...Unit Seven – The Lennar Company Case Study Analysis Kaplan University School of Business MT460 Management Policy and Strategy Author: Edna McEwen Professor: Dr. Strouble Date: June 29, 2015 LENNAR CORPORATION’S JOINT VENTURE INVESTMENTS Company Name: The Lennar Company Topic of the Week: Create a case study analysis focusing on the company’s abuse and fraudulent activities relative to CSR and business ethics. Synopsis of the Situation The Lennar Company faces the damage caused by the Fraud Discovery Institute’s claims, the financial crisis, mortgage defaults, and dramatic fall in house prices, particularly in some of their active markets. The country is in the midst of an economic recession that began in 2007, and on top of that, the company has been accused of operating a ponzi scheme and profiting while allowing investors to lose money. On the day of the announcement by the Fraud Discovery Institute, the company’s stock price took a dramatic fall. The problem is, the person that founded the Fraud Discovery Institute is a ‘reformed’ crook who has made it his mission to expose fraudulent behavior of others as a way of redeeming himself from some of the negative things he has done. The question is, is he really reformed, or is this just another scheme he has plotted to gain access to company’s information so he can pounce when the company is most vulnerable. Alternative Solutions Since Lennar’s mission statement states...
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...LEADERSHIP Six Ways to Sink a Growth Initiative by Donald L. Laurie and J. Bruce Harreld FROM THE JULY–AUGUST 2013 ISSUE T he CEO is confronted with a dilemma: The revenue and profits of his company’s existing businesses are rising slowly, and the businesses have already slashed their costs as much as they dare. Because their markets are mature, he knows that the company must grow if the share price is to increase, but acquisitions are expensive and risky. So he launches a slew of initiatives in areas with high growth potential and appoints some promising young managers to lead them. To ensure that the new ventures aren’t stifled, he has their managers report to a special growth committee headed by a trusted staff executive and locates them a safe distance from the established businesses. Sound familiar? It should, because that story has played out at hundreds if not thousands of large and midsize companies over the past 20 to 30 years. But after working for, advising, and studying scores of companies, we have learned that this conventional wisdom about how best to pursue growth is a recipe for failure—which explains why most new businesses launched by established companies die, and why only a tiny fraction of companies around today, including major corporations, will be here in 25 years. All too often CEOs and their senior teams see managing today’s earnings as their main job and don’t spend enough time on the pursuit of growth and building the...
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...The Fruits of Legitimacy:Why Some New Ventures Gain More from Innovation Than Others Summary: New Ventures play a vital role in the development of any company.In addition,the actions of new ventures may even spur large, incumbent firms into action, thus accelerating the pace of technological change.The new ventures success depend upon their ability to produce new products.Sometimes even amongst the ventures producing the same good they have different fates.One of the difficulties faced by the new ventures is the liability of being new to the business. Potential stakeholders view firms in these industries with skepticism. An important way that new ventures can overcome the liability of newness and increase their gains from new products is by taking actions that provide them with legitimacy in the eyes of stakeholders. new ventures can gain legitimacy by creating associations with more established entities, either external or internal to the firm. Article Review: This article is written by Raghunath Singh Rao, Rajesh K. Chandy, & Jaideep C. Prabhu.In this study, the role of a variety of legitimizing actions have been highlighted and empirically tested. In order to legitimize the new ventures in the eyes of the stakeholders different actions can to undertaken.It has also been shown that these legitimizing actions may not always work together. Among internal means of gaining legitimacy, four types of actions has been proposed: historical, scientific, market, and locational...
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...Stanford Technology Ventures Program (STVP) STVP-1998-005 Revised August 22, 2001 Yahoo! 1995: First-Round Financing “I guess, three and a half years ago, if we were looking to start a business and make a lot of money, we wouldn’t have done this.” - Jerry Yang, 1997. It was April of 1995 – a key decision point for Jerry Yang and David Filo. These two Stanford School of Engineering graduate students were the founders of Yahoo!, the most popular Internet search site on the World Wide Web. Yang and Filo had decided that they could transform their Internet hobby into a viable business. While trying to decide between several different financing and partnering options that were available to them, they attended a meeting with Michael Moritz, a partner at Sequoia Capital. Sequoia, one of the leading venture capital firms in Silicon Valley, had been discussing the possibility of investing in Yahoo!. Michael Moritz leaned forward in his chair. As he looked across the conference table at Jerry and Dave, he laid out Sequoia’s offer to fund Yahoo!: As you know, we have been working together on this for some time now. We have done a lot of hard work and research to come up with a fair value for Yahoo!, and we have decided on a $4 million valuation. We at Sequoia Capital are prepared to offer you $1 million in venture funding in exchange for a 25% share in your company. We think that with our help, you have a real chance to make Yahoo! something special. Our first order...
