Strategic tools for the practising manager

KIT

In the past few years, wine consumption in India has grown from 600,000 to 2.8 million cases.

The Single Malt/Scotch category commands 73 per cent consumer engagement, while the wines and champagnes category commands 26 per cent consumer engagement.

North India is more exposed to larger than life lifestyles and is more influenced by the West. People in North India shop for exotic wines and champagnes about 13 times per year, the highest in the country.

Consumers in eastern India buy wines and champagnes about nine times a year.

The age group of 35 years and below comprises the biggest consumer segment. They also account for the highest purchase frequency "" almost 17 times a year.

Men aged between 31 and 35 years account for the maximum spends on wines and champagnes "" Rs 49,300. However, the same group spent just Rs 7,900 on Single Malt/Scotch category.

Selections from management journals
NUGGETS

The biggest takeover battle in the global steel industry came to an end in late June when Mittal Steel, the world's biggest steelmaker, acquired Arcelor, the industry's second-largest company.

For five months before shareholders signed off on the $32.2 billion transaction, both sides were engaged in an acrimonious fight. At times it seemed as though the deal would collapse, but finally, after Mittal Steel significantly increased its offer, it went through.

What was Mittal Steel's strategy in pursuing this acquisition? When the company encountered resistance, how did it frame its negotiation strategy? What will the deal mean for the world steel industry?

Aditya Mittal, president and chief financial officer of Mittal Steel "" and son of founder Lakshmi Mittal "" spoke recently with Knowledge@Wharton

Aditya Mittal: 'Arcelor and Mittal Steel is the best combination within the steel industry'
Knowledge@Wharton
July 2006

Read this article at http://knowledge.wharton.upenn.edu/

Start-up companies almost by definition are voyaging into the unknown, and since reacting to the unpredictable is difficult, many new ventures fail.

Managing risk is all about planning, but when no amount of planning can foresee all major possible events, some other mechanism for preparing for and dealing with the unexpected is necessary.

Even the unforeseeable can be prepared for if you have the right tools. Start-ups are often faced with the unknown, when traditional methods cannot help them. But there are two options for managers of young companies in this situation. So how to choose which method is most appropriate?

Authors Svenja Sommer, Christophe Loch and Jing Dong look at a sample of 62 start-up companies in Shanghai to shed light on this tricky decision.

Coping with the unknown
Christoph Loch, Jing Dong and Svenja Sommer
Insead Knowledge, July 2006

Read this article at http://knowledge.insead.edu