Modern competitive strategy

Walker, Gordon. “Modern Competitive Strategy”
1st Edition
(McGraw-Hill/Irwin, U.S.A., 2004)
The Case Mate matches the chapters in this textbook with cases from the current
case collection of the Richard Ivey School of Business available through Ivey
Publishing (http://www.ivey.ca/cases/ <http://www.ivey.ca/cases/> ).
Prepared by Jianyun Tang, Ph.D. Candidate (General Management)
Chapter and Title
Chapter Matches: Case Information
PART ONE
INTRODUCTION
(Chapter 1)
Chapter 1:
What Is Strategy?
Study Objective:
Form a basic
understanding of
“what is strategy?”
Case# 9B02M020
MGAMES
Morrison A ; Hill S
Teaching Note:
8B02M20, 9 page(s)
mGames is a manufacturer of game-based software for portable computers,
PDAs and cell phones. The company's new chief executive officer has just
been informed of a potential hostile takeover of the company by a major
PDA manufacturer. At the same time he receives a phone call from a senior
executive at a Scandinavian telecommunications company expressing
interest in forming a partnership. With all of this happening, the chief
executive officer faces growing pressure from the company's chairman to
address ongoing performance problems. In a complex and changing
environment he must make a strategic choice as to which group of customer
groups (traditional handheld gaming device manufacturers, telecom
manufacturers or PDA manufacturers) the company should focus on.
Industry:
Issues:
Setting:
Level of Difficulty:
Length:
Amusement and Recreation Services
Corporate Strategy, General Management,
Personal Values, International Business
USA, medium organization, 2002
MBA and Undergraduate
16 page(s)
PART TWO
BUILDING
COMPETITIVE
ADVANTAGE
(Chapter 2-5)
1
Chapter 2:
Competitive
Advantage
Study Objective:
Understand how
competitive
advantage is built
and sustained.
Case# 9B01M019
MEUBLES CANADEL: LOOKING TOWARDS THE FUTURE
Hebert L ; Crossan MM ; Mark K
Teaching Note: 8B01M19, 7 page(s)
Canadel is Canada's leading manufacturer of casual dining room furniture.
Following Canadel's entry into the U.S. market in 1992, sales had
multiplied eight-fold and were expected to reach $125 million in 2000. The
three brothers that made up the company's top management team were
discussing recent sales results and future orientation of the firm. Questions
that surfaced included growth in existing and new markets, and competition
from established industry giants and new upstarts. The brothers were
determined to assess these opportunities and threats in the upcoming weeks.
Industry:
Issues:
Setting:
Level of Difficulty:
Length:
Furniture and Fixtures
Core Competence, Competition, Growth Strategy,
Strategy Development
Canada, large organization, 2000
MBA and Undergraduate
13 page(s)
Case# 9B01M017
GRAND & TOY: STAPLES' COMPETITIVE THREAT
Crossan MM ; Mark K
Teaching Note: 8B01M17, 5 page(s)
Grand & Toy is one of Canada's largest commercial suppliers of office
stationery. The president of Grand & Toy is wary of the competitive threat
posed by Staples, a well-known U.S. office supply company, and is
reviewing his company's budget forecast to plan for a meeting with senior
managers. He wants to use this opportunity to rethink the company's
strategy and ensure all competitive threats and opportunities have been
considered.
Industry:
Issues:
Setting:
Level of Difficulty:
Length:
Business Services
Strategic Planning, Competitiveness, Core
Competence, E-Commerce
Canada, large organization, 2000
MBA and Undergraduate
16 page(s)
2
Chapter 3:
Industry Analysis
Study Objective:
Understand how
industry structure
determines a firm’s
economic
performance.
Case# 9B03M001
NOTE ON THE CUBAN CIGAR INDUSTRY
Beamish PW; Kapoor A
Teaching Note:
8B03M01, 19 page(s)
The cigar industry in Cuba has a mythical aura and renown that give it
unparalleled recognition worldwide. The relationship between Cuba and the
United States makes the situation in this industry particularly intriguing.
Cuban cigars cannot currently be sold in the United States, even though it is
the largest premium cigar market in the world. This note provides an
opportunity for a structured analysis using Porter's five forces model and to
consider several scenarios including the possible lifting of the U.S. embargo
and the relaxation of Cuba's land ownership laws.
