bluuebunny/crossref_metadata_2025 huggingface dataset:
Motorola's Droid 2: The Product Manager's Dilemma
Authors: Sawhney Mohanbir , Miniati John , Kim Patrick (Junsoo) , Goodman Pallavi
Published: March 2017

After it introduced the extremely successful Droid smartphone into the market in 2009, Motorola quickly moved to develop the next-generation Droid 2 before the next wave of smartphones (including the rumored iPhone 4) flooded the market. The development process was moving smoothly for the company when Verizon, its biggest partner, dropped a bombshell. It wasn't happy with the mechanical camera button on the Droid 2 (citing customer feedback) and wanted it to be changed to a software button like the iPhone's. This request immediately placed Motorola in the proverbial horns of a dilemma. On the one hand, it couldn't brush away the request of its biggest and most important partner. On the other hand, changing the camera button now would mean delaying the Droid 2's entry into the market. Should the Droid 2 team remove the camera's hardware button in favor of a software button per Verizon's request, or not?

John Smith, the product manager, leads the cross-functional Droid 2 team. The case setting is an emergency “war room” meeting to address this critical issue, just weeks prior to launch. John's objective is to obtain the salient facts and opinions of team members quickly so he can make an informed recommendation to his boss by the end of the day. He is concerned that this last-minute request for a design change will not only threaten to delay the launch, which would have significant financial implications, but could potentially create deep fissures in a hitherto effective team that had been running like a well-oiled machine.

The case puts students in a situation that simulates a real-world discussion and allows them to experience what it is like, as a product manager, to orchestrate a meeting with cross-functional teams that have conflicting priorities and agendas. It illustrates the challenges a product manager faces while striving to make important decisions with little or no direct authority over the various teams.

After reading and analyzing this case, students will be able to:

Experience the dynamics of cross-functional teams in product management

Practice running effective and productive meetings

Practice bringing together various personalities and points of view

Understand the importance of setting goals and clear expectations

Internalize the importance of building relationships and influencing teams, even when you do not have direct authority
Myriad (B): Breast Cancer Testing in Britain
Authors: Diermeier Daniel , Parthasarathy Shobita
Published: March 2017

Supplements the (A) case.
Myriad (B): Breast Cancer Testing in the United States
Authors: Diermeier Daniel , Parthasarathy Shobita
Published: March 2017

Supplements the (A) case.
Nokia's Supply Chain Management
Authors: Walker Russell , Wilson Joanna
Published: March 2017

In March 2000 a fire broke out at the Royal Philips Electronics plant, damaging its supply of semiconductor chips. Nokia Corporation and Ericsson LM relied on these chips to produce their cell phones; together they received 40 percent of the plant's chip production. Both companies were about to release new cell phone designs that required the chips. At Nokia, word of the setback spread quickly up the chain of command. Nokia's team, which had a crisis plan in place, sprang into action. With an aggressive, multipronged strategy, Nokia avoided any cell phone production loss. In contrast, the low-level technician who received the information at Ericsson did not notify his supervisors about the fire until early April and had to scramble to locate new sources for the chips. This search delayed production and proved a fatal blow to Ericsson's independent production of mobile phones. Nokia's handling of its supply chain disruption provides a dramatic example of how a company's strategic risk management can alleviate financial disaster and lay the groundwork for success in the future. Perturbations in supply chain management are inevitable, and grow harder and harder to assess as the marketplace becomes more globalized.

Students will learn the following concepts:
Nonprofit Mergers: Suburban Job Link and STRIVE/CES
Authors: Haider Don
Published: March 2017

Looks at the merger of two Chicago-based nonprofits that share similar missions and clientele, but have different strategies and capital structures. They also operate in the highly competitive job training/temporary work field, where organizational survival is at stake. Suburban Job Link is a fee-driven, largely commercial nonprofit, and STRIVE/CES is a philanthropic-based nonprofit dependent on grants and government for revenue. Explores alternatives to a merger and proceeds from merger discussions to post-merger outcomes.

To discuss strategic collaboration and alliances; how to get “more mission” through resource combinations; and how nonprofits compete in highly competitive industries.
Omnicom's No-No (A)
Authors: Pulvino Todd , Litinsky James
Published: March 2017

In February 2001, Omnicom, Inc.'s CFO Randall Weisenberger restructured Omnicom's liabilities by replacing a plain-vanilla convertible bond with a liquid yield option note (LYON). Omnicom's LYON was a “No-No,” a name that reflects the fact that the bond sold for par (NO accretion) even though it paid a 0% coupon (NO coupon) in most scenarios. To entice investors to buy this security, the LYON contained a conversion feature whereby investors could convert their bonds into common equity under certain circumstances. In addition, the Omnicom LYON contained a “co-pay” feature that reflected the fact that the interest rate payable to investors was contingent on Omnicom's stock price. The co-pay feature was a central issue in the case, as it allowed the corporation to treat the bonds under the Internal Revenue Service's Contingent Payment Debt Instrument rules. This effectively allowed the corporation to take large interest expense tax deductions even though no cash coupons were paid. The tax shield existed only as long as the bonds remained outstanding. However, the Omnicom LYON was putable and callable annually. In the event that investors put the bonds back to the company, the tax shield would be extinguished.

