Hood; Oxford University;Decision-making system; Congregation;Private partnerships; Government grants;Tutorial teaching; Financial crunch;Oxford University Press; Academicstrategy; Performance evaluation;Governance; Privatisation; Endowments;Reforms.

HP: CEO, Mark Hurd’s GrowthStrategies

Hewlett-Packard, a global IT company, isinto the manufacturing of wide range ofproducts such as PCs, servers, storagedevices, printers, network equipment anda software portfolio, which includesoperating systems, print management toolsand network infrastructure. Since 2000, thecompany could not generate much revenueand lost its market share to its competitorslike Dell and IBM. In order to competeagainst these companies, in 2002, HPacquired Compaq. But, the then CEO CarlyFiorina during her reign from July 1999 toFebruary 2005, failed to accelerate growthof the company. In March 2005, MarkHurd (former CEO of NCR) was appointed

the CEO of HP. Hurd took initiatives tocut down costs, lay off employees and wentfor acquisitions to expand the companyglobally and improve its market share.Though his strategies started reapingbenefits, few analysts opined that it wouldbe a challenging task ahead for Hurd tobring back the company on the path ofgrowth and regain its lead among the ITcompanies.


• To highlight Mark Hurd’s strategicinitiatives to regain its lost ground

• To discuss the several options availableto Mark Hurd to transform HP’sfortunes.

Industry Personal ComputersReference No. GRS0140Year of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Hewlett-Packard; Mark Hurd; Growthstrategies; Acquisitions; PC (PersonalComputer) industry; Compaq; Expansion;IBM; Competition; Dell; Cost cutting;Carly Fiorina.

Telefonica, The SpanishTelecom Company: Inorganic

Growth StrategiesTraditionally, Telefonica, a Spanishtelecommunication company has had amonopoly in its domestic market.Although, the deregulation of the Spanishtelecommunications sector led to increasedcompetition from cable televisioncompanies and Internet telephony,Telefonica still maintained its leadingposition. However, with the domesticmarket maturing since the late 1990s,Telefonica has laid down plans to expandglobally through acquisitions and alliances.


• To understand the growth of Telefonicain Spain

• To discuss Telefonica’s strategies tobecome one of the leading operatorsglobally, beyond the hispanic marketsin Europe and Latin America.

Industry Wireless Network OperatorsReference No. GRS0139Year of Pub. 2006Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Growth strategies; Inorganic growthstrategies; Acquisition strategies;Diversification; Telecommunicationindustry; Joint ventures and strategic

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alliances; Synergy; O2; Cesky Telecom;Telecom industry in Europe; TelefonicaMovilles.

Mittal Steel in Asia: GrowthStrategies

Mittal Steel, the world’s leadingmanufacturer of steel has operations in fourcontinents and 14 countries. To enhanceits global presence and to tap the suddenrise in global steel demand, Mittal Steel isplanning to increase its production capacityby foraying into developing and low costmarkets of Asia.


• To highlight how Mittal Steel becamethe largest steel company in the world

• To discuss its expansion strategies in Asia.

Industry SteelReference No. GRS0138Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Available

Keywords

Growth strategies; Expansion strategies;Acquisition strategies; Steel industry inIndia; Steel industry in China; LakshmiNiwas Mittal; Ispat International;Turnaround strategy; Acquisitionintegration process; Posco; Bao Steel; TataSteel; Global steel consumption; Pricingtrends in steel industry.

Baidu.com: China’s Google?Beijing-based Baidu.com Inc. is China’sleading Internet search engine companywith a market share of 37%. It started itsoperations in 2000 and broke even withinthree years. As its website is similar inappearance to Google.com, it is oftenreferred to as ‘China’s Google’. Someexperts feel that Baidu, the Chineselanguage search engine, does a better jobthan Google. However, the going seems tobe getting tough with other domesticplayers intensifying their competitiveefforts.


• To highlight comparison between Baiduand Google

• To discuss growth of Baidu in the highlycompetitive Chinese search enginemarket.

Industry Internet Search and NavigationServices

Reference No. GRS0137Year of Pub. 2006Teaching Note Not AvailableStruc.Assign. Available

Keywords

Baidu.com; Sohu.com; Growth strategies;Competition; Google; Chinese searchengine market; Yahoo!; Chinese Google;Robin Li; Alexa; Acquisitions andpartnerships; 3721; Market share;SINA.com; Challenges for Baidu.

Avid Technology Inc.: The USDigital Tools Provider’s Growth

StrategiesIn October 2005, Avid Technology Inc,which was started in 1987 in Massachusetts(US), unveiled the Unity ISIS server, whichcan store and share thousands of hours ofdigital video. Within eight years of itsinception, Avid Technology has become aworld leader in digital editing andprofessional audio systems with revenuesof $589.6 million.


• To highlight Avid’s core ability toprovide innovative technologies to thedigital media industry

• To discuss Avid’s strategy of growing boththrough acquisitions and restructurings.

Industry Multimedia, Graphics andPublishing Software

Reference No. GRS0136Year of Pub. 2006Teaching Note AvailableStruc.Assign. Not Available

Keywords

Top digital tools providers; Macintoshsystems; Apple computer; Post productionediting system; Open Media Framework(OMF); Digidesign Inc; Digitally editedfilm; Softimage Inc; Digital film composersystems; Image manipulation software;Avid Broadcast Video Board (ABVB); Non-linear media composer systems; Interactive3D software technology; Miramax’sproject Greenlight; Pinnacle Systems Inc.

Rolls-Royce’s Civil AerospaceBusiness: ‘Customer Driven’

Growth StrategiesRolls Royce, the world’s No.2 commercialairline engine manufacturer, started as acarmaker and then diversified into aero-engines and power generation machinerybusinesses. With increasing demand for aero-engines, the company divested many of itsbusinesses to increasingly focus on aero-engine manufacturing. However, faced withintense competition from companies likeGeneral Electric. and Pratt & Whitney, itsrevenues started declining. This promptedthe company to enter the growing marketof aircraft services and maintenance wherethe margins were usually 30%, much above

the margins from engine-sales. By 2005,due to increased customer focus, servicingrevenues contributed 59% of the total salesof Rolls Royce.


• To highlight the growth of Rolls Roycein the global civil aerospace business

• To discuss Rolls Royce’s customer-drivencompetitive strategies for its growth inthe future.

Industry Aerospace and Defence PartsManufacturing


Keywords

Rolls Royce; Global aero engine market;Civil aviation industry; Divestments;Customer-driven strategies; Competitivestrategies; Aircraft service andmaintenance; Battle of Britain; Trentengine; Mergers and acquisitions; JohnRose; 1977 bankruptcy; Cost-cuttingstrategies; Total care; GE (General ElectricInc) and Pratt & Whitney.

Geox: The Italian Shoemaker’sExpansion Strategies

Geox was started in 1995 by Mario MorettiPolegate to manufacture and market hisinvention, ‘the breathing shoe’. Geoxdistributes shoes and apparels through its278 mono-brand stores, 9,000 multi-brandstores and 10,000 retail distributors in 68countries. The company, which earnedrevenues of •340 million in 2004, plansto foray into the US, the largest sportsshoe market in the world.


• To highlight the growth of Geox in Italy

• To discuss the expansion strategies ofGeox in the competitive but fragmentedglobal footwear market.

Industry FootwearReference No. GRS0134Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Global footwear industry; Italian footwearindustry; US footwear industry; US sportsshoe market; Core competency of Geox;Competitive advantage of Geox; Breathingshoe technology of Geox; Productdiversification at Geox; Productdifferentiation at Geox; Growth throughglobal expansion; Distribution network ofGeox; Supply chain management at Geox;Nike; Timberland; Adidas-Reebok.






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Genpact, GE’s Outsourcing Arm:Global Expansion Strategies

General Electric Capital InternationalServices (GECIS), started as the BusinessProcess Outsourcing (BPO) arm of GeneralElectric (GE) in India in 1997 and wasrenamed as Genpact in late 2005, a yearafter GE sold its 60% stake in the company.Genpact, which has offices in Mexico,Hungary, China and Romania in additionto India, introduced its own logo to createan independent global brand identity. Tofurther expand its operations, it acquiredCreditek, a US based financial managementfirm and signed a partnership with Liberata,a UK-based BPO provider, in 2005.


• To highlight the entry and growthstrategies of GE’s BPO services in India

• To discuss the strategies adopted byGenpact to expand in the internationalmarket.

Industry Business Process OutsourcingReference No. GRS0133Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Global outsourcing industry; Indianoutsourcing industry; Expansion throughacquisitions at Genpact; Diversificationstrategies of Genpact; Competitiveadvantage of Genpact; Competitors ofGenpact; Product diversification atGenpact; Growth through global expansion;Global branding at Genpact; Genpact’scentres of excellence.

Koch Industries Inc.’s Acquisitionof Georgia-Pacific Corp.:

Formation of the Biggest USPrivate Company by Revenue

After acquiring the public sector companyGeorgia-Pacific in November 2005, KochIndustries Inc. became the largest privatelyheld company in the US in terms ofrevenue, with combined revenues of $80billion. With an existing business portfolio,which ranges from trading commodities tooil refining, the acquisition of Georgia-Pacific is expected to strengthen Koch’spresence in the consumer products sectorthat has been dominated by large playerslike Procter & Gamble.


• To highlight the acquisition of Georgia-Pacific by Koch and analyse theirstrategic fit

• To discuss the trend of public sectorcompanies going private in the US owing

to the increasing costs of compliancewith regulations after the introductionof the Sarbanes-Oxley Act in 2002.

Industry Oil and Gas Refining,Marketing and Distribution


Keywords

Koch; Georgia-Pacific; US; Private sector;Public sector; Acquisition; Sarbanes-OxleyAct; Rise of privately-held companies inUS; Public vs private companies; Marketbased management; Compliance cost forpublic companies; Paper industry.

Heinz in Europe: The GrowthStrategies

Since its inception in 1869, Heinz grewover the years from a horseradish and pickleseller to a food processing giant throughacquisitions and new set-ups across theglobe. By the mid 1990s, it had over 5,700products and presence in over 110countries. Though the company wassuccessful in the US, its European businesswas struggling. With an increase in size,inefficiency also surfaced. The problem wascompounded by a fluctuation in theexchange rate, rising energy costs andcompetition from discount retailers. Tostymie the erosion of profit margin, Heinz,under Tony O’Reilly and then underWilliam Johnson, adopted various measuresto restructure Heinz Europe into a leanerprofit-making organisation.


• To highlight growth strategies adoptedby Heinz in Europe

• To discuss the problems faced by thecompany and the subsequent strategicinitiatives taken by the company tomake Heinz Europe profitable.

Industry Sauces and CondimentsReference No. GRS0131Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

HJ Heinz; European food industry;Restructuring strategies; Market entrystrategy; Mergers and acquisitions; ProjectMillennia; Operation Excel; VendorImprovement and Product Enhancementand Research (VIPER); ExpansionStrategy; Advertising strategies; Supplychain management; Cryovac packingsystem; Product innovation; Europeanketchup business; William Johnson.

AstraZeneca’s Growth StrategiesFormed on April 6th 1999 through themerger of Zeneca Group Plc. from the UK,and Astra AB from Sweden, AstraZeneca isengaged in research, development,manufacturing and marketing ofprescription pharmaceuticals and healthcare services. By 2005, it was among thetop five pharmaceutical companies in theworld with a turnover of US$21.4 billion.


• To highlight the rationale behind theformation of AstraZeneca

• To discuss AstraZeneca’s growth strategyof focusing on the research anddevelopment of innovative drugs to fulfilglobal health care needs.

Industry Pharmaceuticals ManufacturersReference No. GRS0130Year of Pub. 2005Teaching Note AvailableStruc.Assign. Not Available

Keywords

Biggest pharmaceutical companies; ICI;Global investments in pharmaceuticalresearch and development; Novartis;Clinical research; Restructuring atAstraZeneca; Balanced Scorecard (BSC);Over the counter drugs; Health careservices; GlaxoSmithKline; Agrochemicals;Speciality drugs; Prescriptionpharmaceuticals; Oncology; Neuroscience.

Sanofi-Aventis: Jean FrancoisDehecq’s Growth Strategies

The hostile takeover of Aventis by Sanofi-Synthelabo in May 2004, resulted in theformation of Sanofi-Aventis, the world’sthird-largest pharmaceutical company. JeanFrancois Dehecq, former chairman ofSanofi-Synthelabo and the man behind theacquisition has, since then, driven thegrowth of Sanofi-Aventis by focusing on amulticultural research model and workingin small groups rather than committeesthat he believes are often mired inbureaucracy.


• To highlight the factors leading to theacquisition of Aventis

• To discuss the growth strategies adoptedby Dehecq for Sanofi-Aventis amidstnumerous challenges being faced by theglobal pharmaceutical industry.

Industry Pharmaceuticals ManufacturersReference No. GRS0129Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

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Keywords

Sanofi; Aventis; Global pharmaceuticalindustry; Growth strategy; Europe;Takeover; Acquisition; Jean FrancoisDehecq; Decision making; Research anddevelopment; Synergy; Merger.

Femsa: The Mexican BeverageGiant’s ‘Continental’ Growth

StrategiesBy late 2005, Fomento EconomicoMexicano, SA de CV (FEMSA) was thelargest beverage company of Latin Americaand second largest brewer in its homecountry Mexico, with a market share of45%. Beer brewing and soft drinks bottling,its core businesses, are supported by itsretailing, distribution and logisticssubsidiaries. With decreasing margins andincreasing price fluctuations in theconsolidating global beer industry, FEMSAis focusing on the growing soft drink marketof Latin America.


• To highlight FEMSA’s growth over theyears

• To discuss the strategies adopted by thecompany to become one of the largestbeverage companies in the SouthAmerican continent.

Industry BeveragesReference No. GRS0128Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Global beverage industry; Latin Americanbeverage industry; Mexican beverageindustry; Growth of Fomento EconomicoMexicano; SA de CV (FEMSA) throughacquisitions; Competitive advantage ofFEMSA; Competitors of FEMSA; Coca-Cola FEMSA; Price competition ofFEMSA; Brand image of FEMSA; Productdiversification of FEMSA; Productdifferentiation of FEMSA; Growth throughglobal expansion; Modelo; Supply chainmanagement; OXXO convenience stores.

Estee Lauder: The Family-ownedCosmetic Manufacturer’s Growth

StrategiesSince its inception in the 1930s, EstéeLauder grew from a cream maker to acosmetic giant in the US under theleadership of three generations of Lauders.Despite the rising competition and itscontinued dependency on departmentalstores for sales, the company clockedrevenues of $6.34 billion in 2005. With

over 26 brands in various categories, itsproducts are sold in 130 markets worldwide.


• To discuss the growth of the Estée Lauderempire under three generations ofLauders

• To discuss and compare the marketingstrategies adopted by the threegenerations

• To discuss the growing challenges thecompany is facing and the strategiesbeing adopted by the third generation ofLauders in their attempt to disprove thetraditional wisdom that family-runbusinesses don’t pass three generations.

Industry Personal Care ProductsReference No. GRS0127Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Estee Lauder; Growth strategies; Cosmeticand skin care industry; Family runbusinesses; Leonard and William Lauder;Product distribution and marketing; USeconomic growth of 1920s; Free sampledistribution; Departmental stores in US;Youth Dew; The Estee Lauder family;Origins; Clinique; Product expansion;Acquisitions and licensing agreements.

QualComm: The US Chipmaker’sGrowth Strategies

QualComm, the US chipmaker, pioneeredthe Code Division Multiple Access(CDMA) technology for mobile phones.Over the years the company had come outwith various innovative technologies,which had made it the leading supplier ofmobile chipsets in the world. QualCommwas also in the process of expanding itsoperations to the Asian market and wasconfident that it would be able to maintainits growth in the future by coming out withinnovative technologies. However, expertswere of the opinion that the growthstrategies being adopted by the companywould not work in the future.


• To highlight evolution of QualCommover the years and the growth strategybeing adopted by the company

• To discuss whether the company wouldbe able to sustain its growth in the future.

Industry Communications ChipsReference No. GRS0126Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

QUALCOMM; Paul Jacobs; Growthstrategies; Communication technology;Telecom industry; Chipsets; Innovations;Value addition; Acquisitions; Internationalexpansion; Brand awareness; Patentinfringement.

Prudential Plc. in Asia: GrowthStrategies

Since its foray into Asia in 1994, Prudentialplc. has forged several strategicpartnerships with leading regional playersin the financial services industry. Thesepartnerships and alliances have madePrudential the leading European life insurerin Asia. With assets of £26 billion under itsmanagement as of June 30th 2005, thecompany plans to launch innovativeproducts in the growing Asian markets.


• To highlight the expansion strategies ofPrudential

• To discuss the initiatives taken byPrudential to become the largest insurerin Asia.

Industry Life InsuranceReference No. GRS0125Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Prudential; Expansion strategies; Growthstrategies; Life insurance; Financialproducts; ICICI Prudential; CITICPrudential; Largest European insurer inAsia; Mutual funds; Prudential’s businessmodel in Asia; Acquisitions; Insurancedistribution channels; Product innovations;Fund operations; Challenges for Prudentialin Asia.

Starbucks in Japan: The GrowthStrategies

Starbucks capitalised on the coffee demandin the US and established itself as a qualitycoffee chain. It aimed to take culture andcoffee to international locations andopened its first outlet outside the US inJapan. The Japanese, known to adaptthemselves to the Western culture,embraced the Starbucks concept and itscoffee, making Starbucks a success in Japan.But the success did not last long andStarbucks incurred losses in Japan in 2003.But strict cost control measures and abetter food menu resulted in profits in2004. The company then entered theready-to-drink coffee market and analystswere sceptical about its success in an alreadysaturated market. The changing






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preferences and tastes of the Japanese werealso a cause for concern for the company.


• To highlight the growth strategy ofStarbucks in Japan

• To discuss whether Starbucks would beable to sustain its growth in the country.

Industry Speciality EateriesReference No. GRS0124Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Starbucks Corporation; Growth strategies;Global expansion strategies; Japanesecoffee culture; Kissatens; Global brand;First-mover advantage; Starbucks culture;Brand recognition; Local competition.

