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2. ITC’s E-Choupal: A Mirage of the American studios declared in May 2007 Immelt charted his own leadership style
Poor? that it had obtained the rights for and brought about a cultural revolution in
developing a theme park based on the GE. Expectations were high and the
E-Choupal is a novel initiative of ITC extremely successful character of the challenges were many. Immelt had to face
Limited (ITC), an Indian conglomerate, popular culture Harry Potter in US, UK several challenges. He had to provide
to improve its marketing channel in and all over the world. Walt Disney parks leadership and lend vision to a large, diverse
agriculture. It has its roots in Project and resorts have also tried to get the rights conglomerate like GE in the post 9/11
Symphony – a pilot project launched in for Harry Potter theme park but failed to volatile global business scenario. He also
1999 to organise ITC’s agri business. The strike a deal with the creator of the Harry had to shift the company’s focus towards
business model was designed to Potter character, J.K. Rowling. Universal innovation and customer centricity in
accommodate farmers, intermediaries in and Disney have been competing in the addition to posting continued growth in a
the traditional model and the company entertainment industry for many years, and sluggish economy. The case study discusses
through information technology. The main Walt Disney had been a leader in theme Immelt’s innovation and customer centric
objective of e-Choupal is dissemination and parks. Though a tough competitor to approach and the impact it would have on
disintermediation of price information. E- Disney in large theme parks segment; the company.
Choupal deals with various products – feed emulating Disney’s strategies, Universal
ingredients, food grains, edible nuts, was facing decline in the number of Pedagogical Objectives
processed fruits and marine products. It attendants to its theme parks since 2004.
has extended the basket to horticulture and With the announcement of a Harry Potter • To discuss the role of innovation in GE
spices. As of 2007, e-Choupal operates in theme park planned to be ready by 2009, • To discuss the different leadership style
the Indian states of Madhya Pradesh, industry experts anticipated Universal to and its impact at GE.
Haryana, Uttaranchal, Karnataka, Andhra gain a momentum over Disney. It remains
Pradesh, Uttar Pradesh, Maharashtra, to be seen how Universal would leverage Industry Automobile Industry
Kerala and Rajasthan. By 2012, ITC has on the successful brand of Harry Potter to Reference No. INM0106B
planned to expand the project to 15 states beat Disney in the theme park segment. Year of Pub. 2008
in India reaching 100,000 villages. ITC Teaching Note Available
has launched Choupal Sagar, a multi- Pedagogical Objectives Struc.Assign. Available
purpose retail outlet in the rural areas with
plans to open 700 such rural malls by 2012. • To understand the strategies of Walt Keywords
ITC-IBD has initiated a new store format Disney company Leadership style; situational leadership;
Choupal Fresh Cash & Carry Stores for Innovative strategies; Jack Welch; cultural
• To analyse how Disney used
retailing fresh fruits and vegetables across revolution; organic growth; challenges;
merchandising and cross-promotion to
major Indian cities. ITC has piloted a share price; six sigma; Innovation
achieve success in theme parks
project with a three-part combo module Management Case Study; GE Global; work
to manage the entire value chain. It is • To discuss the competition between out plan; sluggish economic market;
harnessing the technology platform for Universal and Disney innovation
improvement. The biggest test for ITC is
the aggressive scaling up of its operations • To analyse the huge success of the “Harry
to successfully reach its vision. Potter” phenomenon
Fox Business Network (FBN) –
• To discuss the challenges lying ahead for
Pedagogical Objectives Universal that takes on the “Harry Talking Business to the Common
Potter” brand further Man?
• To understand the structure of the e-
Choupal network • To debate the potential strategies to be In 2007, News Corporation owned by the
used by Universal as against Disney’s. media mogul, Rupert Murdoch launched an
• To discuss the benefits derived out of exclusive channel, Fox Business Network
the e-Choupal network Industry Theme Parks (FBN). The new channel was different from
Reference No. INM0107B CNBC which had a strong foothold in the
• To discuss the future of the e-Choupal
Year of Pub. 2008 business news market. FBN differentiated
in terms of scalability.
Teaching Note Available itself by offering business news to the
Industry Rural e-Business Struc.Assign. Available common man and kept away from the elite
Reference No. INM0108C and the serious audience served by CNBC.
Keywords
Year of Pub. 2008 By choosing a different audience, was FBN
Teaching Note Available US Theme Parks Industry; Harry Potter; bypassing direct confrontation with the
Struc.Assign. Available Universal Studios; Disney; Warner market leader? Would serving the
Brothers; Theme Parks; Innovation mainstream audience help FBN sustain in
Keywords
Management Case Study; Entertainment; the long run?
E-Choupal; Corporate Social Marketing; Brand Extensions; Movies and
Responsibility; ITC Limited; Farmers; Books; J.K. Rowling; Entertainment; Brand Pedagogical Objectives
India; Rural e-Business; Internet Kiosks; Leverage, Brand Value, Competition
Value Chain Intermediaries; Choupal Sagar; • To analyse the competitive scenario of
Innovation Management Case Studies; the business news market in the US
Choupal Fresh; Rural Empowerment; Innovate for Growth: Immelt’s • To analyse the scope of differentiating
Business Model; Supply Chain Management
Strategy for GE its market entry and performance by
using bypass attack strategies
Jeffrey Immelt became Chairman and CEO
• To analyse whether the competitive
Will Harry Potter’s Magic Work for of GE in September 2001. Succeeding Jack
strategies adopted by FBN be successful
Welch was a challenge in itself, but instead
Universal Studios Theme Parks? and payoff in the long-run?
