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1
Ans. 1 (a)
Chao saw herself as Associate in nursing creator, however antecedent her inventions were
created for her own personal use and profit. Her latest invention was Associate in
nursing environmentally friendly automotive wash that she thought might facilitate and be of
interest to others similarly. A risk concerning this approach, is that once you perpetually seek
for new “brilliant” concepts, you'll simply “fall in love” together with your own plan and
not having the ability to appear at it from all totally different views to visualize if
it truly would be a “hit” or not.

Chao known as her product “Eco Wash” — Associate in Nursing all-in-one system that

might be accustomed clean each the outside and interior of any vehicle. in contrast
to most automotive washes, wherever the water accustomed wash the vehicle was discharged
as waste water, the Eco Wash system had a proprietary wash head that vacuumed up the dirty
water as before long because the cleansing answer was sprayed onto the vehicle’s surface.
The wash head featured a soft foam brush, power spray and vacuum
that were accustomed whisk dirt and water away while not scratching the surface of the
vehicle. The result was terribly and especially economical automotive wash system that
was additionally very ecologically friendly. An automotive wash performed victimisation the
Eco Wash system used but 2 gallons of water. This was a substantial improvement when put
next to the thirty-eight gallons that were usually used at a full-service automatic wash by the
company to their respective users.

In addition to exterior cleansing, the Eco Wash unit additionally functioned as a carpet or

upholstery cleaner. The powerful vacuum element might clean even the dirtiest carpets and
also the inbuilt suction pump can be accustomed discharge dirty water into Associate in
Nursing approved receptacle. As a result, Eco Wash was Associate in
nursing environmentally friendly carwash service that leant it to mobile
operators similarly as people who wanted to use it from a stationary location; Eco Wash
was terribly dynamic.
The potential drawback with this Eco wash technology is their playback approach will
be property innovation. Property innovation cannot be achieved by one-size-fits-all and one-
sided approaches. It needs a standard understanding of what innovation is,
classifying ideas so as to assure individual assessments similarly as differentiated approaches
for corporations to strengthen their innovation capabilities and performance. Further,
innovation is concerning equalization complementary, and infrequently opposing, variables.
Therefore, integrative frameworks could facilitate to realize a a lot of holistic perspective and
direction of impact.

2
Ans. 1 (b)
The future Upcoming Start-ups faces several challenges and solely the simplest proceed to
become successful corporations. One issue that holds ancient beginners back is that
they typically start with a product plan and so build it while
not ensuring there's a marketplace for it. Often, a start-up can fail as a result
of it doesn't deliver one thing that individuals truly need.
A lean start-up may be a methodology accustomed found a replacement company or
introduce a replacement product on behalf of Associate in nursing existing company. The
lean start-up methodology advocates that future market has its own
developing merchandise that buyers have already incontestable they need in order that a
market can exist already as before long because the product is launched. The lean start-
up methodology was developed by Yankee bourgeois Eric Ries, founder, and corporate
executive of the long-run exchange (LTSE).
These are the key principles concerned within the Lean Start-up process:
1. Entrepreneurs are all over.  The primary principle of the Lean Start-up is that
entrepreneurs are all over. You’ll be anyplace at any time and make a start-up. The secret
is in thinking massive, beginning tiny and scaling quick.
2. Entrepreneurship is Management. This second principle is predicated upon the
institutionalizing of a start-up. Start-ups want management a bit like any company. However,
lean start-ups have a singular sort. Having versatile, learning adjusted management makes for
a successful lean start-up.
3. Valid Learning. Lean start-ups primarily serve customers with their merchandise. They
adapt to the needs the consistent requirements market segment of the target market by
learning specifically what it's that some of the customers want. Through experimentation,
they realize what works best.
4. Innovation Accounting. This method holds entrepreneurs in charge of their actions and
outcomes through prioritization of labour, measure of progress, and delineation of milestones.
All of that is identifying those parts work along to outline entrepreneurship, introducing a
replacement manner of however it ought to be done.
5. Build-Measure-Learn. Lean start-ups hit the bottom running by building the best product
that will what it ought to, known as the Minimum Viable Product (MVP). This goes through
rigorous analysis through tests and user feedback to gather knowledge on however targeted
users settle for the merchandise. If it works, then they learn from the feedback Associate in
nursing build it higher in an unvarying method.

