I’m not a Management Student

In: Entrepreneurship

By Bakshi Gulam

3 Jul 2011

I answered these Case Studies long back (during Kurukshetra,2010). Read and post your comments if you are interested!

Case Study 1:

You are the head of a company, X, a small company in terms of revenue and workforce. The only product it manufactures is A. The revenue generated by your company is falling drastically due to the influence of the same product now being developed by rival company Y on a much larger scale. Now, a new product Z has arrived in the market which has a very good chance of revolutionizing your field of operation. You know that you can never manufacture that product with the limited resources (human and monetary) at your disposal. What will your course of action be?

My Answer:

Let me assume company X is smaller compared to both Y and the company which produces the new product Z. And it is mentioned that my company X can never manufacture the new product Z with the limited resources and the new product Z belongs to field of operation of my company X. My course of action will be choosing an essential part/component/element (let it be EP) of the new product Z in such a manner that the product Z will be incomplete/absurd without the chosen component (e.g. a Gear Box [EP] in a Car [Z] ; with the limited resources X can’t manufacture Car[Z] but can manufacture Gear Box[EP]) and forming a strategic alliance with the company or companies which manufacture the new product Z and start manufacturing & supplying the essential part on a contract basis. By this strategy I hope X can easily win the battle with the rival Y (since each Car [Z] needs a Gear Box [EP] marketing becomes easier & no need to compete with Y on open market).

Case Study 2:

You are the founding head of a company “HADBERRY”, an SME. A rival company “DRAFT” is attempting a hostile takeover. Upon DRAFT submitting its second offer, directors on the board are now very much in favor of the takeover since it is pretty good. But you, as the Chairperson, feel that the company has a very good growth potential and that the takeover bid is unnecessary. How will you convince your board? (A few points on what you plan to do with the company, etc)

My Answer:

I will convince the board in 3 stages as follows:

Stage1: Explaining the cons of Hostile-Takeover to the board.

- If the DRAFT’s takeover happens we will loose our distribution channels, customer base, brand name, and technology.

-The misconception/misunderstanding of the technology, the business model or the working environment by the new management may slow down the growth of the company and may results in creating panic among employees about their job security.

-These consequences of the deal would reduce the value of our company and put our company in danger of going out of business

-So, I feel that the takeover bid is unnecessary and we can stay independent since our company has a very good growth potential.

Stage2: Explaining my future plans to the board by which the co. could increase its turnover

-Developing and implementing a growth budget – Setting goals and deadlines

- Associating with positive, successful employees and making every employee to be part of a company’s growth agenda.

-Create a detailed profile of your perfect/targeted customer and state our target clearly in all of our marketing materials.

-Focusing on the customer problem -the real needs of our customers – and helping them

-Assuring promises on our product/services since a promise is a much stronger word than “value proposition.”

-Improving marketing strategies and attracting people with free demos, distributing free samples, Informative Literature,  etc.

-Improving the customer support by making telephone lines Toll Free, etc. and maintaining a good customer relationship.

Stage3: Discussing the Defensive measures against the Hostile Takeover with the board.



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This is Bakshi Gulam. I’m a programmer, a blogger and an open-source lover interested in anything related to computer systems. Click here to read my bio.


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