SNOCAP: Can Shawn Fanning’sNew Venture Replicate Napster’s

Success?In 1999, Napster, an illegal music file-sharing service was created by ShawnFanning, which went on to become a hugesuccess registering 26.4 million users ontoits network by February 2001. Butconcurrently the success of Napster wasresulting in huge losses for the musicindustry and later led to lawsuits andNapster ’s closure. Undeterred by theclosure of Napster, Fanning foundedSNOCAP, which acts as a clearinghouseand an intermediary between the musicusers, file-sharing networks, on-line musicretailers and the copyright owners. But toreplicate the success of Napster, SNOCAPhas to overcome several challenges.


• To highlight Napster’s success story andSNOCAP’s new business model

• To discuss the viability of SNOCAP’sbusiness model and the challenges thatlie ahead for the company.

Industry Internet Music Distributionand Downloads


Keywords

SNOCAP; Shawn Fanning; Napster; Successstory; P2P (Peer to Peer) network;Technology; Music file sharing; Fileswapping service; Music industry; Quality.

Coca-Cola in ChinaThe history of sugar in the Caribbean canbe traced back to the 17th century whenthe Dutch introduced sugarcane to theseislands in the 1640s. Since then, the sugarindustry had been the backbone of theCaribbean economies. In 1965, theCaribbean region, with its ten sugarexporting countries, had a peak annualsugar production of 1.4 million tons.However, in just thirty years, by 1995, theCaribbean sugar production had droppedto 0.8 million tons per annum and theregion was left with only six sugar exportingcountries.


• To highlight the strategies adopted bythe company to become the leading softdrinks manufacturer in China

• To discuss whether Coca-Cola would besuccessful in holding on to its leadershipposition in the Chinese soft drinksindustry.


Keywords

Coca-Cola; Soft drinks industry in China;Carbonated and non-carbonated drinks;‘Open door’ policy; Technologicaldevelopment; Bottling and distributionactivities; Joint ventures; Retail distributionnetwork; Growth strategy; Marketing andpromotion activities; Domesticcompetition.

Walgreen vs CVS: GrowthStrategies of the US’ Top

Drugstore ChainsThe US drugstore retail market is highlycompetitive, consisting of a number of bigchain stores like Walgreen, CVS (CustomerValue Store), Rite Aid, Wal-Mart, Target,etc. Together, Walgreen and CVS occupyabout one-fifth of the total US pharmacyretail market. Ever since its inception in1901, Walgreen had believed in growingorganically and had opened more than 4,850stores in the US. While Walgreen wasbuilding its new stores, CVS was increasingits store count by acquiring existing retailchains in the country. After opening its firststore in 1963, CVS acquired otherpharmaceutical chains like Peoples Drug,Big B, Revco, Arbor Drugs and Eckerd storesand by July 2005 it had grown to more than5,400 stores. Walgreen’s organic strategyof growth helped the company to makeplanned investments in new locations andsave future expenditure on renovations.Whereas CVS’ strategy of growth through

acquisitions allowed the drugstore chain toimprove its geographical reach and withstandcompetition from other retail giants.However, while expanding inorganically,CVS had to incur expenses to renew andrelocate some of the existing stores toimprove its sales figures.


• To discuss the two different growthstrategies, organic and inorganic, beingfollowed by Walgreen and CVS

• To analyse which one of the two growthstrategies is more appropriate.

Industry Drug store RetailReference No. GRS0121Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Walgreen; CVS (Customer Value Store);Drug store chains; Competition; Growthstrategies; Market share; Pharmacy stores;Acquisitions; Marketing.

Wachovia Corporation: The USBank’s Expansion Strategies

US-based Wachovia Corporation hadexpanded its operations through a numberof mergers and acquisitions. Wachovia’smanagement was confident that theexpansion strategies would facilitate futuregrowth of the bank. Some analystshowever, were sceptical about the successof Wachovia’s expansion strategies. Othersspeculated about merger of Wachovia withanother bank, which would elevate itsposition to the second-largest bank in theUnited States.


• To understand the formation ofWachovia and the expansion strategiesfollowed by the bank

• To discuss the rationale behindWachovia’s expansion strategies.



Keywords

Wachovia Corporation; Expansionstrategies; Mergers and acquisitions; FirstUnion Corporation; Credit quality problems;Merger integration process; Account accessproblems; Organic growth; Economicconditions; Retail banking; Assets-per-broker; Expansion plans; Merger of equals;Cultural integration issues.

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Indian Institutes of Management(IIMs): Going Global

In mid-2005, India’s premier managementinstitutes, the Indian Institutes ofManagement (IIMs), based at six citiesacross India initiated their global expansionplans. The global initiatives involvedsetting up campuses abroad, designingcourses for imparting global managementeducation, international student exchangeprogrammes and offering otherpostgraduate programmes to foreigncorporations like the post graduateprogramme for executives. However, IIMsare expected to face stiff competition frompremier B-Schools like INSEAD andChicago School of Business that havedominated management education in Asia.


• To highlight the contribution of theIIMs to management education in India

• To discuss the strategic initiatives of theIIMs to become a global brand.

Industry Management EducationReference No. GRS0119Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Indian Institute of Management (IIM);India; Education sector; Globalisation;Strategy; Indian Institute of Management;Ahmedabad (IIMA); Managementeducation; INSEAD; Harvard BusinessSchool; International expansion;Singapore; Dubai; MBA; B-schools.

Indiabulls: The Indian RetailBrokerage Firm’s Growth

StrategiesSince its inception in 2000, despite risingcompetition and the ongoing consolidationin the Indian brokerage industry, Indiabullshas recorded a year-on-year growth of100%. By 2005, Indiabulls had 135 officesin 95 cities in India offering diversifiedfinancial services, ranging from stocks toreal estates. Indiabulls is one of the largestbrokerage firms in India with a marketcapitalisation of INR 2,000 crore as ofmid-2005. The company aims to achievea market capitalisation of INR 22,000crore by 2010.


• To highlight growing importance ofonline share trading in India

• To discuss the strategy adopted byIndiabulls to become one of theprominent players in the Indianbrokerage industry within a short spanof five years.

Industry Retail BrokerageReference No. GRS0118Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Indian capital market; Indian retailbrokerage firms; Regulatory reforms inIndian capital market; Initial PublicOfferings (IPOs); Venture capital;Diversification strategies of Indiabulls;Retail finance and asset management;Foreign Institutional Investors (FIIs);Indiabulls’ direct and indirect channels ofbusiness; Financial product distribution;Indiabulls’ centralised back officeoperations; Mechanisation of operationsat Indiabulls; On-line share trading atIndiabulls; Risk management system; Stockmarket scams in India.

Cott Corporation, World’s BiggestMaker of Retailer-brand

Carbonated Soft Drinks: TheGrowth Strategies

Canada-based Cott Corporation wasfounded by Harry Pencer, as an importerof bottled soft drinks in 1955. Thecompany grew under the leadership of hisson, Gerry Pencer, to become the largestsupplier of private label Carbonated SoftDrinks (CSD) in the world. Cott establisheditself in Canada and gradually expanded itsoperations into the US and the UK througha series of mergers and acquisitions. Its rapidgrowth made it a top competitor of softdrinks giants, Coca-Cola and Pepsi. WithWal-Mart as its top customer, it obtaineda ready market for its products. Theconsolidation of the retail industry, andincreasing acceptance of private labelbrands by customers presentedopportunities to Cott for further growth.However, recession in the CSD market andthe prevalent perception that private labelsare inferior to branded products posedmajor challenges to Cott’s future growth.


• To highlight the growth strategiesadopted by Cott to expand andstrengthen its operations in Canada, theUS and the UK

• To discuss the various opportunities andchallenges that Cott might face in thefuture.


Keywords

Cott Corporation; Gerry Pencer; Pepsi;Coca-Cola; Cadbury Schweppes; Private

label brands; Carbonated Soft Drinks(CSD); Mergers and acquisitions; Growthstrategy; Wal-Mart; Retail industry; Asda.

AXA in Asia: The GrowthStrategies

France-based AXA is the second-largestinsurance company in the world with ahistory that dates back almost 200 years.The company, after establishing itspresence in Europe, ventured into NorthAmerica, South America, Australia and NewZealand. It entered Asia (Hong Kong) in1986 and gradually expanded its operationsinto different Asian countries like Japan,Singapore, China, Thailand and Indonesiathrough a series of mergers andacquisitions. In the late 1990s, as theeconomy and demand for insuranceboomed across the region following theSoutheast Asian crisis, AXA aimed toconsolidate its position in the Asian market.But, with an under developed insurancemarket, regulatory constraints and intensecompetition, AXA faces major challengesfor its future growth.


• To highlight the growth strategiesadopted by AXA to expand andstrengthen its operations in Asia

• To discuss various opportunities andchallenges that AXA might face in thefuture.



Keywords

AXA; AXA Asia Pacific; Insurance; Growthstrategies; Mergers and acquisitions;Regulatory environment; Bancassurance;Smart Lady; Privatisation; Liberalisation;Deregulation; Tariffs; Asian financial crisis.

PCCW: Hong Kong’s IntegratedCommunication Company’s

Growth StrategiesSince its inception in 2000, Hong Kong-based Pacific Century CyberWorks Limited(PCCW) has grown to be one of Asia’sleading integrated information technologyand communications companies throughdifferent strategic acquisitions andalliances. In June 2005, PCCW re-enteredthe mobile telephony market by acquiringthe Hong Kong-based SundayCommunications Ltd.






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• To analyse the reasons behind thevarious strategic alliances of PCCW

• To discuss new opportunities andchallenges facing PCCW in the event ofits re-entry into the mobile telecommarket.

Industry Fixed-line Voice ServicesProviders


Keywords

Pacific Century CyberWorks (PCCW);Richard Li Tzar Kai; PCCW’s expansionin China; PCCW Cable and Wireless HKTmerger; Hong Kong’s telecom market;PCCW’s mobile telephony market in HongKong; PCCW’s broadband services;PCCW’s Sunday communicationssynergies; PCCW’s competitors; PCCW’sstrategic alliances; Mobile operators inHong Kong; 3G mobile phone service.

Japan Tobacco: GrowthStrategies

The competition from foreign players likePhilip Morris Inc. (PMI) and BritishAmerican Tobacco (BAT), the decliningpopulation of smokers due to rising healthconcerns, and Japan’s signing of the WorldHealth Organisation FrameworkConvention on Tobacco Control (FCTC)on March 9th 2004 had decreased thedomestic sales of Japan Tobacco (JT) inJapan. Adding to the company’s woes wasthe expiry of contract with PMI tomanufacture and sell PMI’s cigarette brand,Marlboro in Japan resulting in a decreaseddomestic market share from 72.7% to63.2%. To regain its market leadership,JT unveiled its plan to launch 13 tobaccobrands in the domestic market in July 2005,which is still believed to be a lucrativemarket and receptive to new products.However, it was also opined that JT lackeda balanced approach towards internationalexpansion as its global tobacco sales stillconstituted only 21.3% of its total sales,with 59.9% of JT’s tobacco sales valuecoming from Japan in 2005.


• To highlight the challenges faced by JT

• To discuss the growth strategies adoptedby JT in order to remain competitive inthe challenging tobacco market ofJapan.

Industry Cigarettes, Cigars andSmokeless Tobacco Products

Reference No. GRS0114Year of Pub. 2005


Keywords

Japan; Japan Tobacco; Philip Morris Inc.;Marlboro; Growth strategy; FrameworkConvention on Tobacco Control (FCTC);Smoking population; Health concerns;Tobacco market; Cigarette maker;International expansion; Global brands.

Growth of Wikipedia: The FreeOnline Encyclopaedia

Launched on January 10th 2001, as an opencontent, free, on-line encyclopaedia,Wikipedia has grown into a leading websitein terms of information and popularity.By mid-2005, Wikipedia had one millionarticles and 16,000 volunteers to contributearticles to its website. Although Wikipediaensures that articles submitted on its websiteare free from bias, the reliability of theinformation is still being challenged.


• To highlight growth strategies ofWikipedia

• To discuss the opportunities in challengesfacing an open content encyclopaedia.

Industry Internet Content ProvidersReference No. GRS0113Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Free on-line encyclopaedia; Internetcontent providers; Jimmy Wales; Internetentrepreneur; Wikimedia foundation;Nupedia; 7-step review process of Nupedia;Encarta; Britannica; Neutral point of viewpolicy; GNU free documentation licence;Wiki technology; Multilingualencyclopaedia; Vandalism in wikipedia.

eBay in ChinaAfter eBay entered China in 2002, it hadto customise its operations and services tosuit the Chinese market conditions. Itinvested heavily in advertising, brandbuilding and expanding the on-line auctionmarket. Despite such initiatives, eBay isfacing tough competition from a Chineselocal e-commerce site, taobao.com, whichstarted its operations in 2003, and withina span of two years has overtaken eBay interms of transaction volume.


• To highlight the on-line auction marketin China

• To discuss the growth strategies andcompetitive scenario of eBay in China.

Industry Internet AuctionsReference No. GRS0112Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Internet auctions market; Chinese businessenvironment; China’s e-readiness; Businessto consumer market; Escrow paymentsystem; EachNet; China’s e-commercemarket; Settlement risk in on-line auctions;Marketing strategies of eBay; On-linetrading services of eBay; Alibaba; PayPal;Global Sources Direct; Competitivestrategies of eBay.

CNOOC: Growth Strategies of theChinese Oil Giant

In early 2005, CNOOC (Chinese NationalOffshore Oil Corporation) had turned theheads of the global oil league by bidding forUnocal, the seventh-largest US oil and gasexploration company. CNOOC wasincorporated in 1982 with 50 billionRenminbi to take up offshore explorationsboth independently and in collaborationwith foreign companies. CNOOC laterdiversified into natural gas explorations,technical services, chemical and fertiliserproduction, power generation and financialservices. In the process, CNOOC hasattained market capitalisation of more thanUS$17 billion, with proven oil reserves oftwo trillion barrels of oil equivalent acrossthe globe, which will ensure a productionof 250 million barrels of oil equivalent till2010.


• To highlight the strategies adopted byCNOOC, to become one of the majorplayers in the Chinese oil industry

• To discuss the strategies that thecompany must adopt to cement its placein the global oil league.

Industry Oil, Gas and EnergyReference No. GRS0111Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Global oil and gas exploration industry;Chinese oil industry; Oil companies inChina; Growth of oil consumption inChina; Oilfields in China; Chinese NationalOffshore Oil Corporation’s (CNOOC) bidfor Unocal; Acquisitions of CNOOC;Largest oil consuming countries in theworld; National champions in China;Sinopec; Petrochina.

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ASDA: Betting on Low Prices?ASDA, since its takeover by Wal-Mart in1999, has been implementing severalsuccessful strategies, including the ‘pricerollback’ and ‘Every Day Low Prices’ toattract customers. It has been, for eightsuccessive years, ranked as the ‘cheapestsupermarket’ by the Grocer, an independentmagazine in the UK. However, continuouslowering of prices has reduced the profitmargins of ASDA and led to a severe pricewar in the UK retail industry. ASDA hasannounced plans to diversify into non-foodstores and financial services to improveprofitability.


• To highlight competitive landscape ofthe British retail industry

• To discuss the competitive strategiesadopted by ASDA and the challengesfaced by it in the retail sector.

Industry Grocery RetailReference No. GRS0110Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

ASDA; Wal-Mart; Retailing; ‘Every DayLow Prices’; Price war; Supermarkets;Tesco; ‘Price rollback’; UK; Consolidationin UK retail sector; Acquisitions; Groceryretail; Strategy; Discount retail chain.

StanChart in South Korea:Expanding through Inorganic

Growth StrategiesAs part of its global corporate strategy,UK-based banking group StandardChartered (StanChart), decided toconcentrate on Asia for its future growth.Within Asia, the bank was concentratingon India, China and South Korea. For itsexpansion in South Korea, Asia’s thirdlargest economy, the bank was followingan inorganic growth strategy. Manyanalysts were confident that this strategywould enable the bank to get a strongfoothold in the South Korean market andenable it to fulfill its global strategyobjective of acquiring leadership positionin the continent. But some others wereskeptical about the strategy.


• To highlight StanChart’s globalcorporate strategy, its growth strategiesin South Korea and the bank’s businessstrategy for the South Korean market

• To discuss whether StanChart’s growthstrategy in South Korea would enable itto achieve its global strategy objective.



Keywords

Standard Chartered (StanChart); Inorganicgrowth strategies; Korean First Bank;Global corporate strategy; Asian financialcrisis; Mervyn Davies; South Koreanfinancial services industry; Internationalexpansion strategies; KorAm Bank;Citigroup HSBC; Acquisitions and mergers;Business strategy corporate strategy;Funding strategy; Private banking;Consumer banking.

Pernod Ricard: The FrenchBeverage (Wine & Spirits)

Company’s Growth StrategiesPernod Ricard is the world’s third-largestspirits and wine company behind Diageoand Allied Domecq. Its founder chairmanRicard has transformed the French pastisbusiness into a multinational wine and spiritmaker by diversifying into other businesseslike fruit juice manufacturing through aseries of acquisitions. However, due to thedeclining profits and increasing debts, thecompany decided to focus on its corebusiness, and began to divest its non-alcoholic operations since 2001. In 2004,Pernod Ricard was named the ‘BestCompany in Europe’ by Global Financemagazine. In April 2005, the companyannounced a deal to buy Allied Domecq,which would transform Pernod Ricard intothe second largest player in the industry.


• To highlight the growth strategies ofPernod Ricard over the decades

• To discuss the success of Pernod Ricard’sacquisition of Allied Domecq and theprospects and challenges for thecompany.

Industry Alcoholic BeveragesReference No. GRS0108Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Pernod Ricard; Paul Ricard; Patrick Ricard;Growth strategies and diversification;Acquisition and merger; core business;Third largest wine and spirits company;Restructuring plan and divesting; Diageoand Allied Domecq fortune brands; ChivasRegal whisky; Wine and spirit industry;Loss-making businesses; Wine and spiritsdistribution; Ready to drink market; pastismaker; Constellation brands; Seagrams

competitive bidding; Pernod-Allied merger;Challenges and opportunities.

GE in India: The GrowthStrategies

In November 2004, General Electric Co.(GE) sold 60% of its stake in its BusinessProcess Outsourcing division in India,GECIS (General Electric CapitalInternational Services), in order to focuson its core business operations that includedhealthcare, transportation equipment,financial services and infrastructure. Thismarked the third phase of investment byGE. According to Jeffery Immelt, chiefexecutive officer, the growing businessopportunities in India would allow GE toleverage on the advantages of the Indianmarket, such as strong consumer andcommercial finance sectors, which wouldenable GE to realise revenues worth $5billion by 2010.


