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  Lenovo’s Q2 profit doubled to USD 162 mln, boosted by PC and data centre business
  Source: China Knowledge, Aug 19, 2019
  Chinese tech giant Lenovo Group Limited (Lenovo) more than doubled its profit in the quarter ended in June as its PC market share hit a record high and its internet data centre business performed strongly. The tech giant has consolidated its position as the world’s largest PC maker, grabbing a record 24.9% market share in the quarter. During the quarter, the company’s YoY growth reached 4.4% as the easing of supply shortage combined with looming trade tensions which increased the demand. Lenovo’s PC shipments grew 18.2% YoY to 16.25 mln units, far better than second placed HP Inc. which grew only 3.2%.
  Our Case Study on Lenovo:
  After becoming a market leader in the Chinese PC market, several international acquisitions helped Lenovo establish a presence in global markets. The company’s 2005 acquisition of the PC division of International Business Machine (IBM) gave the Lenovo brand global recognition. Lenovo’s 2011 acquisition of Medion and a joint PC venture with NEC Corporation helped the company transform from a small Chinese electronics company into the world’s largest PC maker by shipping over 53 million units in 2013.
  After some initial success with its ‘Protect and Attack’ strategy, Lenovo started to face reverses. In 2017, it lost its PC crown i.e. market leadership in the global personal computers (PCs) market, to its arch rival Hewlett-Packard (HP). To know more, read our case:
  “Can Lenovo Regain Glory with New Strategy?”
  Brexit minister signs order to end all EU law in Britain
  Source: China.org.cn, Aug 19, 2019
  Brexit Secretary Stephen Barclay has signed an order that will end all European Union (EU) Law applying in Britain from Oct. 31, 2019. Barclay has signed into law legislation to repeal the Act of Parliament which set in stone Britain's EU (then EEC) membership in 1972. The order will repeal the 1972 Act, and bring the European Union Withdrawal Act into force. The repeal of the 1972 Act will take effect when Britain formally leaves the EU on Oct. 31.
  Our Case Studies:
  In a referendum held on June 23, 2016, Britain decided to exit the EU and snap relations with the 28-member nations club. Ever since the UK joined the EU, there had been heated debates on the value of its membership in the bloc that had prompted the emergence of a group of euroskeptics in Britain who led the movement for Britain’s exit, or Brexit, from the EU. To know about Brexit, read our cases:
  “BREXIT: The Debate, the Decision, and the Aftermath”
  “Britain after Brexit: an Uncertain Future Ahead”
  Grofers claims it is on track to hit INR550 crore gross merchandise value in August
  Source: The Economic Times, August 13, 2019
  E-grocery retailer Grofers claimed it was on track to hit Rs 550 crore in monthly gross merchandise value (GMV) on the back of its semi-annual sale, which has been running for the past two days. The company beats its closest rival BigBasket when it comes to gross sales per month.
  Our Case:
  Grofers was started in 2013 as a B2B company to act as an intermediary between mandis, shops and customers. It ventured into B2C business connecting customers with their local neighborhood merchants such as grocery shops, fruit and vegetable vendors, bakeries or pharmaceuticals, toy shops, via apps on Android and iOS. Initially it started operating in New Delhi and slowly expanded to other major cities in India. Though Grofers expanded rapidly, it faced several complications in its operations. To know more, read our case:
  “Grofers: Will the Hyper Local B2C Model Survive?”
  Tata Starbucks enters Gujarat with 5 new stores in Ahmedabad and Surat
  Source: FnBNews.com, August 8, 2019
  Tata Starbucks Pvt. Ltd. has entered Gujarat with the opening of five new stores across Ahmedabad and Surat. India continues to be one of Starbucks’ fastest-growing markets, and with the expansion into the two cities, Starbucks as of today has presence in 10 cities across the country. Ahmedabad and Surat will be home to the new Starbucks stores and will be open to customers from August 8, 2019 onwards.
  Our Case:
  Starbucks was established in the year 1971 in Seattle, US. It entered India in 2012 through a joint venture with India-based Tata Global Beverages. During the early days of its opening in October 2012, customers lined up to take a sip of the branded hot beverage. To know more, read our cases:
  “Starbucks' Foray into Tea-Drinking India”
  “Starbucks in India: Serving the Indian Brew”
  “Supply Chain Transformation at Starbucks (A)”
  “Supply Chain Transformation at Starbucks (B)”
Zomato Lays off about 100 Employees in Cost-cutting Drive
  Source: Moneycontrol.com, Aug 08, 2019
  Food delivery and restaurant discovery platform Zomato has laid-off around 70-100 employees in its customer support team at its office in Gurgaon, India, as the company looks to cut costs and reduce redundancies across its food delivery business. Zomato currently spends anywhere Rs 4- Rs 5 per order on customer support and after-sales services on each food order.
