Product details

La Madrilena, footwear and sport goods' retailer, operated 18 stores - under La Madrilena brand for shoes and Quonam for sports - in Argentina's Patagonia region. This case describes the company's situation in May 2014, when Argentina experienced significant macroeconomic uncertainty as a result of strong local currency devaluations and greater foreign exchange availability restraints enforced in December 2013. Domestic prices rose at a rapid pace, and an economic downturn loomed ahead. Against that backdrop, La Madrilena's management team pondered a decision to start or delay remodeling work on a real estate property in Esquel, a city in Patagonia, that required an investment of ARS5 million (equivalent to USD625,000 at the time). After describing La Madrilena's background and operations, the case focuses on the design of financial performance management reports and provides extensive information on the company's economic and financial performance over the past five years. Universidad de San Andres' case collection