Case Prep Sara Lee
1. What is Sara Lee’s corporate strategy? How has its retrenchment strategy changed the nature of its business lineup?
2. What is your assessment of the long-term attractiveness of the industries represented in Sara Lee Corp.’s business portfolio?
3. What is your assessment of the competitive strength of Sara Lee Corp.’s different business units?
4. What does a 9-cell industry attractiveness/business strength matrix displaying Sara Lee’s business units look like?
5. Does Sara Lee’s portfolio exhibit good strategic fit? What value-chain match-ups do you see? What opportunities for skills transfer, cost sharing, or brand sharing do you see?
6. What is your assessment of Sara Lee’s financial and operating performance in fiscal years 2008-2010, the period following the divestitures that were the core of Sara Lee’s retrenchment strategy?
A retrenchment strategy is an approach used by corporations to reduce the diversity or overall size of the company’s operations. This strategy is often used in order to reduce expenses with the overall goal of becoming a more financial stable business.
7. What is your overall evaluation of Sara Lee’s retrenchment plan? What evidence and/or reasons support a conclusion that Sara Lee’s shareholders have or have not benefitted from the company’s retrenchment strategy?
8. What actions do you recommend that Sara Lee management take to improve the company’s performance and boost shareholder value? Your recommended actions must be supported with convincing, analysis-based arguments.
9. This case preparation item is for the presenting team only - at the conclusion of your paper and class discussion, provide a brief current update concerning the issues raised in the case. This update will require additional outside research beyond the case itself.
2. What is your assessment of the long-term attractiveness of the industries represented in Sara Lee Corp.’s business portfolio?
3. What is your assessment of the competitive strength of Sara Lee Corp.’s different business units?
4. What does a 9-cell industry attractiveness/business strength matrix displaying Sara Lee’s business units look like?
5. Does Sara Lee’s portfolio exhibit good strategic fit? What value-chain match-ups do you see? What opportunities for skills transfer, cost sharing, or brand sharing do you see?
6. What is your assessment of Sara Lee’s financial and operating performance in fiscal years 2008-2010, the period following the divestitures that were the core of Sara Lee’s retrenchment strategy?
A retrenchment strategy is an approach used by corporations to reduce the diversity or overall size of the company’s operations. This strategy is often used in order to reduce expenses with the overall goal of becoming a more financial stable business.
7. What is your overall evaluation of Sara Lee’s retrenchment plan? What evidence and/or reasons support a conclusion that Sara Lee’s shareholders have or have not benefitted from the company’s retrenchment strategy?
8. What actions do you recommend that Sara Lee management take to improve the company’s performance and boost shareholder value? Your recommended actions must be supported with convincing, analysis-based arguments.
9. This case preparation item is for the presenting team only - at the conclusion of your paper and class discussion, provide a brief current update concerning the issues raised in the case. This update will require additional outside research beyond the case itself.