Search results
1 – 10 of 13Mohammad Rishad Faridi and Mubeen Ahmad
By reading and understanding this case study, students are expected to: 1.Able to understand and review the impact of unethical practices from accounting perspective; 2.Able to…
Abstract
Learning Outcomes
By reading and understanding this case study, students are expected to: 1.Able to understand and review the impact of unethical practices from accounting perspective; 2.Able to make an analysis of how one unethical act triggers a series of forced unethical acts (ripple effect); 3.Identify the unfair practices as well as be proactive in preventing unfair practices in the business day to day affairs; 4.Able to relate the function of various ratios (current ratio, quick ration, debt to asset ratio, debt to equity ratio etc.) and its impact on the business performance; and 5.Able to apply various lean quality tools, doing the root cause analysis in identifying and solving problems.
Case Overview/Synopsis
T.M. Exports (TME) was an India-based privately owned and operated enterprise. The company had a brilliant employee named Sanjay, who was a 12-year veteran. TME’s Business Intelligence (BI) department at TME head office, Kanpur, India, ostensibly learned on April 8, 2019, from the rumors about a brand-new vehicle dished out to Sanjay by his friend who made fortune worth of millions from certain transactions. To add fuel to the fire, another incident surfaced concerning a warehouse keeper, Mohit, who was also involved in embezzlement in one of the sales offices. On May 16, 2019, BI reported these two incidents to the internal auditor who launched an internal investigation to get to root of this case. Consequently, the company owner, Tariq Mahmood got himself caught up in a dilemma to fire both Sanjay and Mohit only or restructure the organization for better transparency and integrative approach in future. Moreover, the newly appointed Chief Executive Officer had the dilemma of keeping high safety stock to maximize service level or keeping conservative safety stock and rely on-spot market-buying if demand spiked. He decided and instructed all the warehouses to keep higher inventories to meet the forecasted demand, considering unexpected spikes in demand witnessed historically. Thus, increase in inventory caused panic in the sales department as demand was sluggish. He, therefore, offered high discounted prices to liquidate the stock. This study integrated the theories of accounting/financial ratio metrics, accounts reconciliation, business ethics and lean tools. It was demonstrated in this case that the irregularities in sales accounting and their inability of reconciliation had a serious impact on business performance. The concept of total reward was also invoked to understand the disruptive and unscrupulous practices.
Complexity Academic Level
This case has been particularly focused on undergraduate and postgraduate early-stage-level students pursuing business or commerce program, particularly those specializing in accounting (sales accounting) and human resource management courses.
Supplementary materials
Teaching notes are available for educators only.
Subject Code
CSS 1: Accounting and Finance.
Details
Keywords
George (Yiorgos) Allayannis, Paul Tudor Jones and Jenny Craddock
This case invites students to assess the impact that Brexit, the withdrawal of the United Kingdom from the European Union, might have on a New York–based hedge fund's portfolio…
Abstract
This case invites students to assess the impact that Brexit, the withdrawal of the United Kingdom from the European Union, might have on a New York–based hedge fund's portfolio and, specifically, its UK assets. The case is designed to prompt students to make market assumptions and investment hypotheses based on a combination of numerical data and qualitative information. It requires no numerical computations; instead, it asks the student to interpret both markets' short-term reactions to the Brexit vote and strategy shifts from UK and European business leaders in order to evaluate longer-term implications for the economies of the United Kingdom, Europe, and the world.
Details
Keywords
David P. Stowell and Nicholas Kawar
During December 2012, Jorge Paulo Lemann, a co-founder and partner at 3G, proposed to Warren Buffett that 3G and Berkshire Hathaway acquire H. J. Heinz Company. Lemann and…
Abstract
During December 2012, Jorge Paulo Lemann, a co-founder and partner at 3G, proposed to Warren Buffett that 3G and Berkshire Hathaway acquire H. J. Heinz Company. Lemann and Buffett, who had known each other for years, jointly decided that the Heinz turnaround had been successful and that there was significant potential for continued global growth. 3G informed Heinz CEO William Johnson that it and Berkshire Hathaway were interested in jointly acquiring his company. Johnson then presented the investors' offer of $70.00 per share of outstanding common stock to the Heinz board.
After much discussion, the Heinz board and its advisors informed 3G that without better financial terms they would not continue to discuss the possibility of an acquisition. Two days later, 3G and Berkshire Hathaway returned with a revised proposal of $72.50 per share, for a total transaction value of $28 billion (including Heinz's outstanding debt).
