Case studies

This case study is intended to supplement postgraduate business learning with the facilitation of an academic practitioner. The case draws on a culmination of subjects, and the participants are encouraged to juxtapose the case information with their professional experiences; however, the primary focus of the case material will be centred on strategy, innovation, and entrepreneurship.

The primary audience for the teaching case is management education programmes including: Master of Business Administration (MBA), Postgraduate Diploma (PGDip), specialist Masters in Management, and certain Executive Education programmes.

This case is about protagonist Ndabenhle Junior Ngulube, the cofounder of an innovative technology-enabled insurance intermediary company called Pineapple. The company has identified an opportunity to resolve the inherent conflict of interest within the insurance industry, as well as the grudge association of non-life insurance purchases. While the competitive landscape of the sector is traditionally dominated by a few large incumbent market participants, Pineapple's digital distribution strategy is more effective at converting ‘clicks-to-clients’, at a fraction of the typical customer acquisition cost. The peer-to-peer business model also allows for superior risk-selection, greater affinity, and lower incidents of fraudulent claims. Ndabenhle and the team develop the company's customer acquisition strategy by drawing on technological trends, reputation drivers, and a concentrated social media approach that focusses on trust, access, product, and value. But, as 2020 begins, Ndabenhle faces choices about the means and methods of scaling the business operation. The case documents the first few years of Pineapple's operations, with a strong focus on business model innovation, distribution, scalability, and technological integration.

To analyse the role disruptive technologies play within sectoral business model innovation

To evaluate the industry-specific competitive business landscape and complexities of building and maintaining a sustainable competitive advantage within a niche market segment

To assess the strategic growth opportunities for an emerging market Insurtech disruptor

To critically appraise the entrepreneurial complexities faced by decision-makers when looking to challenge incumbent market leaders

The case is suitable for strategy or entrepreneurship modules. It is designed to teach students about the importance of implementing formal processes when entering a growth phase as well as the complexities, unexpected costs, and benefits that growing a business can bring.

The case is aimed at MBA or Master-level students or executive education programmes as part of a strategy or entrepreneurship module.

Lattice Towers is a South African company in the telecommunications infrastructure sector. They are struggling to generate sufficient cash flow to sustain operations as a result of poor strategic decision-making regarding tower-build site acquisition. To compound matters, the owner has been struggling with health issues related to the stress caused by the crises that Lattice Towers is going through. Recently, however, a multinational publicly listed behemoth in the telecommunications industry, Helios Towers, offered to acquire the company. The acquisition offer seems like a saving grace to the owner; however, Lattice Towers is deeply personal to the him and he would not like to lose the brand. Furthermore, there is a tremendous opportunity for business growth due to the imminent increase in demand for tower infrastructure. But based on the challenging financial position the business currently finds itself in, he might not have the option to keep the business.

To develop a decision-making framework and strategy to navigate the business life-cycle stages, from survival to growth

Understand the concepts of uncertainty, risk, and liquidity premiums that apply to entrepreneurship

Understand the stress-related implications for entrepreneurs

Understand the psychological costs and benefits of entrepreneurship

Understand the personal financial implications for entrepreneurship

The case is particularly relevant for students studying elements of business strategy with an interest in strategic decision-making, competitive strategy, and growth strategy. The case leverages several strategic frameworks taught throughout business courses and illustrates a real-world application of these frameworks to support sound strategic decision-making. Furthermore, the case examines the relevance of sustainable competitive advantage and the linkages to the appropriate growth strategy for a business. It is recommended that this case be taught once students have covered the applicable theory and frameworks in class.

This case is designed for business administration students, in particular MBA, EMBA, speciality Masters, or executive education students.

