Case studies

After completion of the case study, students will be able to understand various capital raising instruments and their impact on different stakeholders; analyse the financials of a company to select a fitting instrument; and communicate the company’s decision effectively, paying attention to language and style.

This case study describes the funding choices available to Tata Motors Limited (TML), a major global automobile manufacturer based in India. Owing to a very high debt-to-equity ratio and very low debt service coverage ratio, the company urgently requires a fresh inflow of funds to bring its debt levels down and sustain growth. This financial state does not benefit the company in the short or the long run. TML has various options: Rights Issue, Qualified Institutional Placement, Preferential Allotment, Global Depository Shares and Follow-on Public Offering. Each mode has implications for individual stakeholders like the management, promoters, institutions with significant and minor stakes, and retail investors. The dilemma before TML is to choose the best capital-raising mode that suits the current requirements. This case study requires participants to choose an equity-raising mode that satisfies the stakeholders and communicate their decision tactfully to the general public.

This case study is suitable for participants in a regular or executive MBA programme. It is designed to introduce the concepts of capital raising, the different instruments available for capital raising and the fundamentals of financial communication. This case study can be used in MBA courses like corporate finance, financial markets and business communication.

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CSS1: Accounting and Finance.

The objective of this study is to grasp the strategic decisions made by Haidilao during the COVID-19 pandemic and the effect on its business performance. It seeks to evaluate the company’s adaptability and resilience, understand the significance of effective regional management and draw lessons for businesses operating in crisis situations.

This case study provides an in-depth analysis of the strategic decisions made by Haidilao in the face of rapid expansion and COVID-19’s impact. It scrutinizes Haidilao’s shift from expansion to contraction, the execution of the “Woodpecker Project,” and the reinstatement of a regional management system.

This case study is suitable for MBA courses.

Teaching notes are available for educators only.

CSS11: Strategy.

On completion of the analysis of this case, students would be able to: analyze how external environmental factors impact the product market matrix; evaluate growth choices open to an incumbent business and how they create and capture value; and develop corporate strategies of a multi-business firm to respond to external dynamics.

The case presents an opportunity to examine the timing of entry of an incumbent firm in a new market segment. Bajaj Auto, a well-established Indian two-wheeler and three-wheeler manufacturer and exporter, chose to enter the electric vehicle space much later than technology start-ups and other incumbents. After three years, the company’s business in this segment might appear successful, but it is not in a position to dislodge the market leader, Ola Electric. The case focuses on the dilemma of market entry timing, positioning of a new product, managing an interlinked product portfolio, the need to develop a robust ecosystem of partners and dealing with unpredictable export markets.

The case can be discussed in a session of graduate-level business strategy/corporate strategy/international business course that deals with the growth strategies of an incumbent.

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CSS 11: Strategy.

The case is designed to exemplify the following microeconomics concepts:

▪ factors affecting demand and supply;

▪ movement along the demand and supply curves;

▪ shifts in the demand and supply curves;

▪ price elasticity of demand and supply in the short run;

▪ the cross-price elasticity of demand;

▪ regulated markets; and

▪ government import policies.

Dr Sania Rizvi, an agricultural economist and head of the task force committee on rising food prices, was heading the meeting, focusing on the unprecedented increase in food items generally, mainly the trek in tomato prices. Sania, who had ten years of experience in food supply chain dynamics and market analysis, adopted a thorough approach by considering all the elements influencing tomato prices. This included analyzing issues related to production at the farm level, logistical difficulties, market demand and import policies. The year 2022 brought with it exceptional circumstances of massive monsoon floods, affecting the supply and demand factors in the tomato market. This led to sharp hikes in prices, actual and artificial supply shortages and changes in consumer demand because of expectations of future supply shortages. The massive floods during the monsoon season destroyed standing tomato crops and damaged transport infrastructure, creating a supply shortage. Surviving tomato crops were hoarded by profiteers in hopes of driving prices higher. The Government of Pakistan relaxed restrictions and taxes on tomato imports from Iran and Afghanistan to ease the situation. Moreover, the lack of temperature-controlled storage environments for perishable products, such as tomatoes, presented a significant challenge for the tomato supply chain, particularly in times of crisis, such as the one witnessed in 2022 in Pakistan. Sania’s report was anticipated to play a crucial role in formulating initiatives to alleviate the burden on consumers and establish long-term stability in the market.

