Ivey Publishing

Market-Based Management

Best, R.J.,6/e (United States, Pearson, 2013)
Prepared By Eunika Sot,
Chapter and Title Chapter Matches: Case Information
Chapter 1:
Customer Focus, Customer Performance, and Profit Impact

APOLLO TYRES INDIA: SUSTAINING AN ORGANIC GROWTH
Lubna Nafees, Akshay Kumar, Kaushik Datta

Product Number: 9B15M070
Publication Date: 7/9/2015
Revision Date: 7/9/2015
Length: 13 pages

The chairman of one of India’s leading tire manufacturers must devise a strategy to maintain his company’s significant position in the tire industry. To date, the company has generated most of its revenues from sales in India, and it has become a leading player in the Indian commercial vehicle segment. With an overall slowdown in the manufacturing sector, the commercial vehicle segment has been hard-hit. The passenger car segment, however, is expected to grow. The manufacturer must find a way to effectively align its tire sales network and decide which segment to focus on.

Teaching Note: 8B15M070 (10 pages)
Industry: Manufacturing
Issues: Market segmentation; tire industry; creating customer value; customer loyalty
Difficulty: 5 - MBA/Postgraduate



PEARSON'S SUCCESSMAKER: PUTTING THE CUSTOMER FIRST IN TRANSFORMING PRODUCT DEVELOPMENT PROCESSES
T.S. Raghu, Collin Sellman

Product Number: 9B11E040
Publication Date: 2/23/2012
Length: 13 pages

Pearson Plc is an education company that operates worldwide, with headquarters in London, England. Its six primary business units are North American Education, International Education, Professional, The Financial Times, Interactive Data, and Penguin Publishing. The vice president of product management within the Digital Learning division of the North American Education unit based in Chandler, Arizona, begins to transform the product development processes to better meet the needs of his customers in the education market, specifically in transitioning from using an off-shored Waterfall software development model to an on-shore Agile model.



When the vice president first joined Pearson a year earlier, the Digital Learning unit had spent significant resources developing a major upgrade for one of its educational software products. The first version of this new product was challenged by the disconnect between what the software development group was delivering and what the vice president’s customers desired. He is now faced with a decision to continue focusing on the specific methodology the group had implemented (Scrum) or move to a new one (Kanban). Additionally, he has to consider expanding his focus to help drive Agile methodologies both with other groups in his business unit and outside his business unit. These decisions must be made at a potentially critical time for his products as his organization deals with the growing pains associated with the shift to Agile.


Teaching Note: 8B11E040 (11 pages)
Industry: Information, Media & Telecommunications
Issues: Product Development; Process Design; Agile Methodology; Systems Development; Educational Software; United States
Difficulty: 4 - Undergraduate/MBA



OTAGO MUSEUM
Ralph W. Adler, Jing Song

Product Number: 9B10B007
Publication Date: 7/29/2010
Length: 12 pages

In existence since 1868, the non-profit Otago Museum in New Zealand had undergone several changes and expansions during its history and was regarded as curator of a broad-based collection of Maori and South Pacific artifacts. In January 2010, the Otago Museum's chief financial officer (CFO) was instructed by the museum's chief executive officer (CEO) to create a balanced scorecard (BSC) for the museum. The current CEO had brought a sense of customer orientation and financial acumen to the general running of the museum, evidenced through examination of customer satisfaction via surveys and focus groups, and various efforts to diversify income streams. The development of a BSC was seen as a practical way to reinforce and further motivate employee behaviour congruent with the focus on customer service and financial acumen. The resulting BSC needed to clearly articulate the museum's objectives, and the cause-and-effect relationships linking BSC dimensions with the museum's strategic vision and mission.

Teaching Note: 8B10B07 (6 pages)
Industry: Arts, Entertainment, Sports and Recreation
Issues: Strategy; Balanced Scorecard; Organizational Culture; Strategic Planning; Non-Profit Organization; Management Accounting; Corporate Strategy
Difficulty: 4 - Undergraduate/MBA



PERSONAL SHOPPERS AT SEARS: THE ELF INITIATIVE
Kyle Murray, Ramasastry Chandrasekhar

Product Number: 9B07A019
Publication Date: 1/31/2008
Length: 14 pages

The senior vice-president of Corporate Store Sales, Sears Canada, was reviewing a new retailing initiative scheduled to launch within a month in all full-line Sears department stores across Canada. For the holiday season, Sears would offer the services of an elf, the equivalent of a personal shopper, to its customers. Although personal shoppers were common in upscale department stores, especially in the United States, this concept had not been tried in Sears stores. Taylor wondered how customers would respond to this novel concept in Canadian retailing.

Teaching Note: 8B07A19 (5 pages)
Industry: Retail Trade
Issues: Competitive Advantage; Customer Satisfaction; Customer Loyalty; Customer Service
Difficulty: 4 - Undergraduate/MBA


Chapter 2:
Marketing Metrics and Marketing Profitability

MANAGING THE COMPETITION: CATEGORY CAPTAINCY ON THE FROZEN FOOD AISLE
Madhu Viswanathan, Neil Bendle

Product Number: 9B15A014
Publication Date: 4/10/2015
Revision Date: 4/10/2015
Length: 12 pages

An executive at Freezer Foods, a manufacturer of ready-to-eat frozen meals, has just been told by a major customer, a retail supermarket chain, that it wants one of its two suppliers of frozen food to take over as category captain. A category captain is a third party, usually a manufacturer, who manages a category of goods for a retailer. The executive needs to think through the objectives of category captaincy from the retailer’s perspective and develop an attractive bid to win the category captaincy. In doing so, the executive develops an opinion on the benefits and challenges associated with category captaincy from the point of view of four parties: the retailer, the winning category captain, the manufacturer whose rival becomes the category captain, and consumers.

Teaching Note: 8B15A014 (5 pages)
Industry: Retail Trade
Issues: Category captaincy; competition; management; United States
Difficulty: 4 - Undergraduate/MBA



WE ARE SO SORRY: SEDANG PRESTIGE RESORT
Jim Kayalar

Product Number: 9B12M019
Publication Date: 3/15/2012
Revision Date: 3/13/2012
Length: 11 pages

Looking back on the disastrous vacation of an American couple in Indonesia, this case shows how a globally branded North American hotel chain disregarded the basic tenets of maintaining their global brand promise, ignored generally accepted customer service standards, failed to instigate delivery failure recovery, and leveraged firm-specific capabilities to maximize shareholder wealth. The reaction of the local manager at the Indonesian hotel and adaptation of the value proposition are told from the perspective of the vacationing couple that experienced the diluted brand firsthand.

Teaching Note: 8B12M019 (12 pages)
Industry: Accommodation & Food Services
Issues: Subsidiary Operations; Hotel Management; Performance Measurement; Customer Service; Indonesia
Difficulty: 4 - Undergraduate/MBA



THE 2006 WORLD CUP: MOBILE MARKETING AT ADIDAS (A)
Andy Rohm, Fareena Sultan, David T.A. Wesley

Product Number: 9B07A016
Publication Date: 10/4/2007
Revision Date: 2/26/2010
Length: 14 pages

The manager of Mobile Media for adidas International is debating what to do, given the sparse amount of traffic to date at the adidas FIFA World Cup mobile portal. By February, there had been only 3,000 visits to the mobile site, compared to the one million visits predicted earlier based on the previous success of a Lucas Films Star Wars mobile campaign. Given that the World Cup is a global event viewed by millions of people in person and more than one billion TV viewers worldwide, it represents a global stage for adidas to promote its brand and communicate its continued involvement and leadership in the sport of football. The manager of Mobile Media is worried that the brand's mobile efforts for this major event could fail miserably.