3
Ans. 1 (c)
Chao has with success embraced “lean start-up” principles in her quest to make Ecowash as
she herself saw her as Associate in Nursing creator and liked to make new
things. whereas most of her inventions were created for her own personal profit, however she
had recently created one thing that she felt can be offered to others.
Chao has with success embraced as Associate in Nursing bourgeois as she have an
inspiration to develop a product for cleansing the inside and exterior of any vehicles and
if you have got an inspiration, begin tiny in your house or where, than keep going for it.
Chao has nice management skills as a drawn-out group action session between Patel and
Chao resulted in a very call to use a business-to- business approach. Instead
of mercantilism automotive washes on to customers, Chao and Patel felt that
their possibilities for making a successful business would be higher if they pursued business
customers. Start-ups are establishments that teach you ways to manage your establishment.
Following this, it warrants so that each start-up differs from the opposite.
That primarily implies that the ways of managing start-ups now a days we got to be double-
geared towards the context. You have got to manage your start-up in a very manner that
the ways are custom-built for your start-up.
The learning half could be a terribly credible approach of building their start-up. If
you pay time building your product by getting the customers to what the
shoppers wish, unendingly and diligently, you'll most definitely ne'er get it wrong on the
top product that comes when the method and chaos was well versed with the functioning of
her product.
Account for the artistic ways in which chaos are arising with in her start-up to
resolve issues. This may be necessary as a result which needs to maintain of it holds the
entrepreneurs responsible particularly after they ar bootstrapping and haven't any investors.
Chao associate degree Patel have come back up with an approximate financials and revenue
that can they're going to generate from Eco wash by hiring workers WHO will work for
traditional forty hours week.
The process of building an enormous company isn't straightforward. Chao and Patel use Eco
wash as their minimum viable product (MVP) so build their huge company around
this player tweaking and standardisation around it. Therefore, to total it all up it's a method of
build initial, live the product’s effects to customers and also the market then learn and
build once more each single time taking into thought the metrics you measured.

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 Ans. 1 (d)

Key Partners Key Activities Value Customer Relationships Customer

Preposition Segments
 Buyer-  Production of Dedicated personal
supplier the Eco Wash  Car assistance – similar to how  Car Dealerships
relationship to product itself dealerships need the car buying process
 This segment of
assure reliable to keep the cars works when you go to a
 Training the market has a lot
product Eco they have clean dealership and have one
Employees to of cars that need to
Wash so that customers point of contact to help
scrub cars not be washed and
will want to buy you, EcoWash should do
 Automotive solely well need washes
the car and the same and have the sales
Business would however conjointly frequently
maybe even rep also focus on post-
be a strategic but also and in a
drive off the lot purchase support and
partner if timely and
with the car that anything else that may
automotive environmentally -
day – no one arise
business responsible manner
wants to
washes to their
Key Resources purchase a Channels
own customers
brand-new dirty
in addition –  Physical:  In-house sales force –
car.
their customers EcoWash trucks to visiting various customers
would be ready travel to the  Keeping an is the best way to spread
to get their customer sites, entire lot of cars the word about EcoWash
service and manufacturing clean either and help them determine if
automotive facility to make the requires the it is a good solution for
wash done at EcoWash product company to pay them
one location a lot of money to
 Intellectual:  Utilize a website for
an outside
patent on the marketing and awareness
company, or
EcoWash system purposes, also to see if
spend a lot of
so that no company there is an EcoWash truck
labour hours
or customer nearby, however the
doing it
duplicates it physical location will be
themselves, and
the main emphasis as that
· Human: driven both would
is where customers can
sales people to sell involve wasting
purchase washes and get
the product and a lot of water –
support if needed
develop customer EcoWash would
relationships, offer a solution · A truck is the best option
workers to wash to these issues as they can easily go to the
the cars dealerships, making it
easier for them instead of
driving thousands of cars
to get washed
Cost Structure Revenue Stream

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 The Price structure can fall within the Year 1 Year 2 Year 3
middle of cost-driven and value-driven
Revenues $156,000 $312,000 $468,000
because it isn’t fully low priced centred ,but
also is not solely focused on targeting the Revenues generated in year Three can show the
Ferrari and Mercedes dealerships of the world organization that its product is being popularized and
if demanded needs to be upgraded with some new
 Variable costs include: wages, supplies, technology into it in near future for the expansion of
trucks, EcoWash systems the merchandise.