of trying to emulate Welch’s time tested
Universal Parks and Resorts, a division of corporate management philosophies,
Universal Studios Inc., one of the leading
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3. Industry Broadcasting Google vs Baidu.com (A): The Localisation; CAGE Frame Work; Alliance
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Exportability of Google's
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Reference No. INM0105B Strategies; Acquisitions and Partnerships;
Year of Pub. 2008 Business Model Chinese Google; Government Business
Teaching Note Available Environment; Internet Censorship; Online
Struc.Assign. Available Google is the most visited search engine Advertising; Innovation Management Case
with a 62.4% market share and is the most Study; International Business; Legal
Keywords profitable with $16.5 billion revenues in Environment and Regulations
Fox Business News; CNBC; Bloomberg; By- 2007. The company has seen stupendous
pass market entry startegy; innovative success in a short span of time. Its
PageRank technology, AdWords and
programming; NBCU; Business News; Dell Business Model (B): A Case
AdSense advertising programmes and
Financial News; Common Man; Naked Cow
product line-up has ensured that it stays
for Business Model Innovation
Boy; Innovation Management Case Study;
CNN ahead of competition. The changes it has Dell Inc. was the world's second largest PC
made to its business model signify its Company in 2007 in terms of market share.
business depth. Google, after conquering Dell was the market leader in 2004, but it
the US market, started offering its services lost its position to Hewlett-Packard
BabaJob.com, The Indian Social in other countries - through various search following changing competitive dynamics
Networking Start-up: interface languages and in a number of local in the PC industry. To regain its leadership
Differentiating with the Bottom of domains. Google's rise and profitability has position, Dell started selling its PCs through
the Pyramid made other international Internet giants retail chains. This was in sharp contrast to
like Yahoo! and Microsoft realise, albeit Dell's legendary business model of selling
BabaJob.com, a Bangalore-based start-up, late, the lucrativeness of search. They are customised PCs directly to customers. Dell
a unique Internet site that provides making efforts to grow in this direction. had attempted to sell through retail chains
employment to the poor through the Google's growth has attracted more previously in the 1990s, but abandoned it
concept of online social networking. The competitors and complaints. This case, the due to low profit margins. The case discusses
idea is to help the highly unorganised poor first in the series Google vs Baidu.com, the concept of 'active inertia', which results
workforce of the economy like maids, details the rise and growth of Internet from an inappropriate response to changing
helpers, drivers, cooks, etc. The case not search engines. Providing a brief historical competitive dynamics, and how Dell fell
only gives the wider view of this but also outlook, it focuses on how Google through into the trap of 'active inertia'. The case
highlights various issues, restricting the its innovative technology rose to success also discusses internal and external
member users to integrate them with the very soon. Revenue-earning models of challenges facing Dell in its attempt to
growing popularity of online social Internet companies are dealt in greater regain its leadership position in the PC
networking. It illustrates the process by detail, with focus on how Google makes industry.
which an illiterate gets job through the help money. The case also details Google's add-
of a mentor, and in the process the mentor ons to its products and services, for ensuring
gets rewarded for every jobseekers Pedagogical Objectives
growth and sustainability. This case helps
acceptance of job. discuss how Google has grown over the • How important is modifying a business
years. What has been the company's model for an organisation's success?
Pedagogical Objectives strategy? What is its business model and
what is so unique about it? Finally, it • To study the growing importance of the
The case is structured to let the students retail segment compared to the business
questions whether this business model is
analyse and understand: segment.
exportable - can Google use the 'one size
• To understand the dynamics of the social fits all' approach to its business model? Industry Personal Computers
networking market Reference No. INM0102A
Pedagogical Objectives Year of Pub. 2008
• To understand the business model of
Teaching Note Available
BabaJob.com The case is structured to let the students Struc.Assign. Available
analyse and understand:
• To understand the visibility of trust and
Keywords
risks associated with BabaJob.com • Search engines' business and revenue
models Dell; Computers; Business Model; Michael
• To understand the importance of
Dell; PC retailing; Segmenting; Targeting;
appropriate business model in the social • Google's business model and other Positioning; Innovation Management Case
networking space. factors, like its technology, products and Study; Active Inertia; Hewlett-Packard;
services, which have led to its success Compaq; Lenovo; Transformation;
Industry Social Networking
Reference No. INM0104 • The rationale behind Internet Strategic Inflection Point; SIP
Year of Pub. 2008 companies targeting overseas markets
Teaching Note Available
• Whether search engines business models
Struc.Assign. Available
and that of Google is exportable? Dell Business Model (A):
Keywords Strategic Inflection Points in the
Industry Internet Search & Navigation PC Industry
Social Networking; Dynamics of online Services
business; BabaJob.com; Business and Reference No. INM0103 Dell Inc. was the second largest PC
Revenue Model; Corporate Social Year of Pub. 2008 Company in 2007 in terms of global market
Responsibility; Organised and Unorganised Teaching Note Available share. The success of Dell was largely
Employment; Sean Blagsvedt; Innovation Struc.Assign. Available attributable to its direct selling business
Management Case Study; Critical success model, which was suitable for corporate
factors of e-commerce; Strategies of Keywords buyers and bulk purchasers. Dell had an in-
BabaJob.com; Bubble 2.0 Google; Baidu.com; China's Search Engine built advantage of lower costs due to its
Market; Business Model; Globalisation and highly efficient manufacturing operations
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4. and supply chain management efficiencies. Industry Mobile Phone Study; Strategies of P&G in Mexico;
However, with the changing competitive Reference No. INM0100C Innovation in Emerging Markets
dynamics, Dell was losing its cost Year of Pub. 2008
leadership in the industry. Dell's cost Teaching Note Available
advantage against its competitors was Struc.Assign. Available
Logitech: Competing through
eroding as competitors were following
practices like mass manufacturing and just- Keywords Innovation
in-time inventory management. After Mobile Phones; Advertising; Innovation In 2006, Logitech International SA
Hewlett-Packard became the market leader Management Case Study; Competiton; (Logitech), the Swiss public company
in 2007, Dell was considering various Mobile Serach Users; SMS; MMS which was established in 1981, recorded
options to sustain and regain its leading revenue of $1,797 million. Logitech, which
position in the PC industry. started with the OEM sector, expanded
through its retail business. It has diverse
P&G in Mexico: Profiting from
Pedagogical Objectives products in computer peripherals and
Product and Marketing commands leading positions in all its
• To understand the concept of business Innovations? product categories such as audio, video, PC
model innovation in the context of an navigation, Internet communication,
organisation's success Leading consumer packaged goods
manufacturer Procter & Gamble (P&G) has music, and gaming devices. Logitech has
• To understand, how the new competitive an impressive history of successfully been a highly innovative company, with a
dynamics when unaddressed would launching a vast array of new products. list of more than 65 industry ‘firsts’. It
undermine the success of existing With developed world markets becoming launched more than 130 new products
business models. increasingly saturated, multinational during 2006. But it faced stiff competition
corporations have turned to emerging from industry giants like Microsoft. In this
Industry Personal Computers scenario, can Logitech sustain its
markets like India, China, and Mexico.
