Nature Knows Best

A Guide to Case Analysis

Objectives of Case Analysis

Using cases to learn about the practice of strategic management ia an effective way for you to accomplish five things:

1. Increase your understanding of what managers should and should not do in guiding a business to success.

2. Build your skills is sizing up company resource strengths and weaknesses and in conducting strategic analysis in a variety on industries and competitive situations.

3. Get valuable practice in identifying strategic issues that need to be addressed, evaluating strategic alternatives, and formulating workable plans of action.

4. Enhance your sense of business judgment, as opposed to uncritically accepting the authoritative position of your professor or “back-of-the-book” answers.

5. Gaining in-depth exposure to different industries and companies, thereby acquiring something close to actual business experience.

If you understand that these are the objectives of case analysis, you are less likely to be consumed with curiosity about the “answer to the case.” If we do this right, case discussions often offer more than one course of action. Differences of opinion will be standard operating procedure. Just remember that in the business world, correct answers do not come in conclusive black-and-white terms.

So what is the best test of whether an answer is right or wrong? RESULTS! If the results of an action turn out to be good, the decision to take it may be presumed “right.” If not, then the action chosen was “wrong” in the sense that it didn’t work out.

Preparing a Case for Class Discussion

To prepare a case for class discussion, we suggest the following approach:

1. Skim the case rather quickly to get an overview of the situation it presents.

2. Read the case thoroughly to digest the facts and circumstances.

3. Carefully review all the information presented in the exhibits.

4. Decide what the strategic issues are.

5. Start...