University Studies Senior Capstone
Business Strategy: BA 495
Spring 2014 M/W 10:30-1:20 pm
Instructor: Dr. Desirée Pacheco
Office: 468
Office Hours: Mondays 1:30-2:30 pm and by appointment
E-mail: pacheco@pdx.edu
Course Materials and Postings in Desire2Learn: http://d2l.pdx.edu
University Studies Program Description & Goals
One of the primary pillars of Portland State University’s strategy is to develop students
who can apply interdisciplinary learning to real world issues and become leaders of change.
PSU’s University Studies program is one of the ways that the University has consistently
gained international recognition for a distinguished undergraduate experience.
The University Studies capstone course contributes to this strategic pillar by seeking to
enhance the lives of PSU seniors through service learning with partners around the world.
The Business Strategy Capstone course is designed to provide an integrative experience
along two dimensions: 1) as a culminating experience for the University Studies program
at PSU; and 2) as a way for business students from different majors to combine their
knowledge and work together to work in the field with an external partner on a pressing
strategic issue.
University Studies Program Key Goals:
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Inquiry and Critical Thinking
Communication
The Diversity of the Human Experience
Ethics and Social Responsibility
Community Engagement
CAPSTONE STUDENT HANBOOK: Each student is required to review the
Handbook which can be found on-line at http://www.pdx.edu/sba/capstone
Course Description & Learning Objectives
Why are some firms more successful than others? This is a primary concern in the study
of business strategy. In this course, students will explore this and other questions from the
perspective of a senior manager who is concerned with formulating and implementing
goals that could significantly affect the performance and direction of a company. In doing
so, they will be faced with complex problems that require critical thinking and original
resolution under conditions of incomplete information. This requires that students go
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beyond universal calculative techniques and rather, apply a more rigorous and
comprehensive approach to business problems.
The main objective of this course is to provide an understanding of the fundamental
concepts associated with Strategic Management and to assist students in identifying and
resolving complex business challenges. Specifically, students will:
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Develop the ability to incisively apply and effectively communicate business
concepts in practical application, including:
o Conducting a comprehensive analysis of an organization, its industry,
competitors, and general environment, and develop viable strategic
alternatives.
o Relating strategic management theory, concepts and frameworks to a
partner organization that will serve as the client during the term.
To develop abilities for assessing competitive environments and identifying valuecreating opportunities.
To acquire tools for judging performance, identifying changing industry dynamics,
anticipating competitors’ responses, and leading organizational and strategy
evolution accordingly.
Learn how to evaluate the competitive environment of a firm and respond to it.
Understand how the resources and capabilities of a firm can contribute to
competitive advantage.
Learn the variety of strategies relevant to firm boundaries (e.g., outsourcing,
diversification) and growth and the driving forces behind them.
Understand the effects of globalization on strategic management.
Understand how societal and stakeholder demands affect the strategic choices of
companies and the potential for competitive advantage.
o Understand the connection between sustainability and strategic
management.
Understand the interdependencies between strategic decisions and the different
functions of the organization.
This course takes both a theoretical and experiential approach to learning. From a
theoretical perspective, students will learn about the nature of firm strategic choices, the
effect of these strategies on different parts of the organization and the performance of the
firm, and their appropriateness based on the competitive environment, the internal strengths
of the organization, stakeholder demands, etc. From an experiential perspective, students
will interact with the business community through partner engagements. They will actively
work within a team to solve a particular strategic issue for a community partner, interact
with the partner to present alternatives and share information, and deliver a final report of
their analysis.
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Required Readings and Materials
1) eBook available online through McGraw Hill. Please, do NOT make copies of your
peer’s downloads. This book is protected by copyright laws and you could be personally
liable for doing so.
To access the course book: 1. Go to http://create.mcgraw-hill.com/shop/
2. Search for and select book by Title, ISBN, Author, or State/School.
ISBN: 9781308134215 Title: Business Strategy- Spring 2014 (make sure “Spring 2014”
is in the title!). Add the book to your cart and pay using a credit card or access code. Any
technical issues with purchasing can be handled directly with McGraw Hill at 1-800-9629342.