MWEB is a leading first-tier South African internet services provider, with an operating history spanning over 22 years. The MWEB brand is a household name across South Africa, seen as one of the pioneers of the internet industry and accredited with bringing the internet to ordinary consumers across the country. The state of competition in the market, however, has intensified and MWEB's traditional operating model has not evolved fast enough to meet the changing landscape. The market is in the midst of a price war, to which MWEB has responded by reducing market pricing and offering attractive deals, undercutting all its competitors. The results have been positive; sales have increased and churn has reduced, but competitors have already started to follow. The dilemma facing CEO Sean Nourse and his management team is how to accelerate growth in a highly commoditised market with intense competition while ensuring the long-term profitability of the business. The case encourages the consideration of the strategic decision-making process by analysing the competitive landscape, evaluating the options, and reaching a decision on the most viable growth strategy for the business.

To analyse the competitive landscape and the forces at play

To conduct a competitor analysis, appraise long-term profitability in the industry, identify profitable strategic positions, and determine how MWEB may achieve and protect its competitive advantage

To identify and analyse the key parameters that, in combination, represent a company's business model

To critically analyse the contextual factors that are presented as business challenges, evaluating and understanding the impact and scale of these challenges

To critically assess relevant growth strategy alternatives for MWEB and analyse the viability of the alternatives presented

To conduct an informal valuation to determine a purchase price for an acquisition target for the business

The subject area is international business and strategy. The case allows scope for the following areas: internationalisation, market strategy, emerging market multinational companies, and doing business in Africa.

The primary target audience for this teaching case is postgraduate business students such as Master of Business Administration (MBA), or postgraduate management programmes. The case is primarily designed for use in courses that cover strategy or international business.

This case centres on the international growth strategy of FMBcapital Holdings Group (FMB), the Malawian commercial banking firm. The case finds the founder and current group chairman, Hitesh Anadkat, in 2016, as he and the FMB board are about to decide on the next move in their Southern African strategy. Since opening the first FMB branch in Malawi and becoming the country's first commercial banker in 1995, Anadkat and his team have ridden a wave of financial deregulation across the region to successfully expand into neighbouring Botswana, Zambia, and Mozambique. Now, an opportunity to gain a foothold in Zimbabwe means the leaders must decide (1) whether they want to continue to grow the FMB footprint across the region, or focus on their integration and expansion efforts within existing markets; and (2) how they will realise this strategy.

International expansion – identifying the need to expand into new markets; identifying the combination of internal strengths and external conditions that make international expansion viable; and identifying and analysing each possible new market(s) and the decision-making process involved.

Political, social and economic factors in Africa – understanding how these external institutional factors present constraints, risks and opportunities for internationalisation and hence shape strategy; understanding that these factors may vary significantly across countries on the continent (in spite of their geographic proximity) and in some cases, within a single country; and understanding that by selecting markets with extreme socially and politically volatile contexts, the risk of a worst-case scenario transpiring (in which institutional forces trump business strategy) is appreciable.

Combination of resource- and institutional-based approaches – recognising that successful internationalisation requires capitalising upon both internal resources and institutional mastery.

Choosing expansion strategies – assessing the type of new market entry (e.g. greenfield or acquisition of existing operations) and its adequacy for penetrating a new market.

Using networks and local partners – to substitute and enhance the benefits that originally flow from a small (and sometime family-established) business, with an emphasis on acquisition of skills and networks in foreign countries.

Regional integration – optimising business operations through a sharing or pooling of resources and improved capital flow between subsidiaries, in some instances by taking advantage of economies of scale (this extends to enhancing the reputation and awareness of a brand across a wider region).

Family businesses – identifying the value that can be gained through establishing a family business with the support of many “close” stakeholders while also noting the limitation that exist as expansion and growth is required.

The case can be used in the subject areas of marketing, strategy, business model innovation, and general business growth, particularly those with a focus on emerging markets.

This case can be used in postgraduate and post-experience business courses such as Master's degrees in Business Administration, postgraduate diplomas, executive education, or specialist Master's degrees.

