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The subject areas are entrepreneurship, start-up ventures and business strategy.

The case is appropriate for undergraduate and graduate MBA.

Shikhar Veer Singh (Singh), a post graduate in Medical Biotechnology, quit a cushy corporate job to start his own food venture WoknStove Foodworks Pvt. Ltd. (WSFL) in October 2015. WSFL sold the ubiquitous popular Indian snack food “Samosas” under the brand name of “Samosa Singh”. “Samosa” – a deep fried triangular in shape with conical edges crispy wrap with variety fillings of potatoes/vegetables – was part of unorganized sector and sold by small shops and road-side hawkers. Singh spotted an opportunity to “brand” the “Samosas” that as well was gaining momentum in the international convenience food markets. The company set up a central kitchen near Electronic city, Bangalore, and started experimenting with different fillings. In February 2016, WSFL opened its first quick service restaurant (QSR) in Electronic city, Bangalore. It was an instant hit with consumers of all age groups. Gradually, the company started supplying bulk orders to various other customer segments such as corporate customers, schools and movie theatres/event stalls, that resulted in revenue growth. By January 2017, his monthly annual revenues amounted to INR […] Singh had ambitious plans to expand his business from a single QSR to 15 QSRs across the city by 2018. However, to cater to the increasing demands and support his expansion plans, he was yet to find out the most suitable back-end processes. He had adopted few standard operating procedures (SOPs) for quality operations and implemented 30 per cent of automation for backend processes at his central kitchen. Singh was aware of the automated machinery available in international markets that had conveyor belt arrangements where one could place the flour dough and filling consecutively to get the end product in a shape, unlike the shape of the Indian “Samosas”. The triangular shape with conical edges of the Indian “Samosas” was of utmost importance for the Indian consumers, as the shape associated them with the favourite snack, the “Samosas”. Singh preferred the method of manual filling to maintain the shape and decided to focus on increasing the shelf life of the “Samosas” instead. He felt that an increased shelf life would better equip him to cater the increased market and seasonal demands. However, the question was that whether this was a feasible option to support his ambitious expansion plans (with only 30 per cent automation)? Was Singh’s thinking right with respect to the business operation? More importantly, whether WSFL venture would be able to make an attractive business proposition for investments from any future institutional/angel investor? Singh’s mood turned reflective as he pondered on the above questions.

The case is structured to discuss the structure of Indian QSR market and factors contributing to its growth, evaluate WSFL’s ability to leverage the Indian QSR market potential, its strengths and shortcomings, to highlight the steps of consumer decision making process in terms of selection of a QSR and discuss WSFL’s business model and its future sustainability.

Teaching Notes are available for educators only. Please contact your library to gain login details or email support@emeraldinsight.com to request teaching notes.

CSS 3: Entrepreneurship

Strategy.

MBA.

On 20 May 2016, the Management team at Patanjali Ayurved Limited (PAL), an Indian fast-moving consumer goods (FMCG) company, had assembled in their Haridwar office, India, to discuss their future growth plans. The team was in a celebratory mood, as their internal reports suggested the annual revenue forecasts for the year 2016-2017 to be INR 10bn, an increase of 100 per cent as compared to the previous fiscal year 2015-2016 that recorded annual revenues of INR 5bn. PAL incorporated in 2006 and co-founded by Acharya Balkrishna operated in four business segments of foods, personal care, home care and Ayurved products. The products sold under the brand name Patanjali were single-handedly promoted by Swami Ramdev (hereafter referred as Ramdev), a popular Yoga practitioner and preacher amongst the Indian masses, as well as PAL’s co-founder. Ramdev recommended PAL’s products in his yoga sessions on television and yoga shibirs which had led to huge positive “word-of-mouth” publicity for their brand Patanjali. Their fast-paced growth in less than a decade had generated a disruption in the Indian FMCG sector, resulting in a negative impact on the sales of established multinational corporations (MNCs) such as Colgate-Palmolive, Hindustan Unilever Limited (HUL), ITC Limited (ITC), besides the domestic players such as Dabur India Ltd. and Emami Ltd. This had led their FMCG competitors to launch plans to strengthen their product portfolios so as to provide a tough competition to PAL. The management team at PAL, though confident of achieving their annual revenue targets, were apprehensive of this new competition from the big players of the FMCG sector. Were they capable of continuing their success story? Going forward what strategic steps would ensure them a sustainable growth and a market leader position? The mood turned reflective as the team pondered on some of these questions.

The case is structured to enable discussion on: conducting and understanding a general environment analysis and industry and competitive analysis and critically evaluating the firm’s strategic positioning and scope in a competitive environment.

Teaching Notes are available for educators only. Please contact your library to gain login details or email support@emeraldinsight.com to request teaching notes.

CSS 11: Strategy.

