4 Benefits of Case Method Process of arriving at a solution is what’s most importantOral and written communication skillsLearn to make decisions with limited informationDevelopment of critical thinking skills
5 Frustrations! No “single right answer” Limited/equivocal information Time requirement for analysisDealing with criticism from others
6 Case Analysis: “Good” vs. “Bad” Take time to understand facts, situationPonder data presented in caseReconsider original views when presented with opinions of other class membersDifferentiate problems from symptomsAnalyze, summarize data given in caseRush through case, only read onceBlindly accept data givenStick with original views, even when new information emergesConfuse symptoms and problemsRehashing data given in case
7 Steps for Case Analysis Situation AnalysisDetermine problems, opportunitiesFormulate alternative courses of actionAnalyze, evaluate alternativesRecommend a solutionSpecify a plan of actionPrepare contingency plans
8 Situation Analysis Nature of demand Extent of demand Nature of competitionEnvironmental climateStage of product life cycleCost structure of the industrySkills of the firmFinancial resources of the firmDistribution structure
9 Determine Problems, Opportunities Key problem areasKey opportunitiesOn balance, the situation is…
10 Formulate Alternative Courses of Action Define objectivesTarget marketProjected sales volumeProfit analysisMarketing Mix decisionsProductDistributionPromotionPricing
11 Analyze, Evaluate Alternatives What are possible alternatives?Limits to possible alternatives (competence, resources, ethical responsibilities)Are alternatives reasonable, logical?Advantages, disadvantages of each alternativeWhich alternative best solves problems, and creates minimal new problems?
12 Recommend a SolutionJudge relative risks, opportunities offered by various alternativesOptimal choice: Best balance between potential profit and cost of failureMake clear-cut decision, avoid “qualifications” and other obvious hedges
13 Specify a Plan of Action How will decision be implemented?Personnel, other resources involvedLikely market reaction
14 Prepare Contingency Plans! What If…Market does not respond as anticipated?Competitors take unexpected action?Economy differs from forecasts?