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...Executive Summary This report aims to analyze and evaluate the international joint ventures conducted by one of the world best low cost airlines, Air Asia, through their operation years. In particular, Air Asia Indonesia, Thailand, Expedia and Air Asia Japan are being chosen to probe into This research put priority on the factors that turn Air Asia Indonesia, Expedia and Air Asia Thailand into a success throughout their operational year. The Successful International Joint Ventures of Air Asia have gained themselves the benefits from acquainting the right market orientations, in which they have secured a great amount of customers respectively. This leads Air Asia Indonesia and Air Asia Expedia to gain a massive profit and become the dominant airline being in their respective nations. Besides, the commitment is also one of the main contributing factors to the success of Air Asia IJV as well as Economy conditions of host countries had been a major factor to success in IJV. In depth analysis of local GDP of Thailand had granted Thai Air Asia to achieve their business objectives. Throughout the research, it shows that Air Asia Expedia and Thai Air Asia and Indonesia Air Asia have spared no efforts in order to succeed in the aviation industry. Conversely, this research also identified a failed IJV in Air Asia operation with Japan. The main reason behind this failed IJV was usage difficulties found in online booking website of Air Asia. These factors have led to Air Asia Japan to suffer...
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...Crowdfunding Central Advancing Crowdfunding through Research and Best Practices The power of the crowd The power of new Crowdsourcing assets and the use of social networking and related Web 2.0 technologies are helping film-makers, musicians, politicians and charities finance new projects. Football clubs like Ebbsfleet United have funded operations through fans subscriptions; Obama has used the internet to reach a new and much broader funding audience, while redesigning the campaign financing business; and sites like buyacredit.com allow people to buy a credit or become an executive producer based on their level of patronage. Now may be the time for other growing companies.In practice, this is a very immature method of raising capital. Substantial legal obstacles, a lack of best practices and formal governance techniques need to be addressed for Crowdfunding to become feasible to a broader audience. About Crowdfunding Central Crowdfundingcentral.com produces member driven research to highlight the opportunities, concerns and best practices to businesses, investors and entrepreneurs of Crowdfunding. For more information go to Crowdfundingcentral.com What is Crowdfunding? Wikipedia defines Crowdfunding as: “An approach to raising the capital required for a new project or enterprise by appealing to large numbers of ordinary people for small donations”. Crowdfunding in theory delivers significant opportunities for small growing companies looking for capital to finance growth...
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...specialty home products William-Sonoma, I believe will continue to grow as it is betting on its online expansion venture of moderate price West-Elm chain to revive growth. The key I think is with diversification and understanding the different economic housing markets. In some states where housing market is high with Foreclosures and declining home purchases the process of exploring strategies targeting retails in remodeling is significant in future success. These strategies of old will support growth to an extent but needs to evolve over time. The company used the primary selling channels of retail and direct to customer channel. The retail consisted of four means to deliver products which were through Williams-Sonoma, Pottery Barn, Pottery Barn Kids and Hold Everything. The Williams-Sonoma brand of providing home goods, decorative accessories, and more importantly children market is expected to grow because of the expectations in birthrates. The competition in this market will continue to grow and startup companies are flooding the retail market to get its share of the pie. Today’s market involve new technologies and companies are continuously seeking methods to get there products to the customer faster and at any time. With this understanding Williams-Sonoma should continue to seek and build upon its strategies in order to be ahead of their competitors and new business ventures. Another aspect to consider for the company and where it will be in the next 5 years is to monitor...