This case examines the April 2007 decision of British music company EMI to suspend its annual dividend as the company struggled to respond to the effect of digital audio distribution on its core business. The EMI case is intended to serve as an engaging introduction to corporate financial policy and themes in managing the right side of the balance sheet. The case contrasts EMI's storied success with artists such as the Beatles, the Beach Boys, Pink Floyd, and Norah Jones with its recent inability to succeed in financial markets. In light of takeover threats and restructuring costs, EMI's CFO Martin Stewart must recommend EMI's dividend policy.

In 1999 TiVo was preparing to launch its digital video recorder (DVR) in the United States. The company's goal was ambitious: it hoped to revolutionize how Americans watched television and to become a central player in the emerging interactive TV industry.

Although it had a technological advantage, TiVo faced one competitor (ReplayTV) and potential entrants such as Microsoft, so its success was far from guaranteed. Evidence suggested a bright future for the company, however; the concept had attracted $240 million in venture capital, and market research indicated a uniquely high level of consumer interest.

TiVo needed to capture the first-mover advantage and build its sales and brand as quickly as possible to support the company's IPO, which was planned to take place within eighteen to twenty-four months. TiVo's positioning at launch would play a key role in determining its success.

After analyzing and discussing the case, students should be able to:

• Use analogies appropriately to forecast demand

• Use various marketing research techniques to make appropriate inferences about the challenges to consumer adoption of an innovative product

• Develop multiple frames of reference and discuss the merits of each

• Develop multiple points of difference and discuss the merits of each

• Develop multiple positioning statements and discuss the merits of each

Use analogies appropriately to forecast demand

Use various marketing research techniques to make appropriate inferences about the challenges to consumer adoption of an innovative product

Develop multiple frames of reference and discuss the merits of each

Develop multiple points of difference and discuss the merits of each

Develop multiple positioning statements and discuss the merits of each

The ABB (A) case describes the situation leading up to a decision that has to be made concerning closing a manufacturing subsidiary of ABB and moving its operations to Thailand. The Plant/subsidiary manager is placed in a conflict position regarding this decision due to the matrix form of management structure employed by the parent ABB. His direct line manager in charge of the global product line wants the move to take place. He has the support of his supervisor, who sits on the Executive Committee of the parent company. The ABB Country Manager for Denmark wants the plant to stay where it is. The subsidiary manager also reports to him, as part of the matrix structure. The subsidiary manager has recently been promoted to his new position, with the support of the Country Manager. The previous subsidiary manager had been promoted to head up a larger, Danish subsidiary of ABB. The previous year, the Country Manager and the previous subsidiary manager had managed to over rule the same request, in no small part, due to their connections within ABB as well as within Denmark. The new subsidiary manager needs to make a recommendation as to what should be done. The ABB Transformers (A) case can be used separately, or in conjunction with the (B) case.

The (B) case follows up on the (A) case. The decision was made to leave the plant in Denmark. It was revisited one year later, and the subsidiary manager is in even more of a quandary. The former Country Manager has been promoted to the Executive Committee of ABB. At a meeting of the new Country manager (not previously from within ABB), the Product Manager, his supervisor from the Executive Committee, the former Country Manager, and the subsidiary manager, the discussion is primarily between the new Country Manager and the Product Supervising Executive Committee Member, who has also been given added responsibility for all of Asia and the Pacific region. The former Country Manager, now responsible for European operations, remains quiet during the discussions. He later notes that this is a relatively small decision in the context of European operations. The subsidiary manager still needs to make a decision, but is now unsure of what has happened during the past year to allow this issue to be raised for the third time. The (B) case can be used to demonstrate how politics, promotions, and transfers can radically alter the environment within the context of a strategic decision. The focus is now on organization culture and power, and on the problems of operating within a matrix structure. The (B) case should be used in combination with the (A) case.

The first across-the-table negotiation between Google and China concluded successfully in 2006, when Google received a license to establish a local domain (google.cn) targeted at Chinese Internet users and not subject to the “Great Firewall.” During these negotiations both Google and the Chinese government struggled to reach an outcome that would be acceptable to their constituents. Google was caught between pleasing its shareholders and preserving its reputation for free access to information, while China was balancing the desire for cutting-edge search technology and the concern that liberal access to information would undermine its political-economic model. In the end, the negotiation resulted in Google operating two domains in China: Google.com and Google.cn. In early 2010, Google announced that its corporate infrastructure had been the target of a series of China-based cyber attacks and accused the Chinese government of attempting to further limit free speech on the web. These incidents led to a public conflict and private negotiations between Google and the Chinese government, which culminated in July 2010 when the Chinese government renewed the google.cn license knowing that Google was redirecting all Chinese customers search to its google.hk.com site This case concerns the changes in Google and the Chinese government's environment that led to Google withdrawing services from google.cn and the Chinese government saving face by renewing the google.cn license. The case is based on the publicly reported events surrounding two series of negotiations between the U.S. technology giant Google and the Chinese Government regarding Google's license in China.