Reference No. INM0101A competitive edge by just being innovative?
Realising the potential of consumers in the
Year of Pub. 2008 Will it be successful in keeping pace with
emerging markets, major MNCs are
Teaching Note Available technology and market, to retain its leading
penetrating the growing low-income
Struc.Assign. Available positions in its product categories?
segments. But the dynamics and the
Keywords consumer behaviour in these markets are
quite different from the developed markets. Pedagogical Objectives
Dell; Computers; Business Model; Michael According to many experts, the strategies
Dell; PC retailing; Segmenting; Targeting; • To understand the changing dynamics
that hold well in developed markets fail in
Positioning; Innovation Management Case of computer peripherals industry
developing markets. However, P&G, with
Study; Active Inertia; Hewlett-Packard; its long presence, has had tremendous • To understand how innovation drives
Compaq; Lenovo; Transformation; success in Mexico through its product and competition in the industry
Strategic Inflection Point; SIP marketing innovations.
• To discuss about various competitive
advantages of Logitech
Pedagogical Objectives
Mobile Phones: The Advent of a • To get an awareness of Logitech’s
New Advertising Medium • To discuss product profile and
products vis-à-vis competition
segmentation statistics of P&G
Marketers are constantly looking for • To analyse whether innovation can
• To discuss P&G's shift in its business
innovative ways and channels to send sustain growth for Logitech.
model from serving wealthiest customers
marketing messages. The attention of
in developed countries to low-income Industry Computer Peripherals
marketers swung towards mobile phones
consumers in emerging markets Reference No. INM0098B
as an innovative medium for this purpose,
Year of Pub. 2007
due to their mass usage. Mobile phone • To identify various opportunities and
Teaching Note Available
penetration around the world reached more challenges for companies in emerging
Struc.Assign. Available
than 2 billion as of 2008. This led to use of markets
short messaging, mobile search advertising, Keywords
and video files as advertisement platforms • To discuss the product and marketing
for reaching consumers. Most consumers innovation strategies of P&G in Mexico Computer Peripherals Industry; Logitech
around the world accept such messages, International SA; OEM; Innovation; New
• To debate on the sustainability of P&G's
according to their perceived relevance and Product Introductions; Technological
strategy of serving low-income
offers provided. Mobile phone advertising Innovation; MX Revolution; PC Industry;
consumers in the long run.
platforms have evolved, depending upon Microsoft; EPFL Incubator; Logitech;
the features of mobile phones that Industry FMCG Daniel Borel; Innovation Management
consumers use. The case analyses how Reference No. INM0099 Case Study; Growth Engines; Organic
mobile phones can be used better for Year of Pub. 2007 Growth Creative Technology
marketing communication. Teaching Note Available
Struc.Assign. Available
Pedagogical Objectives Keywords M&M’s Candy’s Innovative
• To understand the opportunities for
Marketing Strategies
Population and Income levels of People
marketing communication through in Latin America; Fortune at the Bottom In the high-tech culture of the new
mobile phone as a medium of the Pyramid; Mexican Retailing millennium, M&M’s Candy has fought
• To discuss how mobile phone Industry; Potential and Challenges from diligently to stay cool, contemporary and
advertisements should be designed Emerging Markets; Consumer Behaviour relevant to consumers in the 21st century.
considering how consumers react to in Mexico; Innovation Management Case It has faced incessant challenges from
advertisements through mobile phones. competitive brands as well as social
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5. pressures encouraging consumers to reduce in developing cleaner and fuel efficient had planned to spend an estimated amount
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candy consumption. But its main challenge engines and gaining market share in the of US $75 million for the brand promotion
is keeping the brand simple, relevant to alternative fuel vehicle segment. and the acceptance level of new Jeep
consumers and yet maintaining among the common people.
growth.Over the years, colour, brand Pedagogical Objectives
personalities, globally recognisable Pedagogical Objectives
packaging, the 'melt in your mouth, not in • The case discusses Honda’s initiative to
your hand' slogan and the distinctive 'M' develop cleaner and fuel efficient engines • To understand the efforts made by DC
on each candy - all have played an to fight against the volatility in fuel to launch and promote ‘Jeep Compass
important role in raising the brand to an prices and to target the consumers
looking for the fuel efficient alternatives • To analyse how DC attempted to change
iconic status. Carrying on the spirit of its Jeep’s traditional rough & tough image
earlier marketing initiatives, M&M’s has • It also discusses the company’s strategy
decided to freshen up the brand and to gain market share in the alternative • To get an idea of the global sports utility
strengthen the emotional bonds with its fuel vehicle segment. market (SUV) market
loyal customers by leveraging the
compelling equities of colour and fun to Industry Automobile
• To discuss whether the new, ‘softer’, Jeep
create consumer interest. Reference No. INM0096P
would appeal to the customers.
Year of Pub. 2007 Industry Automobile
The case can be used to discuss the Teaching Note Not Available Reference No. INM0095K
dynamics of the candy industry, M&M’s Struc.Assign. Not Available Year of Pub. 2006
brand strategy including brand merchandise
Teaching Note Not Available
and brand characters and the use of retail Keywords
Struc.Assign. Not Available
channels, advertainment and Internet
Honda; Dream D-type engine; C1000 super
marketing to build personalized
cub; S-500; N-600 sedan; Honda Accord; Keywords
relationship with the customers.