To describe Omnicom's No-No and to provide a rich example for exploring the economic rationale for including various provisions in bond indentures.
Optimizing Flu Vaccine Planning at NorthShore University HealthSystem
Authors: Deo Sarang , Kolesov Ilya , Waikar Sachin
Published: March 2017

Stan Kent, vice president of pharmacy at NorthShore University HealthSystem, is faced with the challenge of seasonal planning for the influenza vaccine. The supply received by the multilocation healthcare system is unreliable in terms of timing and quantity. As part of improved planning, Kent is contemplating a new contract with NorthShore's major supplier of flu vaccines. The options under consideration include fixing either the date of delivery or the quantity delivered. The main decision involved in either option would be how much vaccine to order. The case also provides details about the seasonal influenza epidemic in the United States, illustrates operational complexities of the U.S. flu vaccine supply chain, and provides a brief description of the various channels used to distribute flu vaccine to end consumers.

The main objective of the case is to illustrate supply chain decision making when there is an unreliable supply (in contrast to the usual case of uncertain demand). A secondary objective is to make students think about appropriate internal (within sector) and external (other sectors) benchmarks to evaluate the performance of a health commodity supply chain.
Outsourcing at Office Supply Inc.
Authors: Jeffery Mark , Anfield James , Bhowmick Subhankar
Published: March 2017

This case is designed to teach how to structure information technology (IT) infrastructure outsourcing deals from both the outsourcer and the client perspective. Office Supply Incorporated (OSI) is a company in crisis, with challenges in its cost structure and poor IT performance. Outsourcing to Technology Infrastructure Solutions is an opportunity to both reduce costs and complexity for the firm, but students first must consider whether outsourcing is a good strategic fit for OSI. Detailed spreadsheet templates are given that are based on a real outsourcing client engagement for a major infrastructure outsourcing company. The spreadsheets are complex but have been simplified so that they automatically calculate when populated, allowing the students to quickly move to answering the management challenge: how should TIS price and structure the outsourcing deal? Answering this question provides deep insights into the business case for IT outsourcing and how outsourcers financially engineer a deal structure to ensure a win-win outcome for both the client and outsource service provider.

Students will: Understand the strategic context of IT outsourcing and when it will benefit a firm; Understand IT infrastructure outsourcing and management issues such as personnel reductions and organizational change; Learn which outsourcing pricing model is the best fit for a project; Create a rigorous cost-benefit financial analysis and ROI model for IT infrastructure outsourcing; Analyze the model and learn how to financially engineer the deal to be a win-win for the outsourcer and client.
Polio Eradication—Within Our Reach?
Authors: Besanko David , Gillis Sarah , Shen Sisi
Published: March 2017

The years 2011, 2012, and 2013 witnessed both significant developments and setbacks in global polio eradication efforts. On the positive side, January 13, 2012, marked a full year since India had detected a case of wild poliovirus. On the negative side, polio continued to be endemic in three countries-Pakistan, Afghanistan, and Nigeria-and in those countries the goal of eliminating polio seemed more challenging than ever. Between December 2012 and January 2013, sixteen polio workers were killed in Pakistan, and in February 2013, nine women vaccinating children against polio in Kano, Nigeria, were shot dead by gunmen suspected of belonging to a radical Islamist sect. In addition, after a 95 percent decline in polio cases in 2010, the number of cases in Nigeria rebounded in 2011. Recognizing that polio was unlikely to be eliminated in these countries in the near term, the Global Polio Eradication Initiative moved its target date for eradication from 2013 to 2018.

These setbacks sparked a debate about the appropriate strategy for global eradication of polio. Indeed, some experts believed that recent setbacks were not caused by poor management but were instead the result of epidemiological characteristics and preconditions that might render polio eradication unachievable. These experts argued that global health efforts should focus on the control or elimination of polio rather than on the eradication of the disease.

This case presents an overview of polio and the Global Polio Eradication Initiative and recounts the successful effort to eradicate smallpox. The case enables a rich discussion of the current global strategy to eradicate polio, as well as the issue of whether eradication is the appropriate global public health objective. More generally, the case provides a concrete example of a particular type of global public good, namely infectious disease eradication.

