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The Case Folio
ISSN: 0972-5350

March '18
Previous Issues

Case Folio - The IUP Journal of Management Case Studies, a quarterly refereed publication, focuses on thought-provoking case studies covering different aspects of management. Case Folio is a useful reference for all executives, managers, practitioners, faculty members, and students. The journal is in publication since January 2002.

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  • A quarterly refereed journal focusing on thought-provoking case studies covering different aspects of management.
  • Selected teaching cases that faculty members and trainers around the world will love to take into their classrooms.
  • A useful reference for all executives, managers, practitioners, faculty members and students who want to upgrade their knowledge and skills
 
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Contents
(March 2018)

Can Starbucks Sustain Its High Prices in China?

-- Debapratim Purkayastha, Benudhar Sahu, S V Seshaiah and Trilochan Tripathy

The case is about Starbucks’ pricing strategy in China under which the company charged higher prices for its products than in Western countries. Starbucks is considered a success story in China as it was able to convert the traditional tea drinkers of the nation to coffee lovers through its premium offerings. The premium pricing strategy of the company aimed at improving its brand positioning in the Chinese market where the consumers’ perception was that high price products offered higher quality. However, the pricing strategy attracted criticism from the media outlets in China that accused the coffee giant of “profiteering” and of discriminating against its Chinese consumers. Starbucks defended it pricing strategy in China saying that its higher prices were attributable to its higher cost of doing business in the country than in other markets. Howard Schultz, CEO of Starbucks, saw China as a primary growth market and had ambitious growth plans at a time when there was worldwide anxiety over the country’s sluggish economy and market turmoil. However, with competition growing in the market, can Starbucks sustain its high prices in China?

Semsom US: Market Entry in New York City

--Lorenz Graf-Vlachy

This case was written with the support of a Case Writing Scholarship awarded by The Case Centre. The case traces the story of two sisters from Lebanon who cannot find good hummus in New York City. One of the sisters is Christine Assouad Sfeir, the first Dunkin’ Donuts franchisee in Lebanon, and the other is Carine Assouad, a graphics designer by training, who works as a strategy consultant. Frustrated with their disappointing experiences with Lebanese food in New York, they decide to open a chain of Lebanese quick-serve-restaurants in the United States. But is this an attractive industry? What is it that makes an industry attractive? Which industry are they getting themselves into in the first place? And, of course: Do they have what it takes to be successful, to gain a competitive advantage?

Natural Calamities and Supply Chain Management: Case of Toyota Motor Corporation

--Emil Mathew

The case study, intended to teach the students of business management, gives insights on the inherent weaknesses of an integrated supply chain to respond quickly to massive disruptions such as an earthquake. The case explores how Toyota Motor Corporation, widely known for its innovative production and management systems, confronted a severe crisis and consequently reframed their business continuity plan to accommodate a massive distress of such a kind. In the present scenario of globally integrated supply chain management systems, most of the multinational manufacturers rely on components produced globally and hence, consequences of natural disasters are not limited to the country where it originates. It calls for evolving a broader understanding about the production relations wherein the suppliers at various tiers too are interlinked with end production units. Moreover, it gives an understanding that beyond cost minimization, the factors such as geographical diversification of production, alternative sources of suppliers, developing locally self-sufficient producing units and ensuring large stock of inventories to be reconsidered to survive in the market.

Blue Apron Inc.: Success and Challenges

-- Rupali Chaudhury and Syeda Maseeha Qumer

The case discusses the successful journey of subscription-based meal kit delivery startup Blue Apron. Founded in 2012, Blue Apron is one of the fastest-growing food delivery businesses in the US. The company adopted a unique business model by mailing perfectly portioned, prepackaged ingredients and recipe cards to home cooks in need of handholding. Instead of shipping out finished meals, Blue Apron let its customers be the chefs, delivering recipes and fresh ingredients to people all over the US. Though the company was profitable in just the third quarter of 2016, its growth was impressive. In 2016, Blue Apron generated revenue of about $795.4 mn by delivering about eight million meals per month to customers. However, the meal kit delivery startup faced some challenges as it accelerated into a bigger company. One of the biggest challenges was the cost of attracting new customers and the retention of existing customers. The company also had to face some operational challenges due to its broader product expansion. Moreover, intense competition and Amazon’s plan to launch its own meal kits made things difficult for Blue Apron. It remains to be seen how Blue Apron will survive the challenges that come its way.

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Automated Teller Machines (ATMs): The Changing Face of Banking in India

Bank Management
Information and communication technology has changed the way in which banks provide services to its customers. These days the customers are able to perform their routine banking transactions without even entering the bank premises. ATM is one such development in recent years, which provides remote banking services all over the world, including India. This paper analyzes the development of this self-service banking in India based on the secondary data.

The Information and Communication Technology (ICT) is playing a very important role in the progress and advancement in almost all walks of life. The deregulated environment has provided an opportunity to restructure the means and methods of delivery of services in many areas, including the banking sector. The ICT has been a focused issue in the past two decades in Indian banking. In fact, ICTs are enabling the banks to change the way in which they are functioning. Improved customer service has become very important for the very survival and growth of banking sector in the reforms era. The technological advancements, deregulations, and intense competition due to the entry of private sector and foreign banks have altered the face of banking from one of mere intermediation to one of provider of quick, efficient and customer-friendly services. With the introduction and adoption of ICT in the banking sector, the customers are fast moving away from the traditional branch banking system to the convenient and comfort of virtual banking. The most important virtual banking services are phone banking, mobile banking, Internet banking and ATM banking. These electronic channels have enhanced the delivery of banking services accurately and efficiently to the customers. The ATMs are an important part of a bank’s alternative channel to reach the customers, to showcase products and services and to create brand awareness. This is reflected in the increase in the number of ATMs all over the world. ATM is one of the most widely used remote banking services all over the world, including India. This paper analyzes the growth of ATMs of different bank groups in India.
International Scenario

If ATMs are largely available over geographically dispersed areas, the benefit from using an ATM will increase as customers will be able to access their bank accounts from any geographic location. This would imply that the value of an ATM network increases with the number of available ATM locations, and the value of a bank network to a customer will be determined in part by the final network size of the banking system. The statistical information on the growth of branches and ATM network in select countries.

Indian Scenario

The financial services industry in India has witnessed a phenomenal growth, diversification and specialization since the initiation of financial sector reforms in 1991. Greater customer orientation is the only way to retain customer loyalty and withstand competition in the liberalized world. In a market-driven strategy of development, customer preference is of paramount importance in any economy. Gone are the days when customers used to come to the doorsteps of banks. Now the banks are required to chase the customers; only those banks which are customercentric and extremely focused on the needs of their clients can succeed in their business today.

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