1. MKT 450 Strategic Management Mishari Alnahedh

2. Analyzing Case Studies

3. Remember
Do not let the case study lead your thinking. Your starting point are the theories, tools and frameworks we cover in this class.
USE CASE GUIDELINES

4. Read the case carefully.
First Step
Read the case carefully.
Read the case study two or three times (more, for a long or complex case) in an undirected manner. - do not think about the questions asked or the method of analysis. Just familiarize yourself with the case.
During the final reading, make notes regarding salient issues.

5. ALWAYS Address all case questions. They are your guide
Now read and study the assigned question(s). Record
information from the case that appears pertinent to its
analysis. - Do not, however, attempt to answer the questions yet.

6. ALWAYS use the tools and frameworks from class notes and textbook
Case Questions
ALWAYS use the tools and frameworks from class notes and textbook
Decide which principles, theories, or models, if any, can be
applied to the observed data in order to generate answers to
the questions. - The key is to match the theories, etc. to the case information and the assignment. The temptation that must be avoided is to generate solutions based mainly upon intuition, and then try to force-fit some handy theoretical rationale to the preconceived answers.

7. ALWAYS use the tools and frameworks from class notes and textbook
Case Questions
ALWAYS use the tools and frameworks from class notes and textbook
Apply the selected general principles, theories, or models
and determine what solutions are suggested by this
application. Select the ones that appear to best deal with the
assigned questions. - The major strength of any case report does not reside chiefly in the specific
solutions offered, as these are always arguable. Rather, it is the reasons for the solutions that will either support or ultimately undermine the student’s efforts. The reason will reflect correct - - or incorrect -- applications of management science and refined judgment.

8. Starbucks’ Case: What is Starbucks’ Strategy ?
Example
Starbucks’ Case: What is Starbucks’ Strategy ?
Do not make up your own. Go to Lecture 1 notes

9. Two Elements of Strategy
INDUSTRY
ATTRACTIVENESS
RATE OF PROFIT ABOVE THE COMPETITIVE LEVEL
Which businesses should we be in?
CORPORATE STRATEGY
How do we make money?
COMPETITIVE ADVANTAGE
How should we compete?
BUSINESS STRATEGY
© 2013 Robert M. Grant

10. Example
Starbucks’ Case: Evaluate the internal coherence of Starbucks’ Strategy
You should not struggle. Go TO LECTURE NOTES OR TEXTBOOK

11. A Good Strategy is “Coherent.”
Strategic Coherence
The First Rule of Strategy :
A Good Strategy is “Coherent.”
Functional pieces of strategy support the whole
Oper.
Strategy
Finance
Acctg.
H.R.
Mktg.

12. Southwest Airlines American Airlines
Strategic Coherence
The Logic of How The Business Fits Together:
Southwest Airlines
American Airlines
Low Price
Short Routes
Premium Priced
Short, Long, & Int’l
Variety
- No Frills
- Point-to-Point
- One Aircraft (Boeing 737)
- High # of Aircraft per Route
- No Meals
- Flexible/ Lower Staffing
- Hub & Spoke
- Multiple Aircraft
- Low # of Aircraft per Route
- Meals & Services
- Higher Staffing

13. Source: Michael E. Porter “What is Strategy
Source: Michael E. Porter “What is Strategy?” Harvard Business Review, Nov-Dec. 1996

14. Avoid Superficial Recommendations
These may arise due to an inadequate analysis and/or the use of
too little case information; the failure to establish comprehensive, rather than vague criteria; or some other way in which the case report was not pushed far enough in important directions.
Strive to be specific and to include as much detail as possible relevant to the major issues, analyses of those issues, and solutions.

15. Make Specific Recommendations
Just as the organizational decision-maker must ultimately reach
some conclusion, so the preparer of a case report must avoid
“waffling” or sitting on the fence when a specific recommendation is requested.

16. Not understanding and accepting the facts of the case
Common Errors
Not understanding and accepting the facts of the case
Not explaining exactly what the problems are and why they have occurred
Making unwarranted assumptions to try to simplify the case
Sticking to generalities, such as “they must try to improve communication”
Not using theories and frameworks currently being studied in the course
Seeking ways out of the situation (such as “fire them all”) rather than trying to solve the problems

17. Recommendations
References