Eco Wash is associate degree all-in-one system that may be wont to clean the inside associate

degree exterior of a vehicle in an environmentally friendly manner. The
chance appearance promising, however a careful examination of the merchandise and also
the market place - specifically through the lens of the lean start-up methodology - is
required before a judgment may be created. The key assumptions within the Eco Wash
business model as follows: -

 Price of workers' wages, automotive wash employees are paid $9 associate

degree hour, sales reps paid $10.50 an hour, manager’s $20 associate degree hour.
 Assumption that they're going to operate for 260 days a
year that is weekly five days every week (no holidays)
 Some major Assumption that we provide for automotive washes and maintenance of
apparatus can price roughly $3 per wash
 each wash takes quarter-hour
 They can charge $25 per wash-they can work eight hours on a daily
basis wherever they will pay concerning a pair of hours on a daily
basis doing body stuff whereas the opposite six hours are spent doing
carwashes, resulting in around $12k in revenue a month.

Ans. 2 (a)

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Some important concerns with Delaney’s business idea are:

Does she know her Instagram followers well?

Alyssa Delaney wants to use her existing Instagram for her business as she wants to grow it
via a digital platform. According to her she has a lot of loyal followers on her account but it is
difficult to judge the taste of each and every person who are following her. Factors like age,
gender and income are important when we think about taste and preference of a customer.

Shelf life of handmade chocolates -

There are no doubt handmade chocolates which are artisanal in nature will be in demand in
the market and make for a great gift to yourself or a family member, but its shelf life can be a
concern considering the geography of the customers who want the product shipped.

Competition of handmade chocolates in existing market-

Nathan’s chocolates are going to be up against big players. Not only it will compete with
other homemade artisanal chocolates but also the big players like Cadbury.

Customer perception of chocolates:

When you think about buying chocolates online, a lot of doubts come to mind. That is even if
you are buying from an established brand. Now think about buying chocolates from a startup.
It doubles the anxiety. With food items, many could like to look, feel and taste before they
bite into the purchase. Especially if the product is home made. Credibility and quality of the
product play an important role and she will need to do a lot of work to establish that.

Time and labor costs:

Nathan has a full-time job and making chocolates is a hobby. Madison was already making
dolls and supplying it to the local baby store. She even states business was good. Since both
these are handmade, this will incur more time from them. A concern I see is, will they be able
to meet demands?

Lack of Product knowledge and planning:

Alyssa does not have a concrete idea from her conversation with her friend. She doesn’t
know what kind of products is made at the club. She is unsure if she will charge for shipping
or offer it for free. When starting a business, every aspect needs to be planned meticulously.
Especially with the products you offer. Customers will have questions. How well you are
equipped to handle them only improves your credibility. While her ideas are great, they need
more work.

Ans.2 (b)

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Pros and cons of each of the three ideas.

Pros:

1) Increased demand:

As she wants to start the business via social media because of that it is expected
demand for Doll will get increased very soon because of high reach in social
media.

2) Helping manager:

Because of this business idea the store manager will get money from unsold cloths
which used to go for charity and were not generating any kind of profit.

3) Helping her friend to commercialize his hobby:

From the case we know that her friend likes to make chocolate for his family and
friends and he sells it to his uncle’s restaurant but now his hobby will get bigger
exposure because of her business idea.

4) Product diversity:

Since the club has different people so there a great diversity in terms of idea for
making product so it will help her to get various product from the club and it will
help her to get more customer.

Cons:

1) Increased time:

Increased demand for doll in social media will increase the labor time for her
mother which may create difficult situation for her mother when the business will
start running properly.

2) Depriving the charity:

By selling those cloths she will be depriving the charity from free cloths to the
needy people besides that the CSR activity that the company was doing that will
stop because of her business.

3) Time issues:

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 Availability of time can be a matter for her friend as he is already working as a
full-time employee in a company and making chocolate was his hobby but now if
he gets into a business also that can be difficult for him to balance both sides.