Undergraduate and graduate-level programs.

This case is designed for undergraduate and postgraduate courses in a management program focusing on microeconomics. In particular, the theme covered is supply and demand and elasticity analysis. It can also be used in agricultural economics, public policy, supply chain management, and executive training to familiarize participants with these concepts.

Teaching notes are available for educators only.

CSS 10: Public Sector Management.

This case study aims to provide a focused and specific understanding of the growth challenges faced by Bangalore International Airport Limited (BIAL) in its revenue streams, the strategies used to overcome them by adopting environmental, social and governance (ESG) framework and set global standards with universal norms and make BIAL a world-class airport by applying value, rarity, imitability and organization (VRIO) framework.

BIAL developed and has been operating the Kempegowda International Airport near Bengaluru in India since 2008. This city is the capital of Karnataka in India and a startup of new businesses and information technology hub. The COVID-19 pandemic had profoundly impacted aviation industry including BIAL, resulting in a significant decline in both passenger traffic and cargo handling resulting in weak profitability.

Mr Anant Sharma as chief strategist officer of the company was assigned to formulate strategies for various challenges that BIAL is facing in terms of the pending expiry of a concession agreement, decreasing non-aero revenues and making appropriate strategies to help BIAL not only to grow but also be sustainable in future.

This case study offers opportunities to students to delve into making strategic choices with developing an ESG business impact for sustainability, exploring factors which are affecting the future of airports which are followed internationally and finding key pillars for airport business to grow in its business portfolios. The case study also investigates into how BIAL would be able to accommodate demand in the next 30 years and provide readers the directions to innovate new strategies using VRIO framework to help airport to grow in right direction and become world-class airport.

This case study is suitable for basic courses in strategic management in emerging market both at postgraduate level and undergraduate level. In addition, it can be used in corporate training programs for aviation industry professionals.

Teaching notes are available for educators only.

CSS 11: Strategy.

After completion of the case study, students will be able to enumerate the unique process of project management, address unforeseen challenges in large-scale projects and develop strategies for mitigating risks. This case gives an opportunity to learners to analyses the time impact of failure of such infrastructure projects using project evaluation technique. The students would be able to discuss the social and financial implications of such mishaps on the overall economy.

The case tells the story of Gokhale Bridge in Andheri, Mumbai which serves as a vital link between the densely populated suburb’s, eastern and western part. Originally built in 1975, the bridge collapsed in 2018. The 90-m bridge reconstructed in just 15 months was lauded as an “Engineering marvel” by Brihanmumbai Municipal Corporation (BMC), a civic body responsible for Mumbai’s infrastructure. However, during the grand inauguration on February 26, 2024, a critical misalignment with the adjoining CD Barfiwala Flyover was revealed. This 2-m gap rendered the bridge inaccessible to motorists, undermining its intended purpose and frustrating commuters and residents. The case highlights systemic issues in operations and challenges faced by the BMC. Despite the BMC’s substantial budget and history in managing Mumbai’s infrastructure, the Gokhale Bridge debacle raises serious questions about project management. Amidst public criticism, BMC threw the buck on railways and hired two reputed Engineering colleges to propose solutions to rectify the menace. This situation emphasizes the need for meticulous oversight and risk analysis in civic projects, making the Gokhale Bridge a symbol of both ambition and caution. The case study is intended for Graduate, Postgraduate students in Project management and operations. It is also beneficial for Executive education programs intended government officials, civil servants and project managers.

Undergraduate, Postgraduate, Executive education.

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CSS 9: Operations and Logistics.