• To highlight the growth strategiesfollowed by GE to capitalise on thegrowing opportunities in the Indianmarket

• To discuss the investment opportunitiesfor GE in India.

Industry Not ApplicableReference No. GRS0107Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

General Electric (GE); India; Businessprocess outsourcing (BPO); GeneralElectric Capital International Services(GECIS); Healthcare; Financial services;US; Strategy; Economy; China;Information Technology Enabled Services(ITES); Knowledge capital; Offshoring;Service sector; Foreign direct investment.

Caremark Rx Inc.: Growththrough Pharmacy Benefit

ManagersCaremark is the second-largest pharmacybenefit management company in the UShealth care industry. The company wasoriginally established to provide hometreatment to seriously ill patients, buteventually, it expanded into theprescription drug management, PhysicianPractice Management (PPM) and mailorder pharmacy businesses. Althoughinitially, Caremark’s PPM businessachieved a high growth rate, the companywas unable to consolidate its success. Aturnaround specialist, Edwin Crawford, wasappointed to bring the company back to






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profitability. Crawford divested the PPMbusiness and concentrated on developingCaremark’s prescription drug managementbusiness.


• To highlight the growth of Caremarkfrom near bankruptcy to one of the US’leading Pharmacy Benefit Managers

• To discuss the future of the company inthe light of a tighter regulatoryenvironment and growing competitivechallenges.

Industry Health CareReference No. GRS0106Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Caremark; Pharmacy Benefit Manager(PBM); Physician Practice Management(PPM); Growth strategy; Turnaround;MedPartners; Edwin Crawford; LarryHouse; Medco; Express scripts; AdvancePCS; Pharmaceutical Care ManagementAssociation (PCMA); Customer loyalty;Transparency regulations; UnfairPrescription Drug Practices Act.

Adobe Systems: Bruce Chizen’sGrowth Strategies

Adobe Systems Incorporated (Adobe), apioneer in the field of desktop publishing,faced declining sales by mid-1998. BruceChizen (Chizen), its new Chief ExecutiveOfficer (CEO) implemented several growthstrategies that are considered to beinstrumental in making Adobe a majorplayer in the document sharing andpublishing business. However, some expertsexpressed doubts whether Chizen could runthe company successfully in the long run.


• To highlight Adobe’s historicalbackground and the growth strategiesadopted by Chizen

• To discuss whether Chizen’s strategieswould enable Adobe to continue its robustperformance in the future.

Industry Information TechnologyGlobal


Keywords

Adobe Systems Incorporated; BruceChizen; Growth strategies; Desktoppublishing; Adobe Acrobat; PortableDocument Format (PDF); Multi-purposecontent environment; Digital contents for

mobile phones; Macromedia; Flash Litetechnology; Enterprise software market;Web application development powerhouse;Microsoft; Macromedia; Integrateddesktop publishing suite.

Metro AG: The German Retailer’sInternationalisation Strategiesthrough ‘Cash & Carry’ Model

Started as a wholesale store in 1964,Dusseldorf (Germany)-based Metro AGtransformed itself into the largest retailerin Germany and the third-largest in theworld. Though the company generated themajority of its sales from its home market,retail sales in Germany began to show adecline during the early 21st century due toa high unemployment rate, the country’sfaltering economy, a rise in inflation andan increase in taxes. As a result, Metroended up operating in a high-cost structureenvironment and living with low profitmargin, which in turn had an adverse effecton the company’s profits in Germany. Tooffset the declining sales in its domesticmarket, Metro pursued a strategy ofexpansion and internationalisationthrough its ‘Cash & Carry’ business model,and started focusing on emerging marketsin Asia and Eastern Europe. Analystsopined that Metro’s focus on internationalmarkets had been instrumental in drivingits growth in the light of the slowed growthin its home country.


• To highlight the international expansionstrategies adopted by Metro through its‘Cash & Carry’ business model to offsetthe declining sales in its domestic market

• To highlight the initiatives taken by thecompany to strengthen its position inthe emerging markets of Asia andEastern Europe.

Industry RetailReference No. GRS0104Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Metro’s globalisation strategy; Decliningsales in Germany; Expansion in Europeand Asia; Localised offerings; Expansionthrough ‘Cash & Carry’ model.

Kaupthing: The Icelandic Bank’sInorganic Growth Strategies

Kaupthing Bank, the largest bank ofIceland, is also one of the leadinginvestment banks in the Nordic region.Initially when Kaupthing was started in1982, it was engaged in providing advisoryservices and trading securities. Gradually it

increased its activities in Iceland and wasgranted the licence for investment bankingin 1997 and commercial banking in 2002.Since 2002, Kaupthing started expandingits reach to other Nordic countries. In2005, it expanded its presence in the UKmarket, by acquiring Singer & FriedlanderGroup plc., an independent merchant bankin London.


• To highlight growth strategies ofKaupthing Bank and understand howKaupthing achieved its aim of becominga leading Nordic investment bank.



Keywords

Iceland’s largest bank; Internationalexpansion; Expansion into Nordic regions;Presence in the UK; Acquisition strategy;Investment banking.

Bank of America’s Acquisition ofMBNA: Growth Challenges inAmerican Credit Card Market

Bank of America announced its decisionto acquire MBNA, the largest credit cardissuer in the world, in June 2005. Thismarked the re-entry of Bank of Americainto the credit card business, which hadtaken a back seat after the bank spun offits BankAmericard operations in 1968.With the acquisition, Bank of America isexpected to become the number one playerin the US credit card market with a 20.2%share. Nevertheless, analysts expressedconcerns on the deal opining that it wouldbe difficult for Bank of America to make amark in the already saturated business.Giant companies such as AmericanExpress, Citicorp and Capital One areexpected to give Bank of America toughcompetition.


• To highlight the dynamics of credit cardindustry in the US

• To discuss the pros and cons of the Bankof America/MBNA deal.



Keywords

Bank of America; MBNA; Second largestfinancial firm worldwide; America’s credit

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card industry; Mastercard and Visa;Consolidation in the banking industry;Bank of America’s acquisition strategy;American Express; Competing in thesaturated market; Shift towards consumerlending.

Tesco: The British SupermarketChain’s Global ExpansionStrategies and Challenges

Tesco Plc. is the UK’s largest and the world’sthird-largest retail supermarket chain.Established in 1929 by Jack Cohen, Tescosteadily increased its presence in the UKby concentrating on customer needs andtheir convenience. By the mid-1990s,saturation of the UK market led Tesco toexpand its activities to other countries. Itinitiated expansion plans in the developingmarkets of the Central European and Asiancountries, which provided scope for growthof retail business. In 2005, Tesco plannedto continue its international expansionactivity by opening a number ofhypermarkets in Hungary, Poland, CzechRepublic, China, Thailand and SouthKorea.


• To understand and discuss the marketentry strategies of Tesco

• To analyse the challenges it faced incatering to the varied needs of thecustomers in markets across countriesand the competitive strategies adoptedby it in those countries.

Industry RetailReference No. GRS0101Year of Pub. 2005Teaching Note AvailableStruc.Assign. Available

Keywords

Tesco; Competition among Britishsupermarkets; Gap; Internationalexpansion strategies; Expansion intoCentral Europe and Asia; Hypermarkets;Growth challenges; Varied customer needs;Localisation strategies.

San Miguel: The PhilippinesBrewery Giant’s Growth

StrategiesBy 2005, San Miguel Corporation, aPhilippines-based beverages and foodproducts manufacturer, is one of the top20 brewers in the world. It has its operationsin 40 countries with manufacturingfacilities across Asia. By leveraging itsstrong domestic market presence, thecompany plans to be among the top 10beverage and food products companies inAsia.


• To highlight Breweries industry in thePhilippines

• To discuss the inorganic growth strategiesof San Miguel in its domestic as well asthe Asian market.

Industry BrewersReference No. GRS0100Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Beverages and food products market;Product diversification; Expansion intoSouth East Asian Market; Joint venturewith Coca-Cola; Joint venture with Nestlé;Acquisition of domestic companies;Outsourcing of non-core activities;Acquisition of global manufacturing plants;Emerging markets of Asia; Consumptiontrends in Asia.

Axel Springer Group: TheGerman Publishing Firm’s

‘Targeted’ Growth StrategiesAxel Springer Verlag, the Germanpublishing house is the owner of Germany’smost widely read daily, Bild. Since itsestablishment in 1946, the company hadfocused on its core business of publishingnewspapers and magazines in its homecountry. It gave importance to buildingstrong brands and launched its newpublications under existing successfulbrands. To establish itself as an internationalmedia company, Springer startedexpanding to Central and Eastern Europeancountries in the late 1980s. Byimplementing a targeted growth approach,it entered the European countries, eitherthrough a joint venture with a localpublisher, or through the introduction oflocal editions of some existing top brandpublications. In 2004, it entered theGerman electronic media market throughagreements with Internet companies. Whiledigitising helped Springer to make itspresence known worldwide, the companyplanned to expand its printing activity toother countries.


• To highlight the growth plans of AxelSpringer

• To discuss challenges faced by companyto expand its operations in Europe

• To analyse the company’s acquisitionand localisation strategies in realising itsexpansion plans.

Industry PublishingReference No. GRS0099Year of Pub. 2005


Keywords

Axel Springer; Market leadership inGermany; Related diversification; Jointventures; Customised content; Targetedacquisitions; Umbrella branding;International growth strategies; Strongproduct-focus; Trend driven perspective.

Orascom: The EgyptianConglomerate’s Expansion

StrategiesThe Orascom Group is Egypt’s largest andmost diversified conglomerate. Founded byOnsi Sawiris in 1950, it is now managed byhis three sons Naguib, Samih and Nassef,each handling a different business.Traditionally Orascom had been known forits construction projects such as watertreatment plants, railways, hotels andskyscrapers. Later it diversified intodifferent businesses like, production ofbuilding materials, telecommunications andtourism development. These businesseswent on to form Orascom ConstructionIndustries, Orascom Telecom Holdings andOrascom Hotels Holdings.


• To highlight the successfuldiversification strategies implementedby Orascom

• To discuss Orascom’s growth in Egyptand its entry and growth in othercountries with economic indicatorssimilar to its home market.


Keywords

Orascom Group; Onsi Sawiris;Diversification; Conglomerate; MiddleEast; Egypt; Orascom Telecom; OrascomConstructions; Orascom Technologies;Investments in Iraq.

Mobile Telephony in Africa:Celtel International’s Growth

StrategiesBy the end of the fiscal year 2004, CeltelInternational BV, one of the largest mobileoperators in Africa, reported a profit ofUS$147 million against US$74 million inthe previous year. In early 2005, Celtelbecame a subsidiary of MobileTelecommunications Company (MTC), aKuwait-based communications companywith operations in 18 countries. Celtel, withits operations in 13 countries in Central






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and West Africa, intends to expand itsoperations across the continent byleveraging on its brand image.


• To highlight the strategies adopted byCeltel International to transform itselfinto a leading telecommunicationsprovider in Africa.

Industry Wireless CommunicationServices


Keywords

Celtel International BV; African mobilecommunications market; MobileTelecommunications Company; 3Gtechnology; LinkAfrica; Mobile telephonemarket penetration; Making life better;Average revenue per user; Vodacom; Mobiletelephone network.

Kroll Inc.: From Private Eye toRisk Management Specialist

Kroll Inc. is an investigative firm foundedin 1972 by Jules B. Kroll. The firm startedas a provider of investigative services andgradually diversified into risk consultingpractices. With strategic acquisitions,focused customer relationships and acorpus of highly skilled professionals, KrollInc. gained clients and financial stability.In the year 1999, Marsh and McLennanCompanies (MMC), the world’s largestinsurance brokerage firm, acquired thecompany. MMC was a troubled companyfacing investigations by the Securities andExchange Commission (SEC). In 2004,Simon V. Freakley who became the ChiefExecutive Officer of Kroll Inc. facedchallenges on many fronts, one of thembeing differentiating Kroll Inc and MMC’sbusinesses.


• To discuss the strategies adopted by KrollInc. while diversifying itself from aninvestigative business to a globalprovider of risk consulting services

• To highlight challenges facing thecompany after take over by MMC.

Industry Surveillance, Investigationand Security Consulting


Keywords

Kroll Inc.; Jules B Kroll; Risk consulting;Acquisitions; Diversification; Marsh and

McLennan; Securities and ExchangeCommission (SEC) investigations

European Apparel Chains in theUS: Growing Fast and Profitable

The US apparel industry had witnessed asea of change following the entry ofEuropean apparel retailers. Europeanapparel chains like Hennes & Mauritz(H&M) and Inditex, were eroding theprofits of the US counterparts such as Gapand Abercrombie & Fitch (A&F), by eatinginto their market share through theirefficient business models, innovative andfast-changing product offers and lowercosts. With a better fashion focus,European retailers were changing thedefinition of fashion in the US. Instead ofcreating a certain lifestyle image, theyemphasised a strong product focus, a trenddriven perspective, but at a lower price.


• To highlight the comparative study onthe business models of the US andEuropean apparel retailers

• To discuss the viability and profitabilityof these models in the long run.

Industry Apparel RetailReference No. GRS0095Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Hennes & Mauritz (H&M); Inditex andZara; Gap; Abercrombie & Fitch (A&F);European apparel retailers; US apparelretailers; Efficient business models; Strongproduct-focus; Trend driven perspective;Consumer and buyer behaviour; Globalsupply chain; Efficient inventorymanagement; Fast food of fashion; Fasterturnaround of designs; Competitive pricing.

Chevron Texaco’s GrowthStrategies

ChevronTexaco is one of the world’s majorenergy companies and the second largestintegrated oil company in the US. During2001 and 2002, the company’s revenuesand income experienced severe decline. Inaddition, the company’s production wasalso declining year after year in spite of itspromises and efforts to increase it. In2003, chief executive officer DavidO’Reilly implemented a growth plan underwhich the company began to focus on itscore operations. But its net proven reserveswere declining. In April 2005, the companyannounced the acquisition of another USoil firm Unocal, but the deal ran intotrouble due to counter bids from other oilmajors and pending regulatory approval.


• To highlight the evolution ofChevronTexaco into one of the world’sleading energy companies

• To highlight the troubles as well as thegrowth plans of the company

• To discuss the future of the companybased on its successful acquisition ofUnocal and realisation of all its growthtargets.


Keywords

ChevronTexaco ExxonMobil Unocal BP;Largest integrated energy company;Standard Oil Company of California;Restructuring and reorganisation plan;International oil exploration anddiscovery; Oil industry consolidation;Chevron Texaco Caltex Shell Total Fina;Acquisition and merger divestment sell-off;Proven oil and gas reserves; Warri CrisisNiger Delta; Focus on core operations;Dismal financial performance; Oil and gasexploration rights; The TransformationPlan; Top 10 in Fortune 500 list.

Capital One: The AmericanCredit Card Company’s Growth

StrategiesCapital One has been making severalacquisitions in 2004 and 2005 tostrengthen its position in motor-vehiclefinancing, mortgage and home equity loanservices. Its latest acquisition of HiberniaNational Bank in early March 2005 hasprovided it with an opportunity to expandinto the developing markets of Texas andLouisiana (US) apart from enabling it toaccess a cheaper source of funding for itsflagship business of selling credit cards.


• To highlight Capital One’sdiversification strategy and the reasonsbehind its various acquisitions

• To discuss the challenges it faces in thesecond decade of its establishment

• To discuss credit card industry in the US,which is going through a phase ofconsolidation.



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Keywords

Capital One Financial Corporation;Consumer lending services; Motor vehiclefinancing; Mortgage and home equity loansEuropean; Market leader and marketshare; Brand positioning; Credit cardindustry; Diversification strategy; Super-prime; prime and sub-prime customers;Information-based Strategy (IBS); Bad debtand charge-off; Financial portfolio andsourcing of funds; Origination of loans;Competitive advantage; Investmentbanking and insurance.

Novartis’ Generic Drug Business:The New Growth Driver

In 2003, to lay more emphasis on itsgenerics business, Novartis rebranded itsentire generics product lines under theSandoz brand, the brand that had mergedwith Ciba-Geigy to form Novartis in 1996.In February 2005, Novartis acquiredGermany-based generic drugs company,Hexal, and its affiliate, Eon Labs, forenhancing its capability to grab a 10%market share in the US$100 billion globalgenerics market by 2010.


• To highlight the growth strategies ofNovartis in the generics business

• To discuss the strategies adopted byNovartis to face the twin challenges oflow prices and high competition in theglobal generic drug industry.


Keywords

Novartis; Sandoz; Generics; Strategy;Branded drugs; Patent; Generics market;Pharmaceutical industry; USA; Germany;Growth; Eon; Hexal; Sabex.

Wegmans: The US Retailer’sSuccess Formula

Started as the Rochester Fruit & VegetableCompany in 1916 by two brothers, WalterWegman and John Wegman, WegmansFood Markets transformed itself into oneof the most admired in the US’ foodbusiness. The family-owned high-endgrocery store chain with its unusual mantra‘employees first, customers second’,topped Fortune magazine’s annual list of‘100 Best Companies to Work For 2005’.Many believed that, it was particularlyremarkable for Wegmans to remaincompetitive in the supermarket industry,which was going through crises like labour

strikes, consolidations, bankruptcies andincreasing pressure to cut costs.


• To discuss the initiatives taken byWegmans to become one of the mostadmired retailers in the food business inthe US

• To understand the unique business modelof the company that centred on workerand customer relations.


Keywords

Wegmans Food Markets; Robert BWegman; Daniel R Wegman; RochesterFruit & Vegetable Company; Employmentpolicies; Health care benefits foremployees; Employee scholarshipprogramme; Customer service; Supplychain management; Continuousreplenishment programme; Everyday low-pricing programme; ‘Consistent low prices’strategy; Private label products; ‘Food youfeel good about’; Colleen Wegman.

Microsoft’s ‘Digital Vision’:Looking Beyond PC?