Teaching Note: 8B07A16 (7 pages)
Industry: Manufacturing
Issues: China; International Marketing; Telecommunication Technology; Marketing Communication; Marketing Channels; Northeastern
Difficulty: 4 - Undergraduate/MBA


Chapter 3:
Market Potential, Market Demand and Market Share

ENHANCING COMPETITIVE STRATEGY AT DARLING KENYA
Pamela Odhiambo, Nicole R.D. Haggerty, Ali Kanji, Brandon Swartz

Product Number: 9B15A012
Publication Date: 6/1/2015
Revision Date: 7/27/2018
Length: 7 pages

In September 2013, the managing director of Darling Kenya, a hair care product company headquartered in Nairobi, was pondering his next move. As a leader in the beauty haircare industry in Africa, the company needed to stay a step ahead of increasing competition from both local and multinational firms. With limited room to grow in the industry, he was looking at a set of alternatives to protect Darling’s brand from losing market share. Which option would benefit the company the most: exploring new advertising channels, especially on the Internet and in social media; reinvigorating the brand with new packaging and higher quality; or entering the rural market through road shows?

Teaching Note: 8B15A012 (8 pages)
Industry: Retail Trade
Issues: developing economy; strategy; emerging markets
Difficulty: 3 - Undergraduate



COLGATE-PALMOLIVE CANADA: FIGHTING FOR A SHARE OF THE TOOTHPASTE MARKET
Michael Taylor, Ramasastry Chandrasekhar

Product Number: 9B14A044
Publication Date: 1/6/2015
Revision Date: 11/10/2014
Length: 15 pages

After several years of near steady state, the market share of Colgate Palmolive Canada Inc. in the toothpaste category has gathered momentum in 2012. In a bid to extend the gap between the company and its primary competitors in the category in 2013, the vice-president of customer development is discussing the options with his team at company headquarters in Toronto. Market share is an important performance metric at the company. One suggestion is to increase the marketing budget. There is a general consensus that marketing dollars should not be diffused across activities during the year, but there are differences of opinion about what to focus on — trade promotions, consumer promotions or advertising — in order to sustain the momentum in market share in 2013.

Teaching Note: 8B14A044 (25 pages)
Industry: Retail Trade
Issues: Market share; retailing; consumer promotions; trade; advertising; growth strategy; Canada
Difficulty: 4 - Undergraduate/MBA



CITIBANK INDIA CREDIT CARDS: STRATEGY FOR PROFITABLE GROWTH
Jaydeep Mukherjee, Sanket Kawde

Product Number: 9B14A016
Publication Date: 5/30/2014
Revision Date: 5/22/2014
Length: 17 pages

The target market of Citibank cards in India was aligned with the profitability objectives of the company. However, if it continued with its current strategy, it faced the risk of being a niche player in a growing market and losing the profit potential from other segments and geographies in the near future. The CEO needed to reconsider the target market and finalize a marketing strategy in the face of the changing composition of the marketplace, the competition and the commercial imperatives of the credit card business. This was a critical decision that would have a long-term impact on resource deployment and budgeting.

Teaching Note: 8B14A016 (10 pages)
Industry: Finance and Insurance
Issues: Target market selection; strategy; credit card marketing; customer lifetime value; India
Difficulty: 5 - MBA/Postgraduate


Chapter 4:
The Customer Experience and Value Creation

ORGANIC GROWTH AT SONNENTOR
Dietmar Sternad

Product Number: 9B15M031
Publication Date: 2/27/2015
Revision Date: 2/27/2015
Length: 15 pages

The entrepreneur and founder of Sonnentor, an organic food production company, has grown his business by focusing on unusual strategic and operative choices. Sonnentor emphasizes socially and environmentally responsible behaviour in all its actions and has built its business on fair partnerships with employees, suppliers and other partners. The case highlights the role of “embedded sustainability” in the success of the business and presents the challenge of transferring the founder’s unique business philosophy, both to other domains and to a new managerial generation.

Teaching Note: 8B15M031 (12 pages)
Industry: Manufacturing
Issues: CSR; social responsibility; sustainability; corporate values; Austria
Difficulty: 5 - MBA/Postgraduate



THE WESTJET CHRISTMAS MIRACLE (A)
Kersi Antia, Ramasastry Chandrasekhar

Product Number: 9B14A026
Publication Date: 8/25/2014
Revision Date: 8/22/2014
Length: 16 pages

WestJet, Canada’s second largest national airline, is preparing to launch a social media initiative to coincide with the year-end holiday season. As the company’s executive vice-president (Sales, Marketing and Guest Experience) reviews the plan, he is seeking answers to three questions. Does the proposed initiative fit or mismatch with WestJet’s brand image? Will the initiative deepen or dilute the engagement the airline currently enjoys with its guests (as it calls its passengers) and WestJetters (as it calls its employees)? What specific outcomes can WestJet achieve through the initiative and how can those outcomes be improved? Also see supplement 9B14A027.

Teaching Note: 8B14A026 (9 pages)
Industry: Other Services
Issues: Social media; guerilla marketing; promotions; customer experience; Canada
Difficulty: 4 - Undergraduate/MBA



SUSHILICIOUS: STANDING OUT IN A CROWDED FIELD
Dante Pirouz, Raymond Pirouz, Ken Mark

Product Number: 9B11A035
Publication Date: 10/17/2011
Length: 19 pages

The founder of Sushilicious, a new sushi restaurant in California, is wondering how to make his second year in the business even more successful. His objective is to grow the current base for his restaurant with a limited marketing budget. The founder has had success building his first restaurant using a combination of social media tools and now wonders how he can build upon his current marketing strategy. Furthermore, should he franchise the Sushilicious concept, open a second restaurant, or focus entirely on the first location?

Teaching Note: 8B11A035 (7 pages)
Industry: Accommodation & Food Services
Issues: Market Segmentation; Market Planning; Marketing Without Advertising; Social Media; California, United States
Difficulty: 4 - Undergraduate/MBA


Chapter 5:
Market Segmentation and Segmentation Strategies

PILLSBURY COOKIE CHALLENGE
Allison Johnson, Natalie Mauro

Product Number: 9B11A001
Publication Date: 2/3/2011
Revision Date: 3/8/2018
Length: 14 pages

The Canadian Pillsbury ready-baked goods cookie line is experiencing disappointing performance, and the marketing manager at General Mills Canada Corporation is under pressure to make strategic decisions that will help turn around the segment. The marketing manager has engaged the help of the consumer insight team to conduct market research studies that will shed light on consumers and their attitudes, behaviours, and preferences towards the product. The results from the market research studies have arrived, and the students, assuming the role of the marketing manager, must filter through them to determine how this information can be used to improve the performance of the cookie segment. More specifically, students will need to determine where the greatest opportunities lie, who the team should target, what brand messaging is the most relevant, and what type of communication plan would be most effective.