Following a forty-day “go-shop” period, Heinz, 3G, and Berkshire Hathaway agreed to sign the deal. But was this, in fact, a fair deal? And what might be the future consequences for shareholders, management, employees, and citizens of Pittsburgh, the location of the company's headquarters? Last, what was the role of activist investors in bringing Heinz to this deal stage?
After reading and analyzing the case, students will be able to:
Understand the influence of investment bankers on M&A transactions
Consider synergies that drive M&A
Consider the role of activist investors in corporate strategic decision-making
Understand the impact of M&A on key corporate stakeholders
Apply core valuation techniques to support M&A valuation
Understand the influence of investment bankers on M&A transactions
Consider synergies that drive M&A
Consider the role of activist investors in corporate strategic decision-making
Understand the impact of M&A on key corporate stakeholders
Apply core valuation techniques to support M&A valuation
Details
Keywords
Benjamin Jones and Daniel Campbell
Winner of the 2014 EFMD competition for best African Business case.In the 1990s, two entrepreneurs made daring, early entries into mobile telecommunications in Sub-Saharan Africa…
Abstract
Winner of the 2014 EFMD competition for best African Business case.
In the 1990s, two entrepreneurs made daring, early entries into mobile telecommunications in Sub-Saharan Africa, both seeing great market opportunities there. One firm, Adesemi, would ultimately go bankrupt. The other firm, Celtel, would ultimately succeed and make its founder, Mo Ibrahim, a star of the global business community. Why the difference in outcome? Emerging markets often present weak rule of law, bringing many challenges to business success—from the demand for bribes to regulatory obstacles, hold-up problems, and even civil war. This case explores strategies that can limit these critical non-market risks in foreign direct investment and entrepreneurship. Students will step into the shoes of both companies by exploring their entry strategies, wrestling with the challenges they faced, and diagnosing the reasons why a shared insight about a new business opportunity turned out to be prescient—and led to extremely different endpoints.
Identify key challenges to successful entrepreneurship in emerging markets
Evaluate government officials or competitors that might trigger regulatory obstacles or hold-up problems
Evaluate potential allies that can help avoid these problems
Assess strategies to avoid paying bribes
Understand the importance of incentive alignment in directing investment success, even in the face of difficult challenges
Identify and appraise the strategic value of partnerships with development agencie
Identify key challenges to successful entrepreneurship in emerging markets
Evaluate government officials or competitors that might trigger regulatory obstacles or hold-up problems
Evaluate potential allies that can help avoid these problems
Assess strategies to avoid paying bribes
Understand the importance of incentive alignment in directing investment success, even in the face of difficult challenges
Identify and appraise the strategic value of partnerships with development agencie
Details
Keywords
Julie Hennessy, Rebecca Frazzano and Evan Meagher
The case examines a competitive situation in the market for Scotch whisky in Thailand. Two multinationals fight for market share with a complex portfolio of products under the…
Abstract
The case examines a competitive situation in the market for Scotch whisky in Thailand. Two multinationals fight for market share with a complex portfolio of products under the Chivas Regal, Johnnie Walker, and Ballantine brand names. Students must understand a broad array of branding, consumer behavior, pricing, and regulatory issues in order to arrive at recommendations for Chivas Regal to defend against recent gains of Johnnie Walker. The case can be taught with a focus on the Chivas Regal 12 Year product and recommendations for its growth, but also can be taught as a broader portfolio case, with students aligning a portfolio of Chivas and Ballantine products at different quality levels to maximize sales and profit.
Students will understand how category behavior changes in the context of a different culture. Students will gain insight into how consumers balance price/value and image in purchasing choices
Aaron Fernstrom, Mary Margaret Frank, Samuel A. Lewis, Pedro Matos and John G. Macfarlane
The case examines the development and launch of an exchange-traded fund (ETF) based on JUST Capital's socially responsible corporate ranking methodologies. The case provides a…
Abstract
The case examines the development and launch of an exchange-traded fund (ETF) based on JUST Capital's socially responsible corporate ranking methodologies. The case provides a market overview of Environment, Social, and Corporate Governance (ESG) and socially responsible investing (SRI), what has driven growth in those areas worldwide, and several best-practice investment approaches. Following the overview, the case describes the founding and development of JUST Capital, explores JUST Capital's ranking methodologies, and presents the decision point faced by the CEO: requisite selection of one of three strategies in order for JUST Capital to generate “self-sustaining” revenue.
