SSYYLLLLAABBUUSS STRATEGIC MANAGEMENT: 495 – 02 (Time: THURSDAY 6:00-8:30 p.m. Place: Smith 252) SPRING 2011 (1/10/2011~4/29/2011) Instructor: Mina Lee, Assistant Professor in Management Office Hour: Mon 3:15-5:15 p.m., Wed 1-5p.m. or by appointment Contacts: leem1@xavier.edu; Office phone: (513) 745-3128; Office: Smith Hall 339 Required Textbook: “Strategic Management: Concepts and Cases: Competitiveness and Globalization” by Hitt, Ireland, and Hoskisson. 9th edition. Published by South-Western Cengage Learning. ISBN-13:978-1-4390-4230-4 Electronic textbook can be obtained from http://www.cengagebrain.com/market/index.html. OBJECTIVES The mission of the Williams College of Business (WCB) appears below: “We educate students of business, enabling them to improve organizations and society, consistent with the Jesuit tradition.” The primary objective of this course is to develop students’ skills at: 1) analyzing the external environment of the firm 2) understanding the internal resources of the firm 3) realizing the gap between planning and actually implementing the strategy 4) getting used to the key terminologies in strategic management 5) developing team works We study strategic management to develop a coherent business plan, which is not based on instinct or luck, but based on logic and theory. To do so, we will learn 1) industrial organization economics 2) resource based view 3) transaction cost economics 4) agency theory and other relevant theories. At the same time, students should understand that reality is more complex than what theories describe. Often times, we observe that a perfect strategic planning does not necessarily mean a successful implementation of a chosen strategy. Stakeholder analysis is especially relevant to explain a gap between planning and implementation. Throughout this course, you should be able to learn how to work as a team, which is critical in the real world. GRADING Your evaluation is based upon the quality of your class attendance, group presentations, project, exams, and group case analysis. The percentage weight given to each component is as below. 1. Class Participation and Attendance 10% Individual 2. ETS Exam 5% Individual 3. Exam 1, 2, 3, 4 *5% 20% Individual 4. Final exam 15% Individual 5. Case analysis: 4%* 5 cases (I will drop the lowest grade) 20% Group 6. Oral Case Presentation/Report 30% Group Total: 100% 1. Class Attendance and Participation: Individual. (10%) The course objectives and format are centered on your preparation for and participation in class. Please treat this class as a workshop for honing your skills in issues concerning International management. Your class participation should demonstrate: (1) evidence of careful preparation of cases and readings; (2) clarity and conciseness of your recommendations; and (3) strong and convincing analysis to support your recommendations. Attendance is mandatory. You may miss only one class without penalty. IF YOU MISS TWO CLASSES, YOUR FINAL GRADE WILL DROP BY ONE GRADE, unless you have a valid documented medical reason. If you are likely to more than two classes, it is recommended that you drop this course and take it later. If you are late to class on multiple occasions, you will be marked absent on those days. If you are absent for any in-class exercise, you will be given no points for the attendance of the day. The in-class informal case presentations and activities should reflect an understanding and application of the key concepts in the course. If you attend every session, you will receive full attendance points (5%), NOT full participation points (5%). Following each class session, the grade for class participation will be awarded as follows: 0 Partial or complete absence, arriving late on multiple occasions. 1 Attended, but no involvement. 2 Attended and contributed to discussion, reflecting a good understanding of material and evidence of preparation. 2. ETS Exam (5%) There will be an exam given to all students in the Williams College of Business Capstone Courses this semester. The purpose of this exam is to provide an assessment of our program at Xavier as compared to other universities. The exam is widely used on a national basis, and is a course requirement for all Capstone students in the Williams College of Business. You will receive information concerning your grade on the exam, as well as information as to how it compares to the national participants. The results of this test are important to you and to Xavier. The results will help us understand if there are improvement opportunities, and they will help you understand how you compare to students on a national level. The exam that you will be taking is the "Major Field Test" from the Educational Testing Service (ETS). The ETS exam is three hours long and will be administered by the Williams College of Business. We are trying to schedule it during class time, but it may have to be at another time. In general, the exam will cover all areas of business, including Accounting, Economics, Management, Quantitative Business Analysis and Information Systems, Finance, Marketing, and Legal and Social Environment studies. Your attendance this exam will represent 5% of your grade for this course. 3. Exams 1, 2, 3, and 4 (5%*4=20%). If you believe you have an excellent reason for not being there, you must get permission before the exam and arrange a make-up exam. Exams may include multiple choice, short answer, case analysis, and/or essay questions. 