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Subject(s)
Strategy and general management
Keyword(s)
low-income consumers, poverty, developing countries, rural marketing, sales strategy, sales management, base of the pyramid, marketing, Africa, Nigeria, telecommunication, mobile communication, convergence
This is a two part case study that explores Celtel Nigeria's innovative approach to serving the rural poor. The A Case provides an overview of the mobile telecommunications market in Nigeria as of mid 2007, as well as detailed demographic and socioeconomic information. At the time of the case Celtel Nigeria is the second largest mobile telecommunications company in the Nigerian market with a 28% market share and subscriber base of approximately 8 million. The company has experienced considerable success in serving Nigeria's cities and larger towns, but has only recently shifted its attention to serving poorer consumers in rural areas - a massive but as of yet under tapped market. But this shift from urban to rural has not been easy, and although some 50% of Nigeria's population lives in rural regions the challenges of reaching them sometimes seem overwhelming. The absence of a reliable national electricity grid means that the company's rural telecommunications towers have to be run on diesel generators, resulting in high maintenance and diesel fuel costs. Theft and vandalism of expensive communications equipment and generators has emerged as a major concern, resulting in the need to employ full-time security guards on virtually every base station site outside of urban areas. The distribution and marketing of products and services is also a challenge, with existing distributor networks well established in urban areas, but virtually absent from the countryside. On top of all this, while there is real demand for telecommunications services most consumers in rural areas still see mobile telephony as an expensive necessity, with affordability remaining a very real issue for many communities. At the end of the A Case Celtel Nigeria's Chief Operating Officer Lars Stork is pondering the challenges of bringing the benefits of mobile telecommunications to Nigeria's rural poor, setting the scene for analysis by students in suggesting potential route to market approaches for the company. The B Case demonstrates how Celtel has been able to implement a highly innovative marketing strategy to serve low-income rural customers. At the heart of this marketing approach is what is called the Rural Acquisition Initiative (RAI), a micro-franchising model involving partnerships with local entrepreneurs. It is recommended that both Case A and B are distributed to students, but the case can also be taught if only the A Case is distributed. In the latter situation, instructors will still need to review the B case to be able to explain the business model behind the rural acquisition model. There is also PowerPoint pack and video CD-Rom to complement the case study, and both are highly recommended to enhance the classroom experience. Both can be ordered via the ECCH Collis website.
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Subject(s)
Strategy and general management
Keyword(s)
low-income consumers, poverty, developing countries, rural marketing, sales strategy, sales management, base of the pyramid, marketing, Africa, Nigeria, telecommunication, mobile communication, convergence
This is the second of a two-case series (ESMT-309-0096-1 and ESMT-309-0097-1 ). The cases explore Celtel Nigeria's innovative approach to serving the rural poor. The (A) case provides an overview of the mobile telecommunications market in Nigeria as of mid 2007, as well as detailed demographic and socioeconomic information. At the time of the case Celtel Nigeria is the second largest mobile telecommunications company in the Nigerian market with a 28% market share and a subscriber base of approximately 8 million. The company has experienced considerable success in serving Nigeria's cities and larger towns, but has only recently shifted its attention to serving poorer consumers in rural areas - a massive but as of yet untapped market. But this shift from urban to rural has not been easy, and although some 50% of Nigeria's population live in rural regions the challenges of reaching them sometimes seem overwhelming. The absence of a reliable national electricity grid means that the company's rural telecommunication towers have to be run on diesel generators, resulting in high maintenance and diesel fuel costs. Theft and vandalism of expensive communications equipment and generators has emerged as a major concern, resulting in the need to employ full-time security guards on virtually every base station site outside of urban areas. The distribution and marketing of products and services is also a challenge, with existing distributor networks well established in urban areas, but virtually absent from the countryside. On top of all this, while there is a real demand for telecommunications services most consumers in rural areas still see mobile telephony as an expensive necessity, with affordability remaining a very real issue for many communities. At the end of the (A) case Celtel Nigeria's Chief Operating Officer Lars Stork is pondering the challenges of bringing the benefits of mobile telecommunications to Nigeria's rural poor, setting the scene for analysis by students in suggesting potential route to market approaches for the company. The (B) case demonstrates how Celtel has been able to implement a highly innovative marketing strategy to serve low-income rural customers. At the heart of this marketing approach is what is called the Rural Acquisition Initiative (RAI), a micro-franchising model involving partnerships with local entrepreneurs. It is recommended that both case (A) and (B) are distributed to students, but the case can also be taught if only the (A) case is distributed. In the latter situation, instructors will still need to review the (B) case to be able to explain the business model behind the rural acquisition model.
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Subject(s)
Strategy and general management
Keyword(s)
liberalization, change in industry environment, industry analysis, different kind of competitor groups, transformation, drivers of change, company model, hard- and software of a company, areas of change, role of CEO, role of middle management, transformational leadership, kind of transformations
The case aims to leverage the telecommunications industry as an earlier analogue for the development of infrastructural industries (e.g. utilities, railways, aviation) in times after liberalization. It describes the years of Deutsche Telekom CEO Kai-Uwe Ricke. By doing so, it provides students with the opportunity to analyze the need to adjust the company model to a changing competitive environment and the role of leadership in times of transition.
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Subject(s)
Ethics and social responsibility
Keyword(s)
ethics, financial crisis, toxic products, general management, responsible leadership
This short (1 page) case describes 38 year-old George Martin, who is having second thoughts about the possible 'toxic' effects of video games - the main business of the division where he is currently CFO. His concern is focused on violent video games in particular, and the widespread concern that they are easily accessible to children of all ages, some of whom may be influenceable by what they see. Apparently George may soon be offered an opportunity to take over as General Manager of the division, and on an evening out with two friends from 'B'-school days (one with responsibility for a sport utility vehicle automobile line, and the other working for a leading tobacco brand) they discuss the recent financial crisis and the 'toxic' products which triggered it. A conversation in a bar raises the question about the toxicity of their own businesses, and implicitly the issue of their own responsibility as executives, relative to that of the consumer who buys the product, or government who might provide oversight and regulation.