Microsoft, known for dominating the PC(personal computer) software business withits flagship brands Windows and Office,made a foray into the consumer electronicsbusiness with its new Media Centre PC.The software giant invested nearly US$20billion on digital entertainment businessand was aiming for a chunk of the US$108billion consumer electronics market withits PC-based home entertainment concept.Microsoft has been able to dominate thePC business making its software the ‘defacto’ standard for PCs and it seems to betrying to repeat the same through its MediaCentre PC. Like its previous productdevelopment efforts, its latest venture alsorevolved around the PC and showcased itas the hub of digital home entertainment.However, the going might just be toughfor Microsoft to break into the bastion ofconsumer electronic giants like Sony andSamsung. Microsoft has to deal with manychallenges to establish PCs as a hub ofdigital entertainment.


• To highlight the reasons for Microsoft’sinterest in the consumer electronicsmarket and its preparedness to deal withthe complexities of the market

• To discuss the company’s efforts toestablish PCs as a media hub and to

overcome the image that its PC softwareis ‘unreliable and error prone’.

Industry Development Tools, OperatingSystems and Utility Software


Keywords

Microsoft; PC (Personal Computer)software; Monopoly; Media centre PC;Digital vision; Consumer electronics; Entrybarriers; Diversification; PC-based homeentertainment; Convergence; IntegratedPC’s; New product development.

Kaplan Inc.: The WashingtonPost’s Education Division’s

Growth StrategiesKaplan Inc., a subsidiary of WashingtonPost Company has become a leading for-profit higher education institution in theUS. It has grown from a test preparationcompany to a large and diverse educationalconglomerate under the leadership ofJonathan Grayer who became the CEO(Chief Executive Officer) of Kaplan in1994. Grayer and his team faced manychallenges to revive Kaplan. By combatingcompetition, complying with stringentfederal guidelines, acquiring educationalcompanies and streamlining businessoperations using the Web, Kaplan made amark in the for-profit higher educationmarket.


• To discuss the strategies adopted byKaplan while diversifying into variouseducational businesses

• To discuss Kaplan’s parent company’sdecision to invest in the educationbusiness rather than expand its mediaholdings.


Keywords

SAT (Scholastic Aptitude Test); Testpreparation; Brooklyn; Washington Post;Donald Graham; Kaplan Higher Education;Jonathan Grayer; Princeton Review;Acquisitions; On-line education; Federalfinancial aid.

Inditex: The Spanish Retailer’sGrowth Strategies

Industria de Diseño Textil, SA (Inditex),Spain’s largest listed retailer of textiles and






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footwear has chalked out a five-year planfor doubling its size by 2010. The successof Inditex lies in its unique business model,which consists of a complete centralisationand vertical integration of itsmanufacturing and distribution processes,coupled with state-of-the-art informationtechnology.


• To highlight the contribution of theIIMs to management education in India

• To highlight the merits of outsourcingof garment manufacturing vis-à-vis in-house manufacturing

• To discuss the importance of in housemanufacturing in the fashion industry

• To highlight the risks for any retailerwhile expanding into too many foreignmarkets.

Industry Apparel and AccessoriesRetail


Keywords

Apparel and accessories retail industry;Growth and diversification strategies;Vertical integration; Just-in-time inventorycontrol; Information technology; Zara asflagship store for the Inditex group; Supplychain management; Outsourcing ofmanufacturing to Asian countries; Conceptof in-house manufacturing; Hennes &Mauritz; Competition in the global retailindustry; Centralisation of Inditex’sbusiness processes; ‘Fast fashions’ businessmodel of Inditex; Distribution system andlogistics of Inditex; Segmentation as abusiness strategy.

IBM’s ‘Mach 1’ Project: The NewGrowth Driver?

Since the late 1990s, IBM (InternationalBusiness Machines) has been losing marketshare in its core hardware business with amajor portion of its revenues coming fromsoftware and services divisions. To improveits hardware business, a new project namedMach 1 was implemented in 2000. Theproject started yielding positive resultsfrom the last quarter of 2000, and for thefirst three quarters of 2004 the revenuesfrom IBM’s hardware division has increasedby 9.4% while that from its software hasincreased only by 2.8%.


• To highlight the contribution of IBM’sMach 1 project in making the hardwarebusiness the new growth driver of IBM

• To discuss IBM’s Mach 1 Project.

Industry Computer HardwareReference No. GRS0087Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

IBM (International Business Machines);Mach 1; Hardware business; e-Server;Server market; IBM server business; Dell;Hewlett-Packard.

GlaxoSmithKline Plc.: Scoutingfor Growth Avenues

In the year 2000, GlaxoWellcome plc. andSmithklineBeecham plc. merged to formGlaxoSmithkline plc. (GSK). In recentyears, GSK has been facing challenges onmany fronts: patent expiration, lack ofpromising drugs and ongoing lawsuits. Withincreasing pressure on the profit margins,GSK is revamping its strategy to sustain itsleadership in the global pharmaceuticalindustry.


• To highlight growth strategies of GSKwith respect to new drug development

• To discuss the strategies adopted by GSKto deal with the competition it is facingfrom the generic drug makers.


Keywords

Pharmaceutical industry; Centres ofExcellence for Drug Discovery; Patents;Generics; Clinical trials; Paxil; Dr JeanPierre Garnier; New product pipeline;Patent expiry; Blockbuster drugs.

Craigslist.org’s Growth StrategiesCraigslist.org founded in 1995 as a freeon-line classifieds site serving the Bay Areahas become a treasure trove of job postings,personal ads and other on-line information,attracting one billion page views per month.The success of the site is largelyattributable to its chairman CraigNewmark’s vision of the Internet and thedistinct brand identity he was able to createfor the site.


• To discuss how a simple ordinary lookingwebsite with its ease of use has disruptedthe traditional classified advertisingindustry.

Industry Internet Content ProvidersReference No. GRS0085Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Craigslist; Nerd values; Community;Classifieds; Craig Newmark; JimBuckmaster; eBay.

Cisco’s Routing Problems: FastGrowth or High Margins?

In 2004, Cisco, the world leader in Internetnetworking technology, reported annualrevenue of $22 billion, a 17% rise over theprevious year. The growth was consideredmuch less compared to its 80% growth inthe previous decade. Analysts believe thatin a market crowded with specialists, Ciscowould have to leverage on its brand andacquisitions to maintain its leadership inthe industry with a growth rate of 15% forthe next decade.


• To analyse the competitive strategiesimplemented by Cisco to maintain itsleadership in the years to come.

Industry Routing and SwitchingEquipment


Keywords

Cisco Systems Inc.; Router technology;Diversification through acquisitions;Nortel; Lucent Technologies; CDDI(Copper Distributed Data Interface) andFDDI (Fibre Distributed Data Interface);Reliable distribution networks; Nichemarketers; Network of networks; Advancedtechnologies; e-Commerce.

Apollo Group: The US EducationProviders’ Growth Strategies

Apollo Group (Apollo), a US-based for-profit education company provided highereducation programmes tailor-made forworking adults. The group with its foursubsidiaries successfully established itself asa highly profitable post secondaryeducation company. By focusing on theneeds of working adult students, treatingstudents as customers and meeting thechanging market needs by providing onlinecourses, Apollo became the largest privateuniversity in the US.

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• To discuss how Apollo built a billion-dollar business by carving a niche foritself in the ‘working adult studentseducation market’, which for long hadremained unattended by the traditionaluniversities.


Keywords

For-profit education; Working adults; JohnG Sperling; Todd S Nelson; University ofPhoenix; Institute for ProfessionalDevelopment; Western InternationalUniversity; UOP (University of Phoenix)on-line; Axia College.

The Body Shop: The EthicalBeauty Retailer’s Growth

StrategiesThe Body Shop International, a UK-basedspeciality beauty retailer, known for itsenvironment-friendly product testing andsocially conscious activism, offers 600products and 400 accessories across 50countries. The global retailer, with a 40%increase in profits in 2004, intends toexpand into the lucrative Asian and Africanmarkets through the concept of DirectHome Selling, which the companyintroduced in its home market in the 1980s.


• To discuss how the Body Shop is makingattempts to expand its business globallyby leveraging on its image as an ethicalbeauty retailer.

Industry Cosmetics, Beauty and PerfumeRetailing


Keywords

The Body Shop International PLC; Ethicalretailer; Niche marketing; Specialtyretailer; Anita Roddick; Community trade;Brand image; Body Shop at home; TheBody Shop tour; Humane cosmeticsstandard; Masstige price.

Shoprite: South African Retailer’sGrowth Strategies

Started in the late 1970s with a chain ofeight supermarkets in South Africa,Shoprite Holdings Ltd. (Shoprite), by 2004,has become Africa’s largest food retailerwith more than 900 outlets and a customer

base of 10 million people. Havingoperations across 16 countries in Africa,Shoprite plans to further expand andincrease its share of non-South Africanrevenues from 10% to 50%.


• To highlight the strategies behind therapid growth of Shoprite against thebackdrop of trade restrictions,bureaucracy and inflation, that has beenthe perennial hurdles for the company.


Keywords

Shoprite Holdings Ltd; Shoprite’sGeographical expansion; Horizontalintegration; Supermarket industry in SouthAfrica; Shoprite’s retail formats; SouthAfrica’s formal retail sector; South AfricanDevelopment Community; Retailing inSouth Africa; Department of Trade andIndustry in South Africa; Flood inflationin South Africa; Pick n Pay.

Reckitt Benckiser: Growingthrough Innovations

Since its inception in 1999, ReckittBenckiser has constantly been improvingits core brands while coming out with newbrands. The company has offset challengesof exchange rate fluctuations and hike inthe prices of its raw materials throughconstant product innovations and costoptimisation techniques. It has constantlyheld the world’s No.1 position in householdcleaning items and has posted five straightyears of above industry average growth.


• To discuss how constant productinnovations has enabled ReckittBenckiser to transform itself into theworld’s largest household cleaningproducts manufacturer apart frombecoming one of Britain’s mostinnovative companies.

Industry Cleaning ProductsReference No. GRS0080Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Reckitt Benckiser; Growth strategy;Innovations; Consumer productsmanufacturer; Household cleaning; Costoptimisation techniques; Diversification;Expansion; Line extentions; Organicgrowth; Innovative marketing; Exchangerate fluctuations; Dettol; Lysol.

Sohu.com: The Growth StrategiesSohu.com is China’s leading web portal anddirectory. Through partnerships andcontinuous innovation in services, Sohuturned into the premier destination forChinese Internet users and advertisers. Butthe company incurred significant net lossessince its inception. To move towardsprofitability it changed the business strategyfrom on-line advertising to selling servicessuch as on-line games, dating services,e-marketing, e-subscriptions ande-commerce, targeting individualconsumers and other value-added services.


• To highlight the evolution of Sohu, andthe growth strategies it followed toaddress the challenges in the existing andemerging web services business.

Industry Internet Search and NavigationServices


Keywords

Sohu; Sina; Internet; China IT industry;Paid searches; Charles Zhang; Internetstatistics; Growth strategy; On-line games;Internet advertising; e-Commerce;NetEase; Web portals; Yahoo; Google.

Royal Caribbean Cruises Limited:The Growth Strategies

Despite unforeseen events like theSeptember 11 terrorist attack, SARS(Severe Acute Respiratory Syndrome)outbreak and the Iraq war, the world’ssecond-largest cruise line, Royal Caribbean,recorded total revenues of $4.6 billion inthe year ended 31st December 2004. Witha fleet of 29 ships, the company cateredto 160 destinations across the world. Theincreasing demand in the cruise industryforced Royal Caribbean to further expandits passenger capacity amidst thechallenges of rising oil prices and a debtburden of $5.8 billion.


• To discuss the growth and expansionstrategies adopted by Royal Caribbeanagainst the backdrop of some majorproblems and challenges faced by thecompany.

Industry Travel Agencies and ServicesReference No. GRS0078Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available






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Keywords

Royal Caribbean Cruises Limited; Cruiseindustry; Royal Caribbean International;Celebrity cruise; Carnival; Royal Caribbeanfleet size; North American cruise market;Travel industry; Royal Caribbean cruisefares; Passenger growth in cruise industry;Richard Fain; Growth strategy; RoyalCaribbean expansion plans; Major cruiselines.

Gambling Industry in USA: TheGrowth Strategies

After its new-found respectability and thegovernment’s interest in deregulating thistightly controlled business, gambling hasbecome one of the most flourishing industriesin the US. It grew from less than $40 billionin 1993 to $73 billion in 2003, 32.4% ofthe total global gambling revenue for thatyear. By 2004, 46 states in the US had someform of legalised gambling and it is expectedthat on-line gambling alone would generaterevenues of $7.6 billion by 2005.


• To highlight the evolution and growthof the gambling industry in the US

• To discuss the challenges faced by it dueto market saturation and the US taxstructure.

Industry Gambling, Resorts andCasinos


Keywords

Gambling industry; Growth strategies;Consolidation; MGM (Metro-Goldwyn-Mayer) Mirage; Harrah’s Entertainment;Internet gambling; Lotteries; Pari-mutuelwagering; Casinos; Mergers andacquisitions; National Gambling ImpactStudy Commission (NGISC); Cashless slotmachines; Globalisation; American GamingAssociation; Entertainment industry.

Total: The French Oil Giant’sGrowth Strategies

Total is the third-largest oil company inEurope and is ranked 25th in the FT(Financial Times) Global 500. Thecompany has become the fourth-largest,publicly traded, oil and gas integratedcompany in the world. However, in 2002,the company’s former and existingexecutives were charged with a corruptionscandal (alleged to have taken place in the1990s). Meanwhile, the other problems forTotal were reduced demand, a weaker USdollar, and the falling output of the

company. Total tried to overcome itsproblems through its negotiations withother oil companies, an increase ofproduction due to major new discoveries,and by lowering its costs.


• To discuss the troubles faced by Total inthe early 21st century

• To discuss the growth strategies andchallenges Total faces to beat itscompetitors.

Industry Oil and GasReference No. GRS0076Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Total; TotalFina; TotalFinaElf; Growthstrategy; Oil and gas industry; Hydrocarbon;Upstream; Downstream; Chemicalbusiness; Exxon Mobil; OPEC(Organisation of Petroleum ExportingCountries); Petroleum products.

The Growth Strategies of SouthKorean Real-Time News Site,OhmyNews: The Challenges

OhmyNews, a South Korean real-time newswebsite, operates on the new concept of‘citizen journalism’ (any ordinary citizencan contribute news). Since its inceptionin February 2000, the number of ‘citizenreporters’ has grown from 700 to 36,000and its readership has grown to more thanone million a day. Through its innovativeconcept it has grown to become the eighthmost influential media organisation inSouth Korea and has started making profits.As part of its growth plans, OhmyNewshas ventured globally and decided to makeits revolutionary concept successful aroundthe world.


• To discuss the growth strategies followedby OhmyNews

• To discuss the challenges it faces in itsattempt to grow as an influential mediumat the international level.

Industry Real time Internet News PortalReference No. GRS0075Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

OhmyNews; South Korea; Real timeInternet news portal; Citizen journalism;Oh Yeon-Ho; Growth strategy; OhmyNewsInternational; Conservative newspapers;Citizen reporters; Two-way journalism;Comprehensive news portal; Korea Press

Foundation; News guerillas; Competitivestrategies; Readers’ Voice.

SINA: The Yahoo of China?SINA is a leading Internet portal for allChinese-speaking communities around theworld. With usage of the Internet booming,China seems set to overtake the US as thecountry with the largest on-line audience.SINA’s aim is to capitalise on theopportunities presented by the ChineseInternet market and one day become theYahoo of China.


• To discuss the growth strategiesemployed by SINA to become a leadingChinese Internet portal

• To highlight the combative strategiesemployed by SINA against itscompetitors, Sohu and NetEase.

Industry Content ProvidersReference No. GRS0074Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

SINA; Chinese Internet portal; Sohu.com;Wang Zhidong; NetEase; Growth strategy;Stone Rich Sight Information TechnologyCompany; China; Internet messagingservices; e-Commerce services;Comprehensive portal; Joint ventures; On-line advertising; Competitive strategies; e-mail services.

AMD’s Growth StrategiesSince its inception, AMD (Advanced MicroDevices) always focused on producing low-priced versions of Intel chips throughreverse engineering. However by 2004, itcompletely changed its strategy andemerged as a major innovator of a 64-bitprocessor, Opteron, which helped it to gaina strong foothold in the processor market.In 2004 the company recorded revenuesof $5 billion.


• To highlight the growth achieved byAMD through its ‘customer-centricinnovation’ philosophy

• To discuss the strategies adopted by AMDto become an innovator from animitator.

Industry Microprocessors, MicroControllers and Digital SignalProcessing


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Keywords

Advanced Micro Devices (AMD); Growthstrategies; Chipmaker; Microprocessors;Flash memory devices; 64-bit processors;AMD Opteron; AMD Athlon; Customer-centric innovation; Licensed second sourcemanufacturer; Connected business model;Mergers and acquisitions; Intel;Technological collaboration; Innovations.

NCsoft: The World’s LargestIndependent Online GameCompany’s Growth Strategy

NCsoft, the world’s largest independent on-line game company, was established in1997. Under the leadership of CEO (ChiefExecutive Officer) and president, Tack JinKim, NCsoft’s premier product ‘Lineage’became an instant hit among on-linegamers around the world. NCsoft continuedto publish new games and modify old onesto suit worldwide consumer tastes andpreferences. It entered foreign marketsthrough acquisitions and partnerships withwell-established domestic companies. But,as NCsoft sought to continue its expansionspree around the world, a face-off with USgiant Microsoft and Japan’s Sony seemedlikely.


• To discuss the growth strategies adoptedby NCsoft to capitalise on the lucrativeon-line games market

• To highlight the various opportunitiesand challenges that NCsoft might facein the future.

Industry Entertainment and GamesSoftware


Keywords

Japanese handset makers; 3G (thirdgeneration) technology; Saturation inJapanese mobile phone market;Dominance of network operators in Japan;Japan’s mobile phone market; Advancedfeatures in Japanese handsets; Widebandcode division multiple access; SonyEricsson; Roll out of 3G services in China.

Japanese Handset Makers:Exploring New Growth

OpportunitiesSince the beginning of the 21st century, theJapanese handset makers experienced aslump in their sales in the domestic market.The factors attributed to the fall were: (1) afall in new subscriber growth (marketpenetration was approaching 60%) (2) The

impact of 3G (third generation) serviceswas unclear and (3) the Japanese handsetmarket was nearing saturation. To offsetthe declining sales, Japanese handset makersinitiated steps to explore opportunitiesoutside their domestic market. They feltthat the advanced technologies of theirhandsets would help in attracting customersin foreign countries. By all accounts,Japanese handset makers could capitaliseon their expertise in 3G technologies withits advent in European countries and China.