2) Series of articles and other readings. Available through Desire2Learn course page:
http://d2l.pdx.edu
Course Principles
Come Prepared and Participate: This course uses a combination of lectures, cases, and
community partner visits. We will discuss a variety of cases and readings throughout the
semester. The success of these discussions is dependent on your ability to be prepared.
I view myself as a facilitator of your learning experience. Learning requires experience and
active participation. This approach places more responsibility on you and your ability to
be prepared for an informed discussion. I encourage all the class to participate; keeping in
mind that quality goes above quantity. Also, please do not feel intimidated from sharing
your ideas and questions. There is no such thing as a “stupid question” and we are all here
to learn. Your comments should not be judged by me or anyone else in the classroom. So
please, summon your courage and participate!
Academic Honesty: Students will uphold the honor code in all work associated to this
course. All work must be original and non-original work should be appropriately
referenced. Cheating on exams or quizzes will result at least on an F grade for that
particular examination; and may result in expulsion from the class and/or the department.
Copying material from the internet or any other source without proper citation is considered
plagiarism and cheating. For more information regarding PSU’s policies on behavior and
academic honesty, please see: http://www.pdx.edu/dos/psu-student-code-conduct
Respect for Others: We recognize the desire of others to be heard without interruption.
When a person is speaking, the remainder of the class should remain attentive. During
heated debates, we will attempt to use appropriate timing when presenting our thoughts
(allow others to complete their argument before speaking on your own opinion).
Humor and Fun: Who said that learning couldn’t be fun? Please, don’t turn your shores
into drudgery, but rather look at this course as an opportunity to learn and practice the skills
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that you will need when you are out in the real world. Let’s exploit the positive side of
things on our meetings.
Course Policies
Late Arrivals: On-time arrival is crucial to the learning environment for yourself and all
your peers. However, since we cannot plan all events in life, I know that there will be
unavoidable instances where students might be late. I will close the door to signal the start
of class and after that time if you arrive late, please enter with a minimal number of
distractions.
Homework: Late homework will not be accepted unless we have agreed on a particular
arrangement prior to the due date. No exceptions, please.
Make-up Quizzes: Students missing a quiz must notify me prior to its submission (you
can send me an e-mail). Make-ups will only be provided to students who have a valid
excuse with timely notification.
Use of PSU e-mail: Occasionally, I will be contacting you via e-mail through your PSU
account. Please, keep track of your e-mail for any news or updates that I may send.
*Also, please be aware that I answer e-mails during regular business hours: Monday-Friday
from 8:00 a.m. – 5:00 p.m. Please, don't wait until the night before a deadline to send your
questions.
In-Class Use of Electronics: The use of computers, tablets, and smart phones in the
classroom can distract those around the user. Therefore, I request that students refrain from
using their electronics for the entire duration of the class (unless I ask in advance to bring
them for particular in-class activities).
Accommodations for Disabilities: Students with disabilities who qualify for academic
accommodations should discuss specific needs with me, preferably during the first two
weeks of class. Please see the Disability Resource Center page at http://www.drc.pdx.edu/
for assistance.
Course Requirements
The course will utilize a blend of cases, external articles and book chapters, and the
community partner project. Grading will be based on the following components:
ATTENDANCE AND PARTICIPATION (20%)
Participation is a significant component of this class and it is heavily weighted on your
final grades. For each session, consider the issues raised in the readings, how they apply to
what you are doing in your partner projects, how they apply to the case (if applicable), and
how they play out in firms you are familiar with. Additionally, be ready to respond to the
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contributions of your peers.
participation as follows:
After each class period, I evaluate your classroom
3:
Outstanding positive engagement in the classroom discussion as
evidenced by particularly insightful comments and excellent
understanding of concepts covered in the readings for the course.
2:
Active, engaged participant in class.
1:
Attended class and contributed a little to the class / group
discussions and activities.
0:
Missed all or a substantial part of the class session.
Class Preparation Questions
I