Product details

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Abstract

This is the second of a two-case series (506-173-1 and 506-174-1). The highlights of this case study include: the challenge of operating internationally from the point of view of a small and medium sized enterprise (SME), the integration of strategic, organisational and financial analyses into a comprehensive decision process, and the application of an international outsourcing framework. In the case study students assume the role of a managing partner of a German Mittelstand company who faces the challenge of reorganising its US sales and distribution function. The company produces mineral salts in Germany and sells its products around the world thereby generating an annual sales volume of roughly 60 million euros. Customers are mainly composed of pharmaceutical, food, and nutritional supplement companies. After analysing the attractiveness of the US market, students are asked to assess the internationalisation strategy of the company and find an optimal internationalisation strategy for the US business. Part (A) concludes with a more detailed analysis of the sales and distribution function on the US market, where students are supposed to develop distinguished strategies for each major customer group. In part (B), students are required to evaluate the prospects of the US operation financially. The analysis includes forecasting the profit and loss statement, the cash flow statement and conducting an investment analysis.
Location:
Industry:
Size:
351 employees, EUR60 million sales
Other setting(s):
2005

About

Abstract

This is the second of a two-case series (506-173-1 and 506-174-1). The highlights of this case study include: the challenge of operating internationally from the point of view of a small and medium sized enterprise (SME), the integration of strategic, organisational and financial analyses into a comprehensive decision process, and the application of an international outsourcing framework. In the case study students assume the role of a managing partner of a German Mittelstand company who faces the challenge of reorganising its US sales and distribution function. The company produces mineral salts in Germany and sells its products around the world thereby generating an annual sales volume of roughly 60 million euros. Customers are mainly composed of pharmaceutical, food, and nutritional supplement companies. After analysing the attractiveness of the US market, students are asked to assess the internationalisation strategy of the company and find an optimal internationalisation strategy for the US business. Part (A) concludes with a more detailed analysis of the sales and distribution function on the US market, where students are supposed to develop distinguished strategies for each major customer group. In part (B), students are required to evaluate the prospects of the US operation financially. The analysis includes forecasting the profit and loss statement, the cash flow statement and conducting an investment analysis.

Settings

Location:
Industry:
Size:
351 employees, EUR60 million sales
Other setting(s):
2005

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