Sambhavi Lakshminarayanan, Simon Best and Evelyn Maggio
There is little published information available in the area of youth programs and social entrepreneurship in underrepresented communities. However, there are many idealistic…
Abstract
Theoretical basis
There is little published information available in the area of youth programs and social entrepreneurship in underrepresented communities. However, there are many idealistic entrepreneurs in the community; the case describes the experience of one such individual. Case analysis and the Instructor’s Manual are based on standard theories and techniques in organizational environmental and strategy analysis, as well as information and approaches regarding nonprofit functioning.
Research methodology
This case was prepared from primary sources, based on interviews with the founder. The name of the organization was disguised but the location and the founder’s name were not.
Case overview/synopsis
Growing up in a rough neighborhood, Darnell found refuge in an after-school program, which he credited for several positive values. As an adult, he felt a strong desire to give back to the community he had grown up, and still lived in. Thus, was launched MoveAhead, a fitness-based after-school program similar to the one he had participated in. However, as was common for many social entrepreneurs, Darnell struggled to overcome severe lack of capital and to deal with operational issues. Now, MoveAhead had reached a critical and existentially important point, when a strategic decision had to be made.
Complexity academic level
This is a decision case. It discusses the difficulties faced by a social entrepreneur who had a strong drive and conviction but little capital. The case describes a strategic turning point for one such organization. It can be used in business and management courses at the undergraduate level. It would also be relevant to a course on (social) entrepreneurship. The level and analysis required of students and discussion questions used can be adjusted depending on whether the course is introductory or more advanced, such as strategy.
Details
Keywords
Sambhavi Lakshminarayanan and Savita Hanspal
Cupcakes by Lizbeth (CBL) was a “gourmet” cupcake‐focussed retail store chain founded by a married couple. Eight years after opening, CBL used the relatively uncommon process of a…
Abstract
Synopsis
Cupcakes by Lizbeth (CBL) was a “gourmet” cupcake‐focussed retail store chain founded by a married couple. Eight years after opening, CBL used the relatively uncommon process of a “reverse merger” to become publicly traded. At that time, it had seemed as if CBL was on track to be the largest among cupcake focused businesses. However, financial setbacks as reported by the company and change in top management gave reason for pause and closer examination. Did the CBL business model have staying power or did there need to be a serious reconsideration of the company's strategic choices?
Research methodology
This case was prepared from secondary sources.
Relevant courses and levels
This case is appropriate for courses in strategy and management at the undergraduate level.
Theoretical basis
Competitive positioning, competitor analysis, operations strategy, SWOT analysis, planning business strategy, business expansion (franchising vs company owned).