Spotify Full Case

Outline assignment directions

This exercise is intended to help you conduct a systematic analysis of the case and build a logical argument for your recommended actions for the firm. I require you to submit it an outline form for two reasons. One, the structure of the argument is easily revealed and if certain components make sense elsewhere, they can be moved with minimal disruption to the paper. The second reason is that if you are way off base in your analysis, you don’t have to scrap the entire paper – just those parts that are inaccurate. So, in other words, by allowing me to comment on the work in progress, we can collaborate in developing a stronger analysis and paper.

I provide you with a suggested template below. Note that you don’t have to include everything I provide in it. I do, however, expect you to include at least 3 levels of the outline (i.e. if you adopt my format, that would be 1, 1.1., and 1.1.1). Moreover, you only have to provide the specific details of at least half of the information you will provide in the final analysis. Please note, I will base my grading on that assumption.

Discussion questions will be provided for each case. Please address these in the analysis, however, they should be integrated into the narrative. In other words, there should be a smooth transition between your analysis and the research questions. Please contact me if you’re unclear as to what I mean here.

One other piece of advice. It may seem obvious, but be sure that the recommendations flow from (and match) the diagnoses. Otherwise, it would be like going to the mechanic because your car has a flat tire and they install a new transmission.

Lastly, please do not turn in a draft of a complete paper. The outline is a vital step in the writing process and I will not accept papers that skip it. However, please note that you will have the opportunity to revise the outline before you turn in the final paper.

Outline for the Hypothetical Company Case

1. Introduction of the Hypothetical Company

1.1. A brief history

1.1.1. Dates founded / IPO

1.1.2. Important people

1.2. Products and services

1.2.1. Product 1

1.2.1.1. Description

1.2.1.2. Target market

1.2.1.3. Market Share

1.2.2. Product 2

1.2.2.1. Description

1.2.2.2. Target market

1.2.2.3. Market Share

1.3. Main competitors

1.3.1. Comp 1

1.3.2. Comp 2

1.3.3. Comp 3

2. A diagnosis of the central problem (Note, the following is an example, not a template. Your analysis will dictate the structure of this section.)

2.1. Business model and cost structure

2.1.1. Inability to generate competitive advantage

2.1.1.1. Industry returns averaged 12% over the past decade, while the firm never generated above 5%

2.1.2. Reasons for lower returns

2.1.2.1. Cost of goods sold well above industry average

2.1.2.1.1. Insert specific data here

2.1.2.2. SG&A expenses growing disproportionately to revenues

2.1.2.3. Duplicative manufacturing facilities in different countries

2.2. Revenues

2.2.1. Product 1 accounts for 80% of firm’s revenues, but is facing stiff competition from well-funded competitor

3. Recommendations to address the problem (again, following the example from Section 2)

3.1. Business model and cost structure

3.1.1. Inability to generate competitive adv

3.1.1.1. Suggestion 1

3.1.2. Lower returns

3.1.2.1. Decrease cost of goods sold by changing suppliers to Company X – may decrease quality slightly, but can capture x in cost savings

3.1.2.2. Restructure administration into centralized office based in home country

3.1.2.3. Move all manufacturing to home country

3.1.2.3.1. Close to main market

3.1.2.3.2. Reduce costs by eliminating redundancies

3.1.2.3.3. Capture economies of scale

4. Update on the developments in the case

4.1. New products

4.2. Major acquisitions

4.3. Any efforts to incorporate your recommendations