Case studies

After working through the case and assignment questions, students will be able to recognize essential considerations for the initial public offerings (IPO) decision, compare different types of fundraising options for startups, evaluate the free pricing regime for IPO pricing, examine the pricing process of IPOs, explore the issue of valuation of IPOs and assess the decision choices of the founder regarding IPO given the trade-offs and market conditions.

The case study explores the dilemma of Ghazal Alagh, the co-founder and chief innovation officer of Mamaearth, a direct-to-consumer babycare and skincare unicorn, regarding its IPO decision. Mamaearth had filed the draft offer document with SEBI in December 2022, and Ghazal was busy engaging with the investment bankers for the upcoming IPO. However, the weak market sentiments and shelving of IPO plans by many startups were forcing her to think about facing the possibility of postponing the IPO or continuing the IPO process but at lower valuations. The case study provides an opportunity to explore a startup’s financing choices. It allows for discussion of various IPO challenges from the perspectives of founders, venture investors, regulators, investment bankers and new IPO investors.

This case study is best suited for senior undergraduate- and graduate-level business school students in courses focusing on entrepreneurship, corporate finance, financial management, strategic management and investment banking.

CSS1: Accounting and finance.

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After completion of the case study, the students will be able to understand ABC analysis and develop a systematic approach using PDCA, analyze processes, technology, employee training and supplier relationships when analyzing shrink and developing solutions, evaluate how technology improves production inventory control and visibility and recognize the importance of fostering a culture of employee accountability and ownership to minimize inventory loss and improve overall operational efficiency.

On June 2, 2023, sitting in his office in Karachi, Pakistan, Khan Aamir, the manager of store and inventory at Euro Manufacturing, found himself immersed in a cloud of confusion. The incessant loss of inventory items, particularly the nut bolts and small accessories, had become a perplexing challenge. To address these losses and provide a cycle count report to the director of supply chain, Aamir, manager of store and inventory, was given the responsibility to take action. He was looking for a comprehensive approach to address the current problems and prevent further losses in the future. This case study examines the various reasons for the losses, including theft, inadequate inventory control methods, human error and problems with suppliers. It highlights the importance of established procedures, the use of technology (such as barcode scanning, radio-frequency identification tagging and inventory management software) and the cultivation of a culture of accountability among employees.

This case study is developed for class discussion in the course of operations management or supply chain management. This case study is suitable for use with undergrad students. This case study can be taught in a module on operations management or supply chain management, as part of a broader course in business management or industrial engineering.

Teaching notes are available for educators only.

CSS: 9: Operations and logistics.

This case study is designed to enable students to understand the reasons behind the launch of a beauty brand grounded on traditions and culture, understand the strategies adopted by Florasis to establish its presence in the C-beauty space and emerge successful, analyze the positioning of a C-beauty brand in a highly competitive beauty market, identify the issues and challenges faced by a C-beauty brand in its efforts to disrupt the C-beauty space and suggest strategies that Florasis can adopt to emerge as a market leader in the global beauty industry.

Set in 2021, the case study discusses about the emerging C-beauty brand Florasis innovative strategies to promote the brand. Florasis was founded in 2017 with a vision to become a century old national makeup brand of China. Florasis was successful in getting on board a story-telling experience that featured traditional Chinese culture, aesthetics and heritage. It sold cosmetic products with retro packaging, concepts derived from traditional Chinese style, promoting a sense of national pride and nostalgia. The case study highlights the innovative strategies Florasis adopted like influencer marketing through key opinion leaders and key opinion customers, celebrity endorsements, user co-creation programs, social content and network marketing, brand crossovers and collaborations, etc. In April 2021, Florasis became the No. 1 cosmetic company in China with a gross merchandise value of 218m yuan and further the total sales for second quarter of 2021 reached 830m yuan, endorsing its supremacy over other global and local beauty brands in China. However, with success came along a set of challenges. Some analysts pointed that the brand was slow in innovating its product line-up, it focused more on promotions and advertisements and the brand positioning with a single sales channel, the cost performance and quality of the products and excessive marketing campaigns targeting a niche segment. Going forward, what should Florasis do to conquer the global beauty space? Can Florasis aspire to become a digitally empowered global beauty brand? Has it got the momentum? Will its direct-to-consumer model and unprecedented marketing and promotion gimmicks, help it achieve the lead in the global beauty space?