The case study aims to achieve the following learning objectives, structured according to the Revised Bloom’s Taxonomy: First, explore the corporate governance framework: recall the roles and responsibilities of key stakeholders at UCICI Bank and AUDIOCON Group and their coordination in governance structures; interpret the principles of stakeholder theory and their application in governance decision-making processes; apply ethical frameworks like the Markkula Center for Applied Ethics Framework and the Josephson Institute Ethical Decision-Making Model to evaluate governance effectiveness; analyse governance lapses and identify gaps in oversight and stakeholder coordination; and propose reforms in governance frameworks to prevent future fraud; evaluate how effectively the governance structure addresses corporate fraud. Second, examine the concept of conflict of interest: understand the ethical and legal implications of conflicts of interest presented in the case; apply knowledge to assess corporate governance failures related to conflict of interest; analyse oversight lapses and identify causes for governance failure; evaluate SEBI regulations on conflict of interest and recommend strategies to mitigate such conflicts in corporate settings; explore the concept of related party transactions (RPTs); understand how RPTs influence governance and stakeholder interests; apply governance principles to assess the legality of RPTs in the case; analyse risks and ethical concerns associated with RPTs and governance failures linked to these transactions; and evaluate proposed regulatory reforms to enhance oversight and transparency. Third, derive key lessons from the case: understand areas for improvement in corporate governance practices, internal reporting mechanisms and whistleblower protections; apply lessons to create strategies for improving governance practices and protecting stakeholders; analyse systemic governance flaws that contributed to the fraud; evaluate the effectiveness of governance practices in preventing similar frauds in the future; and create recommendations for improving governance, ethics and whistleblower policies. Fourth, examine basic issues and remedial measures: understand the root causes of governance failures in the case; apply knowledge of corporate governance principles to recommend reforms in regulatory and accountability frameworks; analyse weaknesses in the existing governance system that enabled fraudulent activities; evaluate the feasibility of proposed remedial measures for transparency and ethical practices; and create new governance policies to enhance accountability and prevent future frauds.

By studying the UCICI AUDIOCON Loan Fraud Case, the above objectives are aimed to shed light on the complex dynamics of corporate governance, conflicts of interest, regulatory compliance, wrongdoing reporting mechanism, whistle-blower policy and reputation risks within the banking industry. The findings and insights from the case study can contribute to improving governance practices and strengthening the integrity of financial institutions.

The UCICI – AUDIOCON loan fraud case epitomises a crisis in corporate governance, spotlighting ethical breaches at the highest echelons of leadership. This case study delves into the dilemma faced by UCICI Bank’s Board of Directors regarding the prosecution of its former CEO, Mhanda Mochhar. Accusations of impropriety stem from a suspicious loan of US$391.57m to AUDIOCON Group, allegedly facilitated by Mochhar in exchange for personal benefits. The ensuing investigation unearthed violations of banking regulations, including non-disclosure, conflict of interest and RPTs. The pivotal board meeting, dissected in this study, underscores the delicate balance between accountability and reputational damage. Through analysis and debate, stakeholders grapple with the repercussions of their decisions on the bank’s integrity and stakeholder trust. The case encapsulates broader lessons on corporate governance, conflict of interest and regulatory oversight, serving as a springboard for critical inquiry and strategic reform in the financial sector. As the saga unfolds in the courtroom, this study provides a lens into the complexities of corporate morality and the imperative for robust governance frameworks.

This case study can be used in classes/subjects such as Finance, Strategic Management, Corporate Governance, Business Ethics and Law for (Vidgen, Hindle, & Randolph, 2020).▪ Graduate students and officials.

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CSS1: Accounting and Finance.

The case was an application of a market demand and supply mechanism and its impact on the product’s price and focus on the following objectives:▪ Analyze the vegetable market in India and the challenges faced by the farmers (tomatoes) using demand and supply concepts.▪ Examine the impact of price elasticity on the revenue of the farmers.▪ Assess the challenges faced by the government in controlling prices of vegetables and food inflation.▪ Evaluate diversification strategies in agriculture to mitigate risk.