Honda Civic; VTEC engines; Innovation DaimlerChrysler (DC); Jeep; Compass;
Management Case Study; Environmental Sports Utility Vehicle (SUV); Daimler-
Pedagogical Objectives protection Agency; Euro 5 emission norms; Benz; Chrysler; Diversifying; Marque;
• To discuss the dynamics of the candy Alternative fuel vehicles; DOHC diesel Global SUV market; Product launch;
industry engine; i- CTDi engine; IMA hybrid system; Innovation Management Case Study; Brand
honda FCX promotion; Rugged looks; Car based SUV;
• To analyse M&M’s brand strategy Softer Jeep; Off-road performance
including brand merchandise and brand
characters
DaimlerChrysler’s Compass SUV:
• To discuss the use of retail channels, Softening The Tough Jeep Indian Railways – IT Innovations
advertainment and internet marketing
Jeep was an automobile brand of
in Passenger Services
to build personalised relationship with
the customers. DaimlerChrysler (DC) which was known The Indian Railways’ operated in a highly
for its rugged looks and agile off-road complex environment that made it
Industry Confetionary Industry performance. It was one of the Chrysler imperative for its operations to be
Reference No. INM0097P subsidiaries and became a part of continuously updated with timely and
Year of Pub. 2007 DaimlerChrysler when Daimler-Benz accurate information to a variety of
Teaching Note Not Available merged with the Chrysler Corporation in business concerns. Further, the optimum
Struc.Assign. Not Available 1998. Since its inception in 1941 Jeep had utilisation of the available resources
Keywords dominated sport utility vehicle (SUV) demanded deployment of a robust
market for almost 65 years. Jeep was infrastructure through implementation of
Mars; Brand Strategy; Advertisement; famous worldwide for its rough and tough innovative and economical technologies.
Innovation Management Case Study; Brand looks and it was hugely popular among the
Character; Brand Personality; Brand adventure friendly people. By 2006 sales This case provides the reader an insight
Revitalisation; Mini Brand; Product of full-size SUVs were plummeting on into the various cost-saving innovations
personalisation regular basis and automakers were beginning that were adopted by IR in improving and
to admit that a shift of market was almost advancing their passenger services. The
inevitable. Several companies were progressive implementation of IT served
thinking of new products, car-based SUV as a thrust towards better responsiveness
Honda’s Green Technology to the rising passenger demands. The
being one of them. DC was among them,
Strategy in the US Auto Market and was about to take a new direction by communication infrastructure that IR built
Japan based Honda Motor Company is a launching its first car-based SUV which up over the years not only helped it cater
leading global automobile manufacturer. It emphasized on on-road performance rather effectively to the ascending customer needs
manufactures a variety of products like than boulder-hopping off-road feats. but also opened new avenues for revenue
small general-purpose engines, cars, Compass was Jeep’s first car-based SUV and generation. It augmented its revenues and
motorcycles, trucks, scooters. Since the it was the Jeep’s new initiative of focusing also helped it cut down surplus expenditures
early 2000s the volatility in fuel prices on-road performance. The management through better utilisation of resources by
and greater environmental awareness of Jeep realized that they needed to appeal way of improved demand analysis, better
forced many consumers to look for fuel to a wide range of customers and at the management of coaches and efficient
efficient alternatives. It has led to increased same time they also wanted to preserve its utilisation of railway tracks.
competition in the alternative fuel vehicle “rough-and-ready” image. DC was
segment. Honda has found its one fuel competing for Jeep’s success with the Pedagogical Objectives
strategy risky and decided to focus on philosophy of expanding as well as
diversifying. • To discuss the successive IT
technologies like clean diesels, hybrids and implementations at IR and how they
fuel cells which give it more flexibility. This case deals with promotion of the new help IR to cut cost and increase
The case study discusses Honda’s initiatives brand ‘Jeep Compass’ as the management efficiency
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6. • To analyse how IT is helping the • To discuss the challenges faced by Dell Pedagogical Objectives
passengers in better utilising the railway's
services. • To debate on Dell’s turnaround • To understand about onsite and offshore
strategies. models for delivering software services
Industry Transport
Reference No. INM0093K
Industry Personal Computers • To understand why and how Global
Year of Pub. 2007
Reference No. INM0092K Delivery Model is used by software
Teaching Note Not Available
Year of Pub. 2007 companies like Infosys to enhance
Struc.Assign. Not Available
Teaching Note Not Available service to its clients and to implement
Struc.Assign. Not Available Knowledge Management across the
Keywords company
Keywords
Indian Railways; Smithsonian Awards; EDP • To understand how Infosys changed its
(electronic data processing); Impress; Dell Inc; Apple; Dell business model; strategy to be one up on its competitors.
Concert; Centre for Railways Information Personal computer; US computer industry;
Systems (CRIS); CML; Passenger IBM (International Business Machines Industry Software Industry
Reservation System (PRS); Integrated Corporation); Server; Printer; Innovation Reference No. INM0091B
Voice Response System (IVRS); Unreserved Management Case Study; Notepad; Sony; Year of Pub. 2006
Ticketing Service (UTS); Innovation Graphical user interface; Gateway Teaching Note Not Available
Management Case Study; e-Ticket Computers; Premier Page web page; Struc.Assign. Not Available
Product recalls
Keywords
Onsite Model; Offshore Model; Global
Dell: From a Low Cost PC Maker
The Implementation of an Delivery Model (GDM); Process
to an Innovative Company
Improved Global Delivery Architecture; Innovation Management
Case Study; HR Recruitment; Managerial
During the late 80s, Michael Dell and his Model in Infosys: Will it
functions at Infosys; Knowledge
company, Dell Inc., revolutionized the Succeed? management; Software Industry
global PC market by the latter’s ‘Dell
Infosys, a software development company Competition; Collaborative Distributed
Direct Business Model’, where it
eliminated all kinds of middlemen and in India, initially provided onsite service Delivery Model
directly supplied customized PCs to the to its global clients. This being an
customers. For the last two decades, the expensive proposition, the company
company continued to be the market leader decided to complete projects at its Indian Whirlpool: Redefining Innovation
in the small household PC segment. offshore development centers and then
However, after enjoying the supremacy for implement them at the clients’ places. This The year 2005 had proved to be a year of
two decades since 2005, it started facing was also a challenge as there was no service exceptional achievements for the world’s
competition. August 2006 was the cruelest provider at the clients’ locations, causing number one home appliance brand
month for Dell as the company’s bottom a deterrent to the progress of projects. company, Whirlpool. It had achieved
line experienced an unprecedented decline. Besides, miscommunication added to the record net earnings of $422 million on
The company’s revenue and profit failed delay of project completion. To serve its record sales revenues of $14.3 billion, which
to match the expectations. Besides, it had clients effectively and in time, Infosys had in turn, propelled the company’s share
to write off US$ 450 million (mn) for the decided to open proximity centers close price to an all-time high of $92.64 by April
installation of defective capacitors in its to the clients’ locations. In the late 1990s, 2006.