Teaching Note: 8B11A001 (11 pages)
Industry: Manufacturing
Issues: Cross-cultural Differences; Customer Segmentation; Brand Positioning; Value Proposition; Market Research
Difficulty: 4 - Undergraduate/MBA



POWER GIG: THE RISE (AND FALL) OF MUSIC GAMES
David T.A. Wesley

Product Number: 9B13A011
Publication Date: 5/2/2013
Revision Date: 5/2/2013
Length: 16 pages

The chairman and chief executive officer of a manufacturer of entry-level musical instruments decides to take advantage of the popularity of music video games by creating a gaming division. After spending $30 million on product development, the company launches its first music video game just as the market for this subgenre has fallen into a steep decline. The case discusses the specific attributes of this music video game that may have doomed it, both despite the decline in music video games and in the context of the broader background of music video games, their success and the reasons behind their decline.

Teaching Note: 8B13A011 (7 pages)
Industry: Manufacturing
Issues: Market Segmentation; Target Marketing; New Products; Diversification; United States
Difficulty: 4 - Undergraduate/MBA



QUEST FOODS ASIA PACIFIC AND THE CRM INITIATIVE
Allen Morrison, Donna Everatt

Product Number: 9B01M011
Publication Date: 4/30/2001
Revision Date: 5/18/2017
Length: 15 pages

Quest Foods International is one of the world's largest manufacturers of fragrances, flavors and textures for the food, beverage and consumer products industries. Quest Foods' regional vice-president is in the process of implementing a business process re-engineering project for the company. His current efforts focus on developing an information technology-based customer relationship management (CRM) system that he believes could give the company a sustainable competitive advantage with customers in the region and throughout the world. His ultimate goal is to bring Quest to the next phase of e-business. Despite high ambitions, his initiatives are making little headway. Internal opposition to change is significant and some key customers are growing concerned that Quest's CRM plans might miss the mark. Faced with considerable time and resource pressures, he is wondering how to set priorities and where to focus his energies.

Teaching Note: 8B01M11 (13 pages)
Industry: Manufacturing
Issues: International Business; Leveraging Information Technology; Business Process Re-Engineering; Customer Relations
Difficulty: 5 - MBA/Postgraduate


Chapter 6:
Competitive Position and Sources of Advantage

PUROLATOR INC.: LAUNCHING INNOVATION
Jean-Louis Schaan, Ramasastry Chandrasekhar

Product Number: 9B15M032
Publication Date: 3/25/2015
Revision Date: 3/25/2015
Length: 12 pages

The newly appointed innovation manager at Purolator, a market leader in the parcel delivery industry in Canada, is under pressure to deliver quick wins. The manager faces three dilemmas in his role, which is the first-of-its-kind in the company. How should he bring innovation to the attention of Purolator employees, particularly the senior managers? How should he develop the roadmap and set an agenda for unveiling innovation at Purolator? How should he ensure that innovation becomes a source of long-term competitive advantage at Purolator?

Teaching Note: 8B15M032 (10 pages)
Industry: Other Services
Issues: Competitive strategies; managing change; process rigor; Canada
Difficulty: 5 - MBA/Postgraduate



VICE MEDIA: COMPETITIVE ADVANTAGE AND GLOBAL EXPANSION
Farzad H. Alvi

Product Number: 9B14M039
Publication Date: 3/17/2014
Revision Date: 11/17/2014
Length: 13 pages

Vice Media has gone from a startup in Canada to landing in New York City and assiduously building a global youth brand through unique and seemingly inimitable competitive advantages. While globalizing its operations, Vice Media appears to have developed expertise in standardizing certain aspects of its business, adapting others to local context and, increasingly, building a global chain. Given Vice Media’s explosive growth, how can its global value chain be structured to maintain the carefully cultivated emotional connection the company has created with its audience?

Teaching Note: 8B14M039 (6 pages)
Industry: Information, Media & Telecommunications
Issues: Competitive advantage; growth; Canada; United States; Global
Difficulty: 5 - MBA/Postgraduate



NETFLIX INC.: STREAMING AWAY FROM DVDS
Luis Alfonso Dau, David T.A. Wesley

Product Number: 9B12M040
Publication Date: 4/5/2012
Revision Date: 4/5/2012
Length: 10 pages

This case examines two of the leading video rental services in the United States, Blockbuster and Netflix, and how each adapted to changing technology and market forces. At the end of the case, Blockbuster has declared bankruptcy and Netflix has seen its first decline in subscribers since its founding in 1997. Netflix also faces a number of new threats, including illegal file sharing, rental kiosks, and new low-cost video-on-demand (VOD) services. Netflix responds to these threats by announcing that it will split the company in two — Netflix will focus exclusively on streaming content, while a new subsidiary called Qwikster will be restricted to providing DVDs by mail. Customers overwhelmingly react negatively to the announcement, and Netflix’s stock price plunges by more than 50 per cent.

Teaching Note: 8B12M040 (7 pages)
Industry: Arts, Entertainment, Sports and Recreation
Issues: Competitive Advantage; Innovation; Technological Change; Technological Disruption; Movie Rental Industry; United States
Difficulty: 2 - Intro/Undergraduate



CHINESE FIREWORKS INDUSTRY
Paul W. Beamish

Product Number: 9B11M006
Publication Date: 1/11/2011
Revision Date: 5/4/2017
Length: 13 pages

The Chinese fireworks industry thrived after China adopted the open-door policy in the late 1970s, and grew to make up 90 per cent of the world’s fireworks export sales. However, starting in the mid-1990s, safety concerns led governments both in China and abroad to set up stricter regulations. At the same time, there was rapid growth in the number of small family-run fireworks workshops, whose relentless price-cutting drove down profit margins. Students are asked to undertake an industry analysis, estimate the industry attractiveness, and propose possible ways to improve the industry attractiveness from an individual investor’s point of view. Jerry Yu is an American-born Chinese in New York who has been invited to buy a fireworks factory in Liuyang, Hunan.

Teaching Note: 8B11M006 (16 pages)
Industry: Manufacturing
Issues: Market Analysis; Industry Analysis; International Marketing; Exports; China
Difficulty: 4 - Undergraduate/MBA


Chapter 7:
Product Positioning, Branding, and Product Line Strategies

ZIVAME: BRANDING OPTIONS FOR AN ONLINE LINGERIE RETAILER
Nirankush Dutta, Anil K. Bhat

Product Number: 9B15A031
Publication Date: 6/30/2015
Revision Date: 6/26/2015
Length: 9 pages

By May 2015, Zivame, an Indian online lingerie retailer, had established itself as a market leader in this category by providing traditionally conservative Indian women a reliable solution to help them confidently purchase their most intimate wear while avoiding any confrontation with sales executives, mostly men, of brick-and-mortar stores. It helped its customers understand their lingerie needs, browse through styles, order their right size and get their orders delivered quickly at their doorstep without any embarrassment. Reliable customer care, availability of various national and international brands and a wide range of sizes and styles had made the brand popular in its target market, averaging 1,200 daily orders, almost a 200 per cent jump from the previous year. Can Zivame reach its goal of becoming a billion dollar enterprise in the next five to seven years or will confining itself to the women’s lingerie segment become a hurdle to future growth?