After analyzing and discussing the case, students will be able to:

Understand the nature of a global public good

Perform a back-of-the-envelope benefit-cost analysis of polio eradication

Discuss the appropriate strategy for eradicating an infectious disease

Apply game theory to analyzing which countries would be likely to contribute funds toward global polio eradication

Discuss the role of private organizations in the provision of global public goods
The Politics of Tobacco Control: A History of the U.S. Tobacco Industry
Authors: Diermeier Daniel , Thaker Shail
Published: March 2017

Describes the history of the tobacco industry and its emergence as an extremely effective marketer and non-market strategist. After years of success, both publicly and politically, the leaders of the tobacco industry are faced with mounting political pressure and the financial threat of litigation from class-action lawsuits. The leaders face an industry-wide strategic decision of whether to acquiesce to government demands in exchange for immunity, focus on judicial success, or develop a new course of action.

To evaluate the formulation and implementation of non-market strategies in the context of regulatory, legislative, and legal institutions. To understand how various aspects of the non-market environment interact and how these environments not only change over time, but change market competition within an industry. Further, to formulate and decide between firm-specific and industry-wide strategies. Finally, to appreciate and reflect upon the potential conflict between non-market strategies and ethical concerns.
Positioning the Tata Nano (B)
Authors: Tybout Alice M. , Fahey Natalie
Published: March 2017

The case focuses on positioning a new brand, the Tata Nano. The car has been widely publicized as the world's cheapest car at Rs.1 lakh. Students must consider the gap between the ultimate target, the huge emerging middle class of Indian consumers, and the limited capacity and distribution available in choosing a target. They also must select between alternative competitive frames and the various points of difference they highlight. The case unfolds in two stages. The first decision point is in 2009, at the launch of the time of the product launch. The second decision point is 18 months later, after production capacity has increased and some product safety issues have arisen.

The primary goal of the case is to illustrate the choices made in developing a strong brand positioning and the interrelationship between these choices. Students select a target and an appropriate competitive frame of reference and point of difference for that target and summarize these elements in a positioning statement. The case also highlights importance of making promotion and distribution decisions that are consistent with the positioning.
Quality Wireless (B): Call Center Performance
Authors: Chopra Sunil
Published: March 2017

Quality Wireless has received customer complaints about long hold times at its call center. To address these complaints, it put into place certain process changes at its call center. After one month, the company will now decide whether improvement has taken place.

To develop an understanding of process capability and how an improvement can be statistically validated. To understand the “check” phase of the plan-do-check-act cycle of Deming, using basic statistical principles.
Reawakening the World's Most Famous Office Building: Economics behind a Groundbreaking Energy Efficiency Retrofit
Authors: Akason Denise , Hillman Helee
Published: March 2017

This case highlights a recent and important type of new sustainability project for existing buildings commonly referred to as an integrated energy retrofit (IER) project. Anthony Malkin of Malkin Holdings, owner of the Empire State Building (ESB), acknowledged the importance of making the existing building stock, particularly in New York City, more energy efficient, as it comprises a large part of the real estate in most cities. Taking a bold leadership position, Malkin vowed to make the ESB the most energy-efficient, sustainable, “green” pre-war office building through an IER project that examined several facets of the building's systems, operations, and tenant behaviors. In addition to making the ESB a green icon in Manhattan, Malkin also stated the importance of making the project transparent and economical so other pre-war buildings could copy the model. This case study examines in depth the process that Malkin Holdings underwent in attaining its goal of establishing the ESB as a leader in existing building sustainability.

After discussing and analyzing the case, students should be able to: Understand how to balance costs and benefits associated with an IER project Explain the benefits of green retrofitting to owners and tenants Identify risks in high-profile, complex projects and recommend mitigation strategies
Recyclers v. Superfund (D): The Politics of “Unintended Consequences”
Authors: Diermeier Daniel , Cutler Herschel , Jonathan Cutler , Cutler Jonathan
Published: March 2017

Supplements the (A) case.
Royal Reels: Enhancing the Customer Experience for Slot Machines and Beyond
Authors: Grayson Kent , Freeman Elliot
Published: March 2017

CEO Richard Gedman has suddenly found himself running two separate but potentially related businesses: the slot manufacturing and marketing business that he has been running for years, and a new online and mobile gaming business that has grown incredibly fast over the past couple of years. To sustain success in both businesses, it seems clear that each one will require significant R&D investments. Should he invest in only one or both?