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Subject(s)
Strategy and general management
Keyword(s)
boards, board-management relationship, board-CEO relationship, board information needs, board composition, board responsibilities
Greta Braun, a well respected German Professor of Management, joins the board of Infotech as one of only two non-executive directors. The first board meeting is a surprise since a 5 million euro acquisition decision is passed without any significant questioning or debate. After the board meeting she questions the board chairman about board functioning and procedures. The upshot is that she, as a newcomer and relative outsider, is asked to prepare her thoughts on these issues for the next board meeting. The board chairman suggests that two main subjects should be put on the table: First, how the board, which includes three founder-owners, should relate to the CEO (who is one of these); second, what kind of information the board should expect to get from management to do its job and fulfill its legal obligations.
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Subject(s)
Human resources management/organizational behavior
Keyword(s)
career, executive education, executive development
Personal Career Workout for Executives is a courseware developed to help instructors and executive coaches and consultants discuss topics related to careers and career management with experienced course participants and coaching clients. This courseware is developed to introduce the topic of careers and career management to adult audiences and to help program participants engage in reflection and/or discussions related to their own careers.
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Subject(s)
Human resources management/organizational behavior
Keyword(s)
leadership, change, leadership archetypes, situational leadership, leading change, transformational change, change curve, adaptive change, leadership career cycles
The case opens with a brief overview of the successful past of "Bayern", introduces the main players in Bayern Munich's leadership team, gives an insight into the club leadership's aspirations for European Champions League title, and illustrates the club's indispensable demand for short term success. The case continuous reporting the many changes that Klinsmann introduced to club and team after taking over his new responsibilities before it then gives an account of the season 2008/2009. The case culminates in Klinsmann getting fired and the club management's return to the exact same philosophies that were valid before Klinsmann's arrival.
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Subject(s)
Human resources management/organizational behavior
Keyword(s)
team management, leadership, crew resource management, crisis management
The cases are used to introduce the concept of collective responsibility and leadership in team situations by applying the concept of Crew Resource Management for teams in a management setting. By drawing from the metaphor of aircrews to corporate scenarios challenges in leadership teams could be discussed in a wider context. Both cases describe the interaction of airline crews who are confronted with a non-routine problem that they have to solve. In the case of United Airlines 173 the crew ceases to function as team and the fully functional plane eventually crashes. As a result of this accident the concept of Crew Resource Management has been developed to optimize teamwork within the hierarchical structure of a cockpit crew. The case of United Airlines 232 complements the first case as it describes an airline crew that was confronted with a severe engine failure making their plane almost uncontrollable (similar prior accidents always resulted in the loss of the aircraft in non-survivable crashes). Using core elements of Crew Resource Management the crew was nevertheless able to achieve a survivable landing of the plane. Both cases cover essentially the last 30 minutes of both flights and focus on the communication of the flight crews.
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Subject(s)
Human resources management/organizational behavior
Keyword(s)
Team management, leadership, crew resource management, crisis management
The cases are used to introduce the concept of collective responsibility and leadership in team situations by applying the concept of Crew Resource Management for teams in a management setting. By drawing from the metaphor of aircrews to corporate scenarios challenges in leadership teams could be discussed in a wider context. Both cases describe the interaction of airline crews who are confronted with a non-routine problem that they have to solve. In the case of United Airlines 173 the crew ceases to function as team and the fully functional plane eventually crashes. As a result of this accident the concept of Crew Resource Management has been developed to optimize teamwork within the hierarchical structure of a cockpit crew. The case of United Airlines 232 complements the first case as it describes an airline crew that was confronted with a severe engine failure making their plane almost uncontrollable (similar prior accidents always resulted in the loss of the aircraft in non-survivable crashes). Using core elements of Crew Resource Management the crew was nevertheless able to achieve a survivable landing of the plane. Both cases cover essentially the last 30 minutes of both flights and focus on the communication of the flight crews.
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Subject(s)
Ethics and social responsibility
Keyword(s)
banking, ethics, conflict of interest, politics, leadership, crew resource management
This case describes the events that led to the near-collapse of Bankgesellschaft Berlin and the subsequent restructuring that was completed in July 2007. The state-owned bank was saved from failure by a capital injection of 1.8 billion euros and a guarantee for the covering of losses of up to 21.7 billion euros provided by the state of Berlin. These measures almost bankrupted the state of Berlin and had wide-ranging political consequences. The case therefore highlights the current problems of the German banking system, which is dominated by publicly-owned savings banks. The case covers the events of Bankgesellschaft Berlin between 1996 and 2006. It opens with Thomas Kurze, a member of the management board of Bankgesellschaft Berlin, in November 2000. He has to decide on a proposal for raising cash to prevent the looming collapse of the bank. The dilemma of Thomas Kurze is told from two angles: (1) the managerial angle focuses on saving the bank through recapitalisation or restructuring, and on the limits set by the co-determination of the supervisory board; and (2) the personal angle focuses on his individual responsibility to the bank versus the pressure and demands of the politicians involved. This includes the discussion of his personal values being in conflict with the bank. The case has students analyse the impact of a public shareholder with multiple interests on a major German bank, and the flawed governance structure of which has led it to near-collapse. Students will furthermore discuss the choices a business leader has when faced with this dilemma. The case was written entirely using publicly available information - especially information from public hearings and a special report of the Berlin parliament published in 2006.
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