computers and opt for workforce due to stiff competition from IBM, Wipro Much of Whirlpool's performance was
alignment. It also recalled lithium batteries and TCS, Infosys decided to adopt the attributed to the new products and features
manufactured by Sony from its laptop. The Global Delivery Model (GDM), which was introduced by the company, based on ideas
analysts were thus, skeptical about the based on the principle of taking work where received from the company’s employees
future of the organization. The company it could be done best in an economical working under the ‘innovation system’,
was termed as less innovative than its manner and with the least amount of established by the company’s former CEO,
competitors as it failed to launch innovative acceptable risk. In 2005 Infosys’ revenue David Whitwam in 1999. The innovation
products in the market. To be on the stood at $1,592 million. system was implemented to counter the
growth trajectory again, it planned to enter company’s almost stagnant performance
Infosys found that IBM, Accenture, TCS
into the consumer electronics segment. But over the past decade, judging by everything
and Wipro had also adapted GDM. Industry
the analysts were doubtful about the success from stock price to profit margin to
observers felt that GDM was a standardized
of Dell’s ‘Direct Business Model’ in the market share. The company’s failure to
IT model but had no competitive
consumer electronics segment. The case introduce exciting products or product
advantage. To combat competition and to
deals with Dell’s business model, viable features had reduced Whirlpool’s machines
differentiate itself from other Global IT
alternative of Dell’s business model and its to mere commodities and the prices of its
giants, Infosys started working on GDM
success in the consumer electronics most important products were falling each
2.0 and called it the “Collaborative
segment. It provides a scope for discussing year.
Distributed Delivery Model” (CDDM).
whether the turnaround strategy of Dell
would be successful and about the scenario To implement the new GDM, Infosys had Following the implemetation of the
of global PC industry and global consumer to set up more offshore development innovation drive, revenues from products
electronics market. centers around the globe. To succeed in its that fitted the company's definition of
efforts Infosys decided to acquire ‘innovative’ increased from $10 million
Pedagogical Objectives companies around the globe. in 2001 to $800 million in 2005, i.e., 5
percent of the company's record $14.3
• To discuss how Dell revolutionized the Would Infosys succeed in gaining the billion in total revenue. In 2005 alone,
global PC market competitive advantage and the Whirlpool launched more than twice as
differentiator that it hoped to achieve with many new products in half the time, as
• To analyse Dell’s Direct Business Model its improved GDM? compared to the time before the
• To understand the global PC industry innovation process was launched.
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7. The case looks at the introduction of this Pedagogical Objectives Industry Consumer Electronic Industry
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successful innovation strategy. Reference No. INM0088A
• To understand Motorola as a technology Year of Pub. 2006
and innovation leader.
Pedagogical Objectives Teaching Note Available
• To understand the importance of Struc.Assign. Available
• To understand Whirlpool’s position in customer-centric approach
the home appliances market Keywords
• To discuss the importance of Innovation LG; LG Electronics; Blue Ocean Strategy;
• Stagnation of innovation system at as a competitive strategy.
whirlpool strategy; localisation; competitive
Industry Telecomunication strategy; market leader; new product
• Implementation of the innovation drive Reference No. INM0089A development; Innovation; India; China;
at Whirlpool Year of Pub. 2006 Middle East; Digital Electronics; CDMA
• Revival of Whirlpool through Teaching Note Available and GSM handset; LCD TV; Plasma TV;
implementation of innovation strategy. Struc.Assign. Not Available Innovation Management Case Study;
Mobile phones; Nokia; Samsung
Industry Home Appliance Industry Keywords
Reference No. INM0090B
Motorola; innovation; seamless mobility;
Year of Pub. 2006
technological leadership; core competency; ITC: Reshaping the Lives of
Teaching Note Not Available
Struc.Assign. Not Available
changing customer needs; reinventing Indian Farmers
vision; spin-offs; merger & acquisitions;
Keywords strategic alliances; differentiation; Launched in June 2000, 'e-Choupal', a
Innovation Management Case Study; revolutionary initiative by the Indian
Whirlpool; Innovation; ideas; home leadership change; reorganisation; culture FMCG giant ITC, became the largest
appliances; white goods; Innovation of innovation; fostering innovation etc initiative among all e-commerce
Management Case Study; David Whitman; interventions in rural India. By 2006, 'e-
Nancy Snyder; machines; innovative; Choupal' reached out to more than 3.5
Maytag; acquisition; strategies; metrics; million farmers in over 31,000 villages
knowledge management LG Electronics: The Blue Ocean growing a range of crops - soybean, coffee,
Strategy wheat, rice, pulses and shrimp, through
South Korea based LG Electronics, Inc. 5200 kiosks across six states (Madhya
Motorola: Fostering Innovation? (LGE) was a technology innovator in Pradesh, Karnataka, Andhra Pradesh, Uttar
electronics, information and Pradesh, Maharashtra and Rajasthan) in
Motorola, Inc. US based Fortune 100 communications businesses producing India. By 2010, the e-Choupal network
company, was known around the world for CDMA handsets, DVD players, optical planned to cover over 100,000 villages,
innovation and technological leadership in storage devices, canister vacuum cleaners, representing one sixth of rural India, and
embedded systems, wireless and broadband air conditioners and micro ovens. LGE had create more than 10 million e-farmers.
communications and made paradigm more than 72,000 employees working in Encouraged by the success of the e-Choupal
shifting contributions in two-way radio, about 77 subsidiaries and marketing units initiative, ITC launched ‘Choupal Sagar’
semiconductors, paging, space flight across the world. in 2004. The problems stumbled upon while
communications, cellular communications
In January 2006, the company launched setting up and managing these ‘e-Choupals’
etc. with global presence on six continents
“Blue Ocean Management” campaign to were primarily of infrastructural
and 69,000 employees over the world of
be one among the top 3 electronics, inadequacies, including power supply,
which 25,000 were engineers and scientists
information and telecommunications firms telecom connectivity and bandwidth, apart
with passionate commitment to R&D. It
in the world by 2010. But LGE was from the challenges of making the farmers
had 21,300 global patents in its name and
primarily known for its low-cost and the users of the network e-savvy in
reached sales of US $36.8 billion in 2006.
appliances, and faced challenges related to the inaccessible areas of rural India.