Details
Keywords
Andrea Santiago and Fernando Roxas
This case is the story of Gonzalo Co, the eldest of five siblings, who claimed to be the founder of Gonzalo Laboratories. According to his version of the story, he invited his…
Abstract
Synopsis
This case is the story of Gonzalo Co, the eldest of five siblings, who claimed to be the founder of Gonzalo Laboratories. According to his version of the story, he invited his siblings to work in the business that he established. As fate would have it, he was eased out of the business. His contributions to the company were wiped out when he acceded to change the form of ownership from single proprietorship into a corporation. In a situation of “he said”, “they said”, the well-publicized conflict leaves the public to wonder how the family will resolve their disagreements even if both parties insist that their respective stories are true.
Research methodology
The researchers relied on secondary data to write the narrative of Gonzalo Co. For the history of Green Cross, the authors used as reference the personally published book of Gonzalo. Then, the authors picked out relevant excerpts from the separate newspaper publications of Gonzalo and his siblings. The authors requested an audience with Mr Arsenio Alianan of the Philippine Kho Association, but he refused to be interviewed. The authors did not interview Gonzalo Co and any of his relatives.
Relevant courses and levels
Family business management class at the undergraduate or graduate level.
Details
Keywords
Robert F. Bruner and Katarina Paddack
In February 1994, the senior management team at Continental Cablevision received the final joint-venture agreement from Fintelco, a potential partner in Argentina. The tasks for…
Abstract
In February 1994, the senior management team at Continental Cablevision received the final joint-venture agreement from Fintelco, a potential partner in Argentina. The tasks for the student are to review the terms of the agreement, the outlook for the Argentine economy, and the corporate cultures at both companies to decide whether Continental should sign the agreement.
Details
Keywords
Albert Wöcke, Morris Mthombeni and Alvaro Cuervo-Cazurro
The case can be used in strategic management, international business or ethics courses. In strategic management courses, students will be able to identify political relationships…
Abstract
Learning outcomes
The case can be used in strategic management, international business or ethics courses. In strategic management courses, students will be able to identify political relationships as sources of a firm’s competitive advantage. Students will also understand the role of ethics in the firm’s competitive advantage. In international business courses, the students will be able to analyze the role that corruption and bribery play in the analysis of a country’s institutions. Students will also understand how corruption in a host country influences a firms’ decision to internationalize. Finally, students will understand the challenges that firms face when serving customers in other countries. In ethics courses, students will understand the nature of state/business corruption, i.e. the abuse of public office for private gain and the concept of state capture, i.e. managers controlling the political system for their advantage. Students will be able to analyze the decision of whether to collaborate with unethical partners or customers.
Case overview/synopsis
Bell Pottinger Private (BPP) was a British public relations (PR) firm with a successful but questionable reputation of helping famous critical figures and despots improve their public image. In 2016, Lord Tim Bell and the other leaders of BPP were asked to create a PR campaign for the Gupta family. The Guptas were a group of businessmen headed by three brothers who migrated from India to South Africa in the early 1990s. By the 2010s, they had built a business empire allegedly thanks to a corrupt relationship with the President of South Africa, Jacob Zuma and his family. The press and prosecutors were increasing their investigations on these relations. The case has two parts, which address two separate challenges and can be taught as standalone cases or in a sequence in two sessions.
Complexity academic level
MBA and Executive Education.
Supplementary materials
Teaching notes are available for educators only.
Subject code
CSS 5: International business.
Details
Keywords
Alexander W. Ng, Lasse Mertins and Charles L. Martin
Winstar Communications was a successful and fast growing telecommunication company in the 1990s and early 2000s. However, in the early 2000s, the company started to struggle…
Abstract
Synopsis
Winstar Communications was a successful and fast growing telecommunication company in the 1990s and early 2000s. However, in the early 2000s, the company started to struggle financially. In 2000, Grant Thornton audited Winstar, issuing an unqualified opinion. After Winstar went into bankruptcy in 2002, investors started to question the quality of the audit. This teaching case is based on the Gould v. Grant Thornton case that was tried in the United States Court of Appeals in 2011/2012. It provides accounting students with an opportunity to learn about auditing procedures and the consequences when auditing procedures are not correctly followed.
Research methodology
Teaching case study.
Relevant courses and levels
This case study is suitable for introductory undergraduate auditing, advanced undergraduate auditing and master level auditing courses.
Details