After students analyze the case, they will have a greater appreciation for why successful marketing requires a true understanding of customers and their preferences, rather than (for example) merely examining competitor offerings. They will also have a clearer understanding of how to calculate some of the basic metrics needed to do a marketing analysis (e.g., market share, price per unit) and how these metrics can inform any marketing decisions significantly.
Rufus Rivers and Career Choices in Private Equity and Venture Capital Finance
Authors: Rogers Steven , Vaccaro Pat , Whitaker Scott T.
Published: March 2017

Rufus Rivers, managing director and co-head of mezzanine investing at The Carlyle Group, is reviewing two employment offers he recently received. One came from RLJ Equity Partners, a private equity firm headquartered in the metropolitan Washington, D.C., area. The other came via Glocap Search, a New York-based executive search firm specializing in placing top private equity executives in premier venture capital roles. The Glocap recruiter had told Rivers that he had been selected as the leading candidate for a position with an established Boston-area venture capital firm that had several exciting investment prospects. In the next few days, Rivers needs to consider his personal and professional interests and make a decision: Should he go to Washington, go to Boston, or stay put—and on what terms?

Learn about the different kinds of opportunities available to venture capitalists; Assess whether becoming venture capitalists themselves is worthwhile; Learn how venture capital firms offer positions and the terms under which joining a venture capital firm might make sense for them in their careers.
San Francisco International Airport and Quantum Secure’s SAFE for Aviation System: Making the Business Case for Corporate Security
Authors: Diermeier Daniel , Meagher Evan
Published: March 2017

In 2008 San Francisco International Airport (known by its three-letter airport code, SFO) had announced a $383 million plan to renovate and reopen Terminal 2. Assistant deputy director of aviation security Kim Dickie and her team had selected Quantum Secure's SAFE software suite as the new Terminal 2 credentialing system, but she needed to develop a business case quickly that would convince senior management to give the green light to fund the purchase. The case describes a scenario that occurs frequently in the real world, in which a decision offers some real but qualitative value in ways that are difficult or impossible to quantify. The discussion and analysis gives students the opportunity to consider the factors that will drive the internal rate of return (IRR), net present value (NPV), and discounted payback period calculations without constructing comprehensive spreadsheet models. Analyzing the case suggests the limits of such approaches in cases where perceived value is difficult to quantify. The case prepares students to evaluate and justify purchasing requests when interacting with financial gatekeepers such as CFOs and CEOs by introducing a framework to analyze the quantifiable benefits of a capital expenditure while keeping in mind important intangible benefits.

After analyzing the case, students should be able to: Understand how return on investment (ROI) calculations work, with an emphasis on identifying incremental effects Decide how to use results from similar entities making similar purchases to estimate the incremental benefit of a proposed solution Identify and use the best data available in making assumptions Justify the validity of benefits that are difficult to quantify in conjunction with the presentation of a traditional ROI analysis
Satellite Radio: An Industry Case Study
Authors: Al-Najjar Nabil , Desai Darshan , Hallaway Steve
Published: March 2017

Radio broadcasting is characterized by diffused taste for programming and highly fragmented supply of content. Satellite radio is a major technological breakthrough that promises to reshape this industry by, among other things, satisfying a greater diversity in tastes and promoting greater variety in content provision. A major issue is that the economies of scale are such that it is unlikely more than a few (currently, just two) providers can operate in this market due to the considerable infrastructure and content costs.

To study the industry structure (demand and cost analysis), analyze customer acquisition strategies and the resulting lock-in of customers, and the aggressive bidding for content that takes place in this industry.
Shock to the System: The Galante and Read Merger (A)
Authors: Rao Hayagreeva , Joseph John
Published: March 2017

A CEO is faced with the task of explaining to employees why their firm (disguised) is being acquired when they had been told that the company could make it on its own. Focuses on the CEO's predicament.
Shock to the System: The Galante and Read Merger (B)
Authors: Rao Hayagreeva , Joseph John
Published: March 2017

Supplements the (A) case.
Shock to the System: The Galante and Read Merger (C)
Authors: Rao Hayagreeva , Joseph John
Published: March 2017

Supplements the (A) case.
Southwest Airlines Flight 1248 (C)
Authors: Diermeier Daniel , Heinze Justin
Published: March 2017

Supplements the (A) case.
Sports in Your Pocket (B)
Authors: Rogers Steven , Dame Kevin
Published: March 2017

Supplements the (A) case.
Starbucks: A Story of Growth
Authors: Garthwaite Craig , Busse Meghan , Brown Jennifer , Merkley Greg
Published: March 2017

Founded in 1971 and acquired by CEO Howard Schultz in 1987, Starbucks was an American success story. In forty years it grew from a single-location coffee roaster in Seattle, Washington to a multibillion-dollar global enterprise that operated more than 17,000 retail coffee shops in fifty countries and sold coffee beans, instant coffee, tea, and ready-to-drink beverages in tens of thousands of grocery and mass merchandise stores. However, as Starbucks moved into new market contexts as part of its aggressive growth strategy, the assets and activities central to its competitive advantage in its retail coffee shops were altered or weakened, which made it more vulnerable to competitive threats from both higher and lower quality entrants. The company also had to make decisions on vertical integration related to its expansion into consumer packaged goods.