Industry:
Issues:
Setting:
Level of Difficulty:
Length:
Tobacco
Industry Analysis, Government and Business,
International Business, Internationalization
Cuba/USA/Canada, large organization, 2002
MBA and Undergraduate
23 page(s)
3
Case# 9A99M040
MONSANTO AND THE GLOBAL WATER TREATMENT
INDUSTRY
Crossan MM; Vera D
Date Revised: 07/17/2000
Teaching Note: 8A99M40, 21 page(s)
Monsanto, a biotechnology giant highly committed to sustainable
development efforts, needs to assess the attractiveness of the drinking water
treatment industry before deciding its entry to it. Four dimensions of the
global water treatment industry are described: types of products and
services, applications, end-users and geographical markets. The drinking
water treatment segment, which is classified into municipal drinking water
treatment and residential drinking water treatment, is examined in depth.
Players in these two categories produce the chemicals and equipment
necessary to purify tap water supplied to consumers and residential water
purification devices. The bottled water industry is considered a substitute of
the drinking water treatment segment. The primary objective of the case is
to answer the question "Is the industry attractive?" and to introduce students
to industry analysis and industry segmentation.
Industry:
Issues:
Setting:
Level of Difficulty:
Length:
Electric, Gas and Sanitary Services
Industry Analysis, Environmental Business
Management
USA, large organization, 1999
Undergraduate and MBA
21 page(s)
4
Case# 9A99M031
THE CHINESE FIREWORKS INDUSTRY
Beamish PW ; Jiang R
Date Revised: 09/12/2000
Teaching Note: 8A99M31, 15 page(s)
The Chinese Fireworks Industry case illustrates an industry that is
experiencing intensifying competition and regulation. 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 from 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.
Industry:
Issues:
Setting:
Level of Difficulty:
Length:
Miscellaneous Manufacturing Industries
Industry Analysis, Exports, Market Analysis,
International Marketing
China, 1999
Undergraduate and MBA
15 page(s)
5
Chapter 4:
Competing over
Time: Industry and
Firm Evolution
Study Objective:
Understand how
firms keep
competitive
advantage over time.
Case# 9B01M002
NAPSTER AND MP3: REDEFINING THE MUSIC INDUSTRY
Crossan MM ; Wilkinson MA ; Perry M ; Hunter T; Smith T
Date Revised: 06/28/2001
Teaching Note: 8B01M02, 21 page(s)
The music industry has changed dramatically as a result of technological
and business innovations that have transformed how music is acquired, and
how value is created and distributed. Napster Inc. operated one of several
Web sites that allowed Internet users free access to MP3 music files -which eventually led to lawsuits around issues of the protection of
intellectual capital. These issues lead to the examination of the forces at
play in the transformation of the music industry, the strategic alternatives
for players in the industry and the legal context underpinning the strategic
alternatives, with a particular focus on the protection of intellectual capital.
Industry:
Issues:
Setting:
Level of Difficulty:
Length:
Amusement and Recreation Services
Industry Analysis, Strategic Change, ECommerce, Intellectual Properties
Global, 2000
MBA and Undergraduate
22 page(s)
Case# 9A99M030
WALL STREET JOURNAL: PRINT VS. INTERACTIVE
Hillman AJ
Date Revised: 10/04/2001
Teaching Note: 8A99M30, 11 page(s)
One of Dow Jones & Company's most respected brands, The Wall Street
Journal, is threatened by Internet news providers, including their own
Interactive Edition. The company is unsure whether the Interactive Edition
will be a substitute or a complement to the Print Edition. The case focuses
on changing industry boundaries, new technology, potential cannibalization,
and a threat to the company's traditional business model. Industry analysis
of both print and interactive publishing is discussed, as is resource
leveraging across the two formats.
Industry:
Issues:
Setting:
Level of Difficulty:
Length:
Printing, Publishing & Allied Industries
Industry Analysis, Business Policy, Product
Strategy, Internet
USA, large organization, 1999
Undergraduate and MBA
15 page(s)
6
Chapter 5:
Strategy Execution
Study Objective:
Understand the key
role resources and
capabilities play in
producing superior
economic
performance.
Case# 9B02M038
PARAGON INFORMATION SYSTEMS
Rowe WG ; Phillips JR
Date Revised: 06/09/2003
Teaching Note: 8B02M38, 7 page(s)
Paragon Information Systems is a small business unit owned by NewTel
Enterprises Limited that manufacturers hardware for information
technology and systems integration. The newly appointed chief executive
officer is faced with a crisis. Days after his appointment, two vicepresidents resign and start a new company. The new company recruits the
entire sales team, members of the technical unit and support staff from
Paragon Information Systems, a loss of almost one third of Paragon's staff
within two months. The new chief executive officer must meet short-term
stakeholder needs, assess, formulate and implement long-term strategies,
deal with the competitive threat of the new company, and consider the
leadership style and control systems required to make the necessary level of
change.