This case looks at craft beer business Jack Black's Brewing Co. started in 2006 in Cape Town. After humble beginnings, protagonist McCulloch grew the company rapidly with a focus on the strategic “tap” market across the country. After systematically working with a number of contract brewers the company finally invested in their own, industrial-scale brewery and brewpub. The dilemma facing McCulloch and Jack Black's Brewing Co. is one of cash flow. In order to generate cash flow, the management team needs to drive sales so that the brewery operates at full capacity. While it strives to attain this goal, there are considerable cash flow and liquidity challenges.

The development of an understanding of an effective marketing mix to position a niche and young brand.

An understanding of the concept “co-opetition” and how it works in a growing market.

The ability to assess the various growth stages of a business.

The case can be used in the subject areas of marketing, strategy, business model innovation in an emerging market. The case introduces a practical example of brand extension as a growth strategy employed by an existing brand to secure additional revenue channels and customer touch points.

This teaching case is aimed at postgraduate business students such as Master's degrees in Business Administration degrees, postgraduate diplomas, executive education, or specialist Master's degrees.

Kauai is a health restaurant with 150 stores across South Africa, Namibia and Botswana, more than 50% of which are franchise-owned. An acquisition of the original Kauai quick-service restaurant (QSR) chain by Real Foods in 2015 leads to a complete rebrand and overhaul of its product offering and store experience. Since the acquisition, the business operates as a startup with few formal processes and KPIs in place to drive performance. Despite the obvious success the team is battling with the factors that need to be considered to ensure that they can scale adequately to realise full potential. Plus how should they position the existing brand effectively within the FMCG space to maximise the contribution of brand equity to its success?

–The understanding around the business model of a strong, existing brand entering a highly competitive and price-sensitive FMCG.

–Analysing the marketing strategy and brand identity approaches that could be used.

–An understanding of the brand extension strategy that could be implemented in light of various challenges.

–Understanding how retail marketing works in an emerging market context.

When established markets in the West are stagnating or in crisis, companies increasingly look to emerging markets, especially the so-called BRICs, for growth potential. However, these new markets also pose unique challenges, for which the best practices and assumptions of Western managers are not automatically suited. Setting up supply chains in new regions confronts firms with multiple challenges in terms of regulation, resources, culture, and infrastructure. In this case study, students will accompany a successful German FMCG manager as he plans his company’s expansion into Russia, and is forced to look at the opportunities and challenges from a new perspective.

Provincial Industries has decided that the time has come to expand internationally. In this case and the activities along with it, individuals will need to consider different attributes or factors in each category evaluated. These categories include: business climate, communications, financial services, health services and “Quality of Life”, infrastructure, and transportation. This evaluation will decide the new international office location.

Faced with declining market share and sales, Natura, Brazil’s second-largest brand in the cosmetics, fragrances, and toiletries market, expanded its customer reach by moving from a direct-sales company to a multichannel company. In 2014, Natura added online catalogs, physical stores, and drugstores to its well-established direct-selling model, but the results were disappointing. Between 2014 and 2016, three different Natura CEOs attempted to lead the company in the strategic transition to focus less on the direct sales consultants and more on reaching the end consumers directly with multiple channels and touchpoints. In October 2016, the company’s board appointed its former commercial vice president, João Paulo Ferreira, as the most recent CEO. Ferreira’s challenge was to find the right balance between the direct-selling and other channel formats to market Natura, thus enabling it to thrive in the face of intense competition in the beauty and personal care market in Brazil.

ESPE, the market leader, is a medium-sized German manufacturer of precision dental impression materials competing in a shrinking market. To grow the business, ESPE invests substantial resources in innovative impression materials and associated distribution mechanisms. Squeezed by the shrinking market, the competition is increasingly using the proprietary channels (dispensing mechanisms) and brand equity (trademark) of ESPE to maintain their market share. There is a potential infringement. Explores how ESPE is organized to execute on the options imbedded in its IP rights.

To provide students with an understanding of how to use brands and trademarks in conjunction with trade secrets, patents, and other forms of IP in mature markets to build and maintain innovation-based competitive advantage.