Understand how strategy needs to be adapted to new contexts. Understand how to manage tradeoffs involved in growth. Be able to identify possible threats to competitive advantage as a result of growth.
Succession and Continuity for Johnson Family Enterprises (A)
Authors: Ward John L. , Zsolnay Carol Adler
Published: March 2017

Presents the options available for a successful transition of leadership from one generation to the next, based on a family's and company's unique history, structures, and players.
Target Stores: Strategic Brand Alliance Exercise
Authors: Tybout Alice M.
Published: March 2017

This exercise asks students to develop criteria that Target Stores should use in evaluating strategic brand alliances to support its positioning as a store where you can “Expect More. Pay Less.” Students are then charged with proposing a new strategic partner for Target that meets the criteria they identify. Background information about the Target “guest” and past strategic alliance is provided.

The case is designed to help students appreciate how brand positioning both guides and is affected by a firm's strategic partners.
Teuer Furniture (A): Discounted Cash Flow Valuation
Authors: Petersen Mitchell A.
Published: March 2017

Teuer Furniture is a privately owned, moderately sized chain of upscale home furnishing showrooms in the United States. The firm survived the economic recession and by the end of 2012, it has regained its financial footing. Now that the firm is more secure financially, some of its long-term investors have asked to cash out their investments. This will be the first time that Teuer has repurchased its equity; the company has paid dividends since 2009. Chief financial officer Jennifer Jerabek and her team have been given the task of valuing Teuer using a discounted cash flow approach. The discount rate is given in the case, and the students need to build a pro forma income statement, balance sheet, and cash flow statement and then calculate a per-share value for Teuer.

Estimate firm value using a discounted cash flow approach

Construct firm-level estimates of the pro forma income statement, balance sheet, and cash flow from assets based on store-level estimates

Recognize how forecasts of revenues, costs, and capital investment are constructed, how the individual estimates relate to each other, and how the forecasts depend upon the underlying economics of the business

Evaluate and defend the validity of the firm’s forecasts and the valuation model
The Cambodian National HIV/AIDS Program: Successful Scale-Up through Innovation
Authors: Wolcott Robert C. , Hurd Alex , Wolcott Stephanie
Published: March 2017

In January 2005 Dr. Mean Chhi Vun, director of the Cambodian National Center for HIV/AIDS, Dermatology and STDs (NCHADS), needed to decide how to control the spread of HIV/AIDS and save the lives of thousands of Cambodians who were dying from it each year. In the seven years since Dr. Vun had been appointed director, NCHADS had built an organization that was transparent and efficient, had implemented a nationwide 100 percent Condom Use Program, had established a system that allowed individuals to voluntarily seek confidential counseling and testing, and had instituted a set of guidelines and procedures for staff at health facilities to refer HIV-positive patients to treatment clinics and link them with NGOs providing financial and psychosocial support. Now, however, Dr. Vun faced decisions about three initiatives that were critical to expanding care and treatment programs in his country. First, he needed to decide how to quickly and cost-effectively improve the national HIV/AIDS laboratory support infrastructure. Second, Dr. Vun needed to improve logistics and supply management in order to get the best prices and ensure patients had access to life-saving medicines. Finally, he needed to figure out how to provide sustainable care and treatment to the thousands of Cambodian children living with HIV/AIDS.

Create innovative solutions for large-scale, socially relevant challenges. Understand how to start, scale, and lead cross-sector public health initiatives, or any initiative requiring behavior change by a range of players on a large scale over the long term. Discover and implement operating models that balance the needs of for-profit, non-profit, and government organizations. More effectively manage situations where required resources are not under one's direct control.
The Changing of the Guard: Planning for Succession at Madison Children's Foundation (A)
Authors: Howard Liz Livingston
Published: March 2017

In mid-2008, David Miller, the CEO of the Madison Children's Foundation (MCF), is beginning to contemplate the future of the organization. As the founding CEO, Miller has been the face of MCF since its inception in 1993. The foundation has a strong track record of success and has established a reputation as a “change maker” and “partner” in the community, having made grants of more than $60 million to local organizations. Although its grant-making has increased, MCF's staff has not grown over time. The board has changed composition over the past six years, adding more community residents and “working” board members. The board succession plan is fairly well organized, with a nominating committee and a good understanding of skill sets needed and the expectations for board members. However, there is no CEO succession plan. Board members have been raising the question in a non-confrontational manner for the past two or three years, and now Miller believes the time has come to create a CEO succession strategy for MCF. The critical questions raised by this case include: What roles do/should CEOs and boards play in initiating and implementing a leadership succession process? How does the implementation of a leadership succession process affect the senior staff at an organization? How should external stakeholders be engaged in the leadership succession process?

