案例分析系统Ivy Case System.ppt

IvyCaseSystem TheFirstFiveSteps 1 Summarizethequestion 2 Verifytheobjective s 3 Askclarifyingquestions 4 Labelthecaseandlayoutyourstructure 5 Stateyourhypothesis 1 SummarizetheQuestion ifyoumissedsomethingorwroteitdownwrong theinterviewerwillcorrectyoubeforeallowingyoutomoveon Summarizingthequestionshowstheinterviewerthatyoulistened anditfillsthegapofsilencebetweentheendoftheirquestionandthebeginningofyouranswer Also getintothehabitofquantifyingrelatednumbersasapercentage 2 VerifytheObjective s Whataretheclient sexpectations andarethoseexpectationsrealistic Intheclient smind whatconstitutessuccess Eveniftheobjectiveofthecaseseemsobvious thereisalwaysthepossibilityofanadditionalunderlyingobjective 3 AskClarifyingQuestions Remember youaskquestionsforthreereasons togetadditionalinformation toshowtheinterviewerthatyou renotshyaboutaskingquestions andtoturnthecaseintoaconversation 4 LabeltheCaseandLayOutYourStructure You vedecidedwhichcasescenario s toworkwith andyouhaveaskedafewbroadquestionsthathavegivenyoutheinformationyouneedtoformalogicalresponse Keepinmindthatyouarenotmarriedtoyourstructure Basicallyastructureis giventhelimitedinformationyouhaveatthistime whatwouldyouanalyze andinwhatorder tosolvethisproblem 5 StateYourHypothesis Somefirmswantyoutostateahypothesisduringthecase preferablytowardthebeginningofthecase Theadvantagesarethatahypothesiswillhelpyouasktherightquestions makeyouranalysismorelinear andforceyoutofocusonissuesthatyoucaneitherproveordisprove Italsohelpsyouidentifywhichstructuretouse thusdefiningthestartingpoint Youaremostlikelytostateahypothesisinaninterviewee drivencase Thinkoftheprocessasoneofelimination TheFourKeyCaseScenarios 1 Profitandloss2 Enteringanewmarket3 Pricing4 Growthandincreasingsales 1 Profitandloss E P R C MTheErepresentstheeconomy andMrepresentsthemarketortheindustry Youalwayswanttolookatexternalfactorsfirst Goinginsidetheparenthesesisthesameasgoinginsidethecompany Startbyaskingquestionsaboutthecompany 1 Profitandloss E P R C MThecompany Whoarethey Whatdotheydo Whataretheirproducts Getintothehabitofwritingthesedownsotheybecomesecondnaturetoyou Marketleader Size intermsofrevenues publicorprivatelyheld Trendsingrowth Alwaysaskfortrends threeyearsisgood Productsorservices Productmix Revenuemixandtrends Customersegmentation Whatconstitutes success WCS 1 Profitandloss E P R C MReviewtherevenuestreams Theotherpartstotheprofit and eupwithsomesolutionstoraiseprofitsrevenue basedstrategies andcost basedstrategies 1 Profitandloss Questionstothinkabout Revenues 1 Whatarethemajorrevenuestreams andwhatpercentageofthetotalrevenuedoeseachstreamrepresent 2 Doesanythingseemunusualinthebalanceofpercentages 3 Havethepercentageschangedlately Ifso why Costs 1 Anymajorshiftsincosts 2 Doanycostsseemoutofline 3 Ifwebenchmarkedourcostsagainstourcompetitors costs whatwouldwefind ProductsWithnewproductsmakesureyouaskabouttheadvantagesanddisadvantages Everyoneforgetstoaskaboutthedisadvantages butdisadvantagesoftendrivethecasemorethantheadvantages 1 Profitandloss 2 EnteringaNewMarket Step1 Startoffwithquestionsaboutthecompany Whydoesthecompanywanttoenterthismarket Whataretheirrevenuestreamsandtrends Whatistheirproductmix Whataretheircostsandhowhavetheychangedovertime Whatmakesuptheircustomersegmentation Whatconstitutessuccess Howmuchmarketshareandinwhattimeframe 2 EnteringaNewMarket Step2 DeterminethestateofthecurrentandfuturemarketWhatisthesizeofthecurrentmarket Whatisthegrowthrate Askfortrends Whereistheindustryinitslifecycle Stageofdevelopment Emerging Mature Declining Whoarethecustomersandhowaretheysegmented Whatroledoestechnologyplayintheindustryandhowquicklywillitchange Howwillthecompetitionrespond 2 EnteringaNewMarket Step3 Investigatethemarkettodeterminewhetherentrymakesgoodbusinesssense Whoareourcompetitors andwhatsizemarketsharedotheyhave Howdotheirproductsdifferfromours Howwillwepriceourproductsorservices Aresubstitutionsavailable Arethereanybarrierstoentry Examplesmightincludecapitalrequirements