• To analyse the factors that contributedto the slowdown in the growth of theJapanese handset market

• To discuss the efforts initiated by theJapanese handset makers to make aforay into the foreign markets

• To discuss the challenges faced byJapanese handset makers ahead inemerging as strong contenders in theglobal handset market.

Industry Wireless Telephone HandsetsReference No. GRS0071Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Japanese handset makers; 3G (thirdgeneration) technology; Saturation inJapanese mobile phone market;Dominance of network operators in Japan;Japan’s mobile phone market; Advancedfeatures in Japanese handsets; Widebandcode division multiple access; SonyEricsson; Roll out of 3G services in China.

Growth Strategies of BRICEconomies

In 2004, countries in Latin America, Asiaand Europe experienced their fastest GDP(Gross Domestic Product) growth ratessince the 1970s. Favourable externalfactors such as reduced global interest rates,high demand from the US and thedepreciation of the US dollar against therespective currencies facilitated thisgrowth. Brazil, Russia, India and Chinacollectively called the BRIC economies,started featuring along with the G-6 nationsin terms of the purchasing power parity(PPP), due to their high GDP. It was alsoestimated that the BRIC’s would outpacethe G-6 nations by 2040 and emerge as theglobal economic powerhouses in the future.


• To highlight the economic growthstrategies of the BRIC countries

• To discuss the growing importance ofBRIC countries in the global economy.


Keywords

Growth of emerging economies; The BRIC(Brazil, Russia, India and China)economies; Brazil’s real plan; Brazil’sinflation-targeting regime; Russia’sstructural reforms; Economic reforms ofIndia; China’s economic development;Growth imperatives for the BRICeconomies; Hindrances in growth of theBRIC economies; TransparencyInternational; Human Development Index;G-6 nations (US, Japan, Germany, France,Italy and Britain).

Citibank in AsiaBy 2004, Citibank was the leading financialservices provider and one of the top 10consumer brands in Asia. Since the late1990s, the consumer business of Citigroup,the parent company of Citibank, recordeda compound annual growth rate of 20% inAsia. A steady economic growth in Asiacoupled with the absence of a Pan-Asianfinancial services group offered crucialopportunities to the financial mega-brandin this region.


• To discuss the opportunities andchallenges faced by the global bank inthe competitive Asian market.

Industry BankingReference No. GRS0069Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Citibank NA; Asian financial crises; Bankconsolidation in Asia; Household financialassets; Consumer banking; Householdcredit; On-line banking; Credit cards;Citigold; Suvidha scheme; Travelers Group;Competitors for Citibank in Asia;Segmentation of the Asian bank customers.

PC Industry’s Next One BillionCustomers: Exploring the Growth

AvenuesThe global PC industry was looking fornew avenues for growth as its traditionalmarkets matured. Penetration levels in theUS PC market as well as other Europeannations were as high as 60%. The industrybehemoths like Dell, Microsoft, IBM andHewlett-Packard believed that developingcountries like Brazil, India, China andRussia were the next ‘one billion market’.






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While the companies were tapping the un-met needs and were adapting themselvesto the market requirements, severalchallenges stood in their way to success.The poverty levels, the rigid laws and thelanguage diversity were, among others, theproblems for these multinationals.


• To highlight the PC industry’s growthstrategies in the traditional markets andits entry into emerging markets.

Industry PC Software and HardwareReference No. GRS0068Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

PC industry; Emerging markets; Dell inChina; Hewlett-Packard in emergingmarkets; PC in rural India; PC market inUS; Hewlett-Packard in South Africa; BRICeconomies and PC industry; Marketexpansion; Growth strategies; South Koreabroadband; On-line gaming in South Korea;Dell’s SmartPC; Software piracy indeveloping countries

Hershey Foods Corporation: TheNorth American Snack-Food

Maker’s Growth StrategiesHershey Foods Corporation, the largestNorth American snack food maker’s origindates back to the 19th century. Since then,the company has concentrated onproducing a wide variety of chocolates tosuit the customers’ taste. Hershey’s strategyencompasses extension of its product linethat provides the company a distinctadvantage over its competitors like Marsand Nestle. In addition, Hershey’s focuson acquisitions of well-known brands,discontinuing weak product lines, apartfrom appropriate marketing of its productsenabled the company to achieve net salesof $4,172.551 million in 2003.


• To discuss the strategies adopted byHershey to grow in the competitive USsnack food industry.

Industry Candy & ConfectionsReference No. GRS0067Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Hershey Foods Corporation; MiltonHershey; Hershey’s brands; US snack foodmarket; Hershey’s product lines; Hershey’sacquisitions; Hershey’s Kisses; Hershey’ssales growth; Hershey’s competitors.

Giorgio Armani’s GrowthStrategies

Since its inception in 1975, the GiorgioArmani Group, the Italian fashion house,known for its ‘power suits’ in the 1980sand its clients in Hollywood, has beenreporting continuous profit growth. By2003, the apparel and luxury goodsmanufacturer and retailer had its presencein 34 countries across the globe with brandslike Giorgio Armani, Armani collezioni,Emporio Armani, Armani Jeans, ArmaniExchange, Armani Junior and ArmaniCasa.


• To discuss the strategies adopted by thefashion house to expand and diversifyin the global fashion industry.

Industry ApparelsReference No. GRS0066Year of Pub. 2005Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Giorgio Armani SpA; Giorgio ArmaniCorporation; Emporio Armani; Power suit;The most famous glamour house; AmericanGigolo and Richard Gere; Strategic alliances;Acquisitions; L’Oreal; Armani brands;Hollywood; Competitors for GiorgioArmani.

BHP Billiton: The AustralianMining Company’s Growth

StrategiesIn 2001, BHP, an Australian ‘naturalresources company’ and Billiton, a Britishmining company, merged to form theworld’s largest mining company – the BHPBilliton Group. Since its formation, thegroup has been focusing on globalexpansions, leveraging on BHP’s expertisein natural resources and Billiton’s vastexperience in the mining industry. By June2004, the group had a marketcapitalisation of US$54 billion.


• To discuss the global growth strategiesof the BHP Billiton Group

• To discuss the company’s plans forsustaining its leadership in the worldwidemining industry.

Industry Metals and MiningReference No. GRS0065Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

BHP Billiton; Global mining market;Aluminium refineries in South Africa; Coal

mines in Australia; Chinese appetite forsteel; Iron ore mines in Australia; Bauxitemines in Indonesia.

Nokia in China: The GrowthStrategies

Since 1985, Nokia had been fighting hardto establish a strong presence in the Chinesecellphone market that had grownsignificantly during the 1990s. Despiteinvesting heavily in research anddevelopment and manufacturing facilities,Nokia had been facing tough competitionnot only from foreign companies likeMotorola and Samsung but also fromdomestic players like TCL and NingboBird. The market share of domestic playershad increased from a mere 5% in 2000 to56% in 2003.


• To discuss the growth strategies beingadopted by Nokia to gain a strongfoothold in the highly competitive yetgrowing cellphone market of China.

Industry Wireless Telephone HandsetsReference No. GRS0064Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Nokia in China; Nokia (China) InvestmentCo. Limited; Nokia entry strategy inChina; China mobile phone market; Chinacellular market; Domestic and foreigncellphone players in China; XingwangIndustrial Park; Nokia cell phone modelsin China; Nokia investment in China;Nokia GSM (Global System for MobileCommunications) phones in China

Hennes & Mauritz (H&M): TheGrowth Strategies

From a single store selling womenswear in1947 to over 900 stores in 2003, theSwedish fashion retailer H&M had come along way. By then, the company withoperations in 20 countries and a turnoverof SKR57 billion had become the largestdiscount retailer in Europe, selling clothesfor women, men, teenagers, and children,besides accessories for men and women,and cosmetics. It also started concept storesto serve its customer segments better.


• To discuss the strategies adopted byH&M to become Europe’s largestdiscount fashion retailer

• To discuss the market entry strategiesof the company for the US market.

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Industry Apparel and AccessoriesRetail


Keywords

New market entry strategy; Store location;Customer segmentation; Discount fashionretailer; US fashion retailing industry; GalneGunnar stores; European fashion retailingindustry; Concept stores; Departmentalstores; Store size.

STAR TV in India: The GrowthStrategies

From its nearly obscure status in India in1991, STAR (Satellite Television AsiaRegion) TV has reached a dominantposition, reaching 90% of the 40 millionIndian homes having cable and satelliteconnections by 2004. With a sizeableportfolio of news, entertainment andsports channels, both in English and Hindi,it secured a 62% share in viewership and a50% share of the total advertisingrevenues of the Indian television market.


• To discuss the growth strategies of STARTV that has made it the leader in thehighly competitive television market inIndia.

Industry EntertainmentReference No. GRS0062Year of Pub. 2004Teaching Note AvailableStruc.Assign. Available

Keywords

News Corporation; Cable televisionbusiness in India; STAR (SatelliteTelevision Asia Region) TVs advertisingrevenues in India; STAR TV’s viewershipshare in India; STAR TV’s initial years inIndia; STAR channels in India; MTV (MusicTelevision) India; Channel [V]; STAR’sgrowth plans in India; Media competitionin India; Direct-to-home (DTH) satellitetelevision distribution system; STAR TV’smarket share in India.

FreemantleMedia’s Pop Idol:The Growth Strategies

The Idol series, the international formatof Pop Idol, a UK-based national talentsearch for the best solo singer, is jointlyhandled by FreemantleMedia and 19 Group.The Idol series has got the maximumnumber of nominations amongst all realityTV shows in the Emmy awards and has atotal audience of 110 million across theglobe.


• To discuss the growth strategies of PopIdol, which is leveraging on itsexperience as a content provider tointernational television media industry.

Industry Television Production andDistribution


Keywords

Pop Idol; American Idol;FreemantleMedia; RTL Group; Realityshows on the television; Idol series; Theformat of idol series; Statistics of the idolseries; Acquisitions of Pearson Television;The statistics of American Idol.

Constellation Energy: The GrowthStrategies

Constellation Energy Group Inc. is anational supplier and service provider ofelectricity and natural gas in the US. Itranks 203 amongst the Fortune 500companies. By 2004, it had become thebiggest power trader in the US.


• To discuss the growth strategies ofConstellation which is leveraging on itsexperience as a competitive energymarketer since its incorporation in1999.

Industry Energy Trading and MarketingReference No. GRS0060Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Utility companies in the US; Power tradingcompanies in the US; ConstellationNuclear LLC; Business segments ofConstellation Energy Group; Expansionstrategies of Constellation Energy Group;The Energy market in the US; WisconsinEnergy Corporation; Constellation Group’sstrategic alliances; The generating facilitiesof Constellation Energy Group Inc.;Financials of Constellation Energy GroupInc; Business wise revenues of ConstellationEnergy Group Inc.; The energy value chainfor Constellation Energy Group Inc.;Companies of Constellation Enterprise;Future contracts of Constellation EnergyGroup Inc.

Carlson Wagonlit Travel: TheGrowth Strategies

Started in 1994, Carlson Wagonlit Travelspecialises in travel management, primarily

focusing on managing business travel forcorporate clients worldwide. Itscompetency lies in the optimisation ofcorporate travel budgets by designing andimplementing customised travelmanagement programmes. With annualsales of $11.5 billion in 2003, CarlsonWagonlit had become the second-largesttravel agency in the world after AmericanExpress.


• To discuss Carlson Wagonlit’s aggressiveglobal growth strategies based onacquisitions and joint ventures, whichmade it the second-largest travel agencyin the world.

Industry Travel agencies and ServicesReference No. GRS0059Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Global travel agency business; Customisedtravel management programmes; Accorgroup; Japan Travel Bureau; Top ten travelagencies in the world; Prominent customersof Carlson Wagonlit Travel; Majoracquisitions and Joint Ventures (JV) ofCarlson Wagonlit Travel; History ofCarlson Wagonlit Travel; Carlson WagonlitTravel’s growth in the Asia-Pacific; MaritzCorporate Travel; Groupe Protravel.

British Telecom: Driving Growththrough Broadband

Since 2001, British Telecom Plc. (BT),the UK’s leading telecommunicationscarrier, has been struggling to reduce itshigh debt levels. Unlike its competitors, ithas no presence in the mobile telephonymarket. CEO Ben Verwaayen discoveredthat broadband internet services could bethe company’s growth-driver. Apart frommoving towards 100% broadband coveragefor every community in the UK by 2005,BT is betting on three ambitious broadbandinitiatives to bring in greater revenues –21st Century Network, BT Communicatorand Project Bluephone.


• To discuss BT’s turnaround between 2001and 2004 from a telecom serviceprovider to a dominant player inbroadband Internet services

• To discuss BT’s future plans to drivebroadband penetration and createproducts and services that would helpenable its customers in utilisingbroadband

• To discuss the company’s shiftingrevenue model and the regulatory issuesit currently faces.






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Industry TelecommunicationsReference No. GRS0058Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

British Telecom Plc. (BT); Ben Verwaayen;Broadband; Project bluephone; UKsbroadband penetration; BTCommunicator; Vodafone; Ofcom; Oftel;21st Century Network; Sir ChristopherBland; BT Wholesale; BT Retail.

Louis Vuitton: The Making of aStar Brand

Louis Vuitton (LV), the trendsetter inmanufacturing high-quality expensiveleather accessories and cases, is the mostprofitable luxury brand in the world. AfterMarc Jacobs took over as the CreativeDirector of LV in 1997, its brand imageunderwent a complete transformation. By2004, LV was bringing in 60% of LVMH’sUS$2.47 billion operating profits and wasmuch ahead of its competitors like Gucci,Richmont and Prada.


• To discuss the strategies that LouisVuitton adopted to upscale its image andmetamorphise itself into a star brand.

Industry ApparelsReference No. GRS0057Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Louis Vuitton (LV); LVMH (MoetHennessy-Louis Vuitton); Star brand;Branding strategy; Brand development;Luxury brand; Marc Jacobs; Innovationsin the material used by Louis Vuitton;LVMH sales in 2003; LVMH sales byBusiness Group.

Heineken in Russia: The GrowthStrategies

In the 1990s, the Netherlands-based beerproducer, Heineken was operating in 170countries across the globe. The rapidgrowth of the Russian beer market sincethe mid-1990s prompted Heineken toestablish its presence in Russia. In 2001,Russia became the fifth-largest beer marketin the world and in 2002, Heineken forayedinto Russia by acquiring the fourth largestRussian beer company, BravoInternational. Despite the ban on beeradvertisements imposed by the Russiangovernment in 2004, Russia’s stronggrowth potential encouraged Heineken to

make further investments in Russia bysetting up a beer brewery in the Urals.


• To discuss the market entry strategiesof Heineken in Russia

• To discuss the company’s plans toestablish itself as a leading player in thehighly competitive beer market ofRussia.


Keywords

The global beer industry; The Russian beerindustry; Ban on advertisements in Russia;Potential growth of the Russian beerindustry; Heineken’s expansion strategiesin Russia; Major players in the Russian beermarket; Bravo International Inc;Heineken’s acquisitions in Russia.

Whirlpool’s Global ExpansionStrategies

Whirlpool is the leading manufacturer ofmajor household appliances in the world.In the 1980s, the company, a market leaderin the US expanded its presence to Europe,Asia and Latin America. The company hasrelied on globally integrated activities,customer focus and constant innovationto aid growth. But the company’s Asianoperations faced numerous hurdlesincluding a preference for local brands andprice competition.


• To discuss Whirlpool’s global expansionstrategies

• To discuss the problems faced by thecompany in Asia

• To discuss the opportunities andchallenges that Whirlpool is likely toface in the future.

Industry Consumer Durables andAppliances


Keywords

Whirlpool’s global expansion strategies;Home appliance industry; Innovation;Growth strategy; Price competition;Mature market; Customer focus; ElectroluxAB; Kenmore; David Whitwam; JeffFettig; Consumer durables; Brandingstrategy.

USA’s Banking Industry’s GrowthStrategies: CitiGroup’s

Unconventional WisdomCitiGroup pioneered big mergers andacquisitions in the US banking industry, andled the first round of big consolidationsresulting in the formation of financialconglomerates. Transformational mergersoccurred in the industry marking thebeginning of an integrated approach formarket expansion. After a halt in themergers, the trend resurfaced with the bigmerger of Bank of America and FleetBoston. However, this time CitiGroupstayed away from big mergers. CharlesPrince, who took over as the new CEO,focused on growth strategy throughacquisitions of small regional banks.


• To discuss the CitiGroup’s contrarianapproach, of pursuing slower growththrough small- scale acquisitions

• To discuss the growth strategies of USbanking firms and the possible threat toCitiGroup’s position in the light of bigmergers in the country.



KeywordsUS retail banking industry; Merger andacquisitions; Financial conglomerates;Financial supermarkets; Integrated selling;Cross-selling; Transformational mergers;Glass Steagall Act; Sandy Weill; Gramm-Leach-Bliley; Conflict of interests;Economies of scale; Economies of scope;Riegle-Neal Act; CitiGroup.

Samsung in India: The GrowthStrategies

Samsung India Electronics Limited (SIEL)is a 100% subsidiary of SamsungElectronics Company Limited (SEC).SIEL, a hi-tech manufacturer and marketerof consumer electronics and homeappliances, entered the Indian market in1992. By 2004, SIEL was one of the leadingproviders of consumer electronics andaimed at becoming the leading player inthe Indian home appliances and theinformation technology market.


• To discuss the strategies adopted by theKorean electronics major for its entryand subsequent expansion in thecompetitive Indian market.

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Industry Consumer ElectronicsReference No. GRS0053Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Samsung India Electronics Limited (SIEL);Samsung Electronics Company Limited;Samsung India Software Operations (SISO);Millennium digital campaign; SamsungElectronics India Information andTelecommunications Company (SEIIT);Samsung’s timeline in India; Entry ofSamsung into India; Common businessstrategies of Korean companies in India;Samsung sponsoring Indian sports; Acompetitive landscape for Samsung inIndia.

