In this case, James Jones and William West's company, JW Sports Supplies, has begun to offer a second product line?a customized gym bag. The owners consider the topic of overhead allocation in determining the cost of its basic gym bag and the new customized gym bag. The company currently uses a traditional overhead allocation system, with one cost pool being allocated based on units. Noticing that
James Jones and William West started a company to make what they considered the ideal gym bag, one that would incorporate the features they both desired and that would be of a sufficient quality to withstand a regular workout schedule for several years. They each made a modest investment to start their new company?JW Sports Supplies?and began operating on the side while they continued their respec
In this case, the owners of JW Sports Supplies consider the possibility of dropping the custom gym bag product line. Students must consider which costs are avoidable and which are not avoidable if the product line is dropped, and quantify the profit impact of dropping the product line.
In March 2009, Ulrich Bez, CEO of British carmaker Aston Martin Lagonda Ltd., found himself grappling with some tough news from Switzerland. The company had just debuted a novel car concept, its first crossover model under its rarely used historic Lagonda brand, at the Geneva Motor Show, but the negative press criticizing the four-wheel drive, four-seater car's design and concept was troubling an
Devising a financial strategy for a small, rapidly growing European document reproduction service firm is the focus of this case. By 1996, the entrepreneurs have proved the viability of their store concept in Lisbon, Portugal, and need capital to expand across Europe and take the firm public by 2000. Students must assess the capital requirements necessary to support the ambitious growth plan, valu
Pressure was mounting on the project managers responsible for the development of the federally facilitated marketplace (FFM) for HealthCare.gov. Two years had passed since President Barack Obama signed the Patient Protection and Affordable Care Act, commonly referred to as the Affordable Care Act (ACA) or Obamacare, his landmark health care overhaul, into law on March 23, 2010. The U. S. Departme
This case, along with its A case (UVA-QA-0864), is an effective vehicle for introducing students to the use of machine learning techniques for classification. The specific context is predicting customer retention based on a wide range of customer attributes/features. The specific techniques could include (but are not limited to): regressions (linear and logistic), variable selection (forward/backw
This case, along with its B case (UVA-QA-0865), is an effective vehicle for introducing students to the use of machine learning techniques for classification. The specific context is predicting customer retention based on a wide range of customer attributes/features. The specific techniques could include (but are not limited to): regressions (linear and logistic), variable selection (forward/backw
This is a Spanish translation of the Mar. 13, 2009 version of UVA-F-1552.
This case examines the April 2007 decision of British music company EMI to suspend its annual dividend as the company struggled to respond to the effect of digital audio distribution on its core business. The EMI case is intended to serve as an engaging introduction to corporate financial policy and themes in managing the
Mike Thomas, director of customer relationships at the second-leading provider of residential security systems in the United States, set out to examine data from 61,235 customer "saves" in order to determine if the offer used to persuade a customer not to discontinue service affected the subsequent longevity of the saved relationship. If some offers led to longer subsequent relationships, Thomas's
The background regarding sales for the two-case series "Napco in 2009: Relaunching the Five Stars Restaurants Project" cases A and B, is presented in this case. This case and the two-part series are designed to be used as a set; however, sufficient background is provided in the A case for instructors to use the two-part series independently of this background case.
This note is a discussion of the basics of corporate bankruptcy, including voluntary settlements as an alternative to seeking the protection of the court. The background of the bankruptcy laws and the changes created by the 1978 Bankruptcy Code are reviewed. Creditor classes are identified, and the basic terms of preferences are outlined. The role of negotiations within the framework of the law is
This is a Spanish translation of the Mar. 31, 2014 version of UVA-OB-1051.
What kind of culture does Walt Disney Company (WDC) want to create? This case uses the experiences of a young visitor to one of WDC's resort hotels to set the stage for an analysis of selecting, hiring, training, and retaining and how those practices are governed by the culture of a large American company. The situation pr
This is a Spanish translation of the June 27, 2011 version of UVA-M-0777.
An iconic American brand must determine how to maximize net profit by increasing the sales of its highest-margin items in the face of constant retailer pushback including reduced shelf space and promotional support of those same products. This case is suitable for required MBA marketing courses as well as pricing and brand
This is a Russian translation of the May 23, 2010 version of UVA-QA-0587.
The Liquid Gold cases (see also the B case, UVA-QA-0588) are an adaptation of the earlier Calambra Olive Oil cases (UVA-QA-0440 and UVA-QA-0442). This version supports a modified classroom experience. The cases describe the start-up of Calambra, a company built to sell a premier brand of olive oil. Frank Lockfeld, the found
This is a Russian translation of the June 24, 2005 version of UVA-M-0718.
This technical note defines, describes, and illustrates the most common metrics marketers used to monitor and manage customer relationships. Among the metrics covered are customer counts, recency, retention rates, customer profitability and customer lifetime value.
The Strategist's Toolkit is designed for anyone needing to engage in any kind of strategic planning exercise: basic or advanced. Paired with case studies, the toolkit trains adherents to think strategically by developing a mechanized way to think through problems. With practice, readers will develop a seamless process for analyzing strategic problems and presenting coherent solutions. Arranged in
This is the Japanese translation of the Jan. 1, 1998 version of UVA-F-1021.
The B case extends the analysis in the A case (UVA-F-1020) to the next level, where the executive must choose between two mutually exclusive plant-renovation projects. Net present value (NPV) and internal rate of return rank the projects differently, affording an opportunity to (IRR) discuss the classic "cross-over" probl
This is a Japanese translation of the Jan. 1, 1998 version of UVA-F-1020.