  Our Case:
  Zomato was launched in 2008 by Deepinder Goyal (Goyal). It was able to raise funds from various investors and in no time expanded pan India and by 2012 reached its first oversees location. By 2015, it was operating in 23 countries. With rapid expansion and increased competition, the revenue of the company kept growing. However, EBITDA was negative and was continuing to fall. To know more, read our case:
  “Zomato: Downsizing to Remain Competitive”
OYO Ramps up Presence in UK; Expands to Over 100 Hotels across 25 Cities
  Source: Business Standard, August 7, 2019
  Ritesh Agarwal-led OYO Hotels & Homes has increased its presence in the UK to over 100 hotels across 25 major cities and towns, including London, Manchester, Edinburgh, Glasgow, Blackpool and Torquay. Its UK business, which is less than a year-old, has tripled its portfolio in the past three months.
  Our Case:
  OYO began in 2012 as Oravel Stays and Private Ltd. (Oravel). In 2013, the company was named as OYO Rooms. Backed by a number of investors the company continued to raise funds and expand. To know about OYO’s domestic and global expansions till date, read our case:
  “OYO – From a Startup to a Global Hotel Chain”
Flipkart Plans to Launch Free Video Streaming Service
  Source: Livemint, Aug 6, 2019
  Walmart’s Flipkart unit is set to introduce a free video streaming service to draw new users from small towns and cities in India and take on rival Amazon’s Prime Video service. Flipkart is eyeing the next 200 million consumers who are coming online. The video content offering is focused on three primary aspects: it’s free, curated and personalized.
  Our Case:
  Flipkart began as an e-retailer of books in 2007, had expanded its offerings to include electronics, shoes, apparel, and home furnishing over a period of time. It had become the first Indian Internet company to be valued at a billion dollars. To know about strategies Flipkart adopted for its growth, read our case:
  “Flipkart: The Growth Strategies of India’s First Billion Dollar.Com Company”
Ikea Plans to Set up Smaller Format Stores this Year, Decides to go Online
  Source: Business Standard, August 5, 2019
  As part of a major change in its strategy, Swedish furniture retailer giant Ikea is scouting for locations in Mumbai, India to set up five to six smaller format stores. These smaller outlets will offer a more limited array of products and services. The stores will be in the range 50,000-150,000 square feet, one-third to a tenth of the size of their flagship stores, which go up to 500,000 square feet.
  Our Cases:
  IKEA has its presence in 44 countries around the globe – in countries like the US, the UK, Russia, the Euro region, Japan, China, Australia, etc. However, it did not enter the Indian market till 2013, though the company had its presence in the country since the 1980s as a sourcing destination for its global stores. After years of lobbying, and negotiating with and convincing the Indian politicos and bureaucrats, on May 2, 2013, IKEA's €1.5 billion investment proposal to set up its stores in India was finally accepted by the local government. To know about issues related to IKEA's market entry strategy and expansion in India, read our case:
  “Business Model and Competitive Strategy of IKEA in India”
Patanjali Urban Sales Shrink, Rural Growth Down to a Third
  Source: The Economic Times, Aug 05, 2019
  The Baba Ramdev-led firm Patanjali Ayurved’s sales in volume terms have shrunk in cities, while growth reduced to a third in villages even as the overall market for natural products continues to grow, a new study has found. The firm’s urban volume sales declined 2.7% during the 12 months ended April 2019, while its rural sales grew 15.7%, according to Kantar Worldpanel (formerly IMRB).
  The overall natural products market grew 3.5% in urban India, unchanged from a year-ago period, while the rural market expanded 5% against 4.4% earlier. A year ago, the company had grown 21.1% in urban areas and 45.2% in the hinterland during the same period.
  Our case:
  Patanjali Ayurved priced its products cheaper than its competitors by sourcing raw materials directly from farmers. It wanted to quickly expand its business across the country and reach more customers through establishing exclusive retail outlets, consolidating its online presence, and entering into tie-ups with retail chains. However, some analysts were skeptical about the company’s growth prospects. To know about Patanjali’s growth strategies to face stiff competition in the market, read our case:
  “Patanjali Ayurved: Will the Growth Momentum Sustain?”
  “Patanjali Products: Disruptive Force in the Indian FMCG Market”
Vodafone Idea Plunges 21% on Poor Q1 Show
  Source: moneycontrol
  Share price of India's largest telecom operator Vodafone Idea Ltd. touched 52-week low of INR7.30, down 21% intraday July 29, 2019 as the company reported poor numbers in the quarter ended June 2019. The company reported net loss at INR4,873.9 crore in the Q1FY20 against loss of INR 4,881.9 crore in the quarter ended March 2019. Revenue of the company decreased to INR11,270 crore from INR11,775 crore.
  Our Cases:
  Reeling under intense competition and the changing dynamics within India’s telecom sector, Idea Cellular Ltd. and Vodafone India announced on March 21, 2017, that they had decided to merge in a $23 billion deal. To know about the rationale behind the Vodafone and Idea merger, read our case:
  “Can Vodafone-Idea Emerge as India’s Top Telecom Provider?”
  “Idea – Vodafone Merger: Consolidation in the Indian Telecom Sector”

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