Industry:
Issues:
Setting:
Level of Difficulty:
Length:
Business Services
Leadership, Organizational Change, Strategy
Implementation, Strategy Development
Canada, small organization, 1996
MBA and Undergraduate
10 page(s)
7
Case# 9A99M033
FIRST PACIFIC (A): RESPONDING TO THE ASIAN CRISIS
Delios A
Teaching Note:
8A99M33, 14 page(s)
The managing director of First Pacific Company Limited was reviewing the
performance of the large Hong Kong-based conglomerate. In the first few
months since the onset of the Asian Economic Crisis, the company's
financial performance had been hit hard. The managing director, concerned
about First Pacific's performance, was working with the company's directors
to formulate a restructuring plan for the company. This case is part of the
First Pacific case series. The other two cases in the series are First Pacific
(B): Restructuring After Crisis (9A99M034), and First Pacific (C): The
Indofood Acquisition (9A99M035).
Industry:
Issues:
Setting:
Level of Difficulty:
Length:
Holdings and other Investment Companies
Corporate Strategy, Crisis and Change, Strategic
Planning, Strategy Implementation
Hong Kong, large organization, 1997
MBA and Undergraduate
21 page(s)
PART THREE
MANAGEING
THE
BOUNDARIES OF
THE FIRM
(Chapter 6-7)
8
Chapter 6:
Vertical Integration
and Outsourcing
Study Objective:
Understand the
current approaches
to explaining vertical
integration,
including transaction
costs and property
rights.
Case# 9A98M017
TAIWAN'S UNITED MICROELECTRONICS CORPORATION
(UMC)
Frost TS ; Tsai T ; Cheng B; Zhou C
Date Revised:
02/03/2000
Teaching Note:
8A98M17, 12 page(s)
Taiwan's United Microelectronics Corporation (UMC), one of the world's
leading semiconductor foundries, has grown dramatically in 16 years. UMC
pursued a strategy of vertical disintegration as part of the chairman's vision
of turning UMC into a "pure-play" foundry. This case discusses the major
technological and competitive forces affecting the industry and looks at
UMC's restructuring through the eyes of the chairman. The case provides
enough detail to engage the class in a discussion of the merits of UMC's
vertical disintegration strategy and the possible pitfalls of this approach
going forward.
Industry:
Issues:
Setting:
Level of Difficulty:
Length:
Electric & Electronic Equipment Supplies
Vertical Integration, Joint Ventures,
Competitiveness
Taiwan, large organization, 1996
MBA and Undergraduate
12 page(s)
Case# 9B04M005
PALLISER FURNITURE LTD.: THE CHINA QUESTION
Beamish PW ; Tang J
Teaching Note:
8B04M05, 7 page(s)
Palliser is Canada's second largest furniture company. The company has
production facilities in Canada, Mexico and Indonesia, and experimented
with cutting and sewing leather in China. The company is looking at further
expanding the relationship with China. Ever since Palliser set up a plant in
Mexico, the company had faced increasing competitive pressure from Asia,
especially from China. The president of Palliser must decide what form this
relationship should follow, should it be an investment, either wholly or
partly owned, or should it be through subcontracting?
Industry:
Issues:
Setting:
Level of Difficulty:
Length:
Furniture and Fixtures
Expansion, Plant Location, Imports, Outsourcing
Canada/Mexico/China, medium organization,
2003
MBA and Undergraduate
14 page(s)
9
Chapter 7:
Partnering
Study Objective:
Understand the
reasons for the rise
in partnership
activity and its costs
and benefits.
Case# 9B03M002
GENERAL MOTORS DEFENSE
Beamish PW; Chung C
Date Revised:
02/14/2003
Teaching Note:
8B03M02, 9 page(s)
General Motors Defense, a division of General Motors, one of the world's
largest automobile manufacturers, designs and manufactures light armored
vehicles. The company is approached by General Dynamics to jointly
pursue the U.S. Army's Brigade Combat Team program. However, General
Dynamic made it clear that they would also submit a bid on their own.
Contrary to past practices, the chief of staff of the U.S. Army planned to
award the multi-billion dollar contract within only 11 months. The
executive director of General Motors Defense has to decide whether the
company should bid-it-alone or submit a joint venture bid with General
Dynamics.