4. Final exam (15%) The date and time of the final exam is 1:00-2:50pm on May 3rd, 2011. The place is Smith 252. 5. Case analysis (4%*5=20%) Each group is expected to submit a minimum 4 pages (11 points, one-and-half spaced) typed analysis for six cases. Send your written report to the instructor VIA E-MAIL AND/OR TURNITIN PROGRAM. The due time is the beginning of the class time. The lowest grade among case analysis reports will be dropped. This analysis may consist of 1) questions from the syllabus 2) detailed analysis (of external/internal/competitor) to answer the questions 3) your final recommendation for a company. Use framework you learned in the class. This preparation will help each class member to have discussion questions prepared for the consultant and management teams. 6. Professional Oral Case Presentation/Report (30%) Each student is required to be involved in an oral case presentation for a company of their choosing. Case presentations will be prepared, presented and graded on a TEAM basis. Presentations should be at least 40 minutes long, not including questions and answers. Presentations that are either too short or too long will be penalized. Each team should present detailed recommendations of what they think the company should do. Each member of the team must participate equally in the oral presentation. Public speaking is a mandatory part of this course and AANNYYOONNEE WWHHOO DDOOEESS NNOOTT PPAARRTTIICCIIPPAATTEE IINN GGIIVVIINNGG TTHHEE PPRREESSEENNTTAATTIIOONN WWIILLLL RREECCEEIIVVEE AA GGRRAADDEE OOFF ““FF”” FFOORR TTHHEE CCOOUURRSSEE,, NNOOTT JJUUSSTT FFOORR TTHHEE PPRREESSEENNTTAATTIIOONN.. Visual aids should be incorporated into the presentation to help streamline and clarify the recommendations being made. The keys to giving a good presentation are: preparation, coordination, interpretation, and explanation. Following the presentation there will be a question-and-answer session with questions being posed by members of the class. Presentation grades will be based on the content of the presentation (depth, thoroughness, and detail) and presentation skill and quality (how effectively the material was presented and delivered). See the attached check sheet for a detailed list of the criteria utilized in evaluating class presentations. Send your Power point file and written report to the instructor VIA E-MAIL AND/OR TURNITIN PROGRAM TTWWOO CCAALLEENNDDAARR DDAAYYSS BBEEFFOORREE TTHHEE PPRREESSEENNTTAATTIIOONN DDAATTEE.. TTHHEE DDUUEE TTIIMMEE IISS 55 PPMM.. The report should be double-spaced, and the body no more than 10 pages, exclusive of exhibits and references. The border margins should be set at no less than one inch on all sides. The font should be 11 point (Times Normal preferred). You can choose one out of ten choices. You may use the library resources and newspapers to research about the firm. Suggest their future direction and way to improve the firm. An example of a case presentation structure: 1. Approx 10 minutes: identify the (possible) problem(s) facing the company along with the symptoms of the problems and their weakness. 2. Approx 15 minutes: analyze these issues using course concepts and models 3. Approx 10 minutes: develop at least two alternatives for solving the problems facing the company, and recommend one of the alternatives along with a discussion of potential implementation issues. Suggest a way to improve the firm. 4. Approx 5 minutes: discuss the costs/benefits of your final recommendation (long term and short term) 5. Approx 10 minutes: Q& A session. List of 7 firms (Selected from ‘Best companies to work for’ 2010, by Fortune): 1. Intuit 2. Google 3. Monsanto 4. Nordstrom 5. Fedex 6. Starbucks coffee 7. P&G Or other fortune 500 company of your interest. Sources of information: Information for the project may be obtained from the Xavier Library, University of Cincinnati Library, Public Library, the Greater Cincinnati Chamber of Commerce World Trade Division, and the U.S. Department of Commerce Regional Office. World Wide Web sources: 1. http://www.hoovers.com/features/industry/industries.html 2. http://web.lexis-nexis.com/universe 3. http://www.yahoo.com/Regional/countries/ 4. http://www.usitc.gov/ 5. http://www.wto.org/Welcome.html 6. http://www.businessweek.com/ 7. http://www.ft.com/ 8. http://www.pathfinder.com/fortune/ 9. http://www.wsj.com/ Peer evaluation: At the end of the course each student will be evaluated by their team members. Each student will be asked to evaluate their team members by grading them on a scale and then giving a brief narrative supporting the grade that was given. An average score will be calculated for each team member and their presentation grade will be calculated by multiplying their peer evaluation score by the team presentation grade. For example, if your team received a grade of 80% on the presentation and your average peer evaluation was 70%, the presentation grade that you would receive is 56% (80% x 70%). Peer evaluations will be anonymous and will not be shared with team members. Therefore, it is of utmost importance that you work well with your team members. I recommend that students develop a working relationship with their team members early in the semester to avoid any problems later on. CLASS ACTIVITIES AND ASSIGNMENTS NO EXCUSES WILL BE ACCEPTED FOR LATE ASSIGNMENTS AND ALL LATE ASSIGNMENTS WILL RECEIVE A GRADE OF ZERO. Case write-up assignments are due at the BEGINNING OF CLASS. Send your report to the instructor VIA E-MAIL AND/OR TURNITIN PROGRAM in the Blackboard system. Other assignments may be done