Presentation on theme: "Case in Point A powerpoint summary of types of cases as presented by Marc P. Cosentino (4th ed.) By: Helen Lee For the Caltech Consulting Club."— Presentation transcript:
1 Case in PointA powerpoint summary of types of cases as presented by Marc P. Cosentino (4th ed.)By: Helen LeeFor the Caltech Consulting Club
2 The Case Commandments 1. Listen to the Question 2. Take Notes 3. Summarize the question4. Verify the objective(s)5. Ask clarifying questions6. Organize your answer7. Hold that thought for “one alligator” – think before you speak8. Manage your time9. Work the numbers10. Be coachable11. Be creative and brainstorm12. Exude enthusiasm and a positive attitude13. Bring closure and summarize
3 Types of Case Questions BrainteasersBack-of-the-Envelope (estimation questions)Business Case Questions (our focus in this ppt.)Number casesBusiness strategyOperations
4 The Ivy Case System4 initial steps12 popular case scenarios
5 The First 4 steps 1. Summarize the question 2. Verify the objective 3. Ask clarifying questions4. Lay out your structure
6 The Twelve Case Scenarios Strategy CaseEntering a new marketIndustry AnalysisMergers and AcquisitionsDeveloping a new productPricing StrategiesGrowth StrategiesStarting a new businessCompetitive responseOperations CaseIncreasing salesReducing costsImproving the bottom lineTurnarounds
7 Entering a New Market1. Determine why? What’s our objective/goal? Does it fit into our overall strategy?2. Determine the state of the current and future market3. Investigate the market to determine whether entering it would make good business sense4. If we decide to enter, we need to figure out the best way to become a player (Cost-benefit analysis)Start from scratchAcquisitionJoint venture/strategic alliance
8 Industry Analysis 1. Investigate the industry overall Life cyclePerformanceClient’s position w/in industryMajor players and market shareIndustry changesdrivers2. Suppliers & product availability3. Future outlookMergers, acquisitionsBarriers to entry
9 Mergers and Acquisitions 1. determine goals and objectives2. How much are they paying3. Due diligence (research the company and the industry)4. exit strategies
10 Developing a New Product 1. Think about the productSpecial? Patented? Substitutions?2. Think about market strategyReplacing existing product? Expand sales or customer base?Barriers to entering marketMajor players3. Think about customersWho are they and how can we best reach them4. Think about financing
11 Pricing Strategies 1. Investigate the product 2. Choose a pricing strategyCost-based pricingPrice-based costingCompetitive analysis3. Supply and demand
12 Growth Strategies1. Ask feeler questions. Growth could mean focusing on a certain product, division, or company overall. Determine direction of questioning.2. Choose a growth strategy based on situation and explain why.Increase distributionIncrease product lineDiversifyEtc.
13 Starting a new Business 1. Investigate the market2. Worth investing in?ManagementMarket & Strategic PlanDistribution ChannelsProductsCustomersFinance
14 Competitive Response 1. analyze competitors’ actions 2. choose one of the following response actions:Acquire the competitorMerge with competitorCopy competitorHire competitor’s managementIncrease our own profile with P.R. campaign
15 Increasing Sales1. Increasing sales doesn’t always mean increasing profits. Find underlying reason to increase salesFour ways to increase sales:Increase volumeIncrease amount of each saleIncrease pricesCreate seasonal balance
16 Reducing Costs Type A: Type B: 1. ask for breakdown of costs 2. investigate any abnormalities3. benchmark competitors4. determine any labor-saving technologies that help reduce costsType B:Internal costs: union wages, suppliers, materials, economics of scale, etc.External costs: economy, interest rates, etc.
17 Increasing the bottom line: Profits Profits=(Revenues x Costs)*VolumeIdentify revenue streamsExamine your costsDetermine whether you want to pump up the volume
18 Turnarounds 1. gather information 2. Choose appropriate action Why is it failing?Industry analysisTell me about the company2. Choose appropriate actionLearn as much about the business as possibleReview services, products, and financesSecure sufficient funding so your plan has a chanceReview talent and temperment of employees, get rid of deadwoodDetermine goals (short and long term)Business planVisit clients, suppliers, distributors and reassure themPrioritize goals and get some small success.
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