Teaching Note: 8B15A031 (11 pages)
Industry: Retail Trade
Issues: Brand management; e-commerce; start-up
Difficulty: 4 - Undergraduate/MBA



PEQUIGNET: THE FACE OF THE RENAISSANCE OF FRENCH HAUTE HORLOGERIE
Ken Kwong-Kay Wong

Product Number: 9B15A022
Publication Date: 5/27/2015
Revision Date: 5/27/2015
Length: 11 pages

For French watchmaker Pequignet, its return to the annual luxury watch and jewelry show, Baselworld, signaled a new page in the company’s 40-year history. As the only “haute horlogerie” manufacturer in France since the quartz crisis in the 1970s, Pequignet had caught the attention of both the media and the watch collector community, despite going through receivership and a change of ownership. In addition to showcasing its Calibre Royal collection, Pequignet presented a new line of entry-level watches. Should the company invest further in its manufacturing processes to make high-end mechanical watches, as it had in the past? Or should it focus on producing more affordable, accessible products, as with its most recent collection? As an independent atelier, Pequignet had to address these questions in order to succeed in the highly competitive global watch market.

Teaching Note: 8B15A022 (9 pages)
Industry: Manufacturing
Issues: Branding
Difficulty: 4 - Undergraduate/MBA



ZERO, BRAMMO AND THE ELECTRIC MOTORCYCLE INDUSTRY
Stewart Thornhill, Sophie Fei Zhu

Product Number: 9B11M092
Publication Date: 12/5/2011
Length: 15 pages

Electric motorcycles’ features of zero emissions, light weight, high efficiency, low energy costs, and almost no pollution contribute to the increasing popularity of and substantial growth potential for the worldwide electric motorcycle industry. However, Zero was facing competition from Brammo, which, though positioning its products differently from Zero, adopted a similar international growth strategy. How could the chief executive officer of Zero position its products so that Zero would be able to offer a unique value proposition and establish clear dominance in the electric motorcycle industry?

Teaching Note: 8B11M092 (7 pages)
Industry: Manufacturing
Issues: Product Positioning; Distribution Channel Choice; Environment; Carbon Emissions; Motorcycles; United States
Difficulty: 4 - Undergraduate/MBA


Chapter 8:
Value-Based Pricing and Pricing Strategies

MALAYSIA AIRLINES: THE MARKETING CHALLENGE AFTER MH370 AND MH17
Neeraj Pandey, Gaganpreet Singh

Product Number: 9B15A028
Publication Date: 6/1/2015
Revision Date: 6/1/2015
Length: 14 pages

The chief executive officer of Malaysia Airlines (MAS) had the daunting task of sustaining a business that had suffered the tragic loss of two of its airliners in a span of just four months. Prior to this, a US$392 million loss, as well as the inability to compete with lower-cost carriers, had posed a great challenge to MAS. Management was planning to initiate a cost-cutting strategy to manage pricing and the competitive challenges of the aviation industry when these incidents shocked the world. The disasters greatly impacted customer confidence, as reflected in the company’s declining booking rates and stock prices. With its reputation severely damaged, MAS was faced with many hard-hitting questions from various stakeholders about the airline’s prospects. Many felt there was a need to transform the entire business model. The top executives pondered various options, including rebranding the airline, a new discounted pricing structure to build volume, a private equity infusion, a merger and filing for bankruptcy. Each option would have to be considered very carefully, as the changes made to the business would decide the future of MAS.

Teaching Note: 8B15A028 (9 pages)
Industry: Transportation and Warehousing
Issues: Value communication; customer; turnaround
Difficulty: 5 - MBA/Postgraduate



A COUPLE OF SQUARES: PRICING FOR THE FUTURE (A)
Dante Pirouz, Raymond Pirouz, Dina Ribbink, Emily Chen-Bendle

Product Number: 9B13A004
Publication Date: 3/14/2013
Revision Date: 3/21/2013
Length: 14 pages

In 2012, small upscale bakery produces artisan-quality, hand-decorated cookies, generating $1 million in annual revenue. In the (A) case, the two co-owners investigate the role of pricing in driving growth for their business and allowing them to achieve several fundamental financial goals. In the (B) case 9B13A005, the partners explore the possibility of a website to drive direct-to-consumer sales on an e-commerce platform.

The multimedia elements of the case 7B13A004 will add to the richness of the conversation. (A higher price applies to this case due to color exhibits.)


Teaching Note: 8B13A004 (4 pages)
Industry: Manufacturing
Issues: Pricing; Operations; Small Business; Social Media; B2C; B2B; Canada
Difficulty: 4 - Undergraduate/MBA



HANSON PRODUCTION: PRICING FOR OPENING DAY
June Cotte, Peter Famiglietti

Product Number: 9B10A011
Publication Date: 5/21/2010
Length: 14 pages

The president of production at Hanson Productions, an off-Broadway production company, was faced with the same situation for every Broadway production: where to locate, how many seats, what to charge and how to promote and market the production. There are three separate venues, with three separate value propositions to the studio, case and audience. While bigger means more seats and more revenue for each show, there is a capacity percentage that must be factored in to the decision due to the increased rental costs. Smaller venues may lead to higher capacity percentages, but ultimately leave money on the table. The ticket prices must be set for advance sales; any change in price after this period will effectively hurt future sales - more so if the price is discounted. Determining a promotion partner may lessen the risk of a potential failure, yet cost more profit and affect the recoup schedule.

Teaching Note: 8B10A11 (8 pages)
Industry: Arts, Entertainment, Sports and Recreation
Issues: Sales Forecasting; Pricing; Pricing Strategy
Difficulty: 4 - Undergraduate/MBA


Chapter 9:
Marketing Channels and Channel Mapping

CHALLENGING SPORTS AUTHORITY IN PUERTO RICO
Shirley Ann Molina, Valerie Rivera Lozada, Victor Quiñones

Product Number: 9B15A024
Publication Date: 6/10/2015
Revision Date: 6/10/2015
Length: 10 pages

In 2014, Shooting & Outdoor Distributor (SOD) was a Puerto Rican family-owned wholesale business selling sporting goods for hunting and fishing. After a year of working for the company, the operations manager was confronted with the arrival of a U.S. retail chain, Sports Authority (SA), to the Puerto Rican market. SA carried many sporting goods sold by SOD, as well as a number of brands under exclusive distribution agreements between SOD and its U.S. manufacturers. Even though SA was a retailer, due to its size, it had the power to negotiate better prices with manufacturers than SOD and pass those deals on to the final customer. SOD’s operations manager was considering three options for combating this competition: 1) Develop private branding for a new rifle product; 2) Open SOD retail stores not operating close to SA or to its retail clients; and/or 3) Expand SOD to other Latin American and Caribbean markets where no competition was present.

Teaching Note: 8B15A024 (8 pages)
Industry: Wholesale Trade
Issues: Strategic marketing; road map development; marketing channels
Difficulty: 4 - Undergraduate/MBA



BEIJING XIAOMI TECHNOLOGY CO.: GROWTH VIA ONLINE CHANNELS
Miao Cui, Yanhong Guo, Feixiang Peng, Jilong Wang, Liang Wang, Tianyue Yang

Product Number: 9B14A074
Publication Date: 1/30/2015
Revision Date: 1/29/2015
Length: 11 pages

Beijing Xiaomi Technology Co. Ltd. (Xiaomi) had grown into the third-largest cell phone brand in China and the sixth-largest in the world. The company solely deployed online channels, which contributed to its success. In the initial stage, Xiaomi depended on its own online channel to interact with consumers to develop user-friendly products and sell products. Three years after its inception, the company successfully established its flagship store on the largest business-to-consumer e-commerce platform in China. However, Xiaomi was facing a series of challenges, such as competitors’ imitation and consumer complaints regarding services. Xiaomi was at a crossroads: should it stick to its online channels or develop online-to-offline channels?