4) Lack of proper information:

When there is no proper information about the product which is made in the club
will create uncertainty about the quality of the product and it may cause bigger
problem in the long run.

Ans. 2 (c)

Causal logic:

Causal logic in entrepreneurship is conception of having a goal first and defining it after that
making choice according to the goal.

Effectual logic:

The opposite causal logic is effectual logic, involves giving the means and choices first and
then defining what the goal is.

Five principles of effectuation.

 Bird-in-Hand: 

This type of question which rises in each one’s head, where do I start?, what do I do? ;
Bird in the hand rule will help to the right door. How many times we think of creating
a solution for the problems we face? The chances are very low. We generally tend to
adapt solutions done by others and go ahead. We do not try to solve a problem what
we face. This is the huge difference between entrepreneurs and others. We need
to understand what we are, where do I stand, and what do I know.

 Affordable Loss: 

Many people who wants to startup but worries about financial uncertainty which
comes along with it. Almost for every start-up venture it's difficult to answer the
following questions: Will our product/idea actually work as planned? Will it deliver
the desired benefits to consumers? Is the market size big enough and keep expanding?
Risks are the stuff of daily business in the start-up world, and entrepreneurs must try
to anticipate, quantify and mitigate a host of risks. This is mainly Affordable Loss
principle teaches us. Entrepreneurs should understand clearly about what loss might
occur if something fails. This would help them to face the worst but yet keep them
going since their mind is already prepared for it.

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  Crazy Quilt:

Nothing comes ready for an entrepreneur. It is like weaving a crazy quilt which is
made of different quality and patterns of cloth and then come up with a master piece.
Here comparing the crazy quilt to team

 Lemonade:

 All of us have heard about the phrase “When life gives you lemons, make lemonade”.
This is one important lesson to be understood and implied by each and everyone.
When someone knows how to turn a pebble to pearl there he moves towards success.
People do not succeed in his/her first attempt. Entrepreneurs do not have pre-
defined rules to follow. It is like an experiment where failures might occur. Embrace
the failure and adapt yourself to make important changes which fix it.

 Pilot-in-the-plane: 

Market also plays an important role in an entrepreneur’s success. Knowing market or

predicting the market is very difficult rather than I say it is impossible. After all
market is like the destination for one’s product. Entrepreneur should know how to
tackle the market behavior. Control market does not mean it should be governed
rather entrepreneur should know how to adapt to the market needs and gets the work
done. This is what being a pilot in the plane tells you.

Ans. 2 (d)

In the case study the business idea which have been shown that is no doubt a brilliant idea for
startup but if I were Alyssa Delaney I would have done a strong market research before
introduce my product to the target audience, social media is a huge platform where I will get
a large number of reach when I have a great idea of business.

In the case study they said she has loyal followers in instagram but they never talked about
exploring business via face book which could be one more potential platform for business.

I would have use Google analytics to the gender and geographic location of my target
audience which will help to get an idea about the product shipment.

According to me some great ways to promote a business on social media are:

1. We need to choose the right platform first

2. We need to increase the engagement with audience
3. We should not over-promote our product
4. We should address customer issue quickly
5. Building community

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 6. Providing value

Knowing my competitors before the business is very important so I will do competitors

analysis to know about strength and weakness of my business idea and product.

I agree with business idea with doll and handmade chocolates but business idea with unsold
cloths sounds confusing to me so in this case market study is essential. she need to know
what kind of cloths customers are looking for and those cloths she is going to take from the
store whether they have any demand in the market or not Is important to understand .so I
would have done a sample test just to check the demand before I start the actual business.

11
Ans. 3 (a)
Gender has been one of the inputs traditionally used in the succession planning in family-
owned businesses. The result of this gender fact used to be that women were excluded from
the management of those bbusinesses unless there were no other family members that could
be potential successors. In those cases, as it was the only way to keep the business in the
family, women became managers.