accesstorawmaterials accesstodistributionchannels orgovernmentpolicy Aretherebarrierstoanexit Howwouldweexitifthismarketsours Whataretherisks Forexample marketregulationsortechnology 2 EnteringaNewMarket Step4 Ifwedecidetoenterthismarket weneedtofigureoutthebestwaytobecomeaplayer Therearethreemajorwaystoenteramarket Startfromscratchandgroworganically Acquireanexistingplayerfromwithintheindustry Formajointventure strategicalliancewithanotherplayerwithasimilarinterest Whatcanbothsidesbringtotheventure 2 EnteringaNewMarket Analyzetheprosandconsofeachstrategy Thisissometimescalledacost benefitanalysis Youcanusethiswheneveryouaretryingtodecidewhethertoproceedwithadecision Yournotesmightlooksomethinglikethis 2 EnteringaNewMarket M A Manyquestionsaboutenteringanewmarketarealsomergerandacquisitionquestions Thetwomostimportantfactorsaboutamergerarewhetheritincreasesshareholdervalueandwhetherthetwocultureswillmeshwell Culturalmismatchisthebiggestreasonmergersfailordon tliveuptotheirpotential M A HerearesomekeypointsaboutanM Aquestion Ifthebuyerisaprivateequityfirm asknotonly Whydotheywanttobuythecompany butalso Whatelsedotheyown IftheM Ainvolvesonecompanyacquiringanother asknotonly Why butalso Whatotherproductsdotheysell Theacquisitionneedstomakegoodbusinesssense Otherreasonstopurchase Increasemarketaccess boostthebrand andincreasemarketshare Diversifythecompany sholdings Pre emptthecompetitionfromacquiringthecompany Inheritmanagementtalent Obtainpatentsorlicenses Gainfromsynergies costsavings culturalintegration andtheexpansionofdistributionchannels M A HerearesomekeypointsaboutanM Aquestion Gaintaxadvantages Increaseshareholdervalue Duediligence Researchthecompanyandindustry Whatkindofshapeisthecompanyin Howsecureareitsmarkets customersandsuppliers Howistheindustrydoingoverall Andhowisthecompanydoingcomparedwiththeindustry Isitaleaderinthefield Whatarethemarginslike Aretheyhighvolume lowmargin orlowvolumeandhighmargins Howwillcompetitorsrespond Arethereanylegalreasonswecan torshouldn tacquirethetargetcompany Aretheretechnologyrisks 3 PricingStrategies Investigatethecompanyanditsobjective learnabouttheproductorserviceandthecompetition andthenpickapricingstrategy 3 PricingStrategies 3 PricingStrategies Step1 Investigatethecompany Howbigisit Whatproductsdoesithave andisitamarketleaderinthisfield Moreimportantwhatistheirobjective profits marketshare orbrandpositioning Isitinchargeofitsownpricingstrategies orisitreactingtosuppliers themarket andcompetitors Step2 Investigatetheproduct Howdoesitcomparewiththatofthecompetition Aretheresubstitutionsoralternatives Whereistheproductinitsgrowthcycle Isthereasupply and demandissueatwork Step3 Determineapricingstrategy Therearethreemainpricingstrategiestothinkabout competitiveanalysis cost basedpricing andprice basedcosting 3 PricingStrategies CompetitiveAnalysis Aretheresimilarproductsoutthere Howdoesourproductcomparewiththecompetition Doweknowthecompetitor scosts Howaretheypriced Aretheresubstitutionsavailable Isthereasupply and demandissue Whatwillthecompetitiveresponsebe Weneedtotakethatintoaccount Cost BasedPricing Takeallourcosts addthemup andaddaprofittoit Thiswayyou llknowyourbreak evenpoint Price BasedCosting Whatarepeoplewillingtopayforthisproduct Ifthey renotwillingtopaymorethanwhatitcostsyoutomaketheproduct thenitmightnotbeworthmaking Ontheotherhand consumersmaybewillingtopaymuchmorethanjustyourcostandaprofitmargin Profitmarginsvarygreatlybyindustry grocerystoreshaveaverythinprofitmargin whiledrugcompaniestraditionallyhavealargeone Alsoconsiderwhatyourproductwillbeworthtothebuyer Compareitwithotherproductsorservicesintheirlives Whatdidtheypayforthose TheFiveDeadlyBusinessSins Thethirddeadlysiniscost drivenpricing Theirargument Wehavetorecoverourcostsandmakeaprofit Thisistruebutirrelevant Customersdonotseeitastheirjobtoensuremanufacturersaprofit Theonlysoundwaytopriceistostartoutwithwhatthemarketiswillingtopay andthus itmustbeassumed whatthecompetitionwillcharge anddesigntothatpricespecification