Ranbaxy Laboratories: TheWinning Chemistry

In February 2004, Indian pharmaceuticalmajor Ranbaxy Laboratories had achievedthe unique distinction of crossing thebillion-dollar mark in annual sales. Thecompany was now in the implementationphase of its ‘vision garuda’ that aimed tomake the company achieve US$5 billionin annual sales by 2012. Ranbaxy’s strategywas to be prepared for the InternationalPatent Law (IPL) regime to beimplemented from January 2005, by acombination of increased spending in basicresearch, generic drugs and globalexpansion.


• To discuss the competitive scenario ofthe Indian pharmaceutical industry

• To discuss how Ranbaxy is positioningitself for the future.


Keywords

Ranbaxy Laboratories Limited; Growthstrategy; The Indian pharmaceuticalindustry; International Patent Law;General Agreement on Trade and Tariffs(GATT); Dr. Parvinder Singh; Trade relatedaspects of intellectual property rights(TRIPS); Generic drugs; Product patents;process patents; Mergers and acquisitions;Research and development; Blockbusterdrugs; Reverse engineering; Globalexpansion strategy.

Canon: Fujio Mitarai’s “ExcellentGlobal Corporation Plan”

The world’s leading maker of copiers andprinters, Canon Inc., reinvented itself froman unwieldy conglomerate burdened withmoney-losing subsidiaries into a globallyfocused 21st century company. FujioMitarai, who took over as the President in1995 when the company was faced with adifficult operating environment, was giventhe credit for bringing back the lost gloryof the company. His first initiative was topromote the ‘excellent global corporationplan’. The plan was divided into two phases:Phase (I) (1996-2000) and Phase (II)(2001-2005). Phase (I) of the business planemphasised on improving the company’sfinancial situation by cutting costs, takingcare of profitability of the entire CanonGroup, and creating more competitiveproducts. Phase (II) of the ‘excellent globalcorporation plan’ aimed at expanding thecompany globally and shifting to overseasproduction.


• To discuss the initiatives taken up byFujio Mitarai under the ‘excellent globalcorporation plan’ to bring back the lostglory of Canon Inc.

• To discuss the future plans of FujioMitarai for the further growth of thecompany.

Industry Printing and ImagingEquipment


Keywords

Canon; Fujio Mitarai; Excellent globalcorporation plan; Canon under FujioMitarai; Consolidated accounting system;Management reform committee; Profit-first policy; Cell production system; Just-in-time system; Xerox; Phase (I) excellentglobal corporation plan; Phase (II)excellent global corporation plan;Research and development; Kyosei;Management strategy committee.

Bharat Petroleum: Way ForwardIn 2004, Bharat Petroleum CorporationLtd. (BPCL), was one of the leading state-controlled oil retailing companies in India.The case talks about the evolution of theoil industry, its structure, its changingregulatory environment, the resultingcompetitive scenario and its implicationfor BPCL. With the partial liberalisationof the industry and the entry of privateplayers, state-owned downstreammarketers were forced to focus on

marketing in order to protect theircustomer base.


• To discuss the strengths of BPCL as anoil marketer over the years, and theinitiatives taken by the company in thewake of changes in the businessenvironment

• To discuss the challenges faced by BPCL

• To discuss BPCL’s foray into theupstream sector of exploration andproduction consequent to thederegulation, and the crude supplyscenario

• To discuss the following points: (1) thegrowth motives of companies in aregulated and a deregulated environment;(2) oil industry economics and the prosand cons of vertical integration in anindustry such as oil and gas; (3) analysethe changes in the oil industry structuredue to deregulation and how it affectsnew and established companies; (4)SWOT (strengths, weaknesses,opportunities and threats) analysis ofBPCL; and (5) analyse the rationalebehind BPCL’s foray into theexploration and production sector.


Keywords

Bharat Petroleum; Oil industry in India;Upstream sector; Downstream sector;Regulatory environment; Reorganisation;Petroleum industry value chain; Energysector; Competition.

American Express: Charging intothe Credit Card Industry

The 154-year-old American ExpressCompany (AmEx), is all poised to shakethe US credit card market by taking on thetwo card giants – Visa and MasterCard –head-on. AmEx is planning to leverage onthe antitrust ruling against the two giantsfor barring other banks from issuing thecredit cards of other companies. It hopesthat the US apex court will uphold the rulingand create competition for the first timein the US credit card market, which for along time has been a duopoly.


• To discuss the strategies of AmEx tolaunch its own credit card in directcompetition with Visa and MasterCardand the possible outcomes of thisinitiative.





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Keywords

Credit card business in the US; VisaInternational; MasterCard Incorporated;Diner’s Club; Charged cards’BankAmericard; Antitrust lawsuit againstVisa and MasterCard; Kenneth I Chenault;Major credit card companies in the US.

Telecom Italia Mobile: MakingProfits in a Mature Market

Telecom Italia Mobile (TIM) was thelargest mobile operator in Italy – a maturemarket with mobile phone penetrationlevels exceeding 90%. Despite intensecompetition, the company was one of themost profitable mobile phone companiesin Europe. It sustained its revenue growthin the saturated market through constantinnovation and aggressive marketingstrategies.


• To discuss the competitive scenario inthe telecom industry in Italy and TIM’sleadership role in introducing new andinnovative services to its customer

• To discuss TIM’s future growthopportunities and the challenges it facesin Italy, brought about by theintroduction of 3G (third generation)services and the advent of a new player.

Industry Telecommunication ServicesReference No. GRS0048Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Telecom Italia Mobile (TIM); Innovationas growth strategy; Competitive growthstrategy; Italian mobile market; IlTelefonino; Global System for MobileCommunication (GSM); VodafoneOmnitel; Wind Telecommunicazioni Spa;2G (second generation); 3G (thirdgeneration); Short Messaging Service(SMS); EDGE (enhanced data rates forglobal evolution); Freemove alliance;Multimedia Messaging Service (MMS);Marco De Benedetti; Mature markets;Customer Relationship Management

Singtel’s Growth StrategiesIncorporated in 1992, SingaporeTelecommunications Limited (SingTel) hasbecome Asia’s largest multi-market mobileoperator providing services ranging from

national telephony to corporate voiceservices. By May 2004, SingTel, had amarket capitalisation of $24 billion withinvestments in over 20 countries.


• To discuss the growth and expansionstrategies adopted by SingTel since itsinception while remaining focused onits domestic market.

Industry Telecommunication ServicesReference No. GRS0047Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

SingTel Group; Temasek Holdings Ltd;Liberalisation of Singaporetelecommunication industry; Cable &Wireless Optus; Telecommunication inSouth East Asia; SingTel’s growth strategies;SingTel’s domestic market; Regionalacquisitions of SingTel; Managed HostingServices (MHS); SingTel’s global presence;SingTel’s portfolio of services; Subsidiariesand affiliates of SingTel Group; SingTel’sservice network; SingTel’s group structure;SingTel’s international network.

Growth Strategies ofSalesforce.com

Salesforce.com was founded in 1999 by theformer Oracle Vice President Marc. Thecompany provides its CustomerRelationship Management (CRM) serviceto businesses of all sizes and industriesglobally, which is used for generating salesleads, maintaining customer informationand tracking customer interactions. Withits services, which can be accessed throughPCs, cellular phones and personal digitalassistants, Salesforce.com aims to replaceenterprise software packages withoutsourced services. The company, whichhas emerged as a market leader in hostedCRM has seen its annual revenue increasefrom $5.4 million in 2001 to $96 millionin 2003.


• To discuss the pioneering business modeland the aggressive growth strategies ofSalesforce.com that enabled it to be acompany to reckon with.

Industry Customer RelationshipManagement (CRM),Marketing and Sales Software


Keywords

Customer Relationship Management(CRM); Global CRM solution service

providers; Global hosted CRM applicationsmarket; Business model of Salesforce; MarcBenioff; Application Service Provider(ASP) model; Siebel; PeopleSoft; Sforce2.0; CRM applications fromSalesforce.com; Prominent customers ofSalesforce.com.

Emirates: The Ambitions andChallenges

Emirates, established in 1985 in Dubai, isone of the fastest growing airlines in theworld. Despite terrorism in the Middle Eastcountries, SARS (Severe Acute RespiratorySyndrome) and the Iraq war, Emirates hasincreased its passenger count and revenuessignificantly. As of 2004, it was the fifth-highest profitable company in the world.Apart from reinforcing Dubai’s positionas an international aviation hub, Emiratesis rapidly expanding in America and Europeto overtake its competitors like SingaporeAirlines and Qatar Airways.


• To discuss the growth plans of Emiratesto become one of the leading airlines inthe world and gain a sustainablecompetitive edge over its rivals.

Industry AirlinesReference No. GRS0045Year of Pub. 2004Teaching Note AvailableStruc.Assign. Available

Keywords

Airlines industry of the world; Emirates inDubai; ‘Open skies approach’ of Dubai;Dubai as an aviation hub; Qatar Airways;Locational disadvantages of Emirates;Competition of Emirates; Growthstrategies of Emirates; Dubai InternationalAirport; ‘Dubai Airport cares’; The fleetof Emirates; Routes of Emirates; Foray ofEmirates in China.

Datang International PowerGeneration: China’s Energy

Giant’s Growth StrategiesDatang International Power GenerationCompany (Datang), formerly BeijingDatang Power Generation Corporation, isone of China’s independent powerproducers, which is involved in theconstruction of power plants, repairingpower equipment and the sale of electricity.Between 1997 and 2003, it raised itsinstallation capacity from 3,150megawatts to 7,370 megawatts.


• To discuss the growth strategies ofDatang amidst rising coal prices,

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uncertain tariff reforms and a burgeoningpower demand in China.

Industry Independent PowerProduction


Keywords

Independent Power Producers (IPP) ofChina; Power demand in China; Powergeneration in China; Chinese energycompanies; State Electricity RegulatoryCommission (SERC); Ownership structureof Dangtang; Zhai Ruoyu; Business strategyof Dangtang; Dantang’s expansion planbetween 1996 and 2002; Expansionstrategy of Dantang; Cost control strategyof Dangtang; Policies adopted by Chinesegovernment to boost power supply anddemand; Reforms in Chinese power industry

AT&T: Gambling on its GrowthStrategies

In July 2004, American Telephone andTelegraph Company (AT&T) pulled outfrom its traditional business of providinglocal and long distance communication toits consumers. It decided to shift its focusto corporate customers. The decision wasone of the many steps taken by thetelecommunication giant to regain thestatus of being the number one in the UScommunication industry.


• To discuss the various strategies adoptedby AT&T from 1984 to 2004

• To discuss AT&T’s future growthchallenges.

Industry Telecommunications ServicesReference No. GRS0043Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

American Telephone and TelegraphCompany (AT&T); Regional bell operatingcompanies; Restructuring strategy;National Cash Register Company; Mergersand acquisitions; Alliances and jointventures; Growth strategy; Cingular; Voiceover Internet protocol services; David VDorman; Wi-fi technology;Telecommunications industry; AT&TDigitalOne; Lucent Technologies.

Alcoa: The US Aluminum Giant’sGrowth Strategies

Alcoa, the largest aluminium producer inthe world, accounts for 70% of the US and17% of the world’s total primary aluminium

production. Since the early 1990s, thecompany has witnessed a higher-than-the-industry average growth rate. Alcoa hasalso forayed into the Latin American andthe African markets while downsizing itsoperations in North America – itstraditional stronghold.


• To discuss the global growth strategiesof Alcoa through acquisitions andeffective cost management.


Keywords

Alcoa; Aluminium production; Mining;Vertical integration; Alumina; Bauxite; PaulO’Neil; Alain Belda; Alcoa business systems;Alcoa in China; Alcoa in Latin America;Alcoa in Russia.

Toyota’s Expansion Strategies inEurope

Toyota Motor Corporation, the leadingJapanese auto manufacturer is expandingits presence in the European market. It isincreasing its production facilities in thecontinent and is manufacturing customisedmodels like Yaris and Avensis. With its muchrenowned manufacturing and managementprocesses, the company was able tostrengthen its base in the European market.With a successful presence in Europe,Toyota will be able to compensate for thelosses incurred in its domestic market andreduce its dependence on its US business.


• To discuss the growth strategies ofToyota in Europe in the wake ofcurrency fluctuations and new marketneeds

• To discuss the history of the companyin Europe

• To discuss the localisation strategies ofToyota, and its manufacturing andproduct innovations, which are in tunewith the needs of the market.

Industry AutomobileReference No. GRS0041Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Toyota’s European expansion;Customisation; Quality control;Localisation; Currency fluctuations;European auto market; Selection ofmanufacturing locations; Just-in-time;

Toyota production system; Technologicalinnovations; Lean manufacturing; Costcutting strategies.

Costco WarehousingCorporation: Strategies for

GrowthIn 2003, Costco was the largest wholesaleclub operator in the US, ahead of Sam’sClub (Wal-Mart) and BJ’s. Costco hadearned a distinct identity for offering awide variety of products at deep discountprices. The company was able to undercutits competition in terms of price, by settingup warehouse style stores without anydeluxe fixtures, sourcing products directlyfrom the manufacturers, and selling in bulk.


• To discuss the growth of Costco, andhow various strategies were employedby the company to create a competitiveadvantage in the market

• To discuss the nature of competition thatCostco faces and what innovative ideasit came up with to counter them

• To discuss the factors that needs to beconsidered when expanding intointernational markets.

Industry Warehouse Clubs andSuperstores


Keywords

Wholesale club operation in the US;Supermarkets in the US; Discount storesin the US; Items sold in Costco; Warehouseclub industry in the US; Ancillary industriesof warehouse clubs in the US; The growthof Costco; Membership at Costco;Operating expenses at Costco;Merchandising strategy at Costco; Growthstrategy of Costco; Competitors of Costco;Sam’s Clubs; Wal-Mart.

PKN Orlen: Polish Energy Giant’sGrowth Strategies

Poland’s largest oil refining and fuelretailing company, PKN (Polski KoncernNaftowy) ORLEN has grown rapidly sinceits establishment in 1999. With the aim ofbecoming a major oil company in Europe,the company has forayed into foreignmarkets through acquisitions of companieslike Unipetrol and the retail business ofBritish Petroleum.


• To discuss the growth strategies of PKNORLEN in Western and Central Europe’s






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energy markets through a ‘value basedmanagement project’.

Industry Oil and Gas Refining andMarketing


Keywords

PKN (Polski Koncern Naftowy) ORLEN;Unipetrol; Petrochemia Plock SA; CentralaProduktow Naftowych SA; Nafta Polska;FLOTA Polska; VITAY loyalty cardscheme; Profit improvement programme;Value based management; Basell EuropeHoldings BV; MOL; BP Plc. (BritishPetroleum); Energy companies in Europe;Acquisition of energy companies inEurope; Petroleum retailing in Europe.

PayPal’s Growth StrategiesStarted in 1999, PayPal Incorporated hasrevolutionised financial services throughits on-line Person-to-Person (P2P) moneytransfer service. By 2004, PayPal hadbecome the largest on-line P2P paymentservice provider with operations in 38countries and an account holder base of 45million.


• To discuss the growth strategies ofPayPal and its unique business model thatis based on the concept of ‘viralmarketing’.

Industry Electronic Payment SystemsReference No. GRS0038Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

On-line money transfer; Person-to-Person(P2P) payment service provider; Viralmarketing; PayPal’s business model;Business models of on-line paymentcompanies; Palm Pilots; Types of accountsoffered by PayPal; Frauds at PayPal;PayPal’s acquisition of eBay; PayPalsmoney market account; Billpoint; FederalTrade Commission.

Finmeccanica: The ItalianHelicopter Manufacturers’

Growth StrategiesFinmeccanica, the Italian integratedsolutions provider to aerospace anddefence sectors, has come a long way sincethe inception of its helicopter division in1994. Strategic collaborations, jointventures and acquisitions in Europe andNorth America, the biggest helicoptermarkets in the world, have made the group

a leader in the global helicopter market.


• To discuss the strategies adopted byFinmeccanica to become the world’ssecond-largest helicopter manufacturerwithin a short span of 10 years.

Industry Aerospace and DefenceReference No. GRS0037Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Finmeccanica; AgustaWestland; Militaryaircraft manufacturers in Europe; Globalhelicopter manufacturers; Helicoptermarkets in the world; Agusta’s centres ofexcellence; Helicopter brands;AgustaWestlandBell; Strategic alliances ofFinmeccanica; Finmeccanica expanding itsmarket in the Far East; Products ofAgustaWestland; Customers ofAgustaWestland; Competitors ofFinmeccanica; Lockheed-Martin

Asian Paints India Ltd.: TheGlobal Strategies

Asian Paints India Ltd. has been themarket leader in the Indian paint industryfor over three decades. Since itsestablishment in 1942, the Indian paintgiant has been making considerable effortstowards becoming a global powerhouse. Asa result of a series of acquisitions beginning2002, the company has made its way intothe list of the world’s top ten decorativepaint companies. As of May 2004 thecompany operates in five continents acrossthe world.


• To discuss the factors that drove AsianPaints to target international markets

• To discuss the strategies adopted by AsianPaints India Ltd. to become a successfulmultinational

• To discuss how the company, throughits strong supply chain initiatives andtechnology backup, has been able toconsolidate its international businesses.

Industry PaintReference No. GRS0036Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Asian Paints; Acquisitions in emergingmarkets; Ashwin Dani; Colour World;Integration of acquired companies; Supplychain management; Global expansions;Berger International.

SABMiller’s Inorganic GrowthStrategies

In the early 21st century, the beer industryexperienced aggressive consolidation dueto a series of mergers and acquisitionsbetween the big breweries. To strengthenits position in the fast consolidatingindustry, South African Breweries (SAB)acquired Miller brewing company, therebyforming the world’s second largest beercompany – SABMiller. Instead ofestablishing its own brands, SAB had ahistory of acquiring companies andtransforming them according to its ownmodel. With the formation of SABMiller,the competition in the US heated upbetween itself and Anheuser-Busch, whichcontrolled more than half of the US beermarket. The battle intensified whenAnheuser-Busch entered the Chinesemarket, where SABMiller already had apresence.


• To discuss the growth strategies ofSABMiller and how the companyconsolidated the acquired companies toattain leadership position in most of themarkets that it entered

• To discuss the entry of SABMiller intoChina, the second-biggest market afterthe US, and its competitive strategiesvis-à-vis Anheuser-Busch.


Keywords

SABMiller; South African Breweries;Anheuser-Busch; Interbrew; Harbin;Competition in China’s beer industry;Mergers and acquisitions; Heineken; PilsnerUrquell; Consolidation in beer industry;Miller Lite; Budweiser.