Industry:
Issues:
Setting:
Level of Difficulty:
Length:
Transportation Equipment
Political Environment, Joint Ventures, Leadership,
Doing Business in the U.S.
Canada/United States, large organization, 1999
MBA and Undergraduate
13 page(s)
10
Case # 9A99A037
BEN & JERRY'S - JAPAN
Hagen JM
Date Revised:
10/31/2001
Teaching Note:
8A99A37, 6 page(s)
The CEO of Ben & Jerry's Homemade, Inc. needed to give sales and profits
a serious boost; despite the company's excellent brand equity, it was losing
market share and struggling to make a profit. The company's product was
on store shelves in all U.S. states, but efforts to enter foreign markets had
only been haphazard with non-U.S. sales accounting for just three per cent
of total sales. The CEO needed to focus serious attention on entering the
world's second largest ice cream market, Japan. An objective of Ben &
Jerry's was to use the excess manufacturing capacity it had in the U.S., and
it found that exporting ice cream from Vermont to Japan was feasible from
a logistics and cost perspective. The company identified two leading
partnering options. One was to give a Japanese convenience store chain
exclusive rights to the product for a limited time. The other was to give
long-term rights for all sales of the product in Japan to a Japanese-American
who would build the brand. For the company to enter Japan in time for the
upcoming summer season, it would have to be through one of these two
partnering arrangements.
Industry:
Issues:
Setting:
Level of Difficulty:
Length:
Food and Kindred Products
Market Entry, Corporate Strategy, International
Marketing, Strategic Alliances
Japan/USA, medium organization, 1997
Undergraduate and MBA
22 page(s)
PART FOUR
EXPANDING THE
SCOPE OF THE
FIRM
(Chapter 8-10)
11
Chapter 8:
Competing in Global
Market
Study Objective:
Understand how
firms get
competitive
advantage in global
market and why
geographic factors
such as region and
country matter.
Case # 9B04M001
VINCOR AND THE NEW WORLD OF WINE
Beamish PW ; Celly N
Teaching Note: 8B04M01, 8 page(s)
Vincor International Inc. was Canada's largest wine company and North
America' fourth largest in 2002. The company had decided to
internationalize and as the first step had entered the United States through
two acquisitions. The company's chief executive officer felt that to be
among the top 10 wineries in the world, Vincor needed to look beyond the
region. To the end, he was considering the acquisition of an Australian
company, Goundrey Wines. He must analyze the strategic rationale for the
acquisition of Goundrey as well as to probe questions of strategic fit and
value.
Industry:
Issues:
Setting:
Level of Difficulty:
Length:
Food and Kindred Products
Acquisitions, Market Entry, Growth Strategy,
Internationalization
Canada/Australia/USA, large organization, 2002
MBA and Undergraduate
20 page(s)
12
Case# 9B04M012
LARSON IN NIGERIA
Beamish PW; Litvak I; Cheung H
Teaching Note: 8A95G08, 11 page(s)
The vice-president of international operations must decide whether to
continue to operate or abandon the company's Nigerian joint venture.
Although the expatriate general manager of the Nigerian operation has
delivered a very pessimistic report, Larson's own hunch was to stay in that
country. Maintaining the operation was complicated by problems in
staffing, complying with a promise to increase the share of local ownership,
a joint venture partner with divergent views, and increasing costs of doing
business in Nigeria. If Larson decides to maintain the existing operation, the
issues of increasing local equity participation (i.e. coping with
indigenization) and staffing problems (especially in terms of the joint
venture general manager) have to be addressed.
Industry:
Issues:
Setting:
Level of Difficulty:
Length:
Electric & Electronic Equipment Supplies
Subsidiaries, Staffing, Third World, Government
Regulation
Africa, large organization, 2003
MBA and Undergraduate
8 page(s)
13
Chapter 9:
New Business
Development
Study Objective:
Understand how new
businesses are
created and how they
are integrated into
the rest of the
corporation.
Case# 9B03M054
PINNACLE TECHNOLOGIES - MIDDLE EAST
Morrison A
Teaching Note: 8B03M54, 12 page(s)
Pinnacle Technologies is an unusual company in that it acts essentially as a
subsidiary of U.K.-based Psion Teklogix although it is 100 per cent
independent. Psion Teklogix manufacturers wireless data communication
devices that are used primarily in inventory management activities
performed in warehouses, ports, factories and airports. In the mid 1990s,
Psion gave Pinnacle Technologies exclusive Middle Eastern rights to the
Teklogix technology and product line. It also assisted in training Pinnacle's
development staff, programmers and sales representatives. By 2002,
Pinnacle was prospering and was thinking of diversifying into related and
unrelated software services. The chief executive officer must decide to what
degree Pinnacle should diversify from its core business and determine what
financial and managerial resources are required for the diversification. (A
27-minute video is available featuring a discussion with the chief executive
officer of Pinnacle, product 7B03M054.)
