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      Investment EvaluationRemove Investment Evaluation →

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      • August 2001 (Revised April 2002)
      • Case

      Strategic Capital Management, LLC (A)

      By: Mark L. Mitchell, Erik Stafford and Todd Pulvino
      Strategic Capital Management, LLC, is a hedge fund that is planning to make financial investments in Creative Computers and Ubid. Creative Computers recently sold approximately 20% of its Internet auction subsidiary, Ubid, to the public at $15 per share. Ubid's stock... View Details
      Keywords: Risk and Uncertainty; Business Subsidiaries; Internet and the Web; Investment Funds; Price; Performance Efficiency; Capital Markets; Auctions; Investment Return; Equity; Planning; Financial Services Industry
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      Mitchell, Mark L., Erik Stafford, and Todd Pulvino. "Strategic Capital Management, LLC (A)." Harvard Business School Case 202-024, August 2001. (Revised April 2002.)
      • 2001
      • Chapter

      Publicly Funded Science and the Productivity of the Pharmaceutical Industry

      By: Rebecca Henderson and Ian Cockburn
      U.S. taxpayers funded $14.8 billion of health related research last year, four times the amount that was spent in 1970 in real terms. In this paper we evaluate the impact of these huge expenditures on the technological performance of the pharmaceutical industry. While... View Details
      Keywords: Public Sector; Science-Based Business; Research and Development; Sovereign Finance; Pharmaceutical Industry
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      Henderson, Rebecca, and Ian Cockburn. "Publicly Funded Science and the Productivity of the Pharmaceutical Industry." In Innovation Policy and the Economy, Volume 1, edited by Adam B. Jaffe, Josh Lerner, and Scott Stern, 1–34. MIT Press, 2001.
      • November 2000 (Revised July 2019)
      • Teaching Note

      Cafes Monte Bianco: Building a Profit Plan

      By: Robert Simons and Indra Reinbergs
      Teaching Note for (9-198-088). View Details
      Keywords: Business Strategy; Cash Flow; Capital Structure; Business Earnings; Financial Statements; Business Plan; Profit; Cost Management; Performance Evaluation; Strategic Planning; Financial Management; Investment Return; Food and Beverage Industry; Manufacturing Industry; Italy
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      Simons, Robert, and Indra Reinbergs. "Cafes Monte Bianco: Building a Profit Plan." Harvard Business School Teaching Note 101-044, November 2000. (Revised July 2019.)
      • October 2000 (Revised April 2001)
      • Case

      Cost of Capital at Ameritrade

      By: Mark L. Mitchell and Erik Stafford
      Ameritrade Holding Corp. is planning large marketing and technology investments to improve the company's competitive position in deep-discount brokerage by taking advantage of emerging economies of scale. In order to evaluate whether the strategy would generate... View Details
      Keywords: Developing Countries and Economies; Asset Pricing; Cash Flow; Cost of Capital; Investment; Marketing; Mathematical Methods; Competition; Information Technology; Internet and the Web; Financial Services Industry
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      Mitchell, Mark L., and Erik Stafford. "Cost of Capital at Ameritrade." Harvard Business School Case 201-046, October 2000. (Revised April 2001.)
      • December 1999
      • Case

      Brierley Investments Limited

      By: Paul M. Healy
      Brierley's is an investment company that has performed poorly in the New Zealand market. Management has prepared a report of the intrinsic value of the company's investments. View Details
      Keywords: Valuation; Corporate Disclosure; Financial Strategy; Management Analysis, Tools, and Techniques; Performance Evaluation; Investment; Business Strategy; Financial Services Industry; New Zealand
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      Healy, Paul M. "Brierley Investments Limited." Harvard Business School Case 100-014, December 1999.
      • December 1999 (Revised May 2000)
      • Case

      Morgan Stanley: Becoming a "One-Firm Firm"

      By: M. Diane Burton, Thomas J. DeLong and Katherine Lawrence
      John Mack, the newly appointed president of Morgan Stanley, feels strongly that the firm needs to change in order to compete in a changing investment banking environment. Mack and his senior team undertake initiatives in order to transform the culture and working style... View Details
      Keywords: Human Resources; Goals and Objectives; Organizational Change and Adaptation; Organizational Culture; Performance Evaluation; Competitive Strategy
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      Burton, M. Diane, Thomas J. DeLong, and Katherine Lawrence. Morgan Stanley: Becoming a "One-Firm Firm". Harvard Business School Case 400-043, December 1999. (Revised May 2000.)
      • November 1999 (Revised July 2001)
      • Case

