Archive for December, 2010

The following post on global strategy is by Thunderbird students Alick Gordon, Arvind Deshmukh, Deviki Gupta, Sam Hung and Chul Won Baek

Like many young men his age, Rohan was a bit nervous about his first date with Neha. They had been friends for many years, but this was the first time they had been out on their own together. After ordering their food, the waitress responded with the ubiquitous question, “Would you like fries with that?” “Yes please,” responded Rohan before paying and carrying his and Neha’s trays of food back to their table.

Unlike in the United States, where most young adults would never think of going on a date to McDonald’s, in India it is a widely accepted and welcomed destination. McDonald’s India has carved a niche for itself in an increasingly competitive Indian fast food market by adapting itself in ways uncommon for the company in other parts of the globe. Read the full article in Thunderbird Student Projects, a blog on the Thunderbird Knowledge Network.

The following post on global strategy is by Thunderbird students Gael Marchal, Hardy Drackett, Kali Poza, Robert Bigot, Venkat Srinivasan and Veronica Borrowdale

“We must protect this house” is Under Armour’s rally cry. Since its inception in 1996, Under Armour has been seen as an improbable success story in an extremely developed and competitive industry. It effectively created the performance apparel market, a blue ocean within the sports apparel industry. However, in broadening its brand the company has failed to protect the market it created. Under Armour recently has made several strategic missteps compromising its unique position. Its failure to make difficult trade-offs and CEO Kevin Plank’s inability to articulate a clear strategic focus will ultimately dilute the Under Armour brand and hurt the bottom line. Read the full article in Thunderbird Student Projects, a blog on the Thunderbird Knowledge Network.

The following post on global strategy is by Thunderbird students Dawn Swearingin, Rohan Verma, Jameson Neuhoff, Travis Wattles, Priyanka Jain and Wei Zheng

One of the few positive outcomes of the current financial crisis is the emergence of taxpayers as informed stakeholders in the activities of government. The U.S government, mindful of this development, is conceivably more cautious when allocating funds to its different departments. One exception is the Department of Defense, which has consistently seen on average a rise of 5 percent in its budget allocation throughout the last decade, whereas most other departments have faced major reductions. Perhaps the increased allocation is justified on the basis of national security. But glaring inefficiencies might also exist in the Department of Defense that drive up project costs and timelines. Read the full article in Thunderbird Student Projects, a blog on the Thunderbird Knowledge Network.

The following post on global strategy is by Thunderbird students Ajay Viswanathan, Jaseem Pookandy, Luca Rassenti, Pragya Uprety, Tsu-Yu Hsia and Vivek Mehta

Shenzhen: Li is driving a group of passengers in his shiny new BYD E6 to the Bao’an International airport. Heavy traffic has depleted his E6 of all the charge and, to his dismay, he cannot find a single charging station in the 10-mile stretch to the airport. Li soon realizes he will face this problem each day, his business being severely impacted by the lack of infrastructure in his city. He has paid a steep price for an electric vehicle (EV) but now regrets the investment.

San Francisco: Micheal, a Silicon Valley entrepreneur is evaluating options for his new “green car” purchase. At the top on his list is the Prius, but he also is contemplating waiting a little longer for new entrants from Nissan and the new Chinese auto giant, BYD. He is slightly skeptical due to the negative perception in the United States about Chinese automobile manufacturing and BYD’s problems and chooses the Prius hybrid, which works out just fine for the long weekend trips with his girlfriend.

These scenarios sum up the problems for BYD and the electric vehicle (EV) industry at large. While it seems as though the technology is promising, China is not ready for it. China’s income levels and infrastructure cannot yet support the paradigm shift to EVs at this point in time.  While the west is much more ready for the shift to EVs, it seems as though BYD is not prepared for the quality and safety demands Western markets will impose.  The negative perception of “Made in China” will not be changed overnight. Read the full article in Thunderbird Student Projects, a blog on the Thunderbird Knowledge Network.

The following post on global strategy is by Thunderbird students Saurabh Aphale, John Briscoe, Ankit Dwivedi, Megan Groves and Tosha Sorenson

Just south of San Francisco sits DreamWorks Animation, a business environment more akin to a Tuscan village than a traditional animation studio. At the time of its founding, current CEO Jeffrey Katzenberg and co-founders Geffen and Spielberg might not have foreseen the fierce level of competition in the animation film industry. Rivals’ strategic alliances, technology, diversification and company cultures have contributed to huge box office returns. To compete in this intense environment, DWA has developed a core set of capabilities that include pioneering technology, creativity incubation and an exceptional company culture that foster growth and innovation. Leaping 41 spots to No. 6 on Fortune 100’s Best Employers to Work For survey has further catapulted DWA into the spotlight. Read the full article in Thunderbird Student Projects, a blog on the Thunderbird Knowledge Network.

