Business Transformation
Q . 1 Busi n es s t r a ns fo r ma ti on bu ild s on t h e dynamic interplay among value, complexity, and
change. What are the major considerations that usually revolve around any transformation process?Also
Discuss the various types of Business Transformation.
Q . 2 Write short Notes on
a) Business Model Innovation
b) Incremental Strategy Development
c) Elements of Strategic Decision-making Process
Q . 3 a )How does Environmental Scanning using SWOT ,can keep a close watch over environmental
factors that affect your start-up and prepare adequately to face the emerging challenges?
b ) “VRIO is an acronym for the four question framework”. Discuss the Questions which can help a
firm attain the competitive Advantage.
Q . 4 a ) What are critical questions answered by corporate-level strategists. Discuss the various types of
Corporate Strategies and how does Strickland’s Grand Strategy Selection Matrix help in Making
strategic Choices?
b) Differentiate between BCG and GE Matrix. Also cite the demerits of BCG matrix in brief.
Q . 5 Organizational structures imply formal relationships with well defined duties and responsibilities.
Discuss the various types of Organizational Structures.
Q . 1 Explain the term Strategic Decision Making .Do you agree that in Strategic decision making
situations-“Options are consequential, situations may not have clear cause-and-effect outcomes”.
Q . 2 The balanced scorecard suggests that we view the organization from four perspectives, and to
develop metrics, collect data and analyze it relative to each of these perspectives. Explain the same with
the help of example and relevant model
Q . 3 . The understanding for any business is that its core competency is rooted in the process of
transformation itself, rather than being focused rather narrowly on competitive advantage in service or
delivery of product. Comment.
C a s e S tud y
Section - C : Compulsory question
Nestlé (NESN) has long been known for making chocolate treats for the common man. Think Kit Kat or Crunch
bars. But demand for pricier premium chocolates is growing faster than that of plain old candy. So the Vevey
(Switzerland)-based company has devised a novel strategy to move up the value chain: customized confections.
Internet shoppers in Switzerland and Liechtenstein can now order a taster pack from Nestlé’s Maison Cailler
line of expensive Swiss chocolates. After nibbling the samples of five kinds of Ecuador-sourced chocolate with
various cocoa content, consumers complete an online survey to determine their “chocolate personality.” They
then can order larger boxes of the candies, marrying their favored chocolate with preferred fillings ranging from
peppercorn and vanilla to raspberry and verbena.
The bespoke chocolate experience doesn’t come at Baby Ruth prices. A 16-piece box of the Maison Cailler
chocolates costs 26 Swiss francs ($28.30). That’s just 128 grams of chocolate, or slightly more than 4 ounces,
so these custom sweets price out to more than $100 a pound. Yet such luxe pricing can succeed even amid the
economic downturn, says Laurent Freixe, head of Nestlé’s European business. “It may sound counterintuitive,
but what’s happening in the [financial] crisis is a quest by consumers for value, for more-affordable product, but
also for products that overtake their expectations.”
In high-end chocolate, Nestlé hopes to mimic a strategy it used to build demand for its Nespresso capsule,
which helped create the luxury home-coffee market. That single-serving espresso-maker business began in only
two countries in 1986, with Nestlé introducing online sales in the 1990s and stores in 2002. Now it’s a 3 billion
Swiss franc ($3.3 billion) brand, with about half its sales coming from the Internet and more than 250 boutiques
worldwide. Nestlé already has tried its hand at other premium, customized goods. The company in 2011 began
selling BabyNes formula milk capsules, which fit its own $272 single-serving machine. A year earlier it debuted
pricey Special.T pods containing top-quality tea in France.
While Kit Kat bars are the world’s ninth-biggest chocolate brand, according to Euromonitor International, the
company has had mixed success in the premium sweets segment in the past. Nestlé, which merged with Cailler
in 1929, sought to revamp the brand in 2006 with higher prices and packaging designed by architect Jean
Nouvel. The overhaul was scrapped after it failed to boost revenue. Cailler still isn’t well-known outside of
Switzerland, with only 8 percent of sales coming from abroad. “Nestlé is a strong player in the mass-market, but
in the premium segment, it doesn’t have a strong reputation,” says Patrick Hasenboehler, an analyst at Bank
Sarasin in Zurich.
Chocolate producers including Swiss rival Lindt & Sprüngli Group (LISP) already sell online, but only for standard products. Bespoke chocolate is generally sold by niche chocolatiers. Maison Cailler’s online store will
generate the bulk of its revenue, although some sales will come from a boutique in Broc, Switzerland, home to
the 193-year-old Cailler brand. Nestlé plans to expand the custom candies to neighboring countries beginning
next year. “The big objective is to make it sustainable, make it something which will enter into consumption
habits and which will not be just a one-off,” Freixe says.
C a s e S tud y Qu es tio ns
Q.1 Discuss the Value Chain adopted by Nestle to enhance Value for its Target Audience while competing with
their counterparts?
Q.2. Nestlé does a big business in low-priced candy bars. Now it’s selling $100-a-pound chocolates customized
to buyers’ personal tastes. Comment on the Generic Business Strategy followed here.
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University: AMITY Year: 2015