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...Olga Vidisheva—founder and CEO of Shoptiques.com, an online platform that allows small fashion boutiques from all over the world to have an online retail presence. Vidisheva, a Harvard Business School grad, left a job with Goldman Sachs to develop her idea for Shoptiques in Y Combinator. She’s since raised $3 million in venture capital from Andreessen Horowitz, Greylock, Benchmark, SV Angel, William Morris Endeavor Agency and Y Combinator. Shoptiques revenue hit $3 million in 2014. Oliver Miao—Co-founder and CEO of Pixelberry Studios, a mobile game developer who’s had success with his company’s episodic game Surviving High School. Miao is 3-for-3 in launching games into the Top 25 Grossing on iOS platform. Self-funded, his 2 year-old company generated about $8 million this past year. Michael Votto—CEO and co-founder of Votto Vines Importing, Inc., a wine import company that started out of a delivery car in Connecticut back in 2009. Votto is an attorney and investor who, in 2013, was selected as one of Connecticut’s 40 under 40 future business leaders and in 2014 he was nominated by leading publication Wine Enthusiast as its wine industry “Innovator/Executive of the Year.” He is an angel investor and advisor to several technology start-ups, including venture-backed Dash Software. Entrepreneurs have a greater capacity for pain and discomfort than most. They can stay up later, work longer hours, stay more focused and, somehow, are able to set so much aside in deference to their...
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...and potatoes through biotechnology and is worth 400 million dollars. The purpose of this paper is to introduce two strategies to secure funding through venture capital or IPO that supports the company's goals to introduce new products and continue meeting 40% growth targets. Venture Capital Pursing venture capital is an important step for a rapidly growing business, especially when not seeking an IPO (Inc., 2010). The technology developed by Gene One is already on the market and the industry is experiencing a high level of investor interest that gives Gene One an advantage in the venture capital market. However, targeting the right investors makes a significant difference. Gene One is targeting investors that align with the research philosophies that facilitate the research and development team without having to worry about any private agendas. The research and development team will continue developing the innovative technologies expected, aiding the organization to realize its growth potential, and meeting the minimum 40% revenue growth target. Implementation The implementation of this strategy has several steps. The first step is to review the board of directors, CEO, and leadership team to ensure that the right people are in the right place. The company currently lacks the leadership experience in venture capital fund-raising and will hire someone or hire a consulting firm can provide the...
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...Creating a Business Plan Harvard Business Press Boston, Massachusetts ISBN-13: 978-1-4221-6687-1 Creating a Business Plan Pocket Mentor Series The Pocket Mentor Series offers immediate solutions to common challenges managers face on the job every day. Each book in the series is packed with handy tools, self-tests, and real-life examples to help you identify your strengths and weaknesses and hone critical skills. Whether you’re at your desk, in a meeting, or on the road, these portable guides enable you to tackle the daily demands of your work with greater speed, savvy, and effectiveness. Books in the series: Leading Teams Running Meetings Managing Time Managing Projects Coaching People Giving Feedback Leading People Negotiating Outcomes Writing for Business Giving Presentations Understanding Finance Dismissing an Employee Creating a Business Plan Managing Stress Delegating Work Shaping Your Career Persuading People Managing Crises Managing Up Becoming a New Manager Managing Difficult Interactions Hiring an Employee Making Decisions Managing Diversity Executing Innovation Creating a Business Plan Expert Solutions to Everyday Challenges Harvard Business School Publishing Boston, Massachusetts Copyright 2007 Harvard Business School Publishing Corporation All rights reserved No part of this publication may be reproduced, stored in or introduced into a retrieval system, or transmitted, in any form, or by any means (electronic, mechanical, photocopying, recording...
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...business strategy International Business Strategy 6/16/2014 Student ID: 13038597 Word Count-- 3558 Question 1 Man Won Jung, CEO of SK Telecom faces challenges of low profits since 2005 because the company is facing economic stagnation. SK Telecom has sought to expand the international market, but not dramatically. Not only has the international marketed, but the country also. SK Telecom had problems; existing competitor KT Corporation SK Telecom was before. The global financial crisis has also been one of the main challenges faced by Jung in 2008, Man Won Jung had to develop a strategy and a plan for all of these global strategic business challenges faced. Other carriers were far from SK Telecom ahead with technological improvements and new technologies has been a major threat to Jung. Customer Value Proposition SK Telecom should be worked first focus on target customers, what is the problem that led to competitors and to increase the market share of competitors in the same territory of how these needs customers demand. SK Telecom does not have to make profitable decisions for the international market and the credit crisis in 2008 was not very helpful. There was global financial crisis that began in mid-2007, focusing on SK Telecom, one of the largest telecommunications providers in South Korea, the above strategies SK Telecom were better than those that exist and SK Telecom already has faced over the period 2008-2009. Other companies in other countries around...
