Read the Wildfang case and download both the case and the spreadsheet. This is an Excel-based assignment illustrating how firm business model can be links to the financial implications of business model design using lifetime value modeling techniques.
THE ASSIGNMENT IS MAJOR AND IS NOT DUE UNTIL WEEK 9. BUT IT IS HIGH STAKES AND NEEDS PREPARATION.
Complete the spreadsheet and answer the questions on the left nav bar. Total word count for the assignment must not be less than 1500. Be sure to link case to course concepts in Schilling.
Develop a Business Model Canvas for Wildfang’s current operation. See https://strategyzer.com/canvas/business-model-canvas?url=canvas/bmc for an overview and canvas download.
Has Wildfang developed a core competency? Apply the framework developed by Prahalad and Hamel (1990) and discuss the resources and processes in the business model canvas that underlie core competency development.
Create a summary table comparing the two business model designs under consideration.
Using the supplemental Excel input worksheet, estimate a blended CLV for a simulated portfolio of 10,000 shoppers. The assumptions used to populate the input worksheet are provided in the case narrative.
Combine the CLV analysis with the results of the previous business model canvas analysis to identify the riskiest assumptions associated with each growth model. Prioritize these risks in terms of the significance of impact on scaling the Wildfang business.
Provide the final recommendation for Wildfang’s national expansion. Explain the reasoning.
Where did you find the assumptions in this case? What are the assumptions based on (what is the evidence)?
How did changing the assumptions change anticipated business results on the spreadsheet?
How important are assumptions to critical thinking?
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