Read the Following Case Scenario
Yul Brynner and Taras Bulba were two American Army Veterans who wanted to make a difference for their fellow wounded veterans. They decided that they wanted to make semi-customized wheel chairs. After researching the idea, the two vets agreed that they were going to do something unique with the wheelchairs. Yul and Taras make the wheelchairs with 3-D printing and they were going to make them with easily replaceable parts so repairs could be done by someone with basic mechanical skills. They also agreed that they would only hire veterans as employees.
Brynner and Bulba started their business, Easy Wheels four years ago in Birmingham, Alabama. Since then, the business has grown exponentially. Last year gross sales were over $4 million, and was projected that the business will reach $5.5 million by the end of 2017.
A significant part of Easy Wheels success has been through Internet sales. The company website is geared to the American market. So far, the company has not gone global despite requests for the products from around the world. The average cost of a non-motorized chair is $69.00, half of the cost of a simple product found at Walmart. The battery-operated models average between $600 and $700, almost a quarter of the traditionally produced models. Prices for parts for the chairs are varied but the most expensive part is the battery for the mobile units, which is priced at one-fifteenth the price of an average battery. The company can customize colors, add oxygen container carriers and other features that improve the wheelchair-bound person's life for minimal cost because their computer program allows the chair to be designed to each person's specifications before manufacturing.
In recent months, Brynner and Bulba have been overwhelmed with requests to partner with businesses overseas to produce and sell the goods. They have also seen many requests from individuals who wish to buy the product directly from the Easy Wheels' website. They think it is time to go global.
Instructions:
Your team has been assigned by Brynner and Bulba to develop recommendations as to how to lead the company into its new global endeavor. To do this, Brenner and Bulba want your team to address three major concerns:
- The business environment in regards to the four business trends of a global economy: emerging markets, aging population, technology change, and declining resources as discussed by Dominic Barton in the video Dominic Barton McKinsey Video. Brynner and Bulba want to know the implications these factors have for the company's future roll out plans, especially in terms of the best locations for potential markets, customers and competitors.
- Brynner and Bulba have also said they want to see recommendations about the leadership challenges that await the company in the global marketplace and what can be done specifically to proactively set up the company to ensure success for the initial roll out and in years to come.
- Brynner and Bulba would like the recommendations to include specific ideas for blending the business environment implications with the challenges to set up a company for a strong leadership. For instance, how declining resources might be addressed by a sustainability effort by leadership.