The gender and gendering of men is almost unconsidered in the succession literature. Being a
male, and particularly the eldest male, carries a normative assumption of power,
responsibility, and participation in the business domain, and relatedly, in the family. There
are hints, but not full expositions, on this not always being an easy, comfortable, or accepted
role. As women gain a place at the table, and on the potential successor list, men are affected-
and not just negatively. When we look at the possibility of women occupying top
management positions, gender stereotypes are still quite strong. Especially in the past,
women's professional capabilities and competencies were mostly ignored, both in family
firms, and in non-family business. Many wives and daughters, and women in general, had
played several roles in firms, but often they were invisible, with no consideration and no
monetary gain. Learning from the case study, we see this is on different in the Chinese
culture too. With Economic Reform since the late 1970s, China has undergone a dramatic
process of transformation from a planned economy towards a market-orientated economy
with a proliferation of private enterprises the majority of these private firms are family
enterprises. After decades of development, many of these family enterprises are currently
going through transition from the founding to the second generation. The identification of
potential ssuccessors and their developing can be considered as critical in the succession
process. Proper selection and development of the suitable successors can ensure the effective
transfer the idiosyncratic knowledge and practices the continued development of key internal
and external relationships. Times are however, changing. Particularly in the last decades,
great advancement in the involvement of women in entrepreneurial and managerial roles,
especially in family owned businesses, has been achieved, and the situation is changing fast.
More and more, wives and daughters are rising to the leadership of family-firms even in some
of the most male-dominated industries.

Ans. 3 (b)

My understanding of rational business thinking is behavior guided more by conscious

reasoning than by experience, and not adversely affected by emotions. Families have always
been complicated and very difficult to break down and understand, some more than others.
Every family has more than 2 people in them and hence involves a magnitude of thought
processes. When it comes to business, the more people to have in your family has generally
proven to be more cumbersome as you need to deal with more ideas, opinions and objections
as a person which always doesn’t have a healthy ending. Having said that, here a few limits
that I potentially see when you are dealing with a highly emotional family:

12
1. Priorities:

When in business, you are your own boss. You do not have a set of rules and
regulations you need to abide by or follow. Hence making decisions are very
important however you also need to realize that your family is a priority too. There
will come times when both priorities clash and you need to pick one above the other.

2. Innate emotions:

As human being we are always broadening our emotional range, including emotions
such as guilt, trust, jealousy. All human beings experience emotions, more or less.
Emotions affect our learning, motivation, behavior and communication with others.
After our birth we already have a wide range of experience and emotional expression
called innate emotions. Among these are joy, sadness, anger, and disgust. Have you
ever felt nervous about an important situation that you couldn't react? The words
aren't coming out of your mouth? Have you felt like you can't get over some aspect of
your life? Do you feel trapped or that there is no way out? These definitely limit one's
rational business thinking when dealing with a family situation that is very emotional.

3. Emotional blockage:

An emotional blockage is a defense mechanism of our brain that prevents us from

feeling emotions normally and acting logically. It is a very unpleasant feeling that
prevents us from movin9 forward and at the same time prevents us from thinking
clearly and affects our daily actions. Not being able to think clearly, not knowing
what to say. Or being confused can be some time bombs when running a family
business.

Learning from the above case study, we know that Bai had worked for his father
Hong before and was not his biggest fan. He resented his father for the way he was
treated when working in the family business. However, Bai now needs to choose
between the life he has created himself in London and the life he left behind in
Malaysia with his family. He is driven with emotions because he knows he will not be
happy returning home and running a maturing company that was already in the deep
end of the profit pool, however he now has to consider the fact that he is the only son
of 4 siblings and this company was founded by his great grandfather. He faces
emotional turmoil to have to side with his mother and his father who have never
treated him fairly in his view.

13
Ans. 3 (c)

Family business’s life cycle:

The family business life cycle is the progression of a business in phases over time in the
family and is most commonly divided into five stages: launch, growth, shake-out, maturity,
and decline.

How it motivates succession decision:

A majority of small family business leaders have expressed a desire to retain family control
past their tenure suggesting that keeping the business in the family is a predominant desire
despite other options. However, some owners are reluctant to transition the family business to
a younger generation of family members. Family owned businesses can successfully
transition when a high level of willingness to engage in the succession planning process is
present. An increased level of willingness to engage in succession planning can be more
prevalent if an owner’s interests are consistent with an orderly management transition, and as
the owner’s age and financial stake in the business increases. Businesses are better off by
planning a smooth and orderly management and ownership transition and benefit from
making such efforts clear. One of the fundamental missions of a family business is to pass the
business to subsequent generations. A substantial amount of literature has addressed issues of
succession-planning processes. The factors that most influence succession-planning processes
are those that depend on the gender of the involved owner/manager of the family firm.
Although the field has recognized the possibilities of gender differences, it has yet to clearly
address the effects these differences might have for succession behaviors. The working
assumption has been that the same factors have equal importance, regardless of the owner’s
gender; however, this assumption has rarely been tested. Consequently, studies such as ours,
which have examined succession and the determinants of succession-planning processes, are
especially promising, partly because the effects of differences in owners’ gender have not
received appropriate attention.