PartitionPricing Pricingquestionsbecomemoredifficultandinterestingwhenyougetacaseaboutpartitionpricing meaningthatyouchargeseparatelyfordelivery shipping installation andwarranties versusbundlingeverythingintooneprice 4 GrowthandIncreasingSales Increasingsalescanmeanincreasingvolume increasingrevenues orboth 4 GrowthandIncreasingSales Hypothesis Byloweringitsprices BBBcanincreaseitssalestobecomethelargestdistributor Increasingsalescanmeanincreasingvolume increasingrevenues orboth Step1 Learnaboutthecompanyanditssize resources andproducts Step2 Investigatetheindustry Isitgrowing andhowistheclientgrowingcomparedwiththeindustry Aretheclients pricesinlinewithitscompetitors Increasevolume Expandthenumberofdistributionchannels Increaseproductlinethroughdiversificationofproductsorservices particularlywithproductsthatwon tcannibalizesalesfromexistingproducts Analyzethesegmentsofthebusinessthathavethehighestfuturepotential Investinamarketingcampaign Acquireacompetitor particularlyifthequestionisaboutincreasingmarketshare Adjustprices lowerthemtoincreasevolumeandraisethemtodecreasedemandorincreaseprofits Createaseasonalbalance Increasesalesineveryquarter ifyouownanursery sellflowersinthespring herbsinthesummer pumpkinsinthefall andChristmastreesandgarlandsinthewinter Anotherwayforacompanytogrowistofindnichesindevelopingindustrieswithhighbarrierstoentry Therewillbelesscompetitionandmorenoticeifsomeoneistryingtoenter KeyQuestionsforAdditionalScenarios IndustryAnalysis Investigatetheindustryoverall Whereisitinitslifecycle Emerging Mature Declining Howhastheindustrybeenperforming growingordeclining overthelastone two five andtenyears Howhavewebeendoingcomparedwiththeindustry Whoarethemajorplayersandwhatmarketsharedoeseachhave Whohastherest Hastheindustryseenanymajorchangeslately Thesemightincludenewplayers newtechnology andincreasedregulation Whatdrivestheindustry Brand products size economics ortechnology Profitability Whatarethemargins Suppliers Howmanyarethere Whatistheirproductavailability What sgoingonintheirmarket Howisthesupplychain Arethecompaniesthatsupplyyougettingwhattheyneedfromtheirsuppliers KeyQuestionsforAdditionalScenarios TheFuture Areplayersenteringorleavingthemarket Areanymergersoracquisitionsgoingon Arethereanybarrierstoentryorexit Substitutions whatalternativesarethere Developinganewproduct Thinkabouttheproduct What sspecialorproprietaryaboutit Istheproductpatented Forhowlong Aretheresimilarproductsoutthere Aretheresubstitutions Whataretheadvantagesanddisadvantagesofthisnewproduct Howdoesthisnewproductfitinwiththerestofourproductline Canoursalesforcesellit KeyQuestionsforAdditionalScenarios Developinganewproduct Thinkaboutmarketstrategy Howdoesthisstrategyaffectourexistingproductline Arewecannibalizingourownsalesfromanexistingproduct Arewereplacinganexistingproduct Howwillthisstrategyexpandourcustomerbaseandincreaseoursales Whatwillthecompetitiveresponsebe Ifweareenteringanewmarket whatarethebarrierstoentry KeyQuestionsforAdditionalScenarios Developinganewproduct Whoarethemajorplayersandwhataretheirrespectivemarketshares Thinkaboutcustomers Whoareourcustomersandwhatisimportanttothem Howaretheysegmented Howcanwebestreachthem Howcanweensurethatweretainthem Funding Howisthisproductbeingfunded Doesourcompanyhavethecashoraretheytakingondebt Andcanwesupportthedebtundervariouseconomicconditions Whatisthebestallocationoffunds KeyQuestionsforAdditionalScenarios Howmanyunitscanweexpecttosell Sometimesyouwillgetacaseinvolvinganewproduct particularlyinthehightechfield Theinterviewermayaskyou Whatisthemarketsizeforthisproductandhowmanyunitscanweexpecttosellthefirstyear Therearetwothingstokeepinmind First itisveryrareforanewproduct nomattergooditis togetmorethan10percentofthemarketthefirstyear Itismorelikelytobebetween3percentand5percent Itdependsonthemarket thestrengthofthecompetition andhowmuchbetterthisnewproductisthanitscompetitors Second youshouldtakeintoconsiderationtheRogersAdoption InnovationCurve Drawthecurve thenturnyournotestowardtheinterv