Groupe ESC deVille (A) : Realising an International Strategy and (B) Preservation of a national institution

Abstract

The case pits the rational arguments for change against the irrational sentiments of pride and tradition and portrays the resulting conflict among constituents. The context of this struggle involves a decision to make a strategic acquisition which would irrevocably change the complexion of a traditional organization and the greater institution to which it belongs. Rather than establishing a simple and rational question of strategic direction, this case provides a clear picture of how powerful political forces resist adaptation in the face of overwhelming evidence of an institution’s decline and impending reformation or even collapse. Includes questions for discussion. NOTE: This case is also available from the University of Auckland Business Case Centre, Case Number: UA-2005-011