The finding that gender matters has important implications for the researchers and
professionals who work with family-business owners. First, because our findings show that
gender makes a difference, it should be clear that a “cookie-cutter” approach to succession
issues may not be appropriate. The benefit of this knowledge is twofold: It allows us to
evaluate the importance of gender-specific models of organizational succession, and it
highlights the differential impact of specific variables on succession processes. Second, in
devising approaches for dealing with succession issues, consultants and family-business
owners should recognize that what works well for male-led businesses will not necessarily
work well for the female-led businesses. Unfortunately, the current literature on succession in
family firms does not explicitly tie recommended actions and processes to the gender of the
owner, so the prescriptions may not have universal applications.

14
 Professionals and practitioners should use the gender of the owner to better identify and
evaluate variations in the critical drivers of succession processes. Our advice to consultants
and researchers is to be selective in the attention paid to certain individual and organizational
characteristics and attributes. For example, our finding that certain characteristics of the
owner are important as a determinant of succession-planning processes among male-led, but
not among female-led, family businesses challenges life-cycle.

Ans. 3 (d)

Let me start by explaining what interdependencies and interrelationships mean.

Interdependencies: the dependence of two or more people or things on each other.

Interrelationships: the way in which each of two or more things is related to the other.

Learning from the case study, we know that there are a few of both. Looking at the
interdependencies, we know that Bai has previously worked in his family business however
does not have a lot of good things to say about it. We know he hasn't always approved of his
father and mother's choices and he has never been valued for his involvement and
contributions to the business.

However, at the end of the day, this is family we are talking about. We see a situation where
Bai's father Hong calls him after several years to express that their business has been down
the drain for the last few years and is in need of dire saving or else will be acquired by
someone else. He is made aware that he being the eldest and the only male son is being asked
to take on responsibility of the company that was started by his great grandfather. He knows
he has a rough decision to make, and he was wise in asking for a "thinking period", however
the truth of the matter is, after all is said and done, this is family. This was his father calling
for his help to save something that has been passed down generations. Families depend on
each other and now Bai is faced with the decision of either sticking with his family and
overcoming everything he went through or continue living in London in the life he has
secured himself and see his family suffer.

When it comes to interrelationships, we see that the family business was Plantation Sugar
Trading was going through losses year after year. There were many reasons for this like the
recent flooding which evidently would have destroyed crop and also the political unrest in the
country. At the same time, we see that Bai had established himself very well at Tate and Lyle
London. Tate and Lyle were of the same genre of industry that Plantation Sugar Trading
belonged too, however one was making loses and the other allowed Bai to flourish in his
career. If Bai were to take up the offer of his father and return to Malaysia and run the family
business, he could potentially use ideas that worked for him at Tate and Lyle that helped him
grow there. There is no guarantee that it would work and lead the company to profits;
however it was still worth a chance. This comes especially with the sentiment that this was a
family business started years ago and something that was passed on for 2 generations, now
entering the 3rd. Hence, we can conclude that although Bai is content with his life in London

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after having moved overseas due to the neglect he faced back home, he is now being asked to
take over the family, which in Chinese tradition is very serious. He may want to keep his
happier life in London; however neglecting your family responsibility is as serious as the
death of born child for an overseas Chinese family.

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Ans. 4 (a)

Here are the few steps for success mantras of product success of memaksa steel in intonation
market as follows:

1. Research
2. Goal Determination
3. Target Audience
4. Formalized Plan
5. Allocation of resources

Research:

Initially the pre work to be done is to make a proper research for launching a product in the
market.

Provided required information would be required and also for marketing campaigns to check
market credibility Market history, past and current status.