Motorola, a pioneer in wireless was company’s image, low profitability and Receiver of the Development Gateway
criticized for not capitalizing aggressively stiff competition across the world. With Award 2005, the e-Choupal initiative
on its innovations and failed to anticipate the tough road ahead would LGE be able to demonstrated that private sector can
great demand of digital mobiles. Motorola achieve its target by 2010? Would it be successfully achieve a balance between the
started to rethink on its core competency, able to make its competition irrelevant, conflicting goals of creating shareholder
realized changing customer needs, reviewed especially Samsung, its home rival? value and also fulfill the social
its history of innovation and finally
responsibility of development and growth.
reinvented its focus on innovation led by
Pedagogical Objectives
vision of ‘Seamless mobility’, develop ITC’s e-Choupal initiative began by
innovative culture through series of • To understand LG: a leading player in deploying technology to re-engineer
strategic moves like acquisitions, consumer electronics procurement of soy and other crops from
partnerships, spin-offs, increase R&D rural India. The e-Choupal graduated to
facilities, leadership change, differentiation • To understand consumer electronic serve as a highly profitable distribution and
in design etc. market and competitor product design channel. The effort taught
• To understand value based technological valuable lessons in rural engagement;
The case discusses cost cutting strategy,
innovation demonstrated the magnitude of
adopting specific corporate structure by
opportunity, at the same time illustrated
reorganization, impact of leadership • To understand geographic diversification the social and development impact of
change and organisation culture at and its strategies applied to gain market bringing global resources, practices, and
Motorola. Would Motorola be able to share better remuneration right at the doorstep
sustain the vision of ‘Seamless Mobility’
• To analyse the Blue Ocean strategy and of the Indian farmer.
to push Motorola forward in its innovation
efforts? Can Motorola efficiently its implementation at LGE.
capitalize on its innovations track record?
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8. Pedagogical Objectives • Technology Innovation and Keywords
development
• To understand ITC’s e-Choupal Apple; iPhone; iPod; Steve Jobs; Steve
initiative • Moore’s Law Wozniak; Smart Phones; Mobile
Telephony; Innovation Management Case
• To understand the rural sector of India • Challenges and Competition faced by Study; Cingular; Nokia; Motorola; Palm
and impact of e-commerce initiatives Intel. Treo; AT&T; Blue Tooth Device; Personal
on the sector Media Player
Industry Computer Industry
• To debate on the conflicting goals of Reference No. INM0086C
creating shareholder value and social Year of Pub. 2007
responsibility for a company. Teaching Note Available A Challenge to Innovation: Can
Industry Rural Development
Struc.Assign. Not Available
Netflix sustain growth?
Reference No. INM0087A Keywords
Netflix, the world’s largest online movie,
Year of Pub. 2006
Intel; Motherboard; Personal Computers; television and other filmed entertainment
Teaching Note Not Available
Innovation Management Case Study; rental subscription service (as of 2006),
Struc.Assign. Not Available
Gordon Moore; Robert Noyce; Silicon was an example of ‘innovation at work’.
Keywords wafer; Tera Scale; Semiconductor; Micro Operating almost like a mail-order
processor; Moore’s Law; AMD; business, the company had evolved a
Indian Tobacco Company (ITC); Cigarette Transistors; Integrated Circuits; 80 Core; successful and proven marketing strategy,
and tobacco giant; Imperial Tobacco Chipsets which helped it to grow into a highly
Company of India Ltd; Innovation profitable and established company. The
Management Case Study; Genesis of e- success was attributed to the high levels of
Choupal; The Sanchalak; The Samyojak; customer satisfaction and value added
e-Choupal; e-Choupal network; Mandi Apple iPhone – Will it Ring? services the company offered since
System; Indial Farmers; Rural India; Indian inception. With deals from all movie
In January 2007, Apple launched its
Farmers companies, and protected by a patent for
iPhone, a revolutionary device which
combined the features of a mobile phone its business model, the future of Netflix
and an iPod. With innovative and unique seemed to be certain.
Intel’s Trillionizing Processor features incorporated into the product, the However, the scene was set to change with
iPhone was expected to revolutionize the the advent of movie downloads and
During the International Solid State Circuits mobile phone market. However, the
Conference, Intel has announced that they analysts were skeptical about the continued
mobile market already consisted of a success of Netflix. Although Netflix itself
have successfully produced a multicore chip number of established players like
which has ‘80core’in it, though it is still in was to announce its own download venture
Motorola, Nokia, LG, Samsung, Sony in early 2007, it was to be seen how the
the research stage. It was previously Ericsson, Palm and others. Although
announced in Intel Developer’s Forum at company would remain competitive. The
experts rated the iPhone far above the case tries to bring out the highly successful
San Francisco in September 2006 that the existing models, Apple was expected to
company planed to come out with an ‘80 model that Netflix had adopted and if the
face various challenges in establishing itself success of this innovation could be sustained
core’ micro processor chip. The new chip as a major player in the existing market.
would be capable of exchanging data at one while facing newer challenges. The main
The Apple iPhone was highly priced and issues that the case tries to highlight are:
terabyte per second amongst its multiple aimed at targeting a niche market. In this
cores. Intel announced that it would be able 1) Should Netflix alter its business model?
scenario, it was to be seen if the iPhone 2) Can Netflix defend its business model
to start commercial production of such would make a mark and achieve success
chips by 2012. This announcement marked and maintain its market leadership
like Apple’s other products, the Mac and position? If so, what should its strategies
a watershed in the industry’s general shift the iPod.