To help leaders (paid and volunteer) to better understand the importance of leadership succession planning for their organizations; to provide an understanding of the roles and responsibilities of senior managers in the creation and implementation of a leadership succession process; and to discuss the importance of including internal and external stakeholders in the leadership succession process.
The Cradle (B): Resurgence and Organizational Change
Authors: Donnelly Anne Cohn , Ellington-Booth Brenda , Ghani Nadeem
Published: March 2017

Supplements the (A) case.
The Cradle Dilemma: Investing in Adoption Learning Partners
Authors: Woodward Marianne , Bauer Kathryn , Whitaker Scott T.
Published: March 2017

As CEO of not-for-profit adoption agency The Cradle, Julie Tye had taken the organization from the brink of dissolution in 1992 to a position of financial stability and health by 2007. One of the innovative steps Tye took in 2002 was to introduce an online learning venture that provided education for families preparing to adopt. The Cradle launched Adoption Learning Partners (ALP), using donated funds and government grants when possible and subsidizing the rest. The income generated by ALP grew from zero in 2002 to approximately $50,000 per month in 2007. But ALP's major market (parents preparing to adopt internationally) was forecasted to decline 50% over the next three years; the Web site was outdated; and new competitors were entering the market. ALP had built a reputation as a pioneer in adoption e-learning by providing high-quality, effective online courses. But without the infusion of at least $400,000, ALP risked losing its leadership position and, possibly, its viability. ALP needed a significant investment of time, talent, and funding. Tye had an MBA, a keen business sense, and fourteen years of experience in healthcare administration and the social services field. Even with her leadership, did The Cradle have the appetite to take on such a demanding strategy? In the end, would it be worth the investment?

Students will: learn quantitative techniques for valuing a social enterprise, which includes both economic and social value; learn alternative legal structures available to social enterprises and evaluate which structures make sense relative to various capital structures; and identify sources of capital available to social enterprises and evaluate their appropriate usage.
The Hawaiian Airline Industry, 2001–2008
Authors: Saraniti Brett
Published: March 2017

Two Hawaiian airlines' cooperative environment is disrupted by the entry of a third competitor, Mesa Airways. The price war leads to fares as low as $0 and causes more than $100 million in losses in the first year with no end in sight. Industry risk factors for price competition were reduced in 2001 when the government granted a one-year reprieve from anti-trust laws, but increased dramatically after Mesa's announced entry.

To demonstrate how industry risk factors drive price competition. The initial circumstances are supportive of a tacit collusion between two firms; following the entry of the third airline, conditions were more conducive to a devastating price war.
The Mother of All (Pricing) Battles: The 1992 Airline Price War
Authors: Besanko David
Published: March 2017

Provides a narrative description of the price war in the U.S. airline industry that broke out in Spring 1992.

To use in competitive strategy or microeconomics classes to explore the root causes of price wars.
The Schneirocksie Corporation
Authors: Dewar Robert D.
Published: March 2017

Schneirocksie Electric is an asset-focused company that has been a successful manufacturer of high-quality electrical components that transmit, control, and monitor electrical power. Management has long considered sales and marketing's job as selling what the plants make. However, customer demand indicates that this approach will no longer work; lower-cost competitors are now capable of duplicating Schneirocksie's products and services. The company must transition to providing and selling solutions to its customers, but doing so will involve the creation of an effective strategic account sales position. The current company structure, compensation system, and culture are significant obstacles to this transition and must also be changed. Finally, the company's management must learn to focus first on the job its customers are hiring it to do and then redesign itself to do this job.

To make students aware of the design changes required to move from an asset-based organization to one that is market/customer focused. The case invites students to consider (1) whether a traditional company should make this transition with gradual internal change or via an acquisition that already incorporates the change; (2) how to transform a product-focused sales force into one capable of solutions selling; and (3) how one should create an effective strategic account position.
The Search for Property: Institutional Investment in Real Estate
Authors: Furfine Craig
Published: March 2017

In the summer of 2013, Whitney DeSoto had just been hired as managing director for real assets at the Overton Pension Fund (OPF). Her task was to provide recommendations to the board of trustees to introduce real estate into the fund's portfolio, which to date had been invested solely in stocks and bonds. Combining her knowledge of modern portfolio theory with her institutional expertise in real estate, DeSoto needed to decide what fraction of the fund should optimally be invested in real assets. She then faced the task of deciding whether to invest in public or private real estate. If she thought private real estate belonged in the portfolio, she would need to identify the best investment strategy, the best vehicle, and ultimately the specific investments to recommend.