This case study is suitable for students of the graduate and undergraduate programs in management.

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CSS 8: Marketing.

This case study is designed to enable students to understand the demand for flexible containment products in India, understand the need for a joint venture (JV) with an international company, assess Agastya Inventions Private Limited’s (AIPL) cost and benefits of acceptance of the JV offer, evaluate the growth possibilities in the Indian biogas sector, and conduct the valuation of AIPL for its better positioning during the JV deal.

The case study is about the dilemma faced by Prantik Sinha, co-founder and director of Indian company AIPL, to accept or decline a JV offer from a French industrial conglomerate Serge Ferrari Group SA (SFG). AIPL is a leading manufacturer and trader of biogas storage tanks, water storage tanks, airlifting bags, floating boom barriers, trash floating boom barriers and inflatable swimming pools. The company adopts business-to-business and direct-to-customer business models. It develops products as per clients’ specifications and their exact requirements. In 2022, SFG proposed collaborating with AIPL to market its biogas digesters in India and abroad. As per the partnership deal, AIPL needed to split its biogas digester portfolio and sell it to the proposed JV for a specific one-time value. Sinha believed that the JV was an opportunity to scale the business globally and would likely shape the company’s future. However, he was in a quandary about making a final decision on accepting the JV offer because biogas digesters remained the company’s highest revenue-generating product portfolio. It was against this backdrop, what would Sinha do to accomplish his business objective and protect the interest of the company? The case study highlights Sinha’s commitment to nurture and expand AIPL’s business in India and beyond. It provides ample scope for students to analyze the pros and cons of AIPL’s JV initiative with SFG and suggest whether the company can leverage this offer for business growth.

This case study is meant for MBA-level students as part of their strategic management and financial management curriculum.

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CSS 1: Accounting and finance

After completion of the case study, the students will be able to appraise the importance of different methods of location planning in warehouse selection, analyze the load distance values for warehouse location and choose the optimum location based on the load distance analysis.

DB Builders, a prominent Indian construction company, faced a crucial decision in selecting an ideal storage warehouse for a project involving 100 flats spread across five locations. Mr Vijay Kumar, an experienced material handling expert, was entrusted with this task as part of transitioning the company’s material allocation system toward centralization. Using practical travel distances, Kumar meticulously scouted four potential warehouse locations. The selection process hinged on three primary factors: load, distance to apartment sites, safety and cost of the premises, each carrying specific weightage. The project planning department provided scores for safety and cost, helping evaluate the options. This unique challenge arises due to varying material requirements across the apartment locations, demanding an efficient warehouse planning. The selection of the optimal storage warehouse holds paramount importance in facilitating the smooth execution of these larger projects. Kumar’s expertise and strategic decision-making are pivotal in ensuring a seamless transition toward centralized material handling, which is essential for the company’s future success.

This teaching activity is aimed at introductory/basic courses in Bachelors and Masters of Business administration.

Teaching notes are available for educators only.

CSS 9: Operations and Logistics.

At the end of this case study discussion, the learners should be able to identify the five-step consumer decision-making process, comprehend the role of consumer involvement and decision rules in determining the consumer choice sets, identify branding elements and cues critical to building a brand proposition, recognize the difference between point-of-parity and point-of-differentiation when building a brand proposition, develop comprehensive segment profiles in terms of their demographics, psychographics, usage and consumer–brand relationships and examine the merit of a psychographic versus benefit-based brand positioning and implication of the brand positioning on the firm’s branding and business strategy.

