Appendix 2

1. Appendix 2 Bryson Bell Dana Cook Ian Walroven Philip Winfield Tyler Buschman Jordan Jones Stephanie light Austin Bastian

2. What is a Case? • A Story • What do you do with the information? • Case analysis typically has six parts • External analysis, internal analysis, strategic issues, strategic alternatives, recommendations, implementation

3. Executive Summary • Company Vision/Mission • A statement to reflect what the company stands for and strives towards • Under Armour: ‘To make all athletes better through passion, science and the relentless pursuit of innovation’ • Company Goals • What the company strives to achieve internally and externally

4. Executive Summary • Company Policies/Values • Refers to the ethical, personal and cultural, economical values the company incorporates internally and externally when doing business • Under Armour’s core values were founded on: innovation, inspiration, reliability and integrity • Corporate and Competitive Strategies • How the company plans on growing and progressing in the current and future market

5. External Analysis This section includes a description of opportunities and threats found in the specific and general external environmental sectors. Talks about the industry you are in and the competitive forces.

6. External Analysis • Things to include: • Competition Analysis- Porter’s 5 Forces (opportunities and threats) • Rivalry • Entrants • Bargaining power of buyer • Bargaining power of Supplier • Substitute Products • BOS: talks about this in chapter 3 Reconstructing Market Boundaries • Examining your Red Ocean • G2G: looks at this topic by referring to knowing who you are as a company and what you stand for to be successful

7. External Analysis • General External Environment (opportunities and threats) • Economic: what’s going on in the economy • Demographic: are there new demographic changes that affect strategy • Sociocultural: society affects trends • Political-legal: new laws that affect business? • Technology: new technological advances

8. External Analysis • Boal's industry analysis questions address these issues • “business and economic characteristics” • Competitive forces • Using all of these resources and using ideas from BOS about creating Blue Oceans, knowing your market and G2G knowledge of what companies should be doing to be great gives us a clear picture of all the things to think about when doing an external analysis

9. Internal Analysis • The internal analysis section of a case analysis includes a description of the strengths and weaknesses found in an organization’s internal functional areas. • SWOT analysis • The internal analysis section should include an analysis of top management and board of directors. • Once you have analyzed all of the internal areas, you should describe the specific strengths and weaknesses you see in each area and explain why you see them as strength or weaknesses

10. Internal Analysis • Strengths/Weaknesses found in the functional areas within BLM Inc. • Strategic managers strengths/weaknesses • BLM’s strength: CEO is very hands on • BLM’s weakness: CEO is very hands on • Corporate structure strengths/weaknesses • BLM’s strength: Organized into different product divisions • BLM’s weakness: Company isn’t organized around geographic markets • Corporate culture strengths/weaknesses • BLM’s strength: Employees believe in the products, company is very people oriented, company emphasizes open communication • BLM’s weaknesses: none found

11. Internal Analysis • Strengths/Weaknesses found in the functional areas within BLM Inc. • Production-operations strengths/weaknesses • BLM’s strength: Most of the company’s production facilities are less than seven years old. • BLM’s weakness: Company has a large number of suppliers • Marketing strengths/weaknesses • BLM’s strength: Company logo, repeat customers • BLM’s weakness: Target market is narrow, Global marketing has not been effective

12. Internal Analysis • Strengths/Weaknesses found in the functional areas within BLM Inc. • R&D strengths/weaknesses • BLM’s strength: Current expansion of R&D facility • BLM’s weakness: No global R&D facility • Human resources management strengths/weaknesses • BLM’s strengths: Educational benefits offered to employees • BLM’s weakness: Assembly work on custom ordered motorcycles is précis and demanding • Information systems strengths/weaknesses • BLM’s strength: Numerous forms of communication with employees and customers • BLM’s weakness: Web site is only in English

13. Internal Analysis • The final part of an internal analysis for a case analysis is a four part financial analysis • Ratio analysis and comparison to industry/company trends • Graphs and charts outlining sales, profits, and any other important financial measures • listing and explanation of a company’s financial strengths and weaknesses • a statement of the companies financial condition (i.e. weak, fair, strong)

14. Strategic Issues After SWOT Analysis Identify Critical Weaknesses Identify Opportunities Identify Distinctive Competencies

15. Strategic Issues Example • Big Loud Motorcycles • Target market is very narrow • Missing significant marketing opportunities

16. Strategic Issues for Underarmour Narrow Market compared to competition Implementation issues for new product lines Need to expand their brand to appeal to more people

17. Strategic Alternatives Address the strategic issues Propose at least two alternatives to address each issue Describe what, how, who, when, and where of each alternative

18. Under ArmourStrategic Alternatives Blue Ocean Strategy • Looking at noncustomers through three tiers • Develop and target products towards females Good to Great • Technology accelerators • HeatGear has anti-odor technology helps prevent the growth of odor causing microbes

19. Under ArmourStrategic Alternatives Strategic Issue: Men’s apparel line is more successful than the women’s. Missing out on a big opportunity since roughly half of the population is female. Strategic Alternative: What: Design and develop products for females and target through advertising aimed at females. How: Find out what women want to wear and see through current customers, surveys, and focus groups. Who: Marketing research department will be responsible for collecting information, pursuing, and developing a plan. When: Start immediately to take advantage of the opportunity. Where: Alternative will be done in U.S. market and involve input from headquarters in Baltimore.

20. Recommendations After you’ve developed your strategic alternatives… Time to make some choices. Which alternatives are you choosing? Why? Which alternatives are you rejecting? Why?

21. Recommendations • Choose the best alternative • Note: You can choose as many of your alternatives to “resolve” your issue as you want, as long as they’re not mutually exclusive. • Explain how your chosen alternative(s) will resolve the strategic issue.

22. Implementation Disadvantage of case analysis: can’t put your proposed ideas into action To overcome this, your case analysis should provide a description of what changes would have to take place if your chosen strategies were implemented

23. 3 Ways to Approach Implementation Describing proposed changes in organizational structure The proposed changes in organizational culture Source of funding for implementing the chosen strategies Case Study: BLM

24. Ch. 8 Blue Ocean Strategy:Build Execution into Strategy All members of the organization need to be aligned around a strategy and support it Overcome organizational hurdles Create a culture of trust and commitment

25. Ch. 8 Good to Great:A Culture of Discipline • The main points of this chapter: • Build a culture full of people who take disciplined action within the three circles • Consistent with the Hedgehog Concept • BLM case study • Under Armour

26. Conclusion • Case Analysis • External Analysis • Internal Analysis • Financial Analysis • Strategic Issues/Alternatives • Recommendations • Implementation