Teaching Note: 8B14A074 (14 pages)
Industry: Manufacturing
Issues: E-business; Internet; marketing channels; China
Difficulty: 5 - MBA/Postgraduate



ASCLEPIUS CONSULTING: THE SALES FORCE DILEMMA
Sreeram Sivaramakrishnan

Product Number: 9B13A036
Publication Date: 1/10/2014
Revision Date: 1/9/2014
Length: 13 pages

In 2012, Asclepius Consulting is one of the many small software companies in India that have aspirations to become product companies as opposed to being services companies. Asclepius Consulting deals in hospital management information systems and has a product and service offering that is competitive and well received by customers. However, due to lack of capital, the company has been unable to invest in a sales force, and this has created a problem of reach. It is currently selling through a combination of resellers (external parties contracted to sell the software) and an inside sales force. Now, one of its three co-founders, whose expertise is in business process restructuring and business planning and strategy, is looking at revisiting the sales and marketing model in this complex marketplace.

Teaching Note: 8B13A036 (14 pages)
Industry: Health Care Services
Issues: Sales management; sales organization; business-to-business marketing; channel management; India
Difficulty: 5 - MBA/Postgraduate



BRAND IN THE HAND: MOBILE MARKETING AT ADIDAS
Andy Rohm, Fareena Sultan, David T.A. Wesley

Product Number: 9B05A024
Publication Date: 9/26/2005
Revision Date: 5/23/2017
Length: 22 pages

The Global Media manager for adidas International is responsible for developing and championing a new marketing strategy at adidas called brand in the hand that is based on the convergence of cell phones and wireless Internet. The case presents company background information, data on the penetration of mobile devices such as cell phones, the growth of global mobile marketing practices, and several mobile marketing communications campaigns that adidas launched in 2004, such as a mobile newsticker for the 2004 European soccer championship. The case then introduces a specific campaign - Respect M.E. - featuring Missy Elliott, a popular female hip-hop artist, and discusses the company's mobile marketing strategy to support MissyElliott's new line of sportswear. This case can be used to highlight the role of new technology in overall marketing strategy and integrated marketing communications.

Teaching Note: 8B05A24 (13 pages)
Industry: Manufacturing
Issues: Marketing Channels; Marketing Communication; International Marketing; Telecommunication Technology; Northeastern
Difficulty: 4 - Undergraduate/MBA


Chapter 10:
Marketing Communications, Social Media, and Customer Response

WOODBARN INDIA: TRYING TO BREAK A CONCRETE MINDSET
Subhadip Roy, Subhalaxmi Mohapatra

Product Number: 9B14A072
Publication Date: 5/7/2015
Revision Date: 4/14/2015
Length: 9 pages

WoodBarn India was a construction company specializing in wooden houses and buildings. The company had worked primarily for business-to-business buyers but was fairly successful in earning a good reputation. However, to make profits, WoodBarn needed to tap into the Indian middle-class housing market, which was largely dominated by brick-and-mortar houses. The major challenge was to educate consumers and break the existing mindset that wooden houses were non-durable. Additional challenges related to procurement since the required raw material was not available in the domestic market and obtaining the same increased the final price of the product.

Teaching Note: 8B14A072 (9 pages)
Industry: Construction
Issues: Segmenting; targeting; positioning; strategy; India
Difficulty: 5 - MBA/Postgraduate



BANKING ON SOCIAL MEDIA (A)
Luisa Mazinter, Nicola Kleyn, Michael Goldman, Jennifer Lindsey-Renton

Product Number: 9B14A070
Publication Date: 2/13/2015
Revision Date: 1/28/2015
Length: 11 pages

First National Bank (FNB), one of South Africa’s “Big Four” banks, has, under the stewardship of its CEO, invested in a strategy of innovation to grow its market presence in South Africa, other emerging-market African countries and India. In line with its strategy to lead digital banking in South Africa, FNB has invested in building a social media strategy to enable the brand to strengthen its relationships with customers, through building customer knowledge and stickiness and humanizing its brand.

In 2012, FNB’s head of digital marketing and media sees a tweet from Standard Bank stating that it has instructed its attorneys to lodge a complaint against what it alleges to be FNB’s misleading advertising. She wonders whether Standard Bank’s use of Twitter to communicate this competitive action is related to FNB’s extensive and well-publicized use of the micro-blogging service. She knows that the debate on Twitter will be a significant indicator of whether her social media strategy has been successful. How can FNB continue to differentiate itself and alleviate the pressure on non-interest revenues?

Banking on Social Media (B), 9B14A071, is a supplement to this case.


Teaching Note: 8B14A070 (12 pages)
Industry: Finance and Insurance
Issues: Social media; brand; engagement; banking; South Africa
Difficulty: 4 - Undergraduate/MBA



CARDSWAP: CONVERTING UNWANTED GIFT CARDS INTO CASH
Neil Bendle, Michael Taylor

Product Number: 9B11A034
Publication Date: 9/22/2011
Length: 12 pages

CardSwap was an online service that provided consumers with the opportunity to convert unwanted gift cards into hard cash. The co-founder felt convinced that his small Canadian company created great value for its customers. After all, there were around a billion dollars of unwanted gift cards entering circulation every year. People who owned these unwanted gift cards would surely want to use the CardSwap service. CardSwap could offer a strong value proposition to consumers while ensuring a healthy return through commissions on every transaction. Problems remained, however, as CardSwap was a relatively small company and had no access to the multi-million-dollar advertising budgets that might be needed to get a message out to consumers through an extensive multi-media strategy. How much should the company be willing to spend to acquire a customer? How best could this new company use its limited resources to communicate to customers the benefits of CardSwap?

Teaching Note: 8B11A034 (12 pages)
Industry: Retail Trade
Issues: Customer Value; Creating Value; Gift Cards; Marketing Communications
Difficulty: 3 - Undergraduate



CCM HOCKEY: THE RE-LAUNCH OF THE U+ PRO SKATE
Christopher Ross

Product Number: 9B11A038
Publication Date: 11/18/2011
Length: 18 pages

CCM Hockey had been losing market share to competitors in the hockey skate business. In order to counter this trend, in March 2008 the most innovative pair of hockey skates ever developed by CCM was made available to customers. Soon after the launch, however, some quality issues developed. In 2009, new and improved skates were put on the market but they looked identical to the previous model. Buyers were skeptical and, as a result, sales were poor. Both the trade and individual consumers had lost confidence in the brand. CCM returned to the drawing board and redesigned the skates but also decided to launch them in fall 2010, instead of the normal industry cycle time of spring 2010. The decision was complicated by a stagnant market and indistinct consumer segments. The brand manager and his assistant were faced with developing a strong launch strategy because the future of the CCM skate brand depended on it.

