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An iconic American brand must determine how to maximize net profit by increasing the sales of its highest-margin items in the face of constant retailer pushback including reduced shelf space and promotional support of those same products. This case is suitable for required MBA marketing courses as well as pricing and brand management electives at both the undergraduate and MBA levels. The analytics of the case assume that students can calculate both dollar and percentage margins.

A family business founded by Chinese immigrants grew into a $133 million toy and costume maker by exploiting seasonal niche segments in the highly competitive, global toy industry. Sales of traditional toys stagnated when replaced by game consoles and electronic toys. Unable to compete in high tech toys, MegaToys moved instead toward seasonal products. In 2007, brothers Peter and Charlie Woo were about to pitch what they hoped would be $63 million in Easter basket sales to Wal-Mart. If Wal-Mart took the full order, it would come to represent over half of MegaToys' revenue.

The company was faced with the dilemma of how to grow, and at what pace. Charlie Woo knew that MegaToys could continue to grow as long as it was able to satisfy Wal-Mart's demands. Peter Woo wondered if this was the smartest way to grow the business. “Growth is a good thing as long as you don't sell your shirt to get it,” he noted. Should MegaToys continue to increase its sales to Wal-Mart, or would dependence on Wal-Mart eventually threaten the firm's success? Were there other, untapped opportunities for MegaToys that were well aligned with its strengths, resources, and capabilities?

This case study is intended for an MBA level audience; however, it can be used for upper-level college students as well.

This case's main subject areas include the following: organizational strategy, NGO strategic management, strategy and management during pandemic and women entrepreneurs or women-led business.

This case is about the organizational strategy of the Veronica Robles Cultural Center, an NGO, during the COVID-19 pandemic. The central challenge of this case study is about decision-making for a sustainable future, given limited resources, and thus a great urgency to plan conservatively. The central protagonist of the case is Veronica Robles herself. Veronica is an entrepreneur in both her personal career as a performing and teaching artist as well as the founder and creator of many programs to help spread culture and unite communities, including the Veronica Robles Cultural Center.

Students will learn about entrepreneurial strategy, NGO creation and management, strategy to create social value and organizational management during time of pandemic or widespread crisis.

This case is focused on creating social value through the analysis of a woman-founded and managed NGO. While managing the NGO's strategy through the COVID-19 pandemic of 2020, operations must proceed with the utmost level of sustainability. With a focus on the well-being of the community, Veronica Robles Cultural Center (VROCC) needs to find a way to remain relevant in the short term while building out a sustainable organizational structure to succeed in the long term.

CSS 11: Strategy

Teaching Notes are available for educators only.