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Management

Case Folio

September '04
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Articles

CASE IN FOCUS

Snow Brand's Unethical Practices in Japan

-- Suchitra Jampani, Sanjib Dutta

Snow Brand Milk Products Co. Ltd. was the largest dairy products manufacturer in Japan while its subsidiary Snow Brand Food Co. was one of the largest meat processing and food products manufacturers. In the year 2000, for the first time since its establishment, Snow Brand Milk Products Co. Ltd. posted group losses and had to close some of its dairy factories due to a massive decline in sales of milk products following a food poisoning incident. In 2002, Snow Brand Milk Products Co. Ltd. liquidated its subsidiary, Snow Brand Food Co. Ltd. due to irreparable damage caused by the unethical practices at Snow Brand Food Co. Ltd. The case examines the events that led to the decline of the company, and the consequences of unethical practices and lack of social responsibility. The case also explores the restructuring and rehabilitation initiatives taken up by Snow Brand after the scandals came to light.

BUSINESS STRATEGY

Charoen Pokphand Group: Thailand's Largest Agribusiness Conglomerate

-- A Neela Radhika, A Mukund

The case examines the various challenges that the Charoen Pokphand Group (CP), Thailand's leading agribusiness conglomerate, had to face during the period 1997-2004. It details the growth of CP from a small seed shop in 1929 into one of the largest companies in Thailand by the turn of the 20^th century. The case discusses the problems CP faced due to the 1997 Asian financial crisis and growing competition to its businesses in the domestic and international markets.

IT & SYSTEMS

Marriott's Customer-focused E-Business Strategy

-- Konakanchi Prashanth, Vivek Gupta

This case discusses the customer-focused e-business strategy of Marriott International (Marriott), a world leader in the hospitality industry. It examines the way in which Marriott focused on providing better customer service by using IT proactively and through the facilities on offer through its website. The case describes in detail the e-business strategy of Marriott that aimed at transforming it from a property-centric to customer-centric company. The benefits Marriott derived from launching its website and other IT initiatives are also highlighted.

MARKETING

L'Oréal - Building a Global Cosmetic Brand

-- V Sarvani, A Mukund

The case discusses in detail the brand management strategies of the global cosmetics industry leader, L'Oréal, over the years. L'Oréal's brand portfolio included brands from different cultural backgrounds like Europe, America and Asia. The case explores L'Oréal's expansion of its business through the acquisition, makeover and worldwide marketing of relatively unknown brands from different countries. In addition, the case takes a look at the way in which the company consciously worked towards straddling all the segments of the cosmetics business and building successful brands in each of these segments.

ORGANIZATIONAL BEHAVIOR

Poles Apart?

-- Sue-Ellen Kjeldal

This case study discusses the organizational problems that arose after the merger of two departments in an Australian university.

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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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