Publications

October 2013 (Revised January 2016)
Case

J.C. Penney's 'Fair and Square' Strategy (Abridged)

By: Elie Ofek and Jill Avery

As he gets ready to release 2nd quarter 2012 results, Ron Johnson, the new CEO of department store J.C. Penney, is reconsidering the dramatic changes he initiated for the business model and brand image of his company. A new pricing scheme he put in place in February,... View Details

Keywords: Business Model; Change Management; Marketing Strategy; Price; Consumer Behavior; Decision Making; Management Teams; Brands and Branding; Retail Industry; United States

December 1971 (Revised December 1994)
Background Note

Capital Structure Decision: Underlying Theory

By: William E. Fruhan Jr.

Demonstrates hypothetically and numerically the share price valuation impact of changes in a firm's capital structure. View Details

Keywords: Capital Structure; Decisions

September 2015 (Revised March 2017)
Case

Château Margaux (Abridged)

By: Elie Ofek, Eric E. Vogt and Robert J. Dolan

Château Margaux, one of only five prestigious estates in the Bordeaux Medoc wine region to have been classified as a "first-growth", is facing a host of strategic decisions in early 2013. Up until this point the estate had been selling two red wines, a first wine whose... View Details

Keywords: New Product Launch; Marketing Plan; Brand Management; Go To Market Strategy; Channels Of Distribution; Wine Industry; Marketing; Brands and Branding; Marketing Strategy; Distribution Channels; Product Launch; Agriculture and Agribusiness Industry; Food and Beverage Industry; France

December 2019
Article

Brokers and Order Flow Leakage: Evidence from Fire Sales

By: Andrea Barbon, Marco Di Maggio, Francesco Franzoni and Augustin Landier

Using trade-level data, we study whether brokers play a role in spreading order flow information. We focus on large portfolio liquidations, which result in temporary drops in stock prices, and identify the brokers that intermediate these trades. We show that these... View Details

Keywords: Predatory Trading; Back Running; Fire Sales; Brokers; Stocks; Price; Information; Knowledge Dissemination; Ethics

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July 2001 (Revised March 2002)
Case

Progressive Insurance: Disclosure Strategy

By: Amy P. Hutton and James Weber

Progressive Insurance had refused to play Wall Street's earning game. Progressive didn't manage reported earnings nor did management give guidance to analysts. Management then considered taking their unique disclosure strategy one step further to become the first to... View Details

Keywords: Earnings Management; Stocks; Corporate Disclosure; Insurance; Volatility; Insurance Industry; United States

December 2001 (Revised April 2003)
Case

Delays at Logan Airport

By: V.G. Narayanan and George Batta

Logan Airport is facing mounting delays for flights landings and takeoffs, especially in inclement weather. An additional runway and peak-period pricing are two alternatives being considered. View Details

Keywords: Price; Problems and Challenges; Decision Making; Mathematical Methods; Air Transportation Industry; Service Industry; Boston

03 Jan 2007
First Look

First Look: January 3, 2007

Working PapersCan Higher Prices Stimulate Product Use? Evidence from a Field Experiment in Zambia Authors:Nava Ashraf, James Berry, and Jesse M. Shapiro Abstract The pricing of health products in the... View Details

Keywords: Sean Silverthorne

April 2008 (Revised December 2008)
Case

Leveraged Loans 2007

By: Andre F. Perold and Erik Stafford

The leveraged loan market was in a crisis during the summer of 2007, following many years of low realized volatility (less than 4% per annum), an index of leveraged loans had fallen over 5% in the month of July. A sudden drop in capital market prices for an asset class... View Details

Keywords: History; Financial Liquidity; Investment; Financial Crisis; Market Transactions; Disruption; Decision Choices and Conditions; Competitive Strategy; Capital Markets; Crisis Management; Commercial Banking; Banking Industry; Financial Services Industry

Article

The Impact of Forward-Looking Metrics on Employee Decision-Making: The Case of Customer Lifetime Value

By: Pablo Casas-Arce, Asis Martinez Jerez and V.G. Narayanan

This paper analyzes the effects of forward-looking metrics on employee decision-making. We use data from a bank that started providing branch managers with the customer lifetime value (CLV)—an estimate of the future value of the customer relationship—of mortgage... View Details

Keywords: Customer Lifetime Value; Forward-looking Metrics; Employees; Decision Making; Information; Customer Value and Value Chain; Banks and Banking; Mortgages; Outcome or Result

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2009
Working Paper

Strategic Interactions in Two-Sided Market Oligopolies

By: Emmanuel Farhi and Andrei Hagiu

Strategic interactions between two-sided platforms depend not only on whether their decision variables are strategic complements or substitutes as for one-sided firms, but also -and crucially so- on whether or not the platforms subsidize one side of the market in... View Details

Keywords: Two-Sided Markets; Strategic Complements; Strategic Substitutes; Cost; Investment; Profit; One-Sided Platforms; Two-Sided Platforms; Duopoly and Oligopoly; Competitive Advantage

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07 Jun 2023
Blog Post

My One Case: MBA Class of 2023 Looks Back

How many cases do MBA students read over their two years at Harvard Business School (HBS)? 500. Ranging in topics from finance to entertainment to sustainability, cases share the story of a business leader (the case protagonist) making a key View Details

January 2014 (Revised December 2014)
Case

GenapSys: Business Models for the Genome

By: Richard G. Hamermesh, Joseph B. Fuller and Matthew Preble

GenapSys, a California-based startup, was soon to release a new DNA sequencer that the company's founder, Hesaam Esfandyarpour, believed was truly revolutionary. The sequencer would be substantially less expensive—potentially costing just a few thousand dollars—and... View Details

Keywords: DNA Sequencing; Life Sciences; Business Model; Innovation ＆ Entrepreneurship; Health Care and Treatment; Genetics; Business Strategy; Biotechnology Industry; Pharmaceutical Industry; Technology Industry; Health Industry; Medical Devices and Supplies Industry; United States

01 Oct 2007
Research & Ideas

Encouraging Dissent in Decision-Making

should be rewarded and incentives designed to encourage that. Says Bazerman, "Executives sometimes complain to me that their sales force is sacrificing profitability for revenue by lowering prices to make more sales. So I ask them,... View Details

Keywords: by Garry Emmons

20 Jan 2015
First Look

First Look: January 20

http://ssrn.com/abstract=2545972 Match Your Own Price? Self-Matching as a Retailer's Multichannel Pricing Strategy By: Kireyev, Pavel, Vineet Kumar, and Elie Ofek Abstract—Multichannel retailing has created several new strategic choices... View Details

Keywords: Sean Silverthorne

January 2025 (Revised February 2025)
Background Note

A High-Tech Revolution with Chinese Characteristics: China's Drive Towards EV Supremacy

By: William C. Kirby, Daniel Fu and Matthew Ngai

This background note explains and documents the rise of China's EV industry. Moreover, it identifies the challenges facing it and posits several questions about the decisions needed to be made to sustain the industry's global dominance. Would Chinese producers be able... View Details

Keywords: China; State Capitalism; Electric Vehicles; Tesla; Renewable Energy

October 28, 2021
Article

Creating a Meaningful Corporate Purpose

By: Hubert Joly

Today, most company leaders believe that their companies’ larger purpose is to make a positive difference in the world—not just to maximize shareholder value. Defining a corporate why and making sure it guides decisions and operations has therefore become a cornerstone... View Details

Keywords: Corporations; Purpose; Meaningfulness; Organizations; Mission and Purpose; Organizational Change and Adaptation