A pre research must be conducted to avoid over spending

Goal determination:

A lunch in product is completely diff from a business launch and the process and time span
will also different

Launch success highly depends upon the how effective pre-determined goals a company is
having the main aim of goal is to identify growth in the market share and also to state the
customer base for a new product.

Target audience:

The target audience must be those who fall under same segment of our product offerings, and
according to their choices, needs, perception.

Psychological and social factors also effect this consideration of while choosing target
audience.

Formalized plan:

The key factor of successful product factor is a proper formalized plan. A strategic plan is to
be developed which should help us to act according to the objectives of company that may
have for long term as well as short term planning.

Such formalised plan should also help in incorporate all phases of the launch.

The marketing channel is considered as it helps in making decisions such as where to launch
and when to launch and other methodologies which needed to be adopted timely.

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The market research information, plan, timing, and other methodologies of target audience
are required to identify target audience clearly. specialized tools and defined budget also be
used as key factor for successful launch. This includes different phrases such as design, pre-
launch, and as well as post launch.

Involvement of stakeholders and partners also players a major role in successful launch of a
product in a new market. Consensus and social channels could lead to a better picture of new
product to new customers.

The availability of products and services in the market prior to market place create awareness
to the targeted audience.

Allocation of resources:

This part players a key role as this is the most deciding factor for a product success

Resources shouldn’t be less nor more as it might not be utilized to the fullest.

As the product to be launched in Indonesian market, time is one of the limiting factors for
such market. The company should reach out to influencers and partners who are active to
invest in launching product.

Ans. 4 (b)

The main and foremost purpose of distribution is supply goods and services to the markets to
fulfil requirements of target customers. Distribution channels act as a nerve or a pipeline
between producers who produces the product and the end consumers who consumers it.

The distribution channel is also responsible for buying, transporting, storing, and also baring
physical wear and tear, sales of goods into the market.

Distribution channel can differ from sector to sector let's take an example where distribution
channel of FMCG and iron and steel industry, where FMCG sector involves in complex
distribution channels, whereas steel sector had less complex distribution.

There are diff types of channel intermediaries of distribution channels a steel company like
memaksa steel can opt for such as follows:

Channel intermediaries – wholesalers

As the name suggests just like any other wholesaler they buy in bulk and package it in
smaller packages to retailers

Channel intermediaries-agents

Usually these types of agents are involved when it acts in international markets. They work to
procure commission and they won't let title of goods as some wholesalers do.

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Channel intermediaries –retailers

Retailers hold several other brands products and give consumer a good exposure to many
products.

Retail will give final sell price to the product.

Channel intermediaries-internet

This channel has a geographically disperse market.

The main benefit of internet channel is that niche products and other products have and get
wide audience and low entry barriers and low set up cost as well.

It would be great for memaksa steel if it opted both the channels direct and well as indirect
distribution channel so that the company can have:

1. OE
2. RETAIL

 Usually distributers received a 20% discount while the outers enjoy a percentage of
15% discount.
 Memaksa steel currently owned 20% of share when it comes to domestic saw blade
market
 While talking typically an out fire might carry between 3500 and 6000 stock-keeping
units,
 And while talking about a typical distributer might routinely carry roughly 100 metal-
based products.

The company was very enthusiastic about Process #887 likewise the average new saw blade
would cut for approx. 3 hours and 12 minutes.

When it comes to current blade had a life expectancy of 2 hours and 5 minutes.

Changing saw blades was roughly an 18 minutes process for the sawmill operator, and
required that the production line be shut down during that time.

The cost to manufacture steel saw blades using Process #887 was 12% greater than current
processes.

Further the company agreed to sell the Saw blades and also other metal products these were
sold to industrial metal implement distributors who in turn used their own sales force to call
on domestic fabricators, saw mills and industrial manufacturing facilities?

These products were sold to industry outfitters, who in turn resold a broad line of goods,
including saw blades, to the sawmills.

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Ans. 4 (d)

The company should have proper research regarding the market and product they want to
launch its requirement in the new market and also should check proper distribution channels.

As it is mentioned in the question that, what if the channel does not want this new product, as
we discussed earlier it would be feasible to have a sector like iron and steel industry to have
direct and as well as indirect channel of distribution and company may and can opt for one or
else both can be run parallelly.