Growth Strategies of e.BiscomWith its vision to create a new generationof telecommunication networks that canput anyone and everyone in high-qualityinteractive video contact with anyone elseor with any content on-demand, the Italiancompany today has become the world’smost technologically advanced player intelecommunications, Internet and on-linemedia. However, the path towards thissuccess has not always been smooth.


• To discuss the strategies adopted bye.Biscom to become the second-largesttelecommunications provider in Italywithin a short span of five years.

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Industry Fixed-line Voice ServicesProviders


Keywords

e.Biscom SpA; FastWeb; Telecom Itailia;Telecom infrastructure in Italy; Video on-demand (video Internet); Asymmetricdigital subscriber line technology;Broadband telecommunication; Subsidiariesof e.Biscom; Top telecom companies inItaly; Group structure of e.Biscom;FastWeb television service; e.Biscomoperations in Germany.

MphasiS BFL: The Indian ITServices Company Growing

through BPOTwo negatives make a positive. Thisindelible axiom in mathematics seems tohold good even for businesses. MphasiS BFLstands as a testimony to this fact. Thecompanies MphasiS and BFL SoftwareLimited were facing troubled times withthe former lacking credentials as a reliablesoftware service provider and the latter,though with credentials, lacking themarketing muscle. The combined companylaunched itself on a differentiated serviceplatform – integrated solutions –combining its IT services and BusinessProcess Outsourcing (BPO) expertise.With its BPO wing, ‘MsourcE’ growingstrong, MphasiS’ initiative for anintegrated model seems to have reaped thefull benefits of MsourcE’s operations.


• To discuss the growth achieved byMphasiS BFL through an integratedsolutions approach which broughttogether its IT and BPO expertise.

Industry Computer Software,Consulting and IT Services


Keywords

MphasiS BFL; Jaithirth (Jerry) Rao;National Association of Software andServices Companies (NASSCOM); SEICMM level 4; MsourcE; Integratedsoftware solutions; Virtual tax room; WiproSpectramind; Infosys Progeon; Indian ITservices companies.

Wells Fargo’s Cross SellingStrategies

Wells Fargo, established in 1852, is one ofthe US’ largest financial services

companies. Subsequent to a merger withNorwest Corporation of Minnesota, WellsFargo’s product portfolio was broadenedoffering a scope for cross selling.


• To discuss the efficacy of Wells Fargo’scross selling strategies

• To discuss the benefits and pitfalls ofpursuing such a strategy.



Keywords

Wells Fargo’s cross selling strategies;Gramm-Leach-Bliley Act; Mergers andacquisitions; Norwest Corporation; Goingfor gr-eight; Distribution channels;Banking and financial services; Wholesalebanking group; Investment banking;Treasury management; Strategy;Community banking; Home buyer’spackage; Wells Fargo packs; Businessservice packages.

Transnet: South Africa’s TransportMonopoly

For a decade, South Africa’s Transnetenjoyed absolute monopoly over thecountry’s transportation sector.Complacency on the part of Transnet’smanagement led to an increase incompetition. Meanwhile, the company washeading towards a deep financial crisis. Thenew CEO, Maria Ramos, who stronglybelieved that one couldn’t have a bettertomorrow if one was thinking aboutyesterday all the time, considered variousoptions to revive the company.


• To discuss the problems faced by largemonopolies like Transnet

• To analyse the causes of the nearfinancial crisis at Transnet and theprobable revival measures.

Industry TransportReference No. GRS0031Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Transnet Limited; South African transportmonopoly; African National Congress;Business strategy; Parastatals; publiccorporations; Maria Ramos; Competitionlandscape of South Africa’s transportindustry; Turnaround strategy; SouthAfrican railways; airways; road transport;

harbour; Privatisation; National PortsAuthority; Portnet; Spoornet; Propnet;Transtel; Transwerk; South African portsoperations; Petronet; Metrorail;Freightdynamics; Business environment inSouth Africa.

Essel Propack: From Indian toTransnational

With a 30% share of the 12.8 billion unitsglobal tubes market, India-based EsselPropack is the world’s largest laminatedtubes manufacturer. Its lamitubes are usedto package toothpastes, cosmetics andpharmaceuticals made by FMCG (FastMoving Consumer Goods) majors like P&G(Procter & Gamble) and Unilever. Essel’sinternational expansion was given a thrustby two factors – the handing over of themanagement in 1995 to a professionalmanagement team led by Cyrus Bagwadia,and its acquisition of Switzerland’s PropackAG.


• To discuss some of the critical factorsthat contributed to Essel’s rapid growthin the past and the company’s plans forthe future

• To discuss the challenges and problemsfaced by a small domestic player when itgoes international

• To discuss the issues involved in makinginternational mergers work in the faceof cultural and technological differences.

Industry PackagingReference No. GRS0030Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Essel Propack; Subhash Chandra; AshokGoel; Lamitubes; Overseas acquisitions;Cyrus Bagwadia; Pechiney; Danville; P&G(Procter & Gamble) packaging; Co-extruded tubes.

IBM’s Growth Strategies in IndiaWhen the homegrown IT vendors werethinking global, IBM India chose to thinklocal for its growth in the country. Itoffered its three successful business productlines, ‘strategic outsourcing’, ‘linux’, and‘technology on-demand’ to the targetedcustomers, such as the state governmentsand the Small and Medium-sized Enterprises(SMEs). An outsourcing deal with BhartiTeleventures and acquisition of DaksheServices proved IBM India’s continuedcommitment towards the Indian marketand its steady progress towards its targeted$1 billion in revenue.






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• To discuss the focussed growth strategyof IBM in India through its e-governance and SME initiatives.

Industry Information TechnologyServices


Keywords

IBM; India; IBM India; IBM India researchlaboratory; Strategic outsourcing; Linux;Technology on-demand; Small andMedium-sized Enterprises (SMEs); IBMGlobal Financing Division; e-governance;‘SAN made simple’; IBM express; Indiasmart centre.

Chinadotcom’s GrowthStrategies

Chinadotcom, which was started in the late1990s, had been the pioneer in China’sInternet business. It was the first Chineseportal to be listed on Nasdaq. However, withthe global slowdown of the Internet industryin 2001, Chinadotcom’s revenues declinedrapidly. This prompted the company to shiftits focus from being an Internet portal tosoftware development and outsourcingbusinesses. In 2003, Chinadotcom clockeda profit of $16 million against a loss of $18million in the previous year.


• To discuss how Chinadotcom successfullytransformed itself from a web portal toan enterprise software provider andmobile applications company.

Industry Information TechnologyServices


Keywords

Internet business in China; The dotcombubble burst; Enterprise software providersin China; Mobile applications companiesin China; Enterprise Resources Planning(ERP); Customer RelationshipManagement (CRM); Supply ChainManagement (SCM); Growth of Chinesesoftware companies; Hi-techmanufacturing sector in China; Majorportals in China before the dotcom burst;Survival tactics of major Chinese portalsin late 1990s; Acquisitions of Chinadotcom.

Growth Strategies of RanbaxyRanbaxy Laboratories Limited, India’slargest pharmaceutical company, reached

the $1 billion mark in global sales – a targetthat it had set for itself in 1993. Ranbaxyis among the top ten generics companiesin the world with a strong presence in bulkdrugs and branded formulations.


• To discuss the growth strategies ofRanbaxy that catapulted it to aprominent position on the globalpharmaceutical map

• To discuss the company’s initiative tosustain its leadership in the light of theproduct patents being recognised from2005 onwards according to the WorldTrade Organisation regulations.


Keywords

Ranbaxy Laboratories Limited; Globalgenerics market; Active pharmaceuticalingredients; Ranbaxy Nigeria Limited;Abbreviated New Drug Application(ANDA); Novel Drug Delivery System(NDDS); New Drug Discovery Research(NDDR); Controlled drug releasetechnology; Proprietary prescriptionproducts; Product patents in India after2005; Indian Patents Act 1970; Brandedgenerics market; National Institute ofPharmaceutical Education and Research(India); Once-a-day cirpofloxacin; GeneralAgreement on Tariffs and Trade (GATT)

Growth Strategies of ChinaSouthern Airlines

In 2001, China Southern Airlines (CSA)became the fifth-largest airline in Asia andtwenty-first in the world. CSA, which wasstarted under the direct supervision of theCivil Aviation Administration of China,along with its subsidiaries, became thelargest airline in China in 2003, carrying20 million passengers.


• To discuss how the corporate strategiesof CSA helped it to conquer new heightsin the domestic and internationalaviation business despite numerouschallenges since the late 1990s.

Industry AirlinesReference No. GRS0026Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

China southern Airlines group (CSAGroup); Baiyun International Airport; PearlRiver Delta region; Southern Airlines Group

(SA Group); Civil Aviation Administrationof China (CAAC); China Southern AirHolding Company (CSAHC); Commercialairlines in China; Restructuring of theChinese airline industry; Subsidiaries ofCSA; Civil Aviation in China; Global civilaviation industry; Air Transport worldmagazine; Growth of the Chinese civilaviation industry; China’s entry into theWorld Trade Organisation (WTO);Aerospace Industry Awards.

Esquel’s Vertical IntegrationThe Esquel Group, based at Hong Kong,has been a cotton textile and apparelmanufacturer since 1978. In an industry,where its competitors increasingly rely onoutsourcing and specialisation, thecompany does everything in-house, likecotton farming, spinning, weaving, dyeing,knitting and distribution. Verticalintegration of its activities provided Esquelwith more control over the quality of itsproducts, reduced lead times and enabled itto attract high profile names in the fashionand garment industry.


• To discuss the possible merits anddemerits that could be derived fromvertical integration

• To discuss the opportunities andchallenges that textile and clothingmanufacturers in the developingcountries might face if textile quotas areeliminated.

Industry ApparelReference No. GRS0025Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Esquel’s vertical integration; Backward andforward integration; Low-cost advantage;Electronic data interchange; Long staplecotton; spinning mills; Supply chainmanagement; China’s textile industry;Distribution and logistics; Multifibreagreement; Merchandising; sweatshops;General Agreement on Tariffs and Trade(GATT); Istanbul declaration onelimination of quotas; Textile quotas;Marjorie Yang; Nike; Tommy Hilfiger;Marks and Spencer; Hugo Boss.

Bose Corporation: Riding theSound Wave

Founded in 1964 by Amar Gopal Bose, BoseCorporation was the market leader in high-end audio equipment. Focusing oninnovation and excellence in quality, thefirm was able to come up with productsthat commanded a premium. For a long

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time, Bose had enjoyed customer loyaltyand trust in this niche segment in whichthey operated. However, in recent yearsthe company has been facing a number ofchallenges to maintain its position in themarket.


• To discuss the company’s philosophyof single-minded focus on research andbetter products

• To discuss how over the years,technological excellence and patentsobtained have been a driving force behindBose corporation’s success

• To discuss whether Bose can retain itsposition in the market by still focusingon technology or does it have to changeits approach to focus more on marketingthan research.

Industry Audio EquipmentReference No. GRS0024Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Amar Gopal Bose; High-end audioequipment; Premium prices; Newtechnologies through research; Bose vsHarman; Research focus; Marketing focus.

Haier: Developing a GlobalBrand

Haier started its operations in China in1984 as a refrigerator manufacturer andby 1991, it was a popular brand in Chinawith various products in its kitty. It soonforayed into the production of otherdomestic appliances like microwave ovens,washing machines and air conditioners. Inthe early 1990s, the company startedexporting its products to the American,European and Japanese markets. To createits own brand in the foreign markets, Haierestablished overseas manufacturing unitsand also started employing the localpeople. By 2002, Haier had become thefifth-largest manufacturer of consumerappliances in the world and the largest inthe global refrigerator business.


• To discuss Haier’s efforts to build a globalbrand and dispel the myth that Chineseproducts are generally of low-quality andthat Chinese companies earn marketshare only through cheap products.

Industry Home AppliancesReference No. GRS0023Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Haier; Total quality control; Merloni;Sanyo; SAMPO; Samsung; Mitsubishi;Menghetti Spa; General Electric (GE);Whirlpool; Wal-Mart; Sears; ZhangRuimin; World Brand Laboratory; HaierEurope.

La-Z-Boy: Changing StyleSince 2003, La-Z-Boy, the American iconof comfort furniture, best known for itsrecliners, is witnessing a stagnant growth.The growth of the upholstery segment hasbecome stagnant and the casegoodssegment is reporting declining sales. Besidesthe US recession, the company has beenfacing tough competition from its globalcompetitors, and finding it difficult to keepup with the consumer preferences of itsyounger generation customers. To staytuned with the changing times, thecompany decided to launch a new productrange with competitive pricing and designs.


• To discuss the product modernisationstrategy adopted by La-Z-Boy toenhance its growth and gain sustainablecompetitive advantage over itscompetitors.

Industry Home FurnitureReference No. GRS0022Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

La-Z-Boy; Todd Oldham; Recliners;Casegoods; Upholstery segment; Floral CityFurniture; Edward M Knabush (Edward) andEdwin J Shoemaker; Kurt L Darrow; La-Z-Boy Furniture Galleries; La-Z-BoyResidential; Oasis; Cocooning chairs; Arc;Snap sofa; Hi-lo matic.

Bharat Forge: MNC in the MakingBharat Forge is a leading Indian forgingsmanufacturer that supplies axles, forgings,and other auto components to globaloriginal equipment manufacturers. Itstarted in 1961 and became the secondlargest forgings manufacturer in the worldby 2003 with the acquisition of Carl DanPeddinghaus, a German forging major. In2003, the company was chosen by FordMotor Company and General Motors tosupply components for their ‘globalpassenger car programme’. Havingundergone comprehensive financialrestructuring over a five-year period,between 1998 and 2002, the company hasbeen steadily expanding its businessinterests in Europe, North America, andChina.


• To discuss Bharat Forge’s operations andthe strategies adopted by the companyto emerge as a cost-effective, globallycompetitive player with an establishedquality process.

Industry AutomobileReference No. GRS0021Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Indian automotive industry; Originalequipment manufacturers; Costcompetitive; Bharat Forge Limited; Autocomponent industry; Debt restructuringexercise; Mergers and acquisitions;Passenger car market; Steel forgings;Business strategy; Diversification; KalyaniUtilities Private Limited; Crankshafts;Auto ancillaries; Outsourcing hub.

Irkut’s Expansion StrategyWith the collapse of the erstwhile SovietUnion in 1991, IRKUT Corporation(IRKUT), which was established in the1930s to manufacture military aircrafts inRussia was witnessing formidable problems.IRKUT was privatised in 1992 and withthe decline of defence expenditure of theRussian government, the company decidedto focus on manufacturing commercialaircrafts. To raise the necessary fundsrequired for its new venture, IRKUTdecided to launch its Initial Public Offering(IPO) by the end of March 2004, the firstever IPO in the defence industry of Russia.


• To discuss the expansion strategiesadopted by IRKUT to transform itselffrom a state controlled military aircraftmanufacturer to a profitable commercialproducer.

Industry Aircraft ManufacturingReference No. GRS0020Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

IRKUT Corporation; Irkutsk AviationPlant; Alexey Fedorov; Su-30 and Su-27;Irkutsk Aviation Industrial Association;Kaskol Group; Multipurpose unmannedaerial system; Multirole transport airplane;BE-200; United Aircraft ManufacturingHolding; Yakovlev; Hawkins and PowersAviation; Yak-130; European AeronauticsDefence and Space Company; Rolls Royce.





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Huawei Technologies: GrowthStrategies

The height of a tree depends on the depthof the roots. Huawei Technologies, havingestablished itself on its home turf China,decided to go global. Though competingon price helped Huawei in developingcountries, the game seemed different inthe developed countries.


• To discuss Huawei’s strong hold on theChinese market and its subsequent entryinto the Asian, European, African andAmerican markets.

Industry TelecommunicationsEquipment


Keywords

Huawei Technologies; China;Telecommunications equipment; PeoplesLiberation Army; Huawei in Asia; Huaweiin Africa; Berlikomm; Bashkir ElectronicTelephone Association (BETO); IBM;Going global; Code Division MultipleAccess (CDMA); Cisco; 3G; TELLIN WINsystem; Global System for mobilecommunication (GSM).

AmorePacific: Creating GlobalBrands

By 2003, due to the limited growthpotential of its domestic market,AmorePacific, the largest cosmeticmanufacturer of South Korea, was bankingheavily on its expansion in theinternational markets. After establishingitself in the huge Chinese market, thecompany planned to enter the highlycompetitive French market with itsperfume brand ‘Lolita Lempicka’. Thesuccess of Lolita Lempicka in France gavethe company enough impetus to enter intothe lucrative markets of Europe and theUS.


• To discuss the innovative strategyimplemented by AmorePacific toestablish its brand in the global cosmeticindustry.

Industry Personal Care ProductsReference No. GRS0018Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

AmorePacific; Lolita Lempicka; PacificChemical Industries Corporation; AMORE;

Mamonde; Laneige; Lope; SulWhaSoo;Castelbajac; Fast and focus strategy; KyungBae Seo; AmorePacific mega brands;AmorePacific Cosmetics Shenyang Co.Ltd.; Pacific Europe; Pacific Research andDevelopment Centre

AirAsia: Growth StrategiesEven eagles need a push. Tony Fernandezbreathed new life into the loss makingAirAsia converting it into a profitable lowcost carrier of Malaysia. Starting itsoperations as a no-frills airline in 2002,AirAsia took off to new heights,encompassing domestic and internationalroutes.


• To discuss the strategies followed byAirAsia to achieve an impressive growthwithin a short span of time.

Industry AirlinesReference No. GRS0017Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

AirAsia; Low cost carriers; No-frills airlines;Tony Fernandez; DRB-Hicom; TuneAirSdn Bhd; Boeing 737-300; GE EngineeringServices; Singapore Airlines; Kuala LumpurInternational Airport; SMS; Genevaoptimum airline performance software;Shin Corp; Sing Tel; Changi Airport.

The Tata Group: Going GlobalAmong the most respected Indian businessconglomerates, the Tata Group representsthe pride and excellence of Indian industry.Established in 1868 as a textile mill, theTata Group has the distinction of foundingthe first steel mill, first luxury hotel andthe first airlines service in India. Ever sinceits founding, the group was successfullymanaged by the heirs of the Tata family.However, in spite of the group’s 100-yearhistory and a strong turnover of INR52,000 crore in 2003, the group had alimited global presence. Particularly, thepresent chairman, Ratan Tata’s dream oftransforming the group into a globalpowerhouse was seen by many as far-fetched.