      New Profit Inc.: Governing the Nonprofit Enterprise

      By: Robert S. Kaplan
      New Profit, Inc. (NPI) is an innovative venture philanthropy fund. Founded by social entrepreneur Venessa Kirsch, NPI intends to raise large donations from individuals who wish to invest in nonprofit enterprises that could have a significant social impact and the... View Details
      Keywords: Balanced Scorecard; Nonprofit Organizations; Venture Capital; Social Entrepreneurship; Corporate Governance; Performance Evaluation; Financial Statements; Philanthropy and Charitable Giving; Service Industry
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      Kaplan, Robert S. "New Profit Inc.: Governing the Nonprofit Enterprise." Harvard Business School Case 100-052, November 1999. (Revised July 2001.)
      • November 1999
      • Case

      Long-Term Capital Management, L.P. (C)

      By: Andre F. Perold
      Long-Term Capital Management, L.P. (LTCM) was in the business of engaging in trading strategies to exploit market pricing discrepancies. Because the firm employed strategies designed to make money over long horizons--from six months to two years or more--it adopted a... View Details
      Keywords: Fluctuation; Capital; Financial Liquidity; Financing and Loans; Investment Funds; Investment Portfolio; Corporate Governance; Governing Rules, Regulations, and Reforms; Management; Risk Management; Markets; Motivation and Incentives; Financial Services Industry
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      Perold, Andre F. "Long-Term Capital Management, L.P. (C)." Harvard Business School Case 200-009, November 1999.
      • April 1999
      • Case

      General Property Trust

      By: Peter Tufano
      In 1994 General Property Trust, an Australian property investment trust, was anticipating future cash needs beyond those that the Trust could fund with internal cash flows. The managers of the Trust were considering a novel financing structure whereby it would sell... View Details
      Keywords: Financing and Loans; Financial Institutions; Financial Services Industry; Real Estate Industry; Australia
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      Tufano, Peter, and John C Handley. "General Property Trust." Harvard Business School Case 299-098, April 1999.
      • June 1998 (Revised August 2001)
      • Case

      Wells Fargo Online Financial Services (A)

      By: Robert S. Kaplan and Nicole Tempest
      Wells Fargo, the industry leader in electronic banking, has implemented a Balanced Scorecard in its online financial services group (OFS) to track and measure performance. The OFS group develops and supports services that allow existing and future banking customers to... View Details
      Keywords: Balanced Scorecard; Internet and the Web; Corporate Entrepreneurship; Corporate Strategy; Performance Evaluation; Finance; Change; Situation or Environment; Measurement and Metrics; Banking Industry; Financial Services Industry
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      Kaplan, Robert S., and Nicole Tempest. "Wells Fargo Online Financial Services (A)." Harvard Business School Case 198-146, June 1998. (Revised August 2001.)
      • April 1998 (Revised November 1999)
      • Case

      Hamilton Financial Investments: A Franchise Built on Trust

      By: Robert L. Simons and Antonio Davila
      Provides a vehicle for students to evaluate risk management in the fast-paced mutual funds industry. A new risk manager has been hired to install new management controls and procedures. A series of decisions will determine how much business and franchise risk the... View Details
      Keywords: Risk Management; Management Teams; Managerial Roles; Forecasting and Prediction; Investment Funds; Performance Evaluation; Corporate Strategy; Change Management; Financial Services Industry; Banking Industry
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      Simons, Robert L., and Antonio Davila. "Hamilton Financial Investments: A Franchise Built on Trust." Harvard Business School Case 198-089, April 1998. (Revised November 1999.)
      • January 1998 (Revised July 2019)
      • Case

      Cafes Monte Bianco: Building a Profit Plan

      By: Robert L. Simons and Antonio Davila
      Alert: This case has been revised since its original publication; all amounts have been converted to euros and the dates have been updated to 2020. If you’ve taught with this case in the past, please note that changes may affect teaching plans and classroom use. Using... View Details
      Keywords: Strategic Planning; Cash Flow; Investment Return; Profit; Financial Statements; Food and Beverage Industry; Italy
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      Simons, Robert L., and Antonio Davila. "Cafes Monte Bianco: Building a Profit Plan." Harvard Business School Case 198-088, January 1998. (Revised July 2019.)
      • December 1997 (Revised December 1998)
      • Case

      Valuing Capital Investment Projects

      By: W. Carl Kester
      A collection of problems that introduces students to the application of discounted cash flow analysis in the evaluation of capital budgeting problems. View Details
      Keywords: Budgets and Budgeting; Capital; Cash Flow; Investment; Valuation
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      Kester, W. Carl. "Valuing Capital Investment Projects." Harvard Business School Case 298-092, December 1997. (Revised December 1998.)
      • June 1997 (Revised February 2000)
      • Case

      Walker and Company: Profit Plan Decisions

      By: Robert L. Simons and Ramsey Walker
      Ramsey Walker, a second-year MBA student, must decide how to control a family business as an absentee owner. After providing background details on the publishing industry, the case requires the reader to: 1) make a product segmentation decision; 2) prepare a profit... View Details
      Keywords: Organizational Structure; Family and Family Relationships; Market Design; Management Systems; Planning; Profit; Performance Evaluation; Segmentation; Corporate Strategy; Investment Return; Publishing Industry
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      Simons, Robert L., and Ramsey Walker. "Walker and Company: Profit Plan Decisions." Harvard Business School Case 197-084, June 1997. (Revised February 2000.)
      • March 1997 (Revised August 2017)
      • Case

      Compagnie du Froid, S.A.