Industry:
Issues:
Setting:
Level of Difficulty:
Length:
Communications
International Business, Core Competence,
Management in a Global Environment, Inventory
Planning/Control
United Arab Emirates, large organization, 2002
MBA
21 page(s)
14
Case# 9B01M032
STRATEGIC INTELLIGENCE PTE. LIMITED (A)
Beamish PW ; Gleave T
Date Revised:
04/30/2002
Teaching Note:
8B01M32, 14 page(s)
Strategic Intelligence Pte. Limited is a research and new-media company
that provides Asian-based economic and political information. The
managing editor is facing several challenges in building a new online
business intelligence service that focuses on Asia's new economy. As the
person responsible for the company's first Internet related initiative, he is
expected to design, manage and help market the new initiative that will be
independent from, yet complementary to, the company's existing eventsoriented and research services. Although he is satisfied with the content that
has been developed, he still needs to resolve several issues regarding target
audience, pricing policy, revenue diversification options and service
awareness. A sense of urgency pervades the situation, since he is expected
to ensure that the new service will contribute 25 per cent of total company
revenues within the next year.
Industry:
Issues:
Setting:
Level of Difficulty:
Length:
Communications
Growth, Consumer Research, Pricing Strategy,
Sales Strategy
Hong Kong/Singapore, small organization, 2000
MBA and Undergraduate
19 page(s)
15
Chapter 10:
Managing the
Multibusiness Firm
Study Objective:
Understand how a
multibusiness firm
can add value to its
business unit.
Case # 9A98M012
SANDVIK AB (A)
White RE ; Teigland R; Birkinshaw J
Teaching Note:
8A98M12, 8 page(s)
The CEO of the Sandvik Group is reviewing the initiatives he implemented
to increase the synergies between the six disparate businesses of the
Sandvik Group. Specific measures taken by Sandvik's management to
increase the level of synergy between the businesses are outlined. In search
for synergy, management has experienced many problems and challenges.
The main challenge is how to avoid a re-centralization of power while at the
same time encouraging employees to act with regard to both their business
and the group. The case closes with the CEO wondering how further
changes could be made to expand and sustain the search and exploitation of
synergies within the Sandvik group. This case can be used as an advanced
corporate strategy case, to illustrate concepts such as diversification,
synergies, and parenting advantage. It can also be used as a management of
change case by putting emphasis on the actions the CEO can take to achieve
his stated goals. A follow-up case (9A98M013) is available.
Industry:
Issues:
Setting:
Level of Difficulty:
Length:
Primary Metal Industries
Diversification, Synergy, Strategic Scope, Change
Management
Sweden, large organization, 1996
MBA
29 page(s)
Case # 9A98M013
SANDVIK AB (B)
White RE ; Teigland R; Birkinshaw J
Teaching Note:
8A98M12, 8 page(s)
As a follow-up to the Sandvik AB (A) case (9A98M012), the (B) case
outlines the organization changes undertaken in the pursuit of synergies.
Students can be asked to evaluate the magnitude and appropriateness of the
changes and propose other ideas. The case allows for consideration of how
the CEO of a large complex organization actually accomplishes strategic
change.
Industry:
Issues:
Setting:
Level of Difficulty:
Length:
Primary Metal Industries
Strategic Change, Organizational Structure,
Implementation
Sweden, large organization, 1997
MBA
8 page(s)
PART FIVE
16
GOVERNING
THE FIRM
(Chapter 11-12)
Chapter 11:
Corporate
Governance
Study Objective:
Understand the role
of the top
management team
and the board of
directors.
Case# 9B03M032
PRONIX, INC.
Croke P ; Wesley D
Teaching Note: 8B03M32, 10 page(s)
After an ill-fated acquisition of a Linux development company, Pronix finds
itself in a financial crisis that could lead to bankruptcy. The board has
decided to recruit a new chief executive officer from outside the company
who has experience turning around enterprise software companies and
strategic business units. Despite its flagging performance, Pronix produced
some of the most advanced enterprise software available and was one of the
few suppliers of real-time software capable of integrating entire
corporations. By refocusing software development on a single integrated
platform, the new chief executive officer hoped to transform the company's
prospects. Others, however, were less enthusiastic. Some recommended that
the entire Pronix product line be sold piecemeal. The case describes the
process of implementing a turnaround during an economic downturn and
the leadership issues associated with managing resistance to change among
senior members of a management team.
