Case Studies

In June 2023, Zerodha, a leading player in India’s discount brokerage industry, was at a crossroads. Founded in 2010 by Nikhil and Nithin Kamath, who were avid stock traders from a young age, the company had grown significantly by putting customers first. The pandemic and low-interest environment had provided a strong tailwind to the sector as well as the company, especially in terms of the number of customers and revenues. However, the competition was nipping at Zerodha’s heels. Many start-ups offered similar technology interfaces, and some were funded by venture capital. A few were spending aggressively to court customers as well as tech employees. With a debt-free balance sheet built through several years of profitable operations, Zerodha could pursue strategies that required large spending, but the key question was: should Zerodha deviate from its time-tested strategy of being a cost leader and not following the herd in the new post-pandemic environment?  For NUS Business School: (Faculty only) To obtain a free copy of the case, please contact Ms Kwok Siew Geok (bizksg@nus.edu.sg)

In August 2021, Singapore Airlines Group (SIA) was at a critical juncture in its history. Since early 2020, the COVID-19 pandemic had forced commercial travel to almost a standstill, requiring SIA to idle most of its fleet. The group’s overall revenues had declined by 76 per cent in the 2020/21 financial year, resulting in a loss of S$4.27 billion. The massive cash bleed forced the group to issue new capital, thus diluting the stake of its existing shareholders. Although SIA’s results had improved for the quarter ended June 30, 2021, the emergence of new virus variants and continued travel restrictions meant that the group needed to make critical decisions that would have implications for both its short-term survival and its long-term performance. For NUS Business School: (Faculty only) To obtain a free copy of the case, please contact Ms Kwok Siew Geok (bizksg@nus.edu.sg)

In September 2020, Moovaz, a startup in the tech-enabled relocation space, was at a critical juncture in its evolution. In the three years since its founding, the company had established its business model, shown impressive growth in revenues, raised S$7 million in Series A funding and acquired a portfolio of established magazines in the form of The Finder. Junxian Lee, co-founder and CEO of Moovaz was optimistic about the prospects of the company going forward, despite the COVID-19 pandemic. However, there were a number of caveats to his optimism. Specifically, possible decline in demand if the world economy continues to struggle and challenges in raising the next round of funding in the face of uncertainty. For NUS Business School: (Faculty only) To obtain a free copy of the case, please contact Ms Kwok Siew Geok (bizksg@nus.edu.sg)

In May 2020, Usha Martin Limited (Usha Martin), a diversified engineering group based in India, was debating strategies for continued future growth. In April 2019, the company had divested its steelmaking and related operations to reduce its debt load. Though the divestment meant a large decline in the company’s sales for the year ended March 2020, the company managed to reverse the trend of losses incurred in several recent quarters and years to earn positive profits. However, attaining future growth remained a challenge for the smaller, focused company, especially given the economic disruption caused by the COVID-19 crisis. It was critical that Usha Martin’s management made the correct strategic choices so that the company could achieve good, long-term, profitable growth. For NUS Business School: (Faculty only) To obtain a free copy of the case, please contact Ms Kwok Siew Geok (bizksg@nus.edu.sg)

In 2020, the Indonesian bank PT Bank Tabungan Pensiunan Nasional Tbk (BTPN) had to make a decision regarding a digital transformation strategy for its future. BTPN had started as a small bank that focused on pensioners, but became known for its innovation after a private equity partner bought a stake in 2008. Initially innovating successfully in microfinance, BTPN decided to go digital by creating an in-house start-up in 2015 called Jenius, thereby leapfrogging to become one of the forerunners in Indonesian digital consumer banking. The COVID-19 pandemic had accelerated digital financial services, and BTPN had to decide how to scale Jenius to transform the company. Was the in-house start-up model the best choice after all, or would the large incumbent banks digitalize faster?

As family businesses progress and are transferred to the next generation, the founding family often develops explicit rules in the form of a family constitution. This case explores one aspect of the family constitution, namely the interaction between family members and the business. After turning 80 years old, Ongky Lim decides it is time to develop family rules to deal with his expanding family and their diverse needs and talents. This case helps family owners appreciate the benefits of family rules and understand the types of rules required.

As family businesses implement more sophisticated governance, the founding family often develops explicit rules in the form of a family constitution. This case explores one aspect of the family constitution, namely the ownership and control of the business in the second and third generation. An Asian patriarch, Ongky Lim, grapples with how to best preserve his legacy for future generations as he weighs advice from different people. The case helps family owners to evaluate different ownership and control options.

In late 2018, the chief executive officer and founder of Tunaiku, a new digital consumer-lending financial technology (fintech) company in Indonesia, faced a dilemma. Although he had set out in 2014 to revolutionize Indonesia's consumer lending by providing people in the underserved lower segment of society with small unsecured loans, he now faced his most crucial challenge—dealing with Indonesia’s changing regulatory environment. When he had launched the venture in 2014, fintech was unknown, and the founder had eventually decided to offer the product through a bank. But after Indonesia introduced a new fintech regulation, he needed to reconsider his earlier decision. Should Tunaiku move to a fintech licence or remain as a bank?

Niranjan Hiranandani, one of India’s most prominent property developers, experienced impressive business success as well as awkward family drama, prompting him to gradually split up the family business to allow family members to go their own ways. Avoiding and managing family conflict is crucial to the survival of family firms, but when, why, and how family leaders should divide the family firm or let go of family members is still unexplored territory. What did Niranjan Hiranandani do well when trying to stem the conflict in his family, and where could he have done better? This case provides lessons for leaders who want to divide the family business by exploring three different separation mechanisms.

In early 2019, Asahi Glass Co., Ltd. (AGC), a diversified Japanese company, was at a critical juncture in its evolution. Three years earlier, AGC had released its Vision 2025, which set a goal for the company to continue as a leading global provider of materials and solutions that improved the daily lives of people around the world. Its financial performance had improved significantly over the previous five years, but profitability remained modest, with operating profit margins slightly above 8 per cent. The modest profitability of the company belied a strong base of technologies in glass, chemicals, electronics, and ceramics. AGC could potentially use these strengths to develop and market high value-added products in varied sectors such as mobility, construction, new energy, and life sciences. To effectively exploit future opportunities, however, the company needed to devise and implement novel strategies, overcome competitive challenges, and align its internal organization. Specifically, it would need to extend or modify its globalization strategy by developing a differentiated strategy for combinations of products and countries, develop new competencies in areas such as biologics, and choose the appropriate entry modes to balance financial and strategic implications. How should AGC proceed toward achieving its Vision 2025 goals? For NUS Business School: (Faculty only) To obtain a free copy of the case, please contact Ms Kwok Siew Geok (bizksg@nus.edu.sg)