      By: Robert Simons and Antonio Dávila
      The owner of an ice cream company must evaluate the performance of three regional businesses. To do the analysis, students must flex the budget by seasonal temperature; calculate revenue, volume, price, and efficiency variances; analyze the effects of transfer prices;... View Details
      Keywords: Analysis; Investment Return; Performance Evaluation; Revenue; Budgets and Budgeting; Food and Beverage Industry; Europe; France; Spain; Italy
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      Simons, Robert, and Antonio Dávila. "Compagnie du Froid, S.A." Harvard Business School Case 197-085, March 1997. (Revised August 2017.)
      • March 1997 (Revised November 2013)
      • Case

      Purity Steel Corporation, 2012

      By: Robert L. Simons and Antonio Davila
      Managers introduce a new performance evaluation system based on sales growth and return-on-investment (ROI). A branch manager wonders whether his new warehouse should be leased to mitigate the impact on ROI. Formulas and performance calculations are provided. A... View Details
      Keywords: Investment Return; Judgments; Motivation and Incentives; Performance Efficiency; Compensation and Benefits; Salesforce Management; Performance Consistency; Performance Productivity; Steel Industry
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      Simons, Robert L., and Antonio Davila. "Purity Steel Corporation, 2012." Harvard Business School Case 197-082, March 1997. (Revised November 2013.)
      • November 1996 (Revised August 1997)
      • Case

      Project "Dial-Tone"

      By: William A. Sahlman and Andrew S. Janower
      Bob Hellman, a partner in a West Coast middle-market buyout firm, is attempting to simultaneously acquire and merge three disparate firms in the rapidly consolidating telemarketing services industry. Hellman must value the individual companies as well as the combined... View Details
      Keywords: Complexity; Private Equity; Integration; Mergers and Acquisitions; Negotiation Deal; Strategic Planning; Investment; Opportunities; Valuation; Service Industry
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      Sahlman, William A., and Andrew S. Janower. Project "Dial-Tone". Harvard Business School Case 897-003, November 1996. (Revised August 1997.)
      • October 1995 (Revised July 2009)
      • Case

      Beechwood Spouts (A)

      By: William A. Sahlman and Andrew S. Janower
      Charles Barker must decide whether to become an outside investor in a private round of financing for an early stage, high-growth-potential venture producing plastic pouring spouts for orange juice cartons. Barker must evaluate the opportunity, content, and deal to... View Details
      Keywords: Business Startups; Venture Capital; Financing and Loans; Investment
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      Sahlman, William A., and Andrew S. Janower. "Beechwood Spouts (A)." Harvard Business School Case 396-016, October 1995. (Revised July 2009.)
      • June 1995 (Revised June 1996)
      • Case

      White Nights and Polar Lights: Investing in the Russian Oil Industry

      By: Debora L. Spar
      In the latter half of the 1980s, the collapse of the Soviet empire created an unprecedented opportunity for Western businesses. Among those most attracted were the oil firms, who rushed to investigate Russia's vast petroleum reserves. But, as they soon discovered,... View Details
      Keywords: Risk and Uncertainty; Market Entry and Exit; Foreign Direct Investment; Energy Sources; Energy Industry; Russia
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      Spar, Debora L., William W. Jarosz, and Julia Kou. "White Nights and Polar Lights: Investing in the Russian Oil Industry." Harvard Business School Case 795-022, June 1995. (Revised June 1996.)
      • March 1993 (Revised July 1994)
      • Case

      Gerber Products Company: Investing in the New Poland

      By: Debora L. Spar
      Examines Gerber Products Co.'s evaluation of Alima S.A., one of Poland's largest food processing plants, as a potential overseas investment in 1991. Factors that influenced Gerber's decision are discussed in detail: property rights, taxation issues, and Poland's... View Details
      Keywords: Foreign Direct Investment; Food and Beverage Industry; Poland
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      Spar, Debora L. "Gerber Products Company: Investing in the New Poland." Harvard Business School Case 793-069, March 1993. (Revised July 1994.)
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