DAG Group

DAG Group Description

Chris Hackett and Val Rayzman have spent six months after graduating from business school exploring the possibility of building a chain of upscale drycleaners. This fragmented industry looked ripe for an innovative new entrant. Chris and Val have researched the industry thoroughly, selected a metropolitan area in which to start, searched for acquisition candidates, and considered the prospect of de novo start-up. They have uncovered only one feasible acquisition candidate. With time and money running out, they feel pressured to decide whether to go through with the acquisition, to start their own store, or to abandon the project. This case is designed to focus on the strategic aspects of entrepreneurial management. May be used to emphasize the importance of understanding industry economics and competitive dynamics. May also be used to examine acquisition as an alternative to start-up.

Case Description DAG Group

Strategic Managment Tools Used in Case Study Analysis of DAG Group

STEP 1. Problem Identification in DAG Group case study

STEP 2. External Environment Analysis - PESTEL / PEST / STEP Analysis of DAG Group case study

STEP 3. Industry Specific / Porter Five Forces Analysis of DAG Group case study

STEP 4. Evaluating Alternatives / SWOT Analysis of DAG Group case study

STEP 5. Porter Value Chain Analysis / VRIO / VRIN Analysis DAG Group case study

STEP 6. Recommendations DAG Group case study

STEP 7. Basis of Recommendations for DAG Group case study

Case Analysis of DAG Group

DAG Group is a Harvard Business (HBR) Case Study on Innovation & Entrepreneurship , Texas Business School provides HBR case study assignment help for just $9. Texas Business School(TBS) case study solution is based on HBR Case Study Method framework, TBS expertise & global insights. DAG Group is designed and drafted in a manner to allow the HBR case study reader to analyze a real-world problem by putting reader into the position of the decision maker. DAG Group case study will help professionals, MBA, EMBA, and leaders to develop a broad and clear understanding of casecategory challenges. DAG Group will also provide insight into areas such as – wordlist , strategy, leadership, sales and marketing, and negotiations.

Case Study Solutions Background Work

DAG Group case study solution is focused on solving the strategic and operational challenges the protagonist of the case is facing. The challenges involve – evaluation of strategic options, key role of Innovation & Entrepreneurship, leadership qualities of the protagonist, and dynamics of the external environment. The challenge in front of the protagonist, of DAG Group, is to not only build a competitive position of the organization but also to sustain it over a period of time.

Strategic Management Tools Used in Case Study Solution

The DAG Group case study solution requires the MBA, EMBA, executive, professional to have a deep understanding of various strategic management tools such as SWOT Analysis, PESTEL Analysis / PEST Analysis / STEP Analysis, Porter Five Forces Analysis, Go To Market Strategy, BCG Matrix Analysis, Porter Value Chain Analysis, Ansoff Matrix Analysis, VRIO / VRIN and Marketing Mix Analysis.

Texas Business School Approach to Innovation & Entrepreneurship Solutions

In the Texas Business School, DAG Group case study solution – following strategic tools are used - SWOT Analysis, PESTEL Analysis / PEST Analysis / STEP Analysis, Porter Five Forces Analysis, Go To Market Strategy, BCG Matrix Analysis, Porter Value Chain Analysis, Ansoff Matrix Analysis, VRIO / VRIN and Marketing Mix Analysis.

We have additionally used the concept of supply chain management and leadership framework to build a comprehensive case study solution for the case – DAG Group

Step 1 – Problem Identification of DAG Group - Harvard Business School Case Study

The first step to solve HBR DAG Group case study solution is to identify the problem present in the case. The problem statement of the case is provided in the beginning of the case where the protagonist is contemplating various options in the face of numerous challenges that Val Acquisition is facing right now. Even though the problem statement is essentially – “Innovation & Entrepreneurship” challenge but it has impacted by others factors such as communication in the organization, uncertainty in the external environment, leadership in Val Acquisition, style of leadership and organization structure, marketing and sales, organizational behavior, strategy, internal politics, stakeholders priorities and more.

Step 2 – External Environment Analysis

Texas Business School approach of case study analysis – Conclusion, Reasons, Evidences - provides a framework to analyze every HBR case study. It requires conducting robust external environmental analysis to decipher evidences for the reasons presented in the DAG Group.

The external environment analysis of DAG Group will ensure that we are keeping a tab on the macro-environment factors that are directly and indirectly impacting the business of the firm.

What is PESTEL Analysis? Briefly Explained

PESTEL stands for political, economic, social, technological, environmental and legal factors that impact the external environment of firm in DAG Group case study. PESTEL analysis of " DAG Group" can help us understand why the organization is performing badly, what are the factors in the external environment that are impacting the performance of the organization, and how the organization can either manage or mitigate the impact of these external factors.

