Subject category:
Entrepreneurship
Published by:
NACRA - North American Case Research Association
Length: 18 pages
Data source: Field research
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Abstract
This case is about a manufacturer of high-tech audio tubes and amplifiers in the Czech Republic. Having moved to Prague with her husband in 1996 to develop the business, Eunice Kron found herself widowed in 2002, with no knowledge of electronics or audio equipment dealers, and no experience in running a company. Having left all business decisions to her husband, Eunice had conducted her life as a support person, not a decision-maker. Now she was faced with running a company and making decisions on her own. Determined not to let her employees or her customers down, Eunice sold her house and borrowed money to keep the company afloat, despite adverse world events, a sagging economy, and an unreceptive market. As losses mounted, Eunice was not sure how or if she should continue to keep the business afloat. As she prepared for the 2005 International Consumer Electronics Show in Las Vegas, Eunice found herself wondering what direction she or the company should take. This case illustrates the organizational and personal issues involved in launching and managing an enterprise, as well as the unpredictable competitive and economic forces that impact a business'' ability to compete in a niche market in a global arena. The case highlights the start-up process and the environmental uncertainties that affect business development and success. The two major themes of this case are: (a) the personal decisions involved in launching and managing a business; and (b) dealing with change when environmental uncertainties threaten a business'' strategy and sustainability. This case illustrates the need for succession planning and strategic management, and highlights the difference between an inventor and an ''accidental entrepreneur''. The teaching note discusses the effects of environmental change and uncertainty on small enterprises and examines steps that an entrepreneur can take to prepare for an unplanned succession. This case is intended for an advanced course in small business or international management. It can also be used in a course on entrepreneurship or family business management.
About
Abstract
This case is about a manufacturer of high-tech audio tubes and amplifiers in the Czech Republic. Having moved to Prague with her husband in 1996 to develop the business, Eunice Kron found herself widowed in 2002, with no knowledge of electronics or audio equipment dealers, and no experience in running a company. Having left all business decisions to her husband, Eunice had conducted her life as a support person, not a decision-maker. Now she was faced with running a company and making decisions on her own. Determined not to let her employees or her customers down, Eunice sold her house and borrowed money to keep the company afloat, despite adverse world events, a sagging economy, and an unreceptive market. As losses mounted, Eunice was not sure how or if she should continue to keep the business afloat. As she prepared for the 2005 International Consumer Electronics Show in Las Vegas, Eunice found herself wondering what direction she or the company should take. This case illustrates the organizational and personal issues involved in launching and managing an enterprise, as well as the unpredictable competitive and economic forces that impact a business'' ability to compete in a niche market in a global arena. The case highlights the start-up process and the environmental uncertainties that affect business development and success. The two major themes of this case are: (a) the personal decisions involved in launching and managing a business; and (b) dealing with change when environmental uncertainties threaten a business'' strategy and sustainability. This case illustrates the need for succession planning and strategic management, and highlights the difference between an inventor and an ''accidental entrepreneur''. The teaching note discusses the effects of environmental change and uncertainty on small enterprises and examines steps that an entrepreneur can take to prepare for an unplanned succession. This case is intended for an advanced course in small business or international management. It can also be used in a course on entrepreneurship or family business management.