Apply modern portfolio theory to the investment decision of an institutional investor allocating its assets between stocks, bonds, and real estate

Understand the limits of portfolio theory in a real estate context

Analyze the benefits/costs of investments in both public and private real estate

Understand the various vehicles in which one can invest in private real estate

Argue for a set of investments that offer individual benefits/costs relative to a theoretically ideal investment
The Toys “R” Us LBO
Authors: Stowell David P. , Raino Matthew
Published: March 2017

The case simulates the experience of a private equity investor evaluating a potential investment, requiring the student to: (1) determine the risks and merits of an investment in Toys “R” Us, (2) evaluate the spectrum of returns using multiple operating model scenarios, and (3) identify strategic actions that might be undertaken to improve the risk/return profile of the investment. The case also discusses trends and participants in the private equity industry.

To understand how private equity firms analyze investment opportunities through application of an LBO model (provided in the case) that summarizes returns and risks. Also, to review private equity participation in club deals, large (and early) dividends, and IPOs.
The U.S. Federal Gasoline Tax: Time for a Change?
Authors: Besanko David , Malik Saahil
Published: March 2017

Although the federal gasoline tax played multiple roles in financing surface transportation infrastructure in the United States, experts did not agree on the tax's purpose. Some argued that it was essentially a fee for users of the nation's federally supported highways. Others suggested that it should play a more prominent role in environmental, energy, and transportation policy by correcting for driving-related externalities. Still others suggested that it should be used to reduce the federal budget deficit. Finally, the tax itself had remained at the same level since 1993, and with the Highway Trust Fund virtually insolvent, many experts believed it was time for an increase. The case presents a background on the U.S. federal gasoline tax, an overview of the market for gasoline in the United States, and survey of gasoline taxes in U.S. states as well as several other countries around the world.

The case can be used to discuss the incidence of the gasoline tax, as well as its role as a Pigouvian tax to deal with negative externalities related to gasoline consumption and driving. There is sufficient data in the case to enable students to analyze the incidence of the federal gasoline tax and to determine the socially efficient level of the tax in light of externalities related to gasoline consumption and driving.
The Value of Flexibility at Global Airlines: Real Options for EDW and CRM
Authors: Jeffery Mark , Rzymski Chris , Shah Sandeep , Sweeney Robert J.
Published: March 2017

Technology projects are inherently risky; research shows that large IT projects succeed as originally planned only 28 percent of the time. Building flexibility, or real options, into a project can help manage this risk. Furthermore, the management flexibility of options has value, as the downside risk is reduced and the upside is increased. The case is based upon real options analysis for an enterprise data warehouse (EDW) and analytic customer relationship management (CRM) program at a major U.S. firm. The firm has been disguised as Global Airlines for confidentiality reasons. The data mart consolidation or EDW marginally meets the hurdle rate for the firm as analyzed using a traditional net present value (NPV) analysis. However, different tactical deployment strategies help mitigate the risk of the project by building options into the project, and the traditional NPV is expanded by the real option value. Students analyze the different deployment strategies using a binomial model compound option Excel macro, and calculate the volatility using Monte Carlo analysis in Excel. A step-by-step tutorial is provided to teach students how to accomplish the real options analysis for a simplified project, and this tutorial is easily generalized by students to the case scenario. In addition to the tactical options, the case also has the strategic growth option of analytic CRM. Students must therefore analyze both the tactical and strategic growth options and make a management recommendation on funding the project and also recommend an optimal deployment strategy to manage the project risk.

The case teaches real options for technology projects. Students learn how to calculate real option values, where the key input of volatility is obtained by Monte Carlo analysis in Excel. Students also learn that the real option value is “real,” resulting from active management mitigating the risk of the project and improving the upside. Most important, students understand the difference between tactical vs. strategic growth options and the important management issues to consider.
ThoughtWorks (B)
Authors: Tybout Alice M. , Ragsdale Kyle
Published: March 2017

Supplements the (A) case.
TiVo
Authors: Tybout Alice M. , Hennessy Julie
Published: March 2017

In 1999 TiVo was preparing to launch its digital video recorder (DVR) in the United States. The company's goal was ambitious: it hoped to revolutionize how Americans watched television and to become a central player in the emerging interactive TV industry.

Although it had a technological advantage, TiVo faced one competitor (ReplayTV) and potential entrants such as Microsoft, so its success was far from guaranteed. Evidence suggested a bright future for the company, however; the concept had attracted $240 million in venture capital, and market research indicated a uniquely high level of consumer interest.

TiVo needed to capture the first-mover advantage and build its sales and brand as quickly as possible to support the company's IPO, which was planned to take place within eighteen to twenty-four months. TiVo's positioning at launch would play a key role in determining its success.