Industry:
Issues:
Setting:
Level of Difficulty:
Length:
Business Services
Crisis Management, Leadership, Board of
Directors, Management Information Systems
United States, small organization, 2001
MBA and Undergraduate
17 page(s)
17
Case# 9B00M043
TELOPTICS CORPORATION AND JOHN BEAMISH
Tapp LG ; Robertson G
Teaching Note: 8B02M43
The chief executive officer of a telecommunications company has been
managing the company while residing out of the country. The board of
directors has concerns about this and has asked him to move, but his
resulting compensation demands are surprisingly high. The board of
directors must decide whether to meet his demands or to look for a new
CEO. Questions regarding types of management compensation, value
measurement and comparability within industry are raised, as well as a
discussion of the cost of a change in senior management to the company
and its shareholders.
Industry:
Issues:
Setting:
Level of Difficulty:
Length:
Communications
Succession Planning, Corporate Governance,
General Management, Compensation
Canada/United States, large organization, 2000
MBA and Undergraduate
3 page(s)
18
Chapter 12:
Strategic Planning
and Decision
Making
Case # 9B03M007
HARLEQUIN ENTERPRISES: THE MIRA DECISION
White RE ; Crossan MM ; Mark K
Teaching Note: 8B03M07, 16 page(s)
Study Objective:
Understand how
firms develop
strategic plans to
improve
performance.
Harlequin Enterprises is a well-known publisher of series romantic fiction
and is facing threats to its leading position as the world's largest romance
publisher. This threat comes from the growing popularity of single title
women's fiction novels. While Harlequin was the dominant and very
profitable producer of series of romance novels, research indicated that
many customers were reading as many single-title romance and women's
fiction books as series romances. Facing a steady loss of share in a growing
total women's fiction market, Harlequin convened a task force to study the
possibility of re-launching a single title women's fiction program. (A video
is available, product 7B03M007, that features four senior managers
discussing the challenges the company faced.)
Industry:
Issues:
Setting:
Level of Difficulty:
Length:
Printing, Publishing & Allied Industries
Product Design/Development, Strategy
Development
Canada, large organization, 1993
MBA and Undergraduate
18 page(s)
Case# 9B00M036
WESTJET LOOKS EAST
Fry JN ; White RE
Date Revised: 09/12/2001
Teaching Note: 8B00M36, 16 page(s)
The management team at WestJet was reviewing its growth plans in light of
an anticipated merger of Air Canada and Canadian Airlines. The merger
would result in a near monopoly of domestic air travel in Canada and a new
set of opportunities and challenges for the handful of smaller airlines in the
country. Under the circumstances, WestJet was considering whether it
should shift from its focus of building on its success in Western Canada and
expand into the East. The management team must analyze how fast and how
significant an entry would be necessary from a competitive standpoint, how
fast and how significant an entry the company could digest, and in the
longer term, WestJet's prospects when competing against Air Canada and
others.
Industry:
Issues:
Setting:
Level of Difficulty:
Length:
Transportation Services
Strategic Planning, Competition, Strategic Scope
Canada, medium organization, 1999
MBA and Undergraduate
17 page(s)
19
Case # 9B01M001
GURU.COM: POWER FOR THE INDEPENDENT PROFESSIONAL
Crossan MM
Teaching Note: 8B01M01, 7 page(s)
Guru.com intended to transform the global labor market by creating the
world's largest online marketplace for independent professionals (IPs) freelancers, consultants, "knowledge workers" and "hired guns" - known as
gurus. Their goal was to build a home on the Web for independent
professionals, providing the essentials for running a guru business. One
month into the launch of its preview site, and preparing for its first major
release scheduled in three months, priorities had to be set for product
development. The co-founders of Guru.com believed that catering to the
needs of the gurus was the key to achieving market leadership and
revolutionizing the traditional contingent staffing business. A recently hired
team member was asked for her opinion on Guru.com's product strategy.
Her extensive consulting experience prompted her to link product with
business strategy.
Industry:
Issues:
Setting:
Level of Difficulty:
Length:
Business Services
E-Commerce, Uncertainty, Stakeholder Analysis,
Action Planning and Implementation
United States, small organization, 2000
MBA and Undergraduate
21 page(s)
20