towards multicore computing. Originally be?
known primarily to engineers and The case tracks the various technical
technologists, Intel's successful ‘Intel features of the Phone, its strategies to gain Pedagogical Objectives
Inside’ advertising campaign of the 1990s market share and challenges it will face in
• To discuss how ‘disruptive innovation’
made it and its ‘Pentium’ processor the already crowded mobile industry. The
strategies impact companies
household names. It has been ranked as case facilitates discussion on whether
the leader in the Semiconductor industry, Apple’s iPhone would succeed as the iPod. • To discuss how a successful business
and has been in this position from 1992 model can be sustained.
till present. Pedagogical Objectives
Industry Movie rentals (Entertainment)
The case details the various features of the • Strategies of launching a new Reference No. INM0084C
new chip, and the challenges Intel would technological product into an already Year of Pub. 2007
face by the introduction of the new chip. competitive market Teaching Note Available
The future of this chip is still to be Struc.Assign. Not Available
determined and would require working much • Challenges faced by Apple with iPhone’s
more closely with the hardware makers, launch Keywords
which could give Intel or another first • Competition from already established Netflix; Innovation; Movie rentals;
mover a massive advantage. players in the mobile market. Innovation; disruptive innovation; Reed
Hastings; Innovation Management Case
Pedagogical Objectives Industry Mobile Phone Industry Study; movie downloads; Apple; Amazon;
Reference No. INM0085C Patent; DVD market; Value added services;
• Microprocessor and Semiconductor Year of Pub. 2007 recommendation system; allocation
Industry Teaching Note Available system; customer satisfaction
Struc.Assign. Not Available
• Future strategies for success for a
computer maker
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9. Open Innovation: The Case of SED Technology: Canon’s New and was branded as ‘The car for the future’.
I N N O V A A T I O N
I N N O V A A T I O N
I N N O V A A T I O N
P&G Initiative
I N N O V A A T I O N
I N N O V A A T I O N
The idea of the hybrid car was conceived
by Hiroshi Okuda and Fujio Cho, the two
By 2000, in the wake of rapidly increasing In the late 1990s, Canon’s revenue declined former presidents of Toyota. But, it was
R&D expenditure, lackluster new product and few of its divisions became loss- making. Katsuaki Watanabe, the chairman of
launches and nearly flat sales, P&G, one of Fujio Mitarai, the president and CEO of the Toyota, who planned to bring hybrid cars
the largest global consumer products company, closed the money-losing divisions into the mainstream automobile market.
companies, decided to revamp its and undertook diversification strategies He planned to make hybrid more affordable
innovation model. The company’s existing through technological innovations. He to the consumers by improving production
innovation model was heavily dependent focused on the flat-screen TV segment with systems and developing better technologies
on its internal R&D department. This a new technology called the SED. By 2010, in batteries, motors and inverters. The quest
model worked well for the company over Fujio Mitarai wanted to post revenue of was to produce a third generation ‘Prius’
the decades. However, the above setbacks $50 billion with this new technology. The quickly and cheaply and sell one million
urged the CEO A G Lafley to reinvent the case gives an insight to Canon’s history and hybrids annually by 2010. If Katsuaki
innovation model to ensure consistent the challenges that it faced over the years. Watanabe became successful in his venture,
growth. Thus, the company initiated an It gives an overview of the global flat-screen Toyota would become the world’s finest
open innovation model, ‘connect and TV segment and Fujio Mitarai’s optimistic automobile manufacturer and a great
develop’. The new model encouraged the move with the SED TV. innovator. The story of the ‘Prius’
company to collaborate with external suggested that actually it was. The case
organisations for innovation ideas. Pedagogical Objectives study offers a scope of discussion whether
Connect and develop turned out to be a Toyota would be able to bring the car in
successful innovation model and helped • To understand how Canon as a camera mainstream market.
P&G launch new innovative products. The manufacturer had become an integrated
case starts with a short introduction of the manufacturer of precision equipments
Pedagogical Objectives
problems that P&G was facing in 2000. including camera, business machines and
The next section gives a brief history of optical products • To discuss how innovation play a key
the company underlining its innovative success factor in automobile industry
• To understand the emerging technology
products over the period. The case then in the consumer electronics industry • To discuss the concept of product
attempts to highlight the company’s new
launching in the context of automobile
approach to innovation – shifting from • To understand the global flat panel TV
industry
R&D to C&D – and elaborates how it industry
adopted and applied the new model. The • To discuss the concept of hybrid car and
subsequent sections present details of what • To understand the adoption of new
how Toyota plan to make the hybrid
is open innovation and how P&G benefited initiatives by Canon for its revival mode.
technology into the mainstream
from it. Industry Printing and Imaging automobile market
Equipment
• To discuss how an idea was visualised
Pedagogical Objectives Reference No. INM0082K
and then conceptualised and then turn
Year of Pub. 2006
• To understand how P&G developed and into a reality.
Teaching Note Not Available
implemented its open innovation model Struc.Assign. Not Available • Hybrid technology and various types of
called connect and develop (C&D)
hybrid technology.
Keywords
• To understand the culture of innovation
Industry Auto Manufacturing
at P&G Canon; Toshiba; Flat TV; Plasma; LCD;
Reference No. INM0081K
SED.
• To assess how P&G shifted its Year of Pub. 2006
innovation approach from in-house Teaching Note Not Available
R&D to C&D Struc.Assig. Not Available
Toyota's Prius: Car of the Future
• To discuss the benefits of open Keywords
innovation model In 1995, Toyota undertook ‘Project Prius’,
but it was not an easy task for the Japanese Toyota; Hybrid technology; Green house
• To analyse why open innovation model auto major. Satoshi Ogiso, chief engineer gas project.
is important for companies that want of the project, recalled that the first
to grow consistently prototypes of the car had even faced
• To discuss how P&G benefited from its starting problem. It took almost six Pfizer’s Foray into Sedatives: The
C&D innovation model. months to roll the car. Finally, when the American Dream?
car started, it moved for a few yards only.
Industry FMCG It was hard to imagine that Toyota, which It is boom time in the US sedatives market.