Cases Empirical Chemicals (A) and (B) consider the capital-investment decisions to be made by executives of this large chemicals firm in January 1992. The A case presents a go/no-go project evaluation regarding improvements to a polypropylene production plant. The B case reviews the same project, but from one level higher,
Ashton Thyme's, an upscale furniture boutique in Athens, Georgia, has been granted exclusive territory to sell antique-reproduction furniture from Country Market Collection. But a customer has found the same Country Market Collection products Ashton Thyme's carries for a lower price online. The customer offered Ashton Thyme's the opportunity to match the online price, which the manager declined. T
This case is a follow-up to "The Panic of 1791: Hamilton's Reports and the Rise of Faction (A)" (UVA-F-1783).
On December 5, 1791, Secretary of the Treasury Alexander Hamilton presented his "Report on the Subject of Manufactures" to Congress. This was Hamilton's third report and, by most assessments, his most provocative. Congress prepared to debate the report. Coming on the heels of successful C
On December 5, 1791, Secretary of the Treasury Alexander Hamilton presented his "Report on the Subject of Manufactures" to Congress. This was Hamilton's third report and, by most assessments, his most provocative. Congress prepared to debate the report. Coming on the heels of successful Congressional adoption of two earlier reports by Hamilton, it seemed that Hamilton's political-economic vision f
The existing U.S. health care system is complex. Most individuals have health insurance coverage provided by various third-party payers. The payers include employers, health insurance carriers, and government-sponsored programs, such as nationally administered Medicare and Medicaid, which is offered by all 50 states with some support from the federal government. Each payer's program varies in term
Mackenzie Spencer, vice president of operations at Strategic Consulting Group, must determine a staffing (the "S" word) plan for the upcoming year. She must balance the costs of overstaffing with those of understaffing in the face of uncertain demand for future services.
Students can either determine a staffing plan based on the expected demand or by taking into account the uncertainty by simula
Wilford Marshall is preparing recommendations to Petrosupra Exploration (Petrosupra), an independent oil and gas company, regarding a drilling project in Lafourche Parish, Louisiana, on the Gulf Coast. This was an opportunity to take over Coyote Oil's drilling rights and drill within a year. If oil was found, two years following that, Petrosupra would have the additional opportunity to initiate en
This case uses Japan's low-growth episodes since the 1990s to analyze economic policy in an environment featuring excess capacity, near-zero interest rates, and low inflation. The case discusses the rationale behind "Abenomics" - Prime Minister Shinz? Abe's three-pronged approach to stimulating Japan's economy. Haruhiko Kuroda, the governor of the Bank of Japan, is tasked with making the case to s
In June 1913, President Woodrow Wilson confronts a legislative deadlock over terms to define a new Federal Reserve Bank for the United States. The recent panic of 1907 triggered a major civic reaction that sought to dispense with a 100-year-old antipathy to central banking. Now, Wilson must decide how best to harness the civic reaction in framing a new central bank.
Wilson's dilemma occurs in th
This follow-up to "The Panic of 1907 and the High Tide of Progressivism (A)" (UVA-F-1781) explores how well the Federal Reserve Act of 1913 addressed the issues exposed by the panic of 1907, as well as providing further food for thought about financial reform.
This is a flexible case that provides for discussion about the form and content of 10-K reports, managerial discussion and analysis, non-GAAP reporting, and accounting for contingent liabilities. What is unique is that Target included lengthy disclosures about the data breach, but many questions remain because the breach occurred shortly before year end. Further, the instructor can compare the con
Shimizu Corporation, a Japanese construction company, has been selected as the prime contractor to build a gymnastics arena for use in the Tokyo 2020 Olympic Games. Based on company cost estimates, the project provides a 7.4% return on costs, well below the company's required 8% for projects of this size and scope. A senior officer in the company is charged with reviewing the proposed terms of the
Excellent service operations understand the unique challenges of managing services and experiences. The Walt Disney Company's value proposition, or purpose, is to create a magical experience for customers. To deliver on that, service and employee systems must be designed in a manner that work together. After years of planning, construction, employee training, and marketing outreach to its largely
Alexandre Tombini, the governor of the Central Bank of Brazil, faced a difficult situation in July 2015. Inflation was in the double digits, well above the target rate of 4.5%, and unemployment had increased from around 4.5% a year prior to nearly 8%. Any actions Tombini took to control inflation would most likely exacerbate unemployment, at least in the short run. To further complicate matters,
Set at June 23, 2016, voters in the United Kingdom have just approved a referendum calling for the UK to leave the European Union. The case describes the motives for European integration, the rise of separatist movements in the UK and elsewhere, and the referendum process itself.
The purpose of this case is to provide a contemporary counterpoint to a discussion of the economic and political moti
This technical note explains what blockchain is, what it allows, as well as discusses its advantages and potential issues to consider further. It also provides an example of an application in which blockchain technology is used and describes regulatory and governance considerations. It can be used in a financial institutions or fintech course along with a case on digital currencies.
This case is based on DigiPlex, the largest data center provider in Scandinavia. The company plans to build another data center just outside of Stockholm, Sweden. The case asks students to evaluate a project plan and use the data to diagram the critical path.
The case opens with DigiPlex chairman Byrne Murphy at the negotiation table with the key anchor customer needed in order to get his newest p
The panic of 1857 stands out in financial history for its severity, for the coordination of banks through the New York Clearing House (NYCH), for the establishment of a legal doctrine about illiquidity during a panic, and for its aggravation of regional tensions. Profiled in this case are the events of the panic, the range of potential causes, and the civic reaction.