Straumann's Ownership of Two Different Brands in the Dental Implant Business: Strategic Advantage or Lack of Focus?
This case addresses the key aspects of strategy analysis and strategic decision making (e.g. Porter's Five Forces, Key Success Factors, Value Discipline Model), putting special emphasis on global marketing, positioning, segmenting and branding (Keller Brand Equity Model, Brand architecture); primary emphasis of the case is on an outside-in view with the exception of the Tracey / Wiersema Value Model. Attention is especially given towards outlining how an existing premium product and service portfolio can be complemented with a value offering, whilst managing the preservation of the legacy premium business and hedging any potential cannibalizing effects. It thereby allows for a controversial discussion and reflection on the introduction of such a dual-segment strategy (Hambrick's Strategy Diamond). Further, the case then broadens the scope and provides the base for an open discussion about potential chances and risks for a product-/service-centric company to become an integrated / cross-segment / total solution provider. Learning objective: 1. How to develop and evaluate strategic options? 2. How to pursue a dual-segment strategy and how to enter the market? 3. What are the implications by entering a dual-segment strategy? 4. Which elements can be used to differentiate the two segments? 5. What are the principal brand differentiators in pursuing a dual segments strategy? 6. Assessing how strategy can evolve as a consequence to shift in the (external) context?