Reference No. INM0083K was known for its efficient production Sales have been on the rise and
Year of Pub. 2006 systems, was facing such trouble. Analysts pharmaceutical companies have been
Teaching Note Not Available felt that ‘Prius’ was a case of technological bombarding the public with their latest
Struc.Assign. Not Available problems, impossible demands and multiple generation of branded drugs which claim
miscalculations. It proved how a great to have negligible side effects while giving
Keywords the user a good night’s sleep. The lifestyle
company could overcome obstacles and
P&G; Open innovation; R&D; Budgeting; turn a dream into reality. Though ‘Prius’ of the Americans in the twenty first
Technology; 9 Sigma. represented only a small fraction of the century had given rise to a culture of
nine million cars and trucks that the insomniacs. While pharmaceutical
Japanese company planned to produce in companies and sleep centers have been
2006, it would be the first vehicle to provide advocating the immediate addressal of the
a serious alternative to internal combustion problem, critics are convinced that these
engines, designed for a world of scarce oil were mere money mongering activities.
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10. Pfizer, the largest global pharmaceutical downloads and handheld music players. In proposal, details the unconventional
company has been working on a new September 2006, it expanded its presence methods followed by Cuban in all his
sleeping drug generically named indiplon in the video on demand market and began endeavors.
which was due for launch in 2006. By end offering online movie download services
2002, Pfizer and Neurocrine entered into through its iTunes stores which sold music Pedagogical Objectives
an agreement for the commercialisation and television shows. But here, the scenario
and development of Indiplon. Neurocrine was different. Apple became the market • Movie making in Hollywood
had received an initial payment of $100 leader of online music downloads due to its • How Mark Cuban changed the movie/
million. Pfizer has also taken the first mover advantage in the music film exhibition process.
responsibility of funding the further downloads market and also due to
development of the drug, payment of cooperation from the music companies Industry Entertainment
royalties on worldwide sales and co which were threatened by music piracy. But Reference No. INM0078C
promotion fees in US. Pfizer’s entry into in the movie downloads business there were Year of Pub. 2005
this category which was hitherto dominated already a few players who have been Teaching Note Not Available
by Ambien with an 80% market share and operating for a number of years and Apple Struc.Assign. Not Available
Lunesta (about 11% share), has caused an was also expected to face competition from
increase in activity in the market. The the new entrants. Apple also got low Keywords
existing players have upped their ad spends cooperation from the movie studios due Hollywood; 2929 Entertainment; Mark
and are working towards coming up with to its pricing strategy. Added to these, the Cuban; Todd Wagner; DVD; Cable channels;
advanced versions of their drugs. quality of movie downloads was only almost Theatre and high definition.
DVD quality which was contrary to the
Analysts feel that given the current low high quality offerings like the HDTV’s, HD-
penetration levels of sleeping pills in the DVD and Blu-ray, which was gaining
American market there was a huge popularity in the US. Open Source: Software Model
potential for growth and room for many for the future?
more players. At the same time there is This case facilitates discussion on whether
also criticism about pharmaceutical Apple would succeed in its Movie Open source software has been gaining a
companies and medical practitioners, that Downloads venture. It also enables the lot of popularity as compared to the
they are hand-in-hand, in promoting the students to understand the issues involved proprietary model. Although the
sales of these drugs. These critics are of in the launch of a new technology service development in this arena started only in
the opinion that sleeping pills are not an and develop relevant marketing strategies. the late sixties, its growth has been
effective solution to the problem of phenomenal. The number of products on
insomnia. They advocate the Pedagogical Objectives this platform might be small but they have
identification and treatment of the been able to give established proprietary
underlying problem which is the root cause • To discuss the online movie download software makers like Microsoft a run for
of insomnia, and also the adoption of business in the US their money, forcing them to acknowledge
proper lifestyle and habits which they feel and even enter this field.
• Challenges faced by Apple in its movie
would solve most insomnia related download business venture This case study attempts to look at open
problems. source, its growth and its viability as
• Consumer trends in home compared to proprietary software. Efforts
Pedagogical Objectives entertainment. have been made to look at the open source
• Trends in the American Pharmaceutical Industry Entertainment model from all angles, even highlighting
industry using the Porter’s Five Forces Reference No. INM0079C any possible drawbacks.
Model Year of Pub. 2006
The discussion points are the advantages
Teaching Note Available
• Strategic groups within the and disadvantages of the model vis a vis
Struc.Assign. Not Available
pharmaceutical industry. the proprietary model and whether the
Keywords future of software can be completely
Industry Sedatives Market dependent on the open source platform.
Reference No. INM0080C Apple; Movie downloads; iPod; Music
Year of Pub. 2006 downloads; Tunes; DVD and Video market; Pedagogical Objectives
Teaching Note Available Online movie market; Amazon; AOL; News
Struc.Assign. Not Available Corp.; Technical services; VOD service; • To discuss the advantages and
Picture quality; Downloading time; disadvantages of the model vis a vis the
Keywords Technological difficulties. proprietary model
Sleeping Pill Market; Sedatives market; • Future of the open source platform.
American pharmaceutical companies;
Ambien; Indiplon; Insomnia; Corporate Mark Cuban: Breaking the Industry Software
reputation; Social responsibility; Ethical Hollywood Convention? Reference No. INM0077C
marketing; Deceptive marketing; Block Year of Pub. 2006
buster drugs; Direct to consumer In Hollywood, the conventional mode of Teaching Note Available
advertising; Patents; Generic drugs; Sleep releasing a movie was initially at the Struc.Assign. Not Available
centers. theatres and later on DVDs, home video
and cable channels. Challenging the Keywords
conventional mode, Mark Cuban, owner Open source model; Open source code; Free
of Dallas Mavericks and co-owner of 2929 software; Linux Torvalds; Netscape
Apple Ventures into Movie Entertainment, proposed to release movies Navigator; Microsoft; Open source
Downloads simultaneously in the theatres and on DVDs, programming; Eric Raymond; Proprietary
Apple, a Fortune 159 company, was the home video and cable channels. The case model.
market leader of online legal music while examining the responses to Cuban’s
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