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Entrepreneurship, Business Strategy, Leadership, Marketing and Decision-making in business.

This case is suitable for graduate-level programmes in business management as well as executive education programmes.

Stuart Gold, CEO of Trashy Bags is at a crossroads with respect to the future of his business. With deficits estimated at about GHS 120,000 annually, Gold is considering switching from the made-to-stock production model to a made-to-order model. Although the latter may tap into an available market and thus boost revenue, it would likely result in the displacement of the social enterprise’s loyal following and disenfranchisement of its employees’ creativity; not to mention the possibility of neglecting its mandate of repurposing plastic waste. Gold wonders if there is a case for maintaining the current made-to-stock model by driving up sales and reducing costs to eliminate the deficit.

Students should be able to: appreciate the exigencies of managing social enterprises in a largely profit-oriented economic domain; understand the interplay of choice and trade-offs in business management and apply theory-driven frameworks in making optimal choices and analytically assess instances of tension between the art (e.g. passion, emotional stakes, psychological and other influences on business management philosophies) and science (e.g. the need for business skills, use of effective models and the quest for production efficiency) of business management.

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CSS 3: Entrepreneurship.

The case discusses the operational, strategic, and financial turnaround at Solo Cup, a manufacturer of disposable dining wares. Solo Cup’s troubles were compounded by the acquisition of a larger rival, Sweetheart Company, which had its own problems and presented issues of merger integration that management could not solve. David Garfield, a managing director at turnaround consulting firm Alix Partners, must first recognize Solo Cup’s core competencies in order to determine the appropriate change in strategic course, strip out the assets that no longer support the operations necessary for that strategy, and monetize them in order to rationalize its balance sheet. This case teaches that a three-pronged approach will invariably produce greater results than any one-dimensional turnaround.

Students will learn turnaround techniques necessary to restructure a company operationally, strategically, and financially, and will learn how Alix Partners' relentless focus on “letting data rule” allowed the firm to revive a faltering company.