in class and no prior announcement will be made. CLASSROOM COURTESY Everyone is expected to be on time for class. Coming in late for class disrupts the flow of the class. As a common courtesy to everyone in the class AALLLL CCEELLLL PPHHOONNEESS,, PPAAGGEERRSS,, LLAAPP TTOOPP CCOOMMPPUUTTEERRSS,, AANNDD OOTTHHEERR EELLEECCTTRROONNIICC DDEEVVIICCEESS MMUUSSTT BBEE TTUURRNNEEDD OOFFFF DDUURRIINNGG CCLLAASSSS TTIIMMEE.. AALLSSOO,, NNOO EEAATTIINNGG IISS AALLLLOOWWEEDD DDUURRIINNGG CCLLAASSSS TTIIMMEE. It is expected that everyone will be respectful of their fellow classmates. Interrupting speakers (whether the instructor or fellow students), carrying on personal conversations, reading newspapers or other reading materials not related to this course will not be tolerated. Such behavior shows a lack of respect for others and disrupts the class and impedes the learning process. ACADEMIC MISCONDUCT All forms of cheating will result in an F for the course. In this class cheating includes plagiarism (using country write-ups and case/individual reports from other students (previous or current)). Plagiarism also includes case write-ups (partial or full) downloaded from the Internet. The academic policy of Xavier University will be strictly enforced in this class. DISABILITIES Students with documented or suspected cases of disabilities should contact the Counseling Center located on the ground floor of the Orr Center for assistance. If you have a documented disability or suspect that you might have a disability you are required to notify your instructor at the beginning of the semester and have your disability documented by the Counseling Center. COMMUNICATION Students are responsible for making sure that the e-mail account that they check regularly is listed on the Blackboard site for this course. Please check e-mail and/or the Blackboard site in the semester so you do not miss any additional readings, changes, or announcements. GRADING SCALE Calculation of final course grade from test / group presentations / class attendance points / individual assignments scores. A 93.4 and above out of 100% A- 90.0-93.3 B+ 86.7-89.9 B 83.4-86.6 B- 80.0-83.3 C+ 76.6-79.9 C 73.4-76.6 C- 70.0-73.3 D+ 66.7-69.9 D 63.4-66.6 D- 60.0-63.3 F below 60 CLASS SCHEDULE 1. 01/13 (Th) Introduction. Ch 1. Strategic Management and Strategic Competitiveness. Submit a list of team members and your chosen case for presentation. Ch 2. External Environment 2. 01/20 (Th) Ch 2. External Environment Ch 3. The Internal Organization 3. 01/27 (Th) Ch 3. The Internal Organization Case 1. The New York Times. (Page 237) Submit your case analysis of the New York Times. Use Porter’s Five Forces Model to analyze the news industry in the US. Given this analysis, is the industry attractive or unattractive? How will NYT Co. be affected by external factors? Is there any way to overcome the limitation of its industry? 1hr Ch 4. Business-level strategy 4. 02/03 (Th) Exam 1 (Ch 1, 2, 3) Ch 4. Business-level Strategy 5. 02/10 (Th) Ch 6. Corporate-level Strategy Case 2. Cinemaplex. (page 217) Submit your case analysis of Cinemaplex. Through a comprehensive analysis of the five competitive forces, what level of competition can be anticipated amongst industry rivals? What recommendations can be made to improve their likelihood of future success? What experience/service can Cinemaplex provide which other competitors cannot? 6. 02/17 (Th) Exam 2 (Ch 4, 6) Guest speaker (TBD) 7. 02/24 (Th) Ch 5. Competitive Rivalry and Competitive Dynamics Case 3. Southwest airlines. (page 366) Submit your case analysis of Southwest airlines. What are the key industry conditions of airline industry (Porter’s five analysis)? How could Southwest be successful in the airline industry? What business-level strategy does Southwest use? How can they be successful in the future? 8. 03/03 (Th) Ch 7. Mergers and Acquisitions strategy Case 4. Apple computer, Inc. (page 188) Submit your case analysis of Apple computer, Inc. What are the key strategic challenges facing Apple Computer? How does Apple's strategy stand up against industry rivalry? Can you come up with an idea to “Corporate relatedness” and “Operational relatedness” for Apple? 9. 03/10 (Th) Spring Break 10. 03/17 (Th) Ch 10. Corporate Governance Exam 3 (Ch 5, 7) 11. 03/24 (Th) Ch 11. Organizational Structure and Controls Case 5. Nintendo’s disruptive strategy. (page 276) Submit your case analysis of Nintendo’s disruptive strategy. Who are Nintendo’s rivals? Who are the direct competitors and who are indirect competitors? What aspects of Nintendo's strategy made it a game-changer in the video game industry? What impact has it had on the competitive dynamics of the industry? What strategy do you recommend to respond the challenges from the competitors? 12. 03/31 (Th) Ch 8. International Strategy Case 6. Ebay Inc. (page 142) Submit your case analysis of Ebay Inc. Why did Ebay acquire Craiglist and Skype? Was it a good decision? If you were the manager of Ebay, what company would you choose to acquire instead? What should Donahoe do with Skype? Does Buy.com fit with eBay's portfolio of businesses? What do you recommend for Ebay? 13. 4/7 (Th) Exam 4 (Ch 8, 10, 11) Final exam review. 15. 04/14 (Th) Team Project Presentation: Team 1 and Team 2. 16. 4/21 (Th) Easter Holiday, University Closed. 17. 4/28 (Th) Team Project Presentation: Team 3 Final exam. Note: The course instructor reserves the right to change this syllabus. Depending on the number of teams, the class schedule may change also.