Teaching Note: 8B11A038 (12 pages)
Industry: Arts, Entertainment, Sports and Recreation
Issues: Brand Management; Integrated Marketing Communications; Product Positioning; Competitor Analysis; Product Management; Customer Analysis; Ice Hockey
Difficulty: 4 - Undergraduate/MBA


Chapter 11:
Portfolio Analysis and Strategic Market Planning

RODAMAS GROUP: DESIGNING THE PORTFOLIO
Marleen Dieleman

Product Number: 9B14M029
Publication Date: 5/7/2014
Revision Date: 5/7/2014
Length: 9 pages

This is a supplement to Rodamas Group: Designing Strategies for Emerging Realities in Emerging Economies (9B09M049). The original case was set in 2009 and reflected on the strength of Rodamas’s core competence — a local partnership role in a difficult emerging market - Indonesia. This second case is set in 2013 and gives an update on the group’s diversified portfolio and asks where attention should be focused. It offers an opportunity to perform a portfolio (BCG matrix/GE business screen) exercise.

Teaching Note: 8B14M029 (6 pages)
Industry: Manufacturing
Issues: Corporate strategy; BCG matrix; emerging markets; portfolio management; Indonesia
Difficulty: 4 - Undergraduate/MBA



CLEARWATER SEAFOODS - B2C IN CHINA
June Cotte, Ramasastry Chandrasekhar

Product Number: 9B13A025
Publication Date: 8/29/2013
Revision Date: 8/29/2013
Length: 12 pages

Clearwater Seafoods, a Canadian shellfish enterprise, has four decades of experience in business-to-business (B2B) marketing. It harvests seafood, processes it and markets it in bulk to large restaurant chains worldwide. The company wants to pursue growth by marketing seafood directly to individual consumers (B2C) in China. The transition from B2B to B2C raises three fundamental questions. How can the company develop and deploy a go-to-market business model with Chinese grocery retailers? How can it balance its focus on margins with the Chinese retailers’ focus on revenues? How can Clearwater establish differentiation as a source of competitive advantage in seafood retailing in China?

Teaching Note: 8B13A025 (4 pages)
Industry: Retail Trade
Issues: Retailing; consumer marketing; operations; strategy; go-to-market planning; China
Difficulty: 5 - MBA/Postgraduate



GM: THE OPEL DECISION
Darren Meister, Ramasastry Chandrasekhar

Product Number: 9B10M022
Publication Date: 3/8/2010
Revision Date: 3/22/2010
Length: 19 pages

In July 2009, General Motors Company (GM),the world's second largest automotive enterprise, has come out of a bankruptcy orchestrated by the U.S. federal government. Leaner and focused after a 40-day exercise, GM is still a long way from a full-fledged financial recovery. The company is under a mandate to concentrate first on its U.S. market. Its European subsidiary, which manufactures the Opel cars, has been struggling for nearly a decade. The business seems fundamentally sound. Opel requires capital infusion and managerial skills for which GM has been talking to potential investors, such as Fiat of Italy, BAIC of China, Magna of Canada and RHJI of Belgium. The board of GM has to decide whether GM should liquidate Opel, retain it within its fold or go for partial divestiture. In the event of a sale of stake, the board has to decide whom, from among those short-listed by the chief executive officer and his team, it should bring aboard. The case provides an opportunity for students to use available data and their judgment to choose a bidder who can drive shareholder value. It helps them deal with issues such as timing and biases in a typical retain/liquidate/divest decision and also whether a company should have, on the lines of a more common M&A strategy, an ongoing divestiture strategy.

Teaching Note: 8B10M22 (6 pages)
Industry: Manufacturing
Issues: Portfolio Analysis; Strategic Management; International Business; Divestitures
Difficulty: 4 - Undergraduate/MBA


Chapter 12:
Offensive Strategies

AMAZON GOES GLOBAL
Yong Li, Jing Li

Product Number: 9B14M122
Publication Date: 5/7/2015
Revision Date: 5/8/2015
Length: 15 pages

As the world’s largest online retailer, Amazon had a 12.3 per cent worldwide market share and had operations in 10 countries. However, its performance was markedly unbalanced across different countries. For example, it had a significant market share in Germany at 21.4 per cent, while it only owned 1.7 per cent of the Chinese online retailing market. In this way, Amazon faced critical challenges in developing future international strategies. Should it continue its global expansion into new markets? What should the company do with less successful markets, such as China?

Teaching Note: 8B14M122 (11 pages)
Industry: Information, Media & Telecommunications
Issues: Online retailing; emerging markets; global
Difficulty: 4 - Undergraduate/MBA



VISA INC. AND THE GLOBAL PAYMENTS INDUSTRY
Neil Bendle, Dan Horne

Product Number: 9B14A018
Publication Date: 5/29/2014
Revision Date: 5/29/2014
Length: 8 pages

A manager, preparing for an interview with Visa Inc., seeks to understand the nature of the global payments industry and Visa Inc.'s position within it. The case outlines the industry's history and current practice through extensive use of publicly reported information. The public information allows answers to some important questions. What does Visa Inc. do? How competitive is the industry? And what is the source of Visa Inc.'s competitive advantage? Student spreadsheet is available, see 7B14A018.

Teaching Note: 8B14A018 (11 pages)
Industry: Finance and Insurance
Issues: Industry analysis; strategy; credit card; market share; North America
Difficulty: 4 - Undergraduate/MBA



GENICON: A SURGICAL STRIKE INTO EMERGING MARKETS
Allen H. Kupetz, Adam P. Tindall, Gary Haberland

Product Number: 9B10M041
Publication Date: 5/5/2010
Revision Date: 5/3/2017
Length: 13 pages

A critical question facing a company's ability to grow its business internationally is where it should go next. One company facing that decision was GENICON, a U.S.-based firm that manufactured and distributed medical instruments for laparoscopic surgeries. Although the minimally invasive surgical market in the United States had long been the largest in the world, international markets were anticipated to grow at a much faster rate than the U.S. market for the foreseeable future. GENICON was already in over 40 international markets and was looking in particular at the rapidly emerging markets - Brazil, Russia, India and China - as potential new opportunities for growth. This case is appropriate for use in an international business course to introduce market selection strategy. It can also be used in sessions on international marketing, entrepreneurship and business strategy.

Teaching Note: 8B10M41 (9 pages)
Industry: Manufacturing
Issues: China; International Expansion; Entrepreneurial Marketing; Emerging Markets; International Business
Difficulty: 4 - Undergraduate/MBA


Chapter 13:
Defensive Strategies

XIAMEN HONDA 4S SHOP
Lin Guo, Zifeng Wang

Product Number: 9B12A051
Publication Date: 12/20/2012
Revision Date: 12/18/2012
Length: 17 pages

Based on the automobile sale model in the mainland of China, this business case describes Xiamen Honda 4S Shop’s current sales situation, marketing strategy and management. It emphasizes the dilemma faced by the company CEO — whether or not he will implement the plan proposed by the sales department to offer lifetime car care for customers who bought car insurance from the company. Deeper marketing management problems are also raised, such as how to distribute marketing resources, how to evaluate the marketing plan and its performance and how to raise company value when it supplies better value to the customers. This case can be used in marketing management for MBA students and senior undergraduates. It provides an opportunity to discuss the subjects of customer lifetime value and marketing budget management.