Country Delight, co-founded by Nitin Kaushal and Chakradhar Gade, tackled dairy industry challenges by embracing a direct-to-home consumer model, emphasizing consumer insights and maintaining stringent quality standards. In 2022, the company embraced “Live Better” as its brand mantra, advocating for healthier lifestyles. The next leg of the brand’s journey thus mandates crafting a distinct, user-specific brand promise that affiliates with the business strategy. The central dilemma revolves around identifying the consumer segment/s for a sustained relationship. While recognizing consumer pain points, the challenge emerges in aligning the brand proposition with the diverse interpretations of “Live Better” among consumers. The quest for the right brand persona prompts crucial questions about uniting distinct segments and devising a coherent communication strategy. Can Country Delight formulate a universally resonant brand promise that harmonizes across all consumer groups? Will the risk of diverse interpretations lead to fragmenting Country Delight’s brand narrative?

This teaching activity is aimed at Masters of Business Administration-level courses in marketing management, consumer behavior and brand management.

Teaching notes are available for educators only.

CCS8: Marketing.

The case study will provide an opportunity for students to identify the challenges a business-to-business (B2B) organization in a commodity product category faces in a growing environment. The students will learn to analyze and evaluate different strategies for growth and profitability. The students will be equipped to make decisions based on financial and nonfinancial data and the trade-offs therein. The case study will enable students to understand the application of the concept of operating leverage in different business conditions.

The leadership team at Mangalam Organics Limited (MOL) was worried about the company’s future in December 2021. The chief strategy officer (CSO), Akshay Dujodwala; the chairman, Kamal Dujodwala and the managing director, Pankaj Dujodwala had watched MOL go through many ups and downs. MOL manufactured camphor powder and supplied it to tableters [1], who would convert it into tablets, essentially used for Puja [2] purposes in India. Camphor was a white, waxy terpenoid with a strong aroma. It was mainly a commodity business with no pricing power when MOL supplied it in bulk to tableters. They had ventured into the business-to-customer (B2C) [3] space with their consumer brand “Mangalam” camphor tablets, positioned for religious uses in homes. However, this formed a very small percentage of their turnover. With thin margins and a low growth rate, it was difficult for MOL to sustain and grow, especially in the B2B [4] business. To make matters worse, their manufacturing unit caught fire in 2015, causing a major blow to their business. Under the leadership of their CSO, Akshay, they implemented strategies that helped the company bring down costs and wastage. Akshay helped MOL diversify further into the B2C market through their brands, “CamPure” for home care products and “Cam+” for health-care products. Huge expenditures on marketing and advertising were incurred to promote these brands. The COVID-19 pandemic watched the world go through a terrible phase with lockdown and rising health issues (both physical and mental). Camphor found an interesting place in immunity and religious purposes due to its aromatherapy properties and evoking feelings of relaxation. The newfound use helped MOL achieve an unexpectedly higher turnover. But Akshay knew that camphor, by itself, was fickle in providing profitability. To sustain growth post-COVID-19, MOL would urgently need to look for growth options. After giving it a lot of thought, he was faced with three options – he could either focus on CamPure as a B2C option, or concentrate completely on camphor powder and aroma as an existing B2B option or take the third option to go in for a first of its kind exclusive stores for all types of puja items called Pooja Sangam. While all these options had their own pros and cons, he had to now decide which was the best financially viable option for MOL as a way forward.

The case study is designed at the postgraduate level in an Master of Business Administration and executive education programs. Given the nature of the issues in the case study, it can be included in courses such as business strategy and strategic marketing.

Teaching notes are available for educators only.

CSS 8: Marketing.

After completion of the case study, the participants will be able to understand the significance of quality as a pivotal domain within project management and to analyze the issues related to quality and offer logical solutions.

In this case, the Bharat Bijlee Construction Limited (BBCL) group, with a proven track record of over five decades in the transmission and distribution business in India, decided to venture into international projects, considering the prevailing stagnant domestic power sector. They secured contracts worth $85m from the “Shariket Karhaba Koudiet Eddraouch Spa,” a state-owned company responsible for power generation, transmission and distribution in Algeria. However, during the execution phase of these projects, BBCL encountered significant challenges related to product and service quality. These challenges arose due to the tight schedule constraints and cost considerations, as well as a lack of understanding of the dynamics involved in executing international projects, especially in the demanding conditions of the sub-Saharan desert. This case study addresses the complex issue of ensuring and maintaining high-quality standards in large-scale substation projects situated in the challenging environment of the sub-Saharan desert, highlighting the importance of effective project management and international project execution expertise. The case study is from quality management knowledge area and focuses on identification of root cause of quality noncompliance and for better decision-making in projects.

