E. opportunities and threats. Answer Key: C Question 2 of 10 10.0/ 10.0 Points Fernando had taken on a turn-around assignment for his business unit. It was in a high-growth market, but not doing well compared to competitors. He knew it would require a lot of resources and a lot of attention. Then he found out that his company had hired consultants to conduct a BCG portfolio analysis.
Investors investing in an IPO are aware that it takes time to see a solid return/profit when a company is expanding into new ventures and that risks are involved. Most importantly, investors know that a risk has to be taken for continued growth and for the health of the company. CanGo needs to offer an IPO so that they have the funding to expand and grow. Issue 4 Hidden costs The team at CanGo hasn’t even considered what the hidden costs to the business might be if they branch out into the new projects they are currently exploring. They are not adding additional staff, equipment, or software so spreading the resources out could cause the quality of the existing products to suffer.
The first step of this change process is to identify and communicate a need with urgency for the organization. The urgency in this case is there are potential revenues which are not collected by XYZ, Inc. because they have do not have a presence in the international market. The threat of the competition, such as Chanel, Gucci, Louis Vuitton and MontBlanc all in the same industry, is high
The threat of new entrants into this industry is extremely high due to the low amount of capital needed to enter into the industry as compared to others. It allows companies such as Apple and Amazon, whose existing focus was not on the movie rental industry, to utilize their existing customer base and generate profits without a large initial investment. Due to the high number of competitors as well as the different forms of delivery, such as instant online delivery and mail delivery, there is a high amount of substitute providers for this service. The bargaining power of the movie-rental industry against suppliers is increasing especially in recent years. The reason for the increased control is that DVD sales are declining on the average, meaning that the main form of delivery that consumers are taking advantage of is online-streaming.
FJR has discussed the research with management and highly recommends that they do not open any new locations until further research has been done in other areas. It is very expensive and time consuming opening new locations and Kudler does not have the financial means to do so just yet. What Kudler Fine Foods needs to focus their attention on is other competitor in the market. They can offer coupons or special promotions towards maybe the first of the month which will attract consumers into purchasing more products because most consumers get paid at that time. Kudler will also advertise to the Asian community by having advertisements in their language.
“Franchising emerged as a business model that would allow Mad Science to expand without requiring substantial investment”. (P.563 Case B-4 The Mad Science Group) For example, one of the greatest challenges for a new company expanding its market in a new country is considered a lack of understanding of the local culture. However, franchising provides a good way to reduce this shortcoming because it uses the already established experience of the franchisors – usually are local people. in different countries, local culture is always considered as a big problem for the company because. However, franchise will be a good way to reduce those cultural risks, because franchisors are always local people.
The main issue in this case is whether or not Boys and Boden should run a cell manufacturing system for staircase production, to increase their profitability and productivity. (Slack etal; 2007) General Problem Statement "Boys and Boden is looking for ways to increase the company's profitability, productivity, and competitiveness in the market." Increasing profitability and productivity is the main objective of any manufacturing organization. Unfortunately, Boys and Boden is experiencing difficulties in attaining both profitability and productivity for itself. But despite this dire situation, the company is looking for ways to improve its production system because it still believes that their Joinery business still has some unexplored opportunities.
The case discusses how Schindler, a manufacturer of elevator and escalators, made its decision to establish a fully owned subsidiary in India under the leadership of Mr. Silvio Napoli, a young Harvard graduate. The case brings forth the hardships faced by Mr. Napoli in setting up operations in a country which was culturally almost a contrast to the home country Switzerland. Being an expatriate in India, Mr. Napoli had to first understand the cultural implications and also acquaint himself with the culture of the country. His problems arose due to India’s protectionist tariff policies and pricing and cost considerations. The difficulties accelerated when his staff doubted his ability to get things done his way.
That is no longer possible if a company hopes to succeed. Now we must be global, and our competitors are the old ones we have always known, but also new ones, who are just getting started” (Wooland, 1996, p. 6). Globalization magnifies the value of a business considerably. “But greater value is not a given. “This is because the trend towards globalization can often be a source of confusion or uncertainty,” argues Drobis (1998, p. 34).
In order to remain competitive in the elevator industry Alfred Schindler, Chairman of Schindler Holdings, Ltd decided to start a company in India and appointed Silvio Napoli as the manager to head Schindler India. This report provides an analysis of Schindler India’s entry, outsourcing, and logistical strategies and why these strategies may not have been feasible for this company. It will also discuss whether the selection of Silvio Napoli to head Schindler India was the right decision, how should he be evaluated, and should he receive training from the Vice President. Finally, it will address the influences of cultural context and how it affects business decisions and any best practices that can be gleaned from previous class cases. The entry strategy developed by Napoli was created to enter the market quickly and be more cost effective, it concentrated on designing two standard elevator models, the Schindler 001 (S001) and the Schindler 300P (S300P) with no way of customizing these models.