The market for tomatoes was highly cyclical because of erratic rainfall, and farmers went through a difficult time, especially when the prices fell below the cost of production. They moved out for crops that had stable prices. They expected government support for price stability. Government and policymakers considered price fluctuations a short-term phenomenon that required limited interventions when prices were high. This case was about Dilip, a farmer who was into farming tomatoes on a large scale in Karnataka, India. He was facing a dilemma as to whether he had to continue or move to other crops because of the low price of tomatoes in May 2023 or to diversify into some small but related business. He was worried at the same time, curious to understand the volatility in the prices of tomatoes, government responses, risks and returns associated with the cultivation of this crop and Agri-supply chain. Based on his understanding, he should make decisions to continue or diversify into some other farming or related business.

This case was written for microeconomics and managerial economics of undergraduate and postgraduate students. This case demonstrates the application of the demand and supply mechanism for a perishable product such as tomatoes. Price fluctuations are common in these markets because of various uncontrollable factors such as rain, pests and natural calamities. The case could show the relationship between the firm’s elasticities and revenue. This case also highlights the policy constraints in controlling the prices in the short run. This case could also be used for understanding macroeconomic concepts such as food inflation and its impact on general price inflation. The students or target audience with a background in the functioning of the markets could very well relate to the concepts discussed.

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CSS: Entrepreneurship (3); Management Science (7).

This case study enables participants to:▪ To understand the fintech landscape in India and assess how market dynamics can impact Paytm’s valuation.▪ To evaluate the drivers affecting the value of Paytm and arrive at Paytm’s valuation.▪ To critically appraise the investment decision made.

Rajani Chandran, a seasoned financial analyst, relooks her recommendation of Paytm in light of the recent revocation of its Payment Bank License. Paytm, the flagship service of One97 Communications Ltd., a financial technology company, is a pioneer in the Indian digital payments and financial services market. However, the developments post going public in 2021 were not always favorable. The frequent fallout with Reserve Bank of India brought restrictions on onboarding new customers and ultimately the revocation of the license. This drastic move is of huge concern to those who have invested in the company. Thus, given this backdrop, Rajani initially explored the dynamic landscape of the Indian digital payments and fintech industry, considering macroeconomic factors, competition and regulatory dynamics. She delved into Paytm’s financial performance to gauge its position in the market. The next phase of the careful scrutiny involved arriving at the equity value of the venture using the discounted cash flow model. Finally, Rajani critically appraised the drivers of valuation, incorporating both quantitative and the story she has crafted around Paytm. Consequently, participants in this case study are prompted to evaluate Paytm and arrive at a valuation and furnish a comprehensive recommendation based on their analyses, thus understanding the intricacies of evaluating a fintech company with immense potential. This case study serves as a valuable resource for students seeking to comprehend the complexities of financial analysis and valuation within the context of a dynamic and evolving industry landscape.

The case is best suited for a course on Financial Statement Analysis while discussing how the financial statements of new-age tech companies can be analyzed and Business Valuation while introducing DCF valuation. The case serves as a comprehensive example of the multifaceted challenges and considerations that a buy-side analyst should have while valuing a company and pitching an investment within the fintech industry. Designed for second-year MBA students, the case assumes familiarity with financial reporting and strategic management concepts such as Political, Economic, Social, Technological, Legal and Environmental (PESTLE) and strength, weakness, opportunity and threat (SWOT) analyses and Business Canvas Model.

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CSS 1: Accounting and Finance.

This case study aims to familiarize the participants with the functioning of the herbal tea industry in an emerging economy like India; understand core concepts, key terminologies and the business relevance of different types of business forecasting; and execute time series forecasting models using MS Excel and interpreting the results.

This case study unveils an important operational concern faced by Deepshika Das, the production manager at Sri Sai Tea Trading Company located at Cuttack in Odisha, India, about future sales projections. The company was gaining popularity for a unique herbal tea called “Chaa Lemon Tea.” However, the company had been experiencing frequent overstocking and understocking due to inappropriate qualitative forecasting. This case study underscores the importance of the concepts associated with quantitative forecasting. It demonstrates the analysis of time series data, building forecasting models and their interpretations using MS Excel.

This case study can be used as a systematic learning tool for postgraduate business school students and master’s level industrial engineering students. This case study can be discussed in courses such as operations and supply chain management, business statistics and quantitative decision-making.

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CSS 9: Operations and Logistics.