Teaching Note: 8B12A051 (11 pages)
Industry: Retail Trade
Issues: Customer value; automobiles; service management; China; Ivey/CMCC
Difficulty: 4 - Undergraduate/MBA



NOUVEAU EVENT PLANNING: THE WEDDING EXTRAVAGANZA
Neil Bendle, Rocky Campana

Product Number: 9B11A042
Publication Date: 10/17/2011
Length: 16 pages

Since 1988, Nouveau Event Planning has been operating the largest wedding expo in Windsor, Canada, an event called the Wedding Extravaganza. In 2001, the Wedding Odyssey became the second wedding expo in Windsor, and started to pose a significant threat to the Wedding Extravaganza. Now in 2011, the owner of Nouveau Event Planning must make strategic decisions involving pricing, customer retention, and selection of an appropriate target market. She must also determine the best course of action for the exhibition through analysis of the competitive landscape and future potential of the wedding industry.

Teaching Note: 8B11A042 (7 pages)
Industry: Other Services
Issues: Competition; Differentiation; Market Analysis; New Entrants, Event Planning; Wedding Industry; Canada
Difficulty: 4 - Undergraduate/MBA



OSSCUBE: LEVERAGING SOCIAL MEDIA
Anandan Pillai, Ashok Pratap Arora

Product Number: 9B11A007
Publication Date: 6/29/2011
Length: 19 pages

Established in 2006, OSSCube was an open source software development company based in North Carolina, United States, which had its India office in Noida and its development centres in Delhi, Bangalore, and Noida. OSSCube started as a software training provider and gradually emerged as an open source software development and consulting company. The marketing of OSSCube’s offerings was primarily executed by search engine optimization (SEO) initiatives. Later, OSSCube created a social media presence on a variety of social media platforms such as Facebook, Twitter, and Vimeo. The primary objective of creating a presence on these social media platforms was to augment the company’s SEO initiatives. Although this strategy helped OSSCube in gaining business leads, the community manager of the firm realized that the strategy was not building the brand identity of OSSCube. Also, the prospect of having a wide presence on social media platforms to augment SEO activities created confusion in consumers’ minds regarding OSSCube’s expertise. Hence, in 2010, the manager was reviewing the social media approach with some definite objectives such as branding employees, branding OSSCube, and promoting open source software. He faced the challenge of forming an appropriate social media strategy that would address these objectives.

Teaching Note: 8B11A007 (14 pages)
Industry: Professional, Scientific, and Technical Services
Issues: Social Media Strategy; Search Engine Optimization; Branding; Open Source Software; United States; India; Ivey/ISB
Difficulty: 5 - MBA/Postgraduate


Chapter 14:
Building a Marketing Plan

TATEV REVIVAL PROJECT
Marina Apaydin, Rashid El Ayoubi De La Fuente, Raghid Nami, Marwa Hachem, Ralph Khattar, Tamara Zeidan

Product Number: 9B14M151
Publication Date: 6/4/2015
Revision Date: 6/4/2015
Length: 19 pages

Perched on a cliff, the ninth-century Tatev Monastery is one of the most important monasteries in Armenia. A prominent Moscow-based businessman has decided to make it into an accessible and attractive tourist destination. Complicating matters is the region’s significant poverty and inaccessibility due to harsh weather conditions and a lack of proper infrastructure. In addition, shortcomings in hospitality management and training mean that tourist numbers remain low. One of the greatest challenges of the project is the management of eight stakeholders, including the Armenian Church, the local community, investors and UNESCO. How can the founder of the revival project devise a commercially successful strategy that will address all stakeholders’ interests without compromising his own principles and ethical values?

Teaching Note: 8B14M151 (27 pages)
Industry: Arts, Entertainment, Sports and Recreation
Issues: Cultural tourism; heritage management; stakeholder management; private public partnership
Difficulty: 4 - Undergraduate/MBA



WARNER BROS. PICTURES: THE HARRY POTTER DILEMMA
Neil Bendle, Matt Boswick

Product Number: 9B12A025
Publication Date: 7/5/2012
Revision Date: 9/26/2012
Length: 10 pages

This and the Paramount Pictures: The Transformers Dilemma case are set in December 2010 and show industry consultants thinking about how to market the final installments of very successful movie franchises. Both Paramount Pictures and Warner Bros. Pictures want to market their movies to gain the greatest gross revenue (i.e. box office ticket revenue). Each company must take into account the scheduling of the other players in the market. The cases also deal with changes in the movie industry. These include the expansion of the number of 3D movies and the importance of franchise movies.

Teaching Note: 8B12A024 (9 pages)
Industry: Arts, Entertainment, Sports and Recreation
Issues: Competition; Game Theory; Entertainment Marketing; Movie Scheduling; United States
Difficulty: 4 - Undergraduate/MBA



YOUR HOME IS A GOOD PLACE, INC.
Kevin Coulson, Zane Swanson

Product Number: 9B09A025
Publication Date: 10/9/2009
Length: 8 pages

Your Home is a Good Place, Inc. was a unique business. It brought together homeowners, contractors and other service suppliers in a one-stop shopping environment that emphasized convenience as a marketing strategy. Your Home is a Good Place, Inc. (YHGP) needed to know more about the demand in the area and to decide how to attract both suppliers of services and customers as well as promote the business and build a brand identity. The owner has decided to hire a consultant to: 1) identify target market demographics in Michiana developed from the census data provided 2) provide a general description of potential competitors for YHGP 3) develop a marketing plan focused on bringing in clients as well as contractors and facilitators as partners. Discussion of building a brand identity for a new business will be a consideration here. This case will fit with upper-level marketing strategy or entrepreneurship courses, a management capstone course or within an MBA-level marketing course. The objectives for this case are for the students to learn SWOT analysis, to apply the data to complete a marketing plan, and to advise a difficult client. It is best suited for team applications although individuals can complete the exercises. Additionally, students should consider the implications of, and how to deal with, a client who is in need of advice but is reluctant to accept ideas that are not his own.

Teaching Note: 8B09A25 (7 pages)
Industry: Construction, Manufacturing, Other Services
Issues: Market Strategy; Human Resources Management; Strategy and Resources; Strategic Alliances; Management Science and Info. Systems; Distribution Channels; Segmentation; Brand Positioning; New Product Development; Target Segment
Difficulty: 4 - Undergraduate/MBA


Chapter 15:
Marketing Metrics, Performance and Strategy Implementation

BETTER HOMES & GARDENS REAL ESTATE: B2B AND B2C SOCIAL MEDIA MARKETING
Raymond Pirouz, Emily Chen-Bendle

Product Number: 9B12A057
Publication Date: 12/3/2012
Revision Date: 12/3/2012
Length: 12 pages

This case explores social media marketing as both business to business (B2B) and business to consumer (B2C) strategies. In spite of a challenging real estate environment, Better Homes and Gardens Real Estate (BHGRE) was launched in 2008 by Realogy Corporation, the largest franchisor of real estate brands in the world, to maintain and grow market share with a new type of real estate company centered around lifestyle. BHGRE has grown rapidly and has experienced tremendous success with its B2B social media efforts. Now, several years after the formation of the company, the president and chief executive officer must decide how to leverage what she has learned from the B2B effort to create a B2C social media program. Additional factors include a concurrent Canadian market entry.

