Harvard Case - Sarah Breedlove: Changing the World
"Sarah Breedlove: Changing the World" Harvard business case study is written by Robert Simons, Max Saffer. It deals with the challenges in the field of General Management. The case study is 16 page(s) long and it was first published on : Feb 18, 2021
At Fern Fort University, we recommend a strategic roadmap for Madam C.J. Walker's company that focuses on growth through innovation, expansion into emerging markets, and building a strong brand identity while maintaining a commitment to corporate social responsibility and diversity and inclusion. This approach will leverage Walker's entrepreneurial spirit and capitalize on the emerging market opportunities in the early 20th century.
2. Background
The case study focuses on Sarah Breedlove, an African American entrepreneur who overcame significant challenges to become a self-made millionaire through her hair care products and business acumen. She built a successful company, Madam C.J. Walker Manufacturing Company, that catered to the needs of African American women, providing them with economic opportunities and a sense of empowerment.
The main protagonists of the case study are Sarah Breedlove (Madam C.J. Walker), her husband, Charles Joseph Walker, and her daughter, A'Lelia Walker.
3. Analysis of the Case Study
This case study presents a fascinating example of entrepreneurship, innovation, and social impact. We can analyze the case using the following frameworks:
a) SWOT Analysis:
- Strengths:
- Strong brand identity and customer loyalty
- Innovative product line catering to a specific market
- Strong leadership and entrepreneurial spirit
- Commitment to community and social responsibility
- Weaknesses:
- Limited resources and infrastructure
- Lack of formal business training and management experience
- Potential for competition from larger companies
- Opportunities:
- Growing demand for hair care products among African American women
- Expanding markets in the United States and internationally
- Potential for diversification into other beauty products
- Threats:
- Economic downturns and market fluctuations
- Competition from established companies
- Potential for racial discrimination and prejudice
b) Porter's Five Forces:
- Threat of new entrants: Moderate, due to the potential for new players entering the market, especially with the increasing demand for hair care products.
- Bargaining power of buyers: Moderate, as customers have choices but are loyal to the brand.
- Bargaining power of suppliers: Low, as the company can source raw materials from multiple suppliers.
- Threat of substitutes: Moderate, as other hair care products exist but may not cater specifically to the needs of African American women.
- Rivalry among existing competitors: Moderate, as the company faces competition from both local and national companies.
c) Corporate Social Responsibility:
- Madam C.J. Walker's company demonstrates a strong commitment to corporate social responsibility by providing employment opportunities for African American women, supporting community initiatives, and advocating for social justice. This focus on social responsibility contributes to the company's positive brand image and customer loyalty.
d) Innovation and Product Development:
- Walker's company is a testament to the power of innovation. Her focus on developing products specifically for African American women, coupled with her marketing strategies, created a unique niche in the market. This approach highlights the importance of understanding customer needs and developing solutions that address them.
4. Recommendations
To ensure the continued success of Madam C.J. Walker Manufacturing Company, we recommend the following:
a) Growth Strategy:
- Expand into emerging markets: Leverage the growing demand for hair care products in emerging markets like Africa and the Caribbean. This expansion can be achieved through strategic partnerships, joint ventures, or establishing local manufacturing facilities.
- Diversify product line: Introduce new product lines catering to different hair types and needs, including skin care, cosmetics, and hair accessories. This diversification will broaden the customer base and increase revenue streams.
- Develop a strong online presence: Utilize the internet to reach a wider audience, build brand awareness, and facilitate online sales. This strategy will be crucial in the evolving market landscape.
b) Brand Management:
- Strengthen brand identity: Develop a consistent brand message that emphasizes the company's commitment to quality, innovation, and social responsibility. This message should be communicated across all marketing channels, including advertising, public relations, and social media.
- Build a strong brand community: Engage with customers through social media, events, and community outreach programs. This will foster a sense of loyalty and build a strong brand community.
c) Operations Strategy:
- Invest in technology and analytics: Implement data-driven decision making to optimize production processes, inventory management, and marketing campaigns. This will enhance efficiency and improve profitability.
- Develop a robust supply chain: Establish a reliable and efficient supply chain to ensure consistent product availability and quality. This may involve sourcing materials from multiple suppliers and implementing quality control measures.
d) Corporate Social Responsibility:
- Continue to support community initiatives: Maintain the company's commitment to social responsibility by supporting programs that empower African American women and promote economic development.
- Embrace diversity and inclusion: Create a workplace that values diversity and inclusion, fostering a sense of belonging for all employees.
5. Basis of Recommendations
These recommendations are based on the following considerations:
- Core competencies and consistency with mission: The recommendations align with the company's core competencies in product development, marketing, and community engagement. They also support the company's mission to empower African American women and provide them with economic opportunities.
- External customers and internal clients: The recommendations address the needs of both external customers and internal clients. They focus on providing high-quality products, creating a positive customer experience, and fostering a supportive and inclusive work environment.
- Competitors: The recommendations consider the competitive landscape and aim to position the company for long-term success by leveraging its strengths and addressing potential threats.
- Attractiveness: The recommendations are expected to be financially attractive, with potential for increased revenue, market share, and profitability.
6. Conclusion
By implementing these recommendations, Madam C.J. Walker Manufacturing Company can continue its legacy of success and innovation. By focusing on growth, brand building, and social responsibility, the company can solidify its position as a leader in the beauty industry while making a positive impact on the lives of African American women.
7. Discussion
Other alternatives not selected include:
- Merging with a larger company: This could provide access to resources and expertise but could also lead to a loss of control and brand identity.
- Focusing solely on the domestic market: This would limit growth potential and miss out on opportunities in emerging markets.
Key assumptions include:
- The continued demand for hair care products among African American women.
- The ability to successfully navigate the challenges of expanding into emerging markets.
- The company's commitment to maintaining its strong brand identity and social responsibility values.
8. Next Steps
The following steps should be taken to implement the recommendations:
- Develop a detailed strategic plan: This plan should outline the specific goals, objectives, and strategies for implementing the recommendations.
- Allocate resources: Secure the necessary funding and resources to support the implementation of the strategic plan.
- Build a strong team: Recruit and develop a team of talented individuals with the skills and experience needed to execute the strategic plan.
- Monitor progress and make adjustments: Regularly track progress towards achieving the goals and objectives, and make adjustments to the plan as needed.
By taking these steps, Madam C.J. Walker Manufacturing Company can position itself for continued success and growth, while continuing to make a positive impact on the lives of African American women.
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Case Description
This case describes the rise of Sarah Breedlove, who later called herself Madam C.J. Walker, from the cotton fields of Louisiana to the head of a successful, nationwide beauty company providing opportunity and hair care products to Black women. The case describes how Breedlove started her business, recruited sales agents, and built a strong customer base across the United States. Students will learn how Sarah Breedlove navigated life's choices to leave a lasting impact on the world.
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