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...[pic] Industry Research On VENTURE CAPITAL INDUSTRY CONTENTS |SR. NO. |CHAPTER NAME |PAGE. NO. | |1. |Industry Profile |6 | | |1.1 |Products/Service Profile, Sector classification & Nature of industry |6 | | |1.2 |Regularity environment |7 | | |1.3 |Economic environment, political and legal concerns |7 | | | | | |2. |Research Methodology |9 | | |2.1 |Population |9 | | |2.2 |Criteria for selection |9 | | |2.3 |List of companies chosen ...
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...Strategy in Entrepreneurial Ventures A case study by, Arun Venkatachalam FT MBA 2009/10 May, 2010 Table of Contents 1. 1.1. 1.2. 1.3. 1.4. 2. 2.1. 2.2. 2.3. 2.4. 2.5. 3. 3.1. 3.2. 3.3. 3.4. 4. 4.1. 4.2. 4.3. 5. BACKGROUND ....................................................................................................................................... 3 Who or What is ‘LOVEFiLM.COM’? ................................................................................................. 3 Why are they considered a high growth entrepreneurial company? ..................................................... 4 Where they are currently? .................................................................................................................... 6 What is the basis for this report? .......................................................................................................... 6 BEGININING OF ‘LOVEFiLM.COM’ .................................................................................................... 7 The Innovative Online Business Opportunity ...................................................................................... 7 The Market Analysis of 2001/2002 ...................................................................................................... 9 Strategic Analysis of the Business Environment ................................................................................ 10 Competitor Analysis ...........................................
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...Enterprenuerial finance Introduction Entrepreneurial finance is the study of value and resource allocation, applied to new ventures. It addresses key questions which challenge all entrepreneurs: how much money can and should be raised; when should it be raised and from whom; what is a reasonable valuation of the startup; and how should funding contracts and exit decisions be structured. Why they needed enterprener finance???? Many entrepreneurs discover they need to attract money to fully commercialize their concepts. Thus they must find investors – such as their own employer, a bank, an angel investor, a venture capital fund, a public stock offering or some other source of financing. When dealing with most classic sources of founding, entrepreneurs face numerous challenges: scepticism towards the business and financial plans, requests for large equity stakes, tight control and managerial influence and limited understanding of the characteristic growth process that start-ups experience. Snapdeal It is never easy to start a business. You need to work on your ideas, find capital and investors and then you need to work hard to get results. Ask those who have succeeded, they tell you it is the best feeling ever when an idea takes off to places. Snapdeal set a niche for itself in the sphere of e-commerce in India. In 2010, when Kunal Bahl and Rohit Bansal wanted to start their own business, they chose an offline couponing business and named it MoneySaver. 15000 coupons...
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...Kismet Inc. Case Stuart Trier, and Aaron Anticic founded Kismet Inc. in February of 2002. Kismet is a small distributor of tools and hobby products, based out of Hamilton, ON. They sell their merchandise at both their small store located at the front of their warehouse in Hamilton, and through tool shows that they set-up at various locations across Ontario. The majority of their revenue is obtained via their tool shows, in which they sell their merchandise at reduced costs to the consumer. Trier and Anticic have only been in operations for 6 months; however, they are planning an expansion of their business and are seeking funding to support this endeavor. They have projected a need for $43,000 worth of fixed assets, as well as various increases in expenses due to their expansion. The External Environment Kismet faces many threats from the external environment. These factors surrounding the organization influence its activities and choices, and determine its threats and opportunities. Political and legal factors relate to how and to what degree the government could intervene with business operations. Since Kismet’s supplier is in Asia it is important to be aware of the increases in international terrorism. The government, at anytime could halt shipments and therefore disrupt sales at Kismet. Furthermore, the Asian government has less strict policies regarding product safety. The products being imported to Canada will have to meet regulations listed in the Consumer Product Safety...
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