It would be difficult in a situation like mentioned in the question to have an indirect channel
where members are large in number and its difficult and complex to handle them when the
channel don’t want new product.

It would be better and great to opt a channel like direct channel where the company can
directly deal with end consumer

Where the producer will be taking care of all activities from production, distribution,
transportation of such goods and taking them to the market place.

In this channel there’s no middle man to be involved and it directly deals with producer and
consumer.

This is a good practice in times of crises may be in any form many big companies like HPCL,
RELIENCE etc opt for direct channel distribution over indirect channel distribution just to
avoid middlemen and more agents and reduce complexity in the distribution channels.

This would be the best option left with the company management to operate its distribution
channel as direct distribution channel, in times of critical where the distribution channel is not
accepting the product.

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Ans. 5 (a)

Hypothesis driven approaches are ones where assertions and opinions are either proved or
disapproved using data to test their validity. Hypothesis driven decision making is
experimental approach to information discovery.

Gharpar hypothesised the demand based on data on the social media, like enquiries made by
people. These enquiries just don’t directly reflect a need for a product or adoption of new
ideas in the social construct.

Better methodology for Gharpar would have to collect actual response of the population to
test the validity of these enquiries they were witnessing and that could have made a lot many
differences in decision made for launch of services in Twin Cities. Some of these differences
could have been,

 Instead of complete roll out of services, the launch could have been made for services
that are actually needed in the Twin Cities.
 Instead of basing headquarters in Islamabad, more demand is from Rawalpindi. This
could have been avoided, and satellite centre could have been Islamabad instead.
 Hiring problem could have been forecasted and necessary precautions could have
been taken beforehand such as better training and work culture could have been
established.
 Demand forecasting has also not established properly as acquiring new customers has
become a problem in the region. Promotion before launch could have averted this
problem.

By missing on so many assumptions a hypothesis testing could have resolved helped drive
the management towards better decisions. Thus, the co-founders haven not adequately
followed hypothesis driven decision-making approach.

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Ans. 5 (b)

As stated by Mehvish, “I agree that we could not have delayed the expansion further,
especially because of copycats”, if the launch can’t be delayed then decisions related to
launch needs to be analysed properly and if possible, using market research tools.

Some of the decisions that required such precautions were:

 The roll out of services could have been phased instead of complete roll-out at the
launch.
 The decision of making Islamabad the centre for operations or multiple hubs in both
cities or Rawalpindi as the centre for operations was another one of the big decisions
for launch.
 Hiring of talent for operations seemed rushed and training was done in Islamabad, but
training could have been possible in Lahore as that would establish work culture in
the expansion geographies.

Looking back at the events that unfolded in the last few months of the operations some of
the decisions that could have been made differently are:

 Roll out of services in phases would provide time for necessary training and demand
forecasting for the services.
 Making small centres for both Islamabad and Rawalpindi to facilitate future
expansion.
 Training of new hires to be facilitated at Lahore Centre for operations.
 Need for promotion to the region is required and should have been done with or
before the launch of services.

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Ans. 5 (c)

Lean is a mindset and be applied in any given situation. And yes, lean start-up-model can be
applied at any given instance of company’s timeline. Two extreme cases to prove the
statement would be taking a start-up and a mature organisation for comparison

Lean start-up-model requires three things to get successful,

 Management’s aggressive objective settings.

 A creative structure within the organisation.
 Patient on Part of Investors.

For a Start-up, CEO/ CFO are at helm setting mandate and goals aggressively, with fewer
checks at place in communication creative ideas can directly get to the CEO for taking
decisions and a Patient on part of Investors is always required for success of any start-up.
Thus, being simple it is assumed lean methods fit the bill perfectly for start-ups.

For a Mature organisation, even with mandate from CEO it becomes tough to get people
motivated towards new ventures, creative structures are replaced with process controls and it
mostly is just as hard as getting investors for start-ups. So, anyone will simply agree that lean
methods fit the organisations that are near the start-up phases.

This should not discourage innovators inside large organisations, as all that are required are
mandate, creative structure and patient funding which can be secured by,

 Getting authority from as high as possible

 A shared innovation philosophy can power the communication between you and your
managers — it will help you position the need for a different process.
 Maximising Autonomy by setting a definition of success that does not restrict capital
investment.

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