Kachaam
Research in Motion: Managing Explosive Growth
Research in Motion (RIM) is a high technology firm that is experiencing explosive sales growth. David Yach, chief technology officer for software at RIM, has received notice of an impending meeting with the co-chief executive officer regarding his research and development (R&D) expenditures. Although RIM, makers of the very popular BlackBerry, spent almost $360 million in R&D in 2007, this number was low compared to its largest competitors, both in absolute numbers and as a percentage of sales (e.g. Nokia spent $8.2 billion on R&D). This is problematic as it foreshadows the question of whether or not RIM is well positioned to continue to meet expectations, deliver award-winning products and services and maintain its lead in the Smartphone market. Furthermore, in the very dynamic mobile telecommunications industry, investment analysts often look to a firm's commitment to R&D as a signal that product sales growth will be sustainable. Just to maintain the status quo, Yach will have to hire 1,400 software engineers in 2008 and is considering a number of alternative paths to managing the expansion. The options include: (1) doing what they are doing now, only more of it, (2) building on their existing and satellite R&D locations, (3) growing through acquisition or (4) going global.
Q.1 What strategic mission involve in this case ?
Ans: In this case Research in Motion (RIM) is a high technology firm that is experiencing explosive sales growth.thy are want to lunch low compared to its largest competitors, both in absolute numbers and as a percentage of sales. This is problematic as it foreshadows the question of whether or not RIM is well positioned to continue to meet expectations, deliver award-winning products and services and maintain its lead in the Smartphone market. The options include: (1) doing what they are doing now, only more of it, (2) building on their existing and satellite R&D
Research in Motion (RIM) is a high technology firm that is experiencing explosive sales growth. David Yach, chief technology officer for software at RIM, has received notice of an impending meeting with the co-chief executive officer regarding his research and development (R&D) expenditures. Although RIM, makers of the very popular BlackBerry, spent almost $360 million in R&D in 2007, this number was low compared to its largest competitors, both in absolute numbers and as a percentage of sales (e.g. Nokia spent $8.2 billion on R&D). This is problematic as it foreshadows the question of whether or not RIM is well positioned to continue to meet expectations, deliver award-winning products and services and maintain its lead in the Smartphone market. Furthermore, in the very dynamic mobile telecommunications industry, investment analysts often look to a firm's commitment to R&D as a signal that product sales growth will be sustainable. Just to maintain the status quo, Yach will have to hire 1,400 software engineers in 2008 and is considering a number of alternative paths to managing the expansion. The options include: (1) doing what they are doing now, only more of it, (2) building on their existing and satellite R&D locations, (3) growing through acquisition or (4) going global.
Q.1 What strategic mission involve in this case ?
Ans: In this case Research in Motion (RIM) is a high technology firm that is experiencing explosive sales growth.thy are want to lunch low compared to its largest competitors, both in absolute numbers and as a percentage of sales. This is problematic as it foreshadows the question of whether or not RIM is well positioned to continue to meet expectations, deliver award-winning products and services and maintain its lead in the Smartphone market. The options include: (1) doing what they are doing now, only more of it, (2) building on their existing and satellite R&D