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Case study
Publication date: 20 January 2017

Anne T. Coughlan and Benjamin Neuwirth

This case looks at a new start-up company, d.light Design, as it was seeking to go to market in India with its solar-powered LED lamps in 2009. Sam Goldman, founder and chief…

Abstract

This case looks at a new start-up company, d.light Design, as it was seeking to go to market in India with its solar-powered LED lamps in 2009. Sam Goldman, founder and chief customer officer of d.light, was in New Delhi, India; his business-school friend and co-founder Ned Tozun was in China, the site of the company's manufacturing plant.

One of the key decisions Goldman and Tozun needed to make was whether d.light should focus on just one distribution channel in India, or multiple channels. The startup had limited capital, so it needed to get the distribution question right to generate revenue quickly.

The case thus combines an entrepreneurial problem with an emerging-market, or bottom-of-the-pyramid, channel design challenge. This case does not focus on product design or manufacturing challenges but rather on questions of:

  • The constraints d.light faced in creating an aligned distribution channel. These constraints can have legal, environmental, and/or managerial foundations

  • Demand-side misalignments in the channel structure that will occur if d.light chooses one or another of the considered channels in the case, namely, (a) the RE (rural entrepreneur) channel, (b) the village retailer channel, or (c) the centralized shops channel

  • • What mix of channels—or what single channel—d.light should focus on in the Indian market

  • • The financial return possible based on d.light's current cost structure and overhead expenditures in India

The constraints d.light faced in creating an aligned distribution channel. These constraints can have legal, environmental, and/or managerial foundations

Demand-side misalignments in the channel structure that will occur if d.light chooses one or another of the considered channels in the case, namely, (a) the RE (rural entrepreneur) channel, (b) the village retailer channel, or (c) the centralized shops channel

• What mix of channels—or what single channel—d.light should focus on in the Indian market

• The financial return possible based on d.light's current cost structure and overhead expenditures in India

  • Assess channel benefit demand intensities for chosen target market segments

  • Assess channel alignment constraints that can limit the channel designer's ability to optimize the channel to meet identified end-user demands for channel benefits

  • Use these ideas to defend a choice of one or more possible channel structures as appropriate parts of a company's overall channel system

  • Analyze financial opportunity in this situation, given cost parameters and possible market penetration estimates

Assess channel benefit demand intensities for chosen target market segments

Assess channel alignment constraints that can limit the channel designer's ability to optimize the channel to meet identified end-user demands for channel benefits

Use these ideas to defend a choice of one or more possible channel structures as appropriate parts of a company's overall channel system

Analyze financial opportunity in this situation, given cost parameters and possible market penetration estimates

Case study
Publication date: 20 January 2017

Alice M. Tybout and Kyle Ragsdale

Supplements the (A) case.

Abstract

Supplements the (A) case.

Details

Kellogg School of Management Cases, vol. no.
Type: Case Study
ISSN: 2474-6568
Published by: Kellogg School of Management

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Case study
Publication date: 20 January 2017

Alice M. Tybout and Kyle Ragsdale

ThoughtWorks, a medium-size IT systems integrator, was growing quickly but identified "lack of clear positioning around which to build a brand" as the biggest impediment to…

Abstract

ThoughtWorks, a medium-size IT systems integrator, was growing quickly but identified "lack of clear positioning around which to build a brand" as the biggest impediment to continued growth. The company had identified features that it believed differentiated it from its competitors and was considering alternative segments to target. Asks readers to choose a target and develop a positioning statement for that target as well as identify the assumptions underlying the recommended positioning strategy and suggest how market research could help establish the validity of those assumptions.

Details

Kellogg School of Management Cases, vol. no.
Type: Case Study
ISSN: 2474-6568
Published by: Kellogg School of Management

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