The teaching case is designed for undergraduate and postgraduate courses in project management, civil engineering and architecture domain. The participants will be able to understand the application of various quality tools, statistical process tools and control charts in problem identification, categorization, root cause identification and decision-making.

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CSS2: Built environment

This case study allows students to appreciate the value of standard operating procedures in customer management. This case study emphasises the role of employees in delivering superior customer experience. This case study explores many facets of customer experience, reputation, social class membership and standard operating procedures (SOPs). Students will be able to apply theories of customer experience, behavioural psychology and service dimensions relevant to the airline industry. After completing this case study, students will be able to do the following:1. Evaluate the value of SOPs in Customer ManagementThis case study refers to the need for adhering to SOPs to deal with complex situations. Students will be able to evaluate whether compliance to SOPs could have helped Air India avoid the crisis or was it possible that a culture of absolute commitment to customer wellbeing could have prevented the crisis.2. Apply the theory of defensive attribution in customer grievance handling. Discuss if reducing customer effort in getting their problem solved can result in superior customer service.The victim had attributed the blame for not insisting on filing a complaint to the crew. Air India crew had defended their actions or lack of it by stating that they had followed the rule book. Students will be able to appreciate the need for a swift redressal mechanism to protect the self-image and self-esteem of the person/group involved. They will also understand that customer service interactions designed to solve customer problems swiftly and easily can be a very simple dictum to guide all employees in their decision-making while handling a customer complaint.

3. Evaluate the relationship between customer satisfaction and customer experience and examine the value of net promoter score (NPS) to study customer satisfaction.

Air India Airlines was catering to varied customer groups such as the Indian diaspora, large student population pursuing education abroad, first-time flyers and the rising middle class with travel aspirations. Customer expectations vary across segments and change over their lifetime. Airline staff must trace customer corridors and deliver on customer expectation across the touch points that matter to them to ensure meaningful and relevant service delivery. Students will have an opportunity to evaluate the NPS in measuring customer satisfaction and debate whether it is a sufficient metric to guide the organisation on delivering and monitoring customer experience.

4. Examine why reputation risk management and not crisis management should be the focus of Air India in delivering superior customer service because nearly 70%–80% of market value for a company comes from its intangible assets such as brand equity and reputation.

Students will discuss crisis management i.e. handling the threat to reputation after it has occurred and reputation risk management i.e. proactively managing potential threats to its reputation by taking timely actions to avoid or mitigate it. There are three factors (reputation reality gap, changing beliefs and expectation and weak internal coordination) that determine reputational risks. Students can evaluate this model to determine if Air India should address these three factors to manage its reputation proactively.

This case study is set around an incident that happened on 26 November 2022, on Air India flight bound for Delhi from New York when an inebriated 34-year-old man had peed on a 72-year-old woman. The perpetrator of the crime had walked free, and the victim was left dissatisfied with how the cabin crew had handled her ordeal. Air India Airlines was launched in 1932 by industrialist JRD Tata and nationalised in 1953. In 2021, Tata Group acquired the 90-year-old Air India from the Government of India for $2.4bn (INR 18,000 crore) and appointed Campbell Wilson as chief executive officer and managing director. The incident brought to the fore the customer management issues that Wilson had to address. First on the list of Air India’s turnaround plan was delivering “exceptional customer experience”. How was it going to achieve it because the Indian aviation ecosystem lacked infrastructure such as airports, airspace, competition and customer preference-based services? There was also shortage of pilots, engineers, technicians, air-traffic controllers and technocrats to occupy positions within security agencies and regulatory bodies. With Air India’s acquisition, the Tata Group had to find innovative solutions to deal with decades of internal neglect, non-performance and labour union problems. This case study is relevant to address real issues of customer experience, consumer psychology, reputation risk management and standard operating procedures in service management.

This case is suitable for both undergraduate and postgraduate level students of business management. It can also be used for training service personnel of aviation industry.

Teaching notes are available for educators only.

CSS 8: Marketing