The following post on global strategy is by Thunderbird students Jeremy Snyder, Sara Dallaire, Patty Vukanovich, Matt Gottesman, Travis Goulding and Brad Hunter

With the holiday retail season currently upon us, we recently did some research about a well-known jewelry retailer, Tiffany & Co.  When the average consumer hits the streets to look for gifts of jewels or new adornments for themselves, there are a wide variety of choices in the market.  From low to high end, each dealer has its own story, and will offer the shopper a unique experience tailored to what the dealer’s particular pitch entails.  In the case of Tiffany & Co., we received a healthy back-story about the company’s concerns of being a sustainable retailer.  The company’s goals ranged from sourcing gems and precious metals from conflict-free areas, to the use of recycled paper from responsible sources in the paper industry.  Our goal was to go a little deeper and investigate how far Tiffany & Co. was willing to press its concerns, or if the organization’s veil of corporate social responsibility was really a case of public relations spin to appeal to the mass market and make consumers feel good enough to make a purchase. Read the full article in Thunderbird Student Projects, a blog on the Thunderbird Knowledge Network.

The following post on global strategy is by Thunderbird students Benjawan Thanachotipan, Jesse Randall, Peter Graham, Sriram Sridharan, Timothy Webb and Tyler McElhaney

Research in Motion, known for its private data security and e-mail addicts, may be on the verge of disappearing. Drawing this conclusion may seem strange in light of its recent stock price increases, its 27 percent market share, and the pending release of its iPad competitor, the Playbook. However, RIM’s demise isn’t apparent on the surface. Its misaligned long-term strategy is what will ultimately bring RIM to its knees. Technology and innovation in the smart phone industry have developed at an extremely fast pace. This has caused consumers to upgrade their devices on an annual basis if not sooner. As these devices increasingly become an extension of the life of today’s consumers, supplying innovative, advanced devices is more important than ever. This shifting consumer preference towards iPhone and Android devices (even in the business user segment) is causing RIM to lose market share at an exponential rate. Read the full article in Thunderbird Student Projects, a blog on the Thunderbird Knowledge Network.

The following post on global strategy is by Thunderbird students Helen Akanisi, Sam Brien, Fikre Gurja, Christian Lorentzen and Jonathan Norberg

In 2006 a popular documentary asked, “Who killed the electric car?”  A few years from now when documentaries are asking, “Who brought the electric car back to life?” one of the names tossed around might very well be Southern California’s Sempra Energy.  Sempra, a Fortune 500 company and parent to the major electric and natural gas utilities in San Diego and Southern Orange County and a major utilities player throughout the Southwest, has strategically positioned itself in recent months to potentially be a leader in the rolling out of the “smart grid” and electric vehicle (EV) charging station infrastructure which are key to giving new life to a technological dream pronounced dead only a few years ago.  Whether or not Sempra is remembered as a savior of the electric car or just another failed attempt in that direction will depend on whether they are able to overcome the technical and financial hurdles that have made the electric car an elusive goal. Read the full article in Thunderbird Student Projects, a blog on the Thunderbird Knowledge Network.

The following post on global strategy is by Thunderbird students Abhilash Mishra, Meha Gupta, Mrinal Das, Navjyot Ukarde, Sandeep Das and Vinod Jayavelu

“At the highest level, what I have initially found is a company with many great strengths and a history of achievements that are second to none in the industry. And yet our company faces a remarkably disruptive time in the industry, with recent results demonstrating that we must re-assess our role in and our approach to this industry.” These words by Stephen Elop, the newly appointed CEO of Nokia, sent out a message loud and clear that Nokia needs a facelift for its business strategy to prevent its dwindling market share. In reality, Nokia needs much more than a new CEO. The company needs a complete renovation of its business model that addresses Nokia’s failure to react to dynamic market trends. Read the full article in Thunderbird Student Projects, a blog on the Thunderbird Knowledge Network.

The following post on global strategy is by Thunderbird students Jones Dias, Abhinav Kant, Vamsi Kothapalli, Kristal Nicholson, Filippo Sclafani and Pankaj Tamrakar

As recently as four years ago, almost no one would have been aware of what the word Redbox meant. Today, Americans have become devoted customers of this rising star of the impulse DVD rental industry. But will the fun and ease of Redbox’s unique impulse proposition last through the next decade? Do advances in technology, with an ever-changing array of readily available options, such as downloads or streaming, mean that the days of the Redbox are numbered? The discussion seems to vary as to which strategy Redbox needs to take in order to continue to thrive in the rental business. Coinstar (Redbox’ parent) CEO Paul Davis, expressing his ideas in a recent conference call, considers streaming a “significant opportunity” while maintaining that he foresees a “long, profitable life ahead” for Redbox’s movie-machine kiosk business. Read the full article in Thunderbird Student Projects, a blog on the Thunderbird Knowledge Network.