• To discuss the Tata Group’s efforts tomake its individual businesses globallycompetitive

• To analyse the success of the TataGroup’s globalisation endeavours in thelight of competition from foreigncompanies.


Keywords

Tata Group; Tata Motors; Tisco; TataConsultancy Services (TCS); Tata tea;Tetley; Indian hotels; Ratan Tata;Globalisation; MG Rover; DaewooCommercial Vehicle Company; Tataenterprise; Tata power; Tata chemicals;Taj.

Sun Pharmaceuticals in 2004Indian pharmaceutical companies, withtheir generic drugs have proved theircapabilities in the world’s largest and mostlucrative markets – the US and Europe.These companies with their strong reverseengineering skills have gained a footholdin these key markets. Indian top-tiercompanies such as Dr. Reddy’s, Ranbaxy,Cipla, Wockhardt and Sun PharmaceuticalIndustries Ltd., (SPIL) were the leadingplayers in these markets. SPIL was one ofthe leading companies in the Indianpharmaceutical industry. It was also thefirst Indian pharmaceutical company tofocus and sell drugs that treated life stylesegments. It reached a leadership positionin each of the therapeutic areas it operatedin. The company had used both organicand inorganic growth strategies to growdomestically and internationally.


• To discuss the growth strategies that SPILadopted to become one of the leadingpharmaceutical companies in India

• To understand how SPIL wanted toreposition itself in the post 2005 productpatent regime.


Keywords

Sun Pharmaceuticals India Limited; Growthstrategies; Dr Reddy’s LaboratoriesLimited; Ranbaxy Laboratories; Indianpharmaceutical industry; Research anddevelopment; Generics business; SunPharma Advanced Research Center;Mergers and acquisitions; Cipla Limited;United States Food and DrugAdministration; United KingdomMedicines Control Agency; AustraliaTherapeutic Goods Administration; CaracoPharmaceutical Laboratories Limited; Newchemical entities.

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Shanghai Baosteel GroupCorporation

Shanghai Baosteel Group Corporation orBaosteel was set up by the Chinesegovernment near the Shanghai port in1978, when Deng Xiaoping initiated thetransformation of the Chinese economyfrom a rigid centrally planned economy toa market-oriented economy. Besides ironand steel, the group also forayed into trade,finance, information, engineeringtechnology, transport, chemicals, realestate and services. Baosteel had 45 whollyowned subsidiaries with its markets spreadover Brazil, France, Germany, Hong Kong,Japan, Russia, Singapore, South Africa andthe US. By 1999, Baosteel had becomeChina’s largest steel manufacturer. WithChina’s accession to the World TradeOrganisation (WTO) in 2001 and thesubsequent opening up of the Chinese steelindustry to foreign players, Baosteel hadto face tough competition in the domesticas well as foreign markets. Despitecompetition, by 2003, Baosteel increasedits production capacity to 20 million tonswith total employee strength of 100,000.However, Baosteel was soon witnessingseveral problems like increased shippingrates and rises in the price of iron ore inChina, due to excess demand and growingdomestic competition.


• To analyse the challenges faced by atypical government-owned organisationlike Baosteel, when a closed economylike China is opened to foreign players

• To discuss the competitive strategies ofBaosteel in the light of changes in thebusiness environment.

Industry SteelReference No. GRS0014Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Shanghai; Baosteel; Nippon; Arcelor;Global steel industry; China; Nucor;Companhia Vale do Rio Doce (CVRD); RioTinto; Posco; Shougang Group; Gerdau;Iron; Dofasco; Mitsui OSK Lines Ltd.(MOL).

Pacific Andes International(Holdings) Limited: Growth

StrategiesPacific Andes International HoldingsLimited (Pacific Andes), which started in1986 with an aim to become a fullyintegrated company in the global seafoodand vegetable business, achievedconsiderable growth within a short span ofits inception. The company’s headquarters

were in Hong Kong and the People’sRepublic of China (PRC) was its majorcustomer. Despite hurdles like the Asianfinancial crisis in 1997, a ban by thewestern countries on imports of foodproducts of animal origin from China andglobal economic slowdown, Pacific Andessurged forward successfully to end fiscal2003 at HK$2,141 million with a net profitof HK$73.3 million. It also planned toexpand in other developing countries toincrease its global market share and gainsustainable competitive advantage throughsynergy.


• To discuss the growth strategies ofPacific Andes despite several hurdles andits plans to increase its global marketshare.

Industry Frozen and Canned FoodReference No. GRS0013Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Pacific Andes International HoldingsLimited; Growth strategies of PacificAndes; National Fish and Seafood Inc.;Matlaw’s frozen seafood; Processed fishand vegetable products; Market analysisof Pacific Andes; Pelican food; Just in time;Alaskan Pollock; Central ScienceLaboratory; Hazard Analysis and CriticalControl Point (HACCP); Logistics HongKong initiative; Seafood in China; ChinaInternational Fisheries Hong KongLimited; X.400 mail system.

Chinadotcom after the DotcomBust

Chinadotcom is a Chinese/Pan AsianInternet company. After the dotcom bustin 2000, it made progress in its strategicre-positioning and continued to push itsevolution towards a broader base of highermargin products and services.Chinadotcom viewed China as a promisingbase for lower-cost development ofsoftware products for distribution,implementation and integration by its ownoperations across its marketsinternationally.


• To understand the survival strategy ofChinadotcom during the dotcom crashand the repositioning strategies that thecompany adopted following the crash.

Industry Computer SoftwareReference No. GRS0012Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Chinadotcom; Restructuring strategy;Dotcom bust; Mergers and acquisitions;America On-line (AOL); ChinadotcomCorporation; Xinhua News Agency; AsiaInternet industry; Internet serviceprovider; Software development; PraxaLimited; Three-dimensional businessmodel; Business outsoucing; e-businessstrategies and solutions; Taiwan; China andHong Kong.

Merck in 2003In 1990s, Merck had a double-digit profitgrowth rate. Since 2001 its growth fell tosingle-digit as competitors merged andforged ahead. Analysts have predicted anearnings growth rate of just 2% for Merckagainst 8% to 10% for the industry between2001 and 2006. In the face of a weak R&Dpipeline and the loss of patent protectionof several key products, Merck’s pipelinefor new drugs is poor when compared withits other counterparts. In this scenario willthe company consider merging with othercompanies to improve its R&D pipeline,save costs and boost growth and therebywin the trust of its investors?


• To highlight Merck’s future R&Dprospects

• To discuss the strategic options for thecompany to regain its lost momentum.


Keywords

Merck & Co. Inc.; Research anddevelopment; Blockbusters; United Statespharmaceutical industry; GlaxoSmithKlineNovartis Pfizer Inc; Vioxx Cozaar Hyzaar;Big pharma companies; Mergers andacquisitions; New molecular entities; UnitedStates Food and Drug Administration; Newdrug application; Generic competition;Schering-Plough; Zocor Zetia.

Novartis: From Barriers toBlockbusters

The 1996 merger of Sandoz Ltd. and Ciba-Geigy Ltd. to form Novartis AG, kickedoff a new era in the history of the globalpharmaceutical industry. The merger madeNovartis Europe’s largest and the world’ssecond largest pharmaceutical company.However, Novartis’ initial plans to focuson genetic engineering and agribusinessbackfired in 1998 owing to negative resultsfrom its R&D testing. As a result, the






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company then shifted its focus to healthcare – a more lucrative market. But Novartiscould not gain a foothold in the US – thelargest drug market – due to weak marketingand sales force. After Daniel Vasella, CEOof Novartis, revamped the company to giveit a new organisational structure anddirection, the company came to be seen asone among the big five pharmaceuticalcompanies.


• To understand Novartis’ growth strategiesover the years and how the companyovercame hurdles in its way

• To understand the organisational changesthat Daniel Vasella brought in to placethe company in the pharmaceuticalindustry’s big league.


Keywords

Novartis; Daniel Vasella; Gleevec or Glivec;Sandoz; Ciba-Geigy; Genetic engineering;Focus on health care; Reorganisation atNovartis; Life sciences strategy; Direct tocustomer marketing; US drug market;Troubled agribusiness.

J&J: Growth Strategies in the 21st

CenturyIn the late 1990s, Johnson & Johnson (J&J),well-known mainly for its consumer productslike Johnson’s baby products, startedfocusing more on its pharmaceutical andmedical devices segments. J&J grew rapidlyin these two segments, enhancing its productportfolio through mergers and acquisitions.By the turn of the 21st century, J&J hadover 200 operating subsidiaries spread over54 countries. Though the sales figures for2003 looked impressive at $41,862 million,investors sensed a tough future for thecompany as the company did not have anew product to offer till 2006.


• To discuss J&J’s inorganic growth in the21st century

• To analyse J&J’s initiatives to tide overthe impending difficulties and understandhow J&J geared up to streamline its drugdevelopment activities and generatedfunds through cost-cutting measures.


Keywords

Johnson&Johnson; Johnson’s baby powder;Centocor; Monoclonal AnitbodyTechnology (Mab); Cypher Sirolimus-elutingstents; Endgames curve; Natrecor; Stents;Procrit; Tylenol; McNeil Laboratories; AlzaCorporation; Scios Incorporated; CordisCorporation; Pentrax.

Growth Strategies of Best BuyBest Buy was founded by Richard M. Schulzeas an audio retail store in 1966 and later onmoved into consumer electronics. Best Buy’svision was to ‘make life fun and easy’ for itscustomers by providing comprehensivesolutions to their entertainment andtechnology needs. In its 37-years ofexistence, the company faced numerouschallenges but managed to bounce back fromevery difficult situation. Throughout, thecorner stone of the company’s strategy hadbeen its various ‘Concept Stores’,merchandising mix and technologyinitiatives that improved the shoppingexperience for its customers anddifferentiated the company from its maincompetitor, Circuit City. In 2003, Best Buywas the No.1 retailer of consumerelectronics in the US and was ranked 91st onthe Fortune 500 list with revenues of $20.9billion.


• To highlight the growth of Best Buy sinceits inception in 1966

• To discuss how Best Buy had successfullyleveraged on its differentiating strategiesto become the No.1 consumer electronicsretailer in the US.

Industry Consumer Electronics RetailReference No. GRS0008Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Best Buy; Electronics retailing in the US;Consumer electronics and appliances; CircuitCity; Sears; Digital electronics; AndersenConsulting; Entertainment software; Datamining; Data warehousing; Concept storesof Best Buy; Rhapsody; Brad Anderson;Richard Schulze; Superstores.

Royal Numico and Jan BenninkBy 2003, Royal Numico had its presence inmore than 100 countries after successfullymanaging its baby food and clinical nutritionbusiness for over a century. Throughout itshistory, its strategy included acquisitions ofrelated companies to achieve a profitableinternational growth. To further leverageits nutritional supplements business, thecompany forayed into a new segment,

vitamins, in 1997. Although the companyachieved increased sales and profit, in 2002it witnessed losses in its nutritionalsupplements business. Jan Bennink, the newchief executive officer, has embarked upona massive restructuring plan to improve thecompany’s performance.


• To discuss the reasons behind the lossesin the nutritional supplements businessof Royal Numico

• To discuss Jan Bennink’s strategies toimprove Royal Numico’s performance.

Industry Canned and Frozen FoodsReference No. GRS0007Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

Royal Numico; Jan Bennink; Nutricia NV;Hans van der Wielen; Baby food business ofNumico; Clinical nutrition of Numico;Vitamins; General Nutrition Company(GNC); Ephedra; Acquisitions of Numico;Divestment strategy of Numico; Vitamex;Rexall Sundown; Unicity; EnrichInternational.

AngloGold’s Growth StrategiesAngloGold Limited (AngloGold), with itsheadquarters at Johannesburg, South Africa,was formed in 1998 through theconsolidation of the African gold mines ofAnglo American Plc. In 2000, AngloGoldforayed into marketing of its gold productslike jewellery, by starting its on-line portal,GoldAvenue. Throughout its short history,AngloGold’s rapid growth has beencharacterised by mergers and acquisitions.With its announcement to merge with theGhana-based Ashanti Goldfields CompanyLtd in 2003, AngloGold is poised to becomenumber one in the global gold miningindustry.


• To discuss the growth strategies ofAngloGold and how it plans to becomethe largest gold mining company in theworld.


Keywords

AngloGold; Anglo American Corporation;Sir Ernest Oppenheimer; Minorco; BobbyGodsell; Mining value chain; GoldAvenue;OroAfrica; Acacia Resources; Normandy;Newmont; Ashanti goldfields; De Beers;Obuasi; Vaal Reefs.

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Amazon.Com: From Books toOutsourcing Services

From the era of the Internet boom, when itwas hailed as the ambassador of the NewEconomy, to the final shakeout, Amazonhas come a long way. Many people hadpredicted its collapse, but today, several bigretailers are seeking its expertise ine-commerce.


• To discuss the growth strategies ofAmazon from the days of book retailingto emerging as a service provider toretailers

• To discuss whether Amazon should shedits core business of retailing and emergeas a pure service provider.

Industry On-line RetailingReference No. GRS0005Year of Pub. 2004Teaching Note AvailableStruc.Assign. Available

Keywords

On-line book retailing; Amazon.com; JeffBezos; Amazon outsourcing services;Diversification of Amazon; Amazon’sassociate programmes; Web services; Barnes& Noble; Borders.com; ZShops; Amazondistribution centres; Toys ‘R’ Us; Amazon’sprofits; One-click system.

Woolworths’ Growth StrategiesWoolworths supermarket, started in Sydneyin 1924, emerged as Australia’s number 1food retailer by early 1990s. The companysurvived a scare when its unprofitableventures almost led to bankruptcy. Itsinnovative initiatives that emphasised bettershopping experience and low prices helpedthe company to tide over the crisis andbecome a Fortune 500 company.


• To understand Woolworths’ growthstrategies that helped it to transform frombeing a ‘follower that was system drivenand not customer driven’ in the 1980s toa ‘company that others try to emulate’

• To discuss Woolworths’ supply chaininitiatives and the novel services, whichreduced operating costs, and madeshopping at Woolworths moreconvenient and exciting to its customers.


Keywords

Woolworths’ cost control strategies; Big Wstores; ‘The fresh food people’ initiative;

Coles Myer; MetCash; Ezy banking; Projectrefresh; Electronic data interchange atWoolworths; Woolworths’ supply chainmanagement; Homeshop.com; Greengrocer.com; Worldwide retail exchange; RogerCorbett; Aldi in Australia; Petrol retailingat Woolworths.

Growth Strategies of Banyan TreeAs most of his family were running businessesthat were getting hit by low cost competitorsfrom other Asian countries, Ho Kwon Ping(Ho) decided to venture into tropical luxuryresorts to create a brand for himself. Hestarted Banyan Tree, with a solitary hotelresort in 1995 in Thailand. It was the firstto introduce the concepts of pool villas andtropical spas to the world. Banyan Treesoon expanded into a luxury-resort chainwith its hotels, resorts, spas and retailinggalleries spread over Singapore, Bangkok,Shanghai, Bangalore, Sydney and Seychelles.With its diversified operations, Banyan Treebecame the only Asian company to featurein the book ‘Uncommon Practices’published by ‘Financial Times Prentice Hall’along with other world famous corporateslike Virgin, Harley-Davidson, ManchesterUnited and others. It was also named the‘Best Asia-Pacific Resort Hotel’ for thesecond time in the ‘Business Traveller Asia-Pacific Awards’.


• To highlight the growth of Banyan Tree

• To discuss how Banyan Tree was able todifferentiate its hotels and resorts fromits competitors by leveraging on itstheme of Asian resorts.

Industry HospitalityReference No. GRS0003Year of Pub. 2004Teaching Note AvailableStruc.Assign. Not Available

Keywords

Banyan Tree; Pool villas; Spas; Ho KwonPing; Uncommon practices; Wah ChangGroup; Conde Nast Traveller; Tropicalgarden spas; Retailing galleries; Angsana;Colours of Angsana; Tropical luxury resorts;Business Traveller Asia-Pacific Awards;Asian hospitality industry; Easterntherapies.

AIG: Strengthening its Asian LinksAIG, the world’s leading insurance andfinancial services group, has always beenbullish about its Asian operations. Althoughit entered from Asia in the late 1920s,various adverse socio-political factorsinterrupted its Asian operations from timeto time. Since the late 1960s, AIG, under itsChairman Maurice R Greenberg, has beenmaking efforts to become a major player in

the three most promising insurance marketsin Asia-China, Japan and India.


• To discuss the strategies adopted by AIGto become a major player in the Asianinsurance industry.

Industry Banking and Financial ServicesReference No. GRS0002Year of Pub. 2004Teaching Note Not AvailableStruc.Assign. Not Available

Keywords

AIG; AIG in Asia; History of AIG; AIG’slinks with Asia; Insurance market in China;Insurance market in Japan; Insurancemarket in India; Current regulations forinsurance industry in China; Currentregulations for insurance industry in Japan;Major players in Indian insurance market;Financial statements of AIG; Insurancepremium as percentage of GDP (GrossDomestic Product) in China; Critical successfactors for insurance in China; Criticalsuccess factors for insurance in Japan;Critical success factors for insurance in India.

Sam Adams’ RepositioningStrategies

Sam Adams was the popular craft beerbrewed by the Boston Beer Company. Thecompany commanded leadership in thesegment and was seen as the native drink bythe beer-loving Americans. The success ofSam Adams not only changed theperceptions of Americans, who considerednative craft-beer as unsophisticated, but alsoposed a threat to reigning imported beers.However, after 1997 the brand could notconsolidate its presence, as explained by itsoscillating sales, which were hovering aroundthe $200 million mark. Analysts opinedthat Sam Adams had failed in its appeal tothe young Americans.


• To discuss the efforts of chairman C. JimKoch to reposition Sam Adams as a beerbrand relevant to the newer generation.


Keywords

Boston Beer Company; Sam Adams; C JimKoch; Craft beer; Craft beer segment in theUS; Imported beer; Beers in the US;Repositioning; Light beer; Strong beer;Promotion strategies; Advertisements;Competitors; Heineken; Corona.






Strategy Case Studies(Catalogue II)

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Transcript of Strategy Case Studies(Catalogue II)