After analyzing and discussing the case, students should be able to:

Use analogies appropriately to forecast demand

Use various marketing research techniques to make appropriate inferences about the challenges to consumer adoption of an innovative product

Develop multiple frames of reference and discuss the merits of each

Develop multiple points of difference and discuss the merits of each

Develop multiple positioning statements and discuss the merits of each
TiVo: Changing the Face of Television
Authors: Sawhney Mohanbir , Alexis Sean , Gund Zack , Jacobek Lee , Kasten Ted , Kilponen Doug , Malkin Andrew
Published: March 2017

A year into the launch of TiVo—the “revolutionary new personal TV service that lets you watch what you want, when you want”—John Tebona, VP of business development, was faced with important decisions about TiVo's revenue model and strategic alliances. With television's move from a network-based model to an interactive one, he had to decide what role TiVo would play in the emerging industry landscape. Would TiVo be just a set-top box or would it live up to the vision of revolutionizing the television viewing experience? What revenue streams should it emphasize to capture the most value? What strategic relationships must TiVo form in an environment where companies were cross-investing in multiple technologies across different industry segments? How could it expand its customer base and accelerate its revenues before competitors like Microsoft's WebTV became the default standard?

To understand that disruptive innovation from a value creation standpoint may not mean a profitable or viable business from a value capture standpoint; products are far easier to create than robust business architectures with solid profit engines; the future of interactivity is clouded by the conflicting visions of the varied players; and control over standards is a valuable choke point.
Tupelo Medical: Managing Price Erosion
Authors: Anderson Eric T. , Daniel Abraham , Anderson Elizabeth L. , Santaella Gus
Published: March 2017

Robert Davidson, pricing manager for Tupelo Medical, was concerned about the variability in price paid for its top-selling product, the Micron 8 Series blood pressure monitoring system. Using historical transaction data, Davidson must determine the appropriate price floor. Setting a price too high risked the loss of a large number of customers, putting the company at substantial risk due to the importance of the product. Setting a price too low would impact Davidson's ability to meet the stated objective of increasing margins by 3 percent. He wondered what the optimal price floor would be and what the expected profits would be for that new price floor. Additionally, the company's business varied considerably by geographic region, account size and account type. As a result, he needed to consider whether it made sense to set a single price floor or whether he could improve profits by allowing some variability in the price floor by customer segment.

To illustrate how one can build a data-driven pricing model to study the tradeoff between margin and probability of winning a sale in a B2B market

To quantify the value from implementing a price floor with a B2B sales force

To demonstrate the incremental value of implementing a price floor that varies by customer segment.
U.S. Automotive Retailing: 1995-2002 (A)
Authors: Al-Najjar Nabil , Pardasani Neil
Published: March 2017

Demand in some markets displays a strong taste for variety. This means that the markets consist of small niches, each with a strong preference for a distinct version of the basic product. Examples include markets with strong local character (local video stores, dry cleaning, etc.), products appealing to specialized tastes (microbrewed beer, specialty restaurants, etc.), and markets for entertainment content. Car retailing falls into this category because demand is fundamentally local in nature. A key strategy in such an industry is consolidation. Studies attempts at consolidating automobile retailing, emphasizing their pitfalls, and showing that they were based on overly optimistic assessments of the potential economies of scale and creation of customer value.

To introduce the concept of demand with strong taste for variety, as well as economies of scale and consolidation strategies.
The U.S. Credit Card Industry
Authors: Al-Najjar Nabil , Malik Ali
Published: March 2017

Studies the U.S. credit card industry in the late 1990s and early 2000s. After an industry background review, a discussion of generic strategies follows in which strategies, like product proliferation and cost improvements, are achieved through superior IT. These strategies are exemplified using the leading players in the industry. On the other hand, these strategies are easily imitable, the basic product is standardized, and the industry is highly fragmented. What accounts then for the exceptional level of profitability enjoyed by this industry?

To examine psychological biases that are forces which can shape industry performance. Evidence shows that consumers' attitude toward credit is prone to “irrational” failure to exercise self-control and the inability to fully anticipate future borrowing behavior. A simple model is provided showing that these peculiarities in consumer psychology enable an industry, with otherwise few inherent drivers of superior profitability, to achieve superior performance. Ethical and regulatory issues are then debated.
U.S. Food Aid: Cash or Commodities?
Authors: Feddersen Timothy , Torgerson Senoe
Published: March 2017

In October 2005 the Bush administration was considering a dramatic change to the U.S. Food Aid program that would take 25 percent of the budget that would otherwise be used to buy food domestically and instead send direct cash transfers that could be used to buy food in or close to the countries in desperate need. The U.S. Food Aid program traditionally enjoyed support in Congress because it provided support to American farmers, agribusiness, and U.S. shipping interests in addition to nongovernmental organizations such as Catholic Relief Services and CARE. The case considers the proposal from the perspective of four different stakeholders: Cargill, USAid, Catholic Relief Services, and Oxfam. Each must come up with a response to the proposal.

Students take the perspective of different stakeholder groups and consider how to make values-based arguments that will persuade the other stakeholders when there are conflicts not only in self-interest but also between self-interest and ethical values.