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1- Why would managers be suspicious of a consulting project offered for free?

2- Propose three different projects and a selling strategy for them on a no-fee basis.

How would your selling strategy change if you offer them on a full-fee basis?

3- In business you will often be faced with choices and the consequences of those choices may have unintended consequences. It is very popular to espouse the Western concepts of what constitutes fair pay and working conditions. Consider this issue:

Major coporations with overseas subcontractors (such as IKEA - Bangladesh, Unilever - India, & Nike - China) have been criticized, often with substantial negative publicity., when children as young as 10 have been found working in the subcontractor's facility. The standard response is to perform an audit then enhance controls so ti does not happen again. In one such case a 10-year-old worker was terminated (fired). Shortly thereafter, the family, withoughthe 10-year-old's contribution to the family income, lost its modest home and the 10-year-old wat ledt fo scrounge in the local dump for scraps of metal.

Was the decision to hire the 10-year-oid in the first place ethical? Why or why not?

Was the decision to terminate the 10-year-old ethical? Why or why not?

Please reference your sources properly.

4- Hard Rock brings the concept of the "experience economy: to its café operation. The strategy incorporates a unique experience into its operations. This innovation is somewhat akin to mass customization in manufacturing. At Hard Rock, the experience concept is to provide not only a custom meal from the menu but also a dining event that includes a unique visual and sound experience not duplicated anywhere else in the world. This strategy is succeeding. Other theme restaurants have come and gone while Hard Rock continues to grow. As Professor Constantinos Markides of the London Business School says, "the trick is not to play the game better than the competition but to develop and paly an altogether different game." At Hard Rock, the different game is the experience game.

From the opening of its first café in London in 1971, during the British rock music explosion, Hard Rock has been serving food and rock music with equal enthusiasm. Hard Rock Café has two Canadian outlets, more than 40 U.S. locations, about a dozen in Europe and the remainder scattered throu8ghout the world, from Bangkok and Beijing to Beirut. New construction, leases and investment in remodeling are long term; a global strategy means special consideration of political risk, currency risk and social norms in a context of a brand fit. Although Hard Rock is one of the most recognized brans in the world, this does not mean its café is a natural everywhere. Special consideration must be given to the supply chain for the restaurant and its accompanying retail store. About 48% of a typical café's sales are from merchandise.

The Hard Rock Cafe business model is well-defined but because of various risk factors and differences in business practices and employment law. Hard Rock elects to franchise about half of its cafes. Social norms and preferences often suggest some tweaking of menus for local taste. For instance, Hard Rock focuses less on hamburgers & beef & more on fish and lobster in the British cafes.

Because 70% of Hard Rock's guests are tourists, recent years have found it expanding to destination cities. While this has been a winning strategy for decades, allowing the firms to grow from one London café to 191 facilities in 59 countries, it has made Hard Rock susceptible to economic fluctuations that hit the tourist business hardest. So, Hard Rock is signing a long-term lease for a new location in Nottingham, England, to join recently opened cafes in Manchester and Birmingham - cities that are not standard tourist destinations. At the same time, menus are being upgraded. Hopefully, repeat business from locals in these cities will smooth demand and make Hard Rock less dependent on tourists

Questions:

Identify the strategy changes that have taken place at Hard Rock café since its founding in 1971

As Hard Rock Café has changed its strategy, how have its responses to some of the 10 decisions of OM changed?

Where does Hard Rock fit within the four international operations strategies outlined in figure 2.9 on page 42 of the text?

How competitive do you feel Hard Rock Café is in the restaurant industry overall?

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