Professional Documents
Culture Documents
School of Management
Business Strategy
Discussion
Questions
for
Steve
&
Barrys
and
IBM
Synopsis
This
assignment
covers
two
cases,
both
of
which
represent
attempts
to
change
a
companys
strategy
and
product
offerings.
After
a
rapid
expansion
over
several
years,
the
apparel
retailer
Steve
&
Barrys
experienced
hard
times
in
2007
and
declared
bankruptcy
in
2008.
In
the
case
discussion,
we
will
follow
the
rise
of
the
company,
with
a
focus
on
how
it
changed
its
underyling
strategy
and
target
market.
Seventy-five
years
ago,
computing
and
information
technology
did
not
exist
as
an
industry.
In
that
short
time,
it
has
undergone
several
revolutions,
from
mainframes
to
personal
computers
to
the
Internet
era
to
what
may
be
a
new,
mobile
computing
era.
Over
the
course
of
that
time,
IBM
has
evolved
from
manufacturer
of
mainframes
and
then
personal
computers
to
one
of
the
largest
business
service
and
software
providers
in
the
country.
We
will
discuss
how
IBM
has
adapted
and
survived
through
a
series
of
industry
revolutions.
Assignment
Analysis
1. Who
are
Steve
&
Barrys
original
target
customers?
What
assets
and
activities
does
it
use
to
be
successful
in
this
original
strategy?
2. During
the
time
period
covered
by
the
case,
Steve
&
Barrys
experiences
dramatic
growth
and
shifts
its
core
from
a
collegiate
strategy
to
a
more
fashion-oriented
strategy.
How
well
do
its
assets
and
activities
translate
to
this
new
strategy?
3. Eventually,
during
the
most
recent
recession,
Steve
&
Barrys
enters
bankruptcy.
What
is
the
primary
factor
that
you
believe
led
to
their
downfall?
4. Why
has
IBM
chosen
to
make
major
shifts
in
the
focus
of
its
strategy
(from
hardware
to
services,
and
from
services
to
software)?
What
has
changed
in
the
economic
contexts
in
which
IBM
has
operated
that
have
spurred
those
choices?
(Hint:
It
may
help
to
think
about
the
Intel
case,
in
understanding
the
shift
out
of
hardware.)
5. As
IBM
has
made
each
of
these
transitions,
what
assets
and
activities
have
they
been
able
to
transfer
over
to
their
new
strategy?
Even
with
these
assets
and
activities,
what
are
the
potential
threats
IBM
has
faced
as
it
has
moved
into
each
segment?
Synthesis
6. What
lessons
should
we
take
away
from
our
consideration
of
Steve
&
Barrys
and
IBM?