Teaching Note: 8B12A057 (8 pages)
Industry: Real Estate and Rental and Leasing
Issues: New Media; Social Media; Online Marketing; Internet; United States
Difficulty: 4 - Undergraduate/MBA



MISSION IMPOSSIBLE: MEASURING SOCIAL MEDIA RETURN ON INVESTMENT
Miranda R. Goode, Daniel Samosh

Product Number: 9B12A015
Publication Date: 5/17/2012
Revision Date: 5/18/2012
Length: 10 pages

In August 2011, the digital strategist at Online Advertisers, a small digital media company (web development, affiliate marketing, and social media management), was faced with finalizing a value proposition for a new social media marketing division, Online Advertisers Social. Online Advertisers was a creativity-driven company. Data and analytic capabilities were generally not the reason why clients worked with Online Advertisers. Online Advertisers attracted clients by being young, in touch with trends, energetic, and creative. However, clients (especially larger clients) wanted analytics — metrics that could be used to objectively quantify returns on social media investment. The digital strategist saw an opportunity to position Online Advertisers Social as a social media company that offered smaller businesses insights into their target markets that they would not otherwise have access to due to budget constraints.

The digital strategist needed to create a value proposition that balanced an analytics focus with Online Advertisers’ creative marketing and design. The company was too small to offer a large-scale competitive analytical package, and had relied too heavily on intuition in the past to create a competitive data-based social media package. The digital strategist went through the nuances of social media management, including campaign management and community management, and the issue of offering services related to the measurement of social media ROI in a rapidly growing and maturing industry.


Teaching Note: 8B12A015 (4 pages)
Industry: Other Services
Issues: Web Development; Social Media; Metrics; Analytics; Value Proposition Development; Business to Business; Consumer Insights; Canada
Difficulty: 4 - Undergraduate/MBA



FIRST CLASS TRADING CORPORATION
Christopher Ross

Product Number: 9B11A037
Publication Date: 10/13/2011
Length: 13 pages

First Class Trading Corporation, a Montreal-based company, had two partners: Jeff Morahan, the founder of the company, and David Sciacca. After evaluating the school supplies industry, Morahan had identified an opportunity to market a fully stocked school bag to schools and parents. The bag was filled with various items that a child needed as determined by a given teacher’s requirements. The strategy of the company was to target elementary and secondary private schools in the greater Montreal area, with elementary schools as the initial target. To date, the partners had generated a disappointing level of sales through cold calls and sales visits to schools. They had drawn up a strategic plan with objectives, positioning, and a marketing mix and were now wondering if they were on the right track. Had they missed something? Should they seek additional advice? Should they move ahead? The situation was complicated because of the stakeholders (school directors, teachers, parents, and students) involved in the marketing process.

Teaching Note: 8B11A037 (10 pages)
Industry: Educational Services
Issues: Breakeven Analysis; Customer Analysis; Market Analysis; Small Business; B2B Marketing; Schools; Education; Quebec, Canada
Difficulty: 4 - Undergraduate/MBA


Chapter 16:
Market-Based Management and Financial Performance

CCONMA.COM IN SOUTH KOREA: AN INNOVATIVE E-COMMERCE PLATFORM
Jin-Su Kang, Stephen Downing

Product Number: 9B15M020
Publication Date: 2/19/2015
Revision Date: 2/19/2015
Length: 10 pages

In August 2012, the chief executive officer of Cconma.con, an online shopping mall based in Chung-Ju, South Korea, is considering his company’s future. The company has grown substantially since it was founded in 2005 and is now preparing to further expand into Hong Kong, China or to a second location in the United States. The company’s vision, rooted in an ethic of corporate social responsibility, is to build a happy and healthy community, including employees, customers and sellers. By focusing on its customers’ basic necessities, products for a healthy life and the needs of its producers to minimize sales costs, the company has found its niche where no other online retailer has dared to venture. Its success demonstrates that it is possible to be good and profitable at the same time. Expanding to a new location will bring myriad challenges, some of which can be anticipated while others will need to be resolved on the fly. The management team needs to focus on defining the specifics of their go-to-market plan. When should they enter? With which local players should they collaborate? Will an increased marketing effort or local outreach be necessary?

Teaching Note: 8B15M020 (8 pages)
Industry: Information, Media & Telecommunications
Issues: E-commerce; CSR; business model; innovation; South Korea
Difficulty: 4 - Undergraduate/MBA



TAINO CONSTRUCTION SUPPLIES: MANAGING INNOVATION RISKS AT AN SME IN A SMALL, DEVELOPING NATION
Carmen Rios Figueroa, Julia Sagebien

Product Number: 9B09M085
Publication Date: 10/13/2010
Length: 16 pages

The president of Taino Construction has to make several strategic decisions that can guide the firm during very difficult times for the construction industry - globally and locally. He is trying to find ways to capitalize on the company's innovations and international advantages. At the same time, he is trying to adapt the company to the needs of the local market, which requires smaller volumes and simpler products. In order to do this, management must assess the level of risk inherent in the company's portfolio of innovations by estimating the potential of the markets for these products, determining how to strategically position the products in the markets and making a sober assessment of the company's financial strength.

The case can be used in a marketing strategy course. The objectives of the case are 1) to allow students an opportunity to analyze a company's innovation portfolio and, more specifically, the level of risk inherent in market opportunities 2) to explore how innovative international strategies can help a company survive adverse local market conditions, though it may add to the overall risk of the innovation portfolio of the company 3) to showcase a company committed to green products, allowing for a discussion on sustainability in the construction industry, as well as on how what is considered a green product by some stakeholders is not considered a green product by others 4) to showcase the complexity of the relationship between a company's clients/competitors/partners and the way in which government initiative can offer opportunities and challenges to a company 5) to offer an opportunity to conduct financial performance analysis.


Teaching Note: 8B09M85 (13 pages)
Industry: Construction
Issues: Managing Industry Change; Innovation; Family Business; Green Products
Difficulty: 4 - Undergraduate/MBA



TROUBLE BREWS AT STARBUCKS
Lauranne Buchanan, Carolyn J. Simmons

Product Number: 9B09A002
Publication Date: 2/9/2009
Revision Date: 5/3/2017
Length: 14 pages

After going public in 1992, Starbucks' strong balance sheet and double-digit growth made it a hot growth stock. The Starbucks vision was coffee culture as community, the Third Place between work and home, where friends shared the experience and exotic language of gourmet coffee. Its growth was fueled by rapid expansion in the number of stores both in the United States and in foreign markets, the addition of drive-through service, its own music label that promoted and sold CDs in stores and other add-on sales, including pastries and sandwiches. In an amazingly short time, Starbucks became a wildly successful global brand. But in 2007, Starbucks' performance slipped; the company reported its first-ever decline in customer visits to U.S. stores, which led to a 50 per cent drop in its share price. In January 2008, the board ousted CEO Jim Donald and brought back Howard Schultz - Starbucks' visionary leader and CEO from 1987 to 2000 and current chairman and chief global strategist - to re-take the helm. Starbucks' growth strategies have been widely reported and analyzed, but rarely with an eye to their impact on the brand. This case offers a compelling example of how non-brand managerial decisions - such as store locations, licensing arrangements and drive-through service - can make sense on financial criteria at one point in time, yet erode brand positioning and equity in the longer term. Examining the growth decisions made in the United States provides a rich context in which to examine both the promise and drawback of further foreign expansion.

Teaching Note: 8B09A02 (15 pages)
Industry: Accommodation & Food Services
Issues: Branding; Retailing; Product Design/Development; Growth Strategy
Difficulty: 4 - Undergraduate/MBA