This case uses one of Fannie Mae's credit-risk transfer instruments (CRT) to explore its data set platform and predict loan defaults through machine learning algorithms. The CRT, called Connecticut Avenue Securities (CAS), issued bonds valued on the performance of preselected pools of mortgages. The material works well to unfold natural language processing using Python. Through a three-class serie
The case examines the development and launch of an exchange-traded fund (ETF) based on JUST Capital's socially responsible corporate ranking methodologies. The case provides a market overview of Environment, Social, and Corporate Governance (ESG) and socially responsible investing (SRI), what has driven growth in those areas worldwide, and several best-practice investment approaches. Following the
In the summer of 2018, iconic American automaker Ford Motor Company (Ford) created a new limited liability company, Ford Autonomous Vehicles LLC (Ford AV), and charged the organization "with accelerating [Ford's] AV business to capitalize on market opportunities." Alongside Ford's well-publicized push to debut robot-taxi and driverless delivery services in 2021 via the Ford AV unit, the company ha
As the head pharmacist and manager of Hedrick's Pharmacy, a family-owned, independent pharmacy in Pennsylvania, Samantha Hedrick had to decide whether to continue to stock a wildly popular supplement, Memoral, a blend of vitamins, minerals, and herbs that "may support memory and cognitive function." Despite its hefty price tag ($75 a month), the supplement was a hit with the customers, particularl
This case uses the experiences of a Finnish craft chocolate company to analyze the impact of supply chain transparency on suppliers and consumers. The case discusses the rationale behind entrepreneur Jukka Peltola's business committed to social responsibility and purpose over profit. It describes Goodio's efforts toward transparency and follows Peltola as he asks what more he can do to advance tra
With a $7,500 loan from a family member, Calvin Gorelick has started an online business selling specialty yoga blocks. His primary concern is whether or not the cycles of "purchase blocks, sell blocks, receive money, make loan and other necessary repayments" will allow his company to remain financially solvent. Coupled with the cash flow issue, Gorelick has noticed disturbing sales data in his fir
Mark Kim, CFO of DC Water, believed building green infrastructure in Washington, DC, was an innovative way to improve the performance of the city's aging sewer system and save money. In considering the options to fund a pilot program, Kim was especially intrigued by a new financing structure: social impact bonds (SIBs). Partnering with Eric Letsinger of Quantified Ventures, they built on SIBs to d
Vincent Chin's first "temporary" job after high school was with the lawn crew of Holiday Lawn Service. Ten years later, Chin has become a trusted employee and the company's second-in-command. His boss, Sam Holiday, has decided to retire and has worked out a deal with Chin to take over the business. In preparing Chin for his new role, Holiday explains that there are important choices ahead related
Alarmed by the recent statistics of violence against women (a woman in South Africa was murdered every four hours, and half of them were killed by their partner or spouse), leaders of the African arm of global beer giant Anheuser-Busch InBev (AB InBev) and the South African Breweries (SAB) wanted to address the problem. AB InBev's biggest seller in South Africa was Carling Black Label (Carling), a
After much research and discussion about where the company's responsibility lay in addressing the alarming issues of femicide and violence against women, the leadership of the South African Breweries (SAB) and the African branch of Anheuser-Busch InBev (AB InBev) decided to form a partnership and launch a movement and campaign, #NoExcuse. For the campaign, the company partnered with, among others,
Andre Johnson is a young, African American district manager for a national motel chain who oversees six regional managers that are all at least twice as experienced, and all white. One day, when the regional managers go out for drinks without Johnson, one of them—Ted Simmons—rants against Johnson, using serious racial slurs. The others just quickly switched the topic and left. However, three of th
Since its launch out of a garage in 1976, Apple Inc. had transformed from a computer-manufacturing company to the undisputed leader in diversified consumer electronics and media. Unparalleled financial performance along almost every metric followed, and in September 2018, Apple's market capitalization topped $1 trillion, the first time a US publicly traded company reached that mark. Using the comp
