Case Studies

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STUDY QUESTIONS

Eli, Lilly 1998 (A): Strategic Challenges

1. What were the strategic challenges for pharmaceutical companies in the 1990s?

2. How did Lilly respond to these challenges? How does globalization allow Lilly to better cope with them?

3. Suppose that you are a top manager of a Korean pharmaceutical company. How would you formulate your strategy in the face of pharma giants’ (like Lilly) aggressive strategic moves toward globalization?

Taiwan Semiconductor Manufacturing Company

1. Explain the “foundry model” that TSMC carved out in the semiconductor industry. How does it differ from the conventional business model?

2. How should TSMC respond to large-scale entries by new foundries in the mainland China?

3. Can it offer differentiated value to its customers by focusing on superior customer service? Do you believe this strategy will be sustainable?

American Rice, Inc. In Vietnam

1. Is Vietnam a suitable expansion location for American Rice?

2. What were the possible alternatives for entering the Vietnamese market? What was the entry mode that American Rice chose to access Vietnam? How do you evaluate this entry mode?

3. If you were a consultant for American Rice, would you recommend the company to build a parboil facility in Vietnam? Justify your position.

AmorePacific

1. Why has AmorePacific (AP) been doing so well in the home market?

2. Why did AP seek to globalize their business?

3. Should AP use a uniform strategy for France, the United States, and China?

Philips versus Matsushita

1. How did Philips become the leading consumer electronics company in the world in the postwar era? What distinct competences did they build? What distinct incompetences?

2. How did Matsushita succeed in displacing Philips as No. 1? What were its distinctive competences and incompetences?

3. What do you think of the change each company has made to date—the objectives,...
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