How to do PESTEL / PEST / STEP Analysis? What are the components of PESTEL Analysis?

As mentioned above PESTEL Analysis has six elements – political, economic, social, technological, environmental, and legal. All the six elements are explained in context with DAG Group macro-environment and how it impacts the businesses of the firm.

How to do PESTEL Analysis for DAG Group

To do comprehensive PESTEL analysis of case study – DAG Group , we have researched numerous components under the six factors of PESTEL analysis.

Political Factors that Impact DAG Group

Political factors impact seven key decision making areas – economic environment, socio-cultural environment, rate of innovation & investment in research & development, environmental laws, legal requirements, and acceptance of new technologies.

Policy Making Impact on DAG Group

Government policies have significant impact on the business environment of any country. The firm in “ DAG Group ” needs to navigate these policy decisions to create either an edge for itself or reduce the negative impact of the policy as far as possible.

Data safety laws – The countries in which Val Acquisition is operating, firms are required to store customer data within the premises of the country. Val Acquisition needs to restructure its IT policies to accommodate these changes. In the EU countries, firms are required to make special provision for privacy issues and other laws.

Competition Regulations – Numerous countries have strong competition laws both regarding the monopoly conditions and day to day fair business practices. DAG Group has numerous instances where the competition regulations aspects can be scrutinized.

Import restrictions on products – Before entering the new market, Val Acquisition in case study DAG Group" should look into the import restrictions that may be present in the prospective market.

Export restrictions on products – Apart from direct product export restrictions in field of technology and agriculture, a number of countries also have capital controls. Val Acquisition in case study “ DAG Group ” should look into these export restrictions policies.

Foreign Direct Investment Policies – Government policies favors local companies over international policies, Val Acquisition in case study “ DAG Group ” should understand in minute details regarding the Foreign Direct Investment policies of the prospective market.

Taxation & Regulation Impact on DAG Group

Corporate Taxes – The rate of taxes is often used by governments to lure foreign direct investments or increase domestic investment in a certain sector. Corporate taxation can be divided into two categories – taxes on profits and taxes on operations. Taxes on profits number is important for companies that already have a sustainable business model, while taxes on operations is far more significant for companies that are looking to set up new plants or operations.

Tariffs – Chekout how much tariffs the firm needs to pay in the “ DAG Group ” case study. The level of tariffs will determine the viability of the business model that the firm is contemplating. If the tariffs are high then it will be extremely difficult to compete with the local competitors. But if the tariffs are between 5-10% then Val Acquisition can compete against other competitors.

Government Scheme & Subsidies Impact on DAG Group

Research and Development Subsidies and Policies – Governments often provide tax breaks and other incentives for companies to innovate in various sectors of priority. Managers at DAG Group case study have to assess whether their business can benefit from such government assistance and subsidies.

Consumer protection – Different countries have different consumer protection laws. Managers need to clarify not only the consumer protection laws in advance but also legal implications if the firm fails to meet any of them.

Political System & Stability, and its Impact on DAG Group

Political System and Its Implications – Different political systems have different approach to free market and entrepreneurship. Managers need to assess these factors even before entering the market.

Freedom of Press is critical for fair trade and transparency. Countries where freedom of press is not prevalent there are high chances of both political and commercial corruption.

Corruption level – Val Acquisition needs to assess the level of corruptions both at the official level and at the market level, even before entering a new market. To tackle the menace of corruption – a firm should have a clear SOP that provides managers at each level what to do when they encounter instances of either systematic corruption or bureaucrats looking to take bribes from the firm.

Independence of judiciary – It is critical for fair business practices. If a country doesn’t have independent judiciary then there is no point entry into such a country for business.

Government attitude towards trade unions – Different political systems and government have different attitude towards trade unions and collective bargaining. The firm needs to assess – its comfort dealing with the unions and regulations regarding unions in a given market or industry. If both are on the same page then it makes sense to enter, otherwise it doesn’t.

Economic Factors that Impact DAG Group

Social Factors that Impact DAG Group

Technological Factors that Impact DAG Group

Environmental Factors that Impact DAG Group

Legal Factors that Impact DAG Group

Step 3 – Industry Specific Analysis

What is Porter Five Forces Analysis

PESTEL stands for political, economic, social, technological, environmental and legal factors that impact the external environment of firm in DAG Group case study. PESTEL analysis of " DAG Group" can help us understand why the organization is performing badly, what are the factors in the external environment that are impacting the performance of the organization, and how the organization can either manage or mitigate the impact of these external factors.

Step 4 – SWOT Analysis / Internal Environment Analysis

Step 5 – Porter Value Chain / VRIO / VRIN Analysis

Step 6 – Evaluating Alternatives & Recommendations

Step 7 – Basis for Recommendations

References :: DAG Group case study solution