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.

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.

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.

The first across-the-table negotiation between Google and China concluded successfully in 2006, when Google received a license to establish a local domain (google.cn) targeted at Chinese Internet users and not subject to the “Great Firewall.” During these negotiations both Google and the Chinese government struggled to reach an outcome that would be acceptable to their constituents. Google was caught between pleasing its shareholders and preserving its reputation for free access to information, while China was balancing the desire for cutting-edge search technology and the concern that liberal access to information would undermine its political-economic model. In the end, the negotiation resulted in Google operating two domains in China: Google.com and Google.cn. In early 2010, Google announced that its corporate infrastructure had been the target of a series of China-based cyber attacks and accused the Chinese government of attempting to further limit free speech on the web. These incidents led to a public conflict and private negotiations between Google and the Chinese government, which culminated in July 2010 when the Chinese government renewed the google.cn license knowing that Google was redirecting all Chinese customers search to its google.hk.com site This case concerns the changes in Google and the Chinese government's environment that led to Google withdrawing services from google.cn and the Chinese government saving face by renewing the google.cn license. The case is based on the publicly reported events surrounding two series of negotiations between the U.S. technology giant Google and the Chinese Government regarding Google's license in China.

Dave Williams has taken over as CEO for MBC Corporation and wants to change the mission statement of the company. However, he needs to get approval from four shareholders: a former board chairman, his father and current board chairman, and two members of his own executive team. Williams must navigate the varying dynamics and opinions of the shareholders to gain their buy-in and create a new mission statement that will take MBC on a new path for the future.

The concept this case addresses is that of the mission statement and how it is used to align an organization and its stakeholders. After students have analyzed this case, they will be able to:

• Communicate the importance of a mission statement

• Engage stakeholders in the creation of a mission statement

• Implement a new mission and culture at an organization

Communicate the importance of a mission statement

Engage stakeholders in the creation of a mission statement

Implement a new mission and culture at an organization

The case briefly describes the history of Electronic Data Systems (EDS) under Ross Perot and GM before turning to the beginning of a tumultuous decade in the late 1990s. As the turn of the century approached, EDS made critical strategic missteps such as missing opportunities in the Internet space, overlooking the onset of client-server computing, and failing to obtain major Y2K-related projects. The company attempted a turnaround by replacing the CEO with Dick Brown, whose leadership helped streamline the sprawling company. Despite initial successes, Brown's tenure ultimately ended in failure, due largely to his failure to recognize the growing Indian market and his willingness to buy business at the expense of the company's margin. The disastrous multibillion-dollar Navy & Marine Corp Intranet contract typified the type of high-profile transactions that Brown pursued, often boosting EDS's stock price in the short term while eroding its cash flow short term and its profitability over the long term. EDS management went through several stages of the turnaround process: the blinded phase, the inactive phase, and the faulty action phase, until Michael Jordan replaced Brown as CEO and enacted a three-tiered operational, strategic, and financial turnaround.

EDS's near-decade of turnaround efforts takes students through every phase of the turnaround process and demonstrates that even initially successful turnaround efforts can become distracted, rendering them ineffective. The case will show both a failed turnaround and a subsequent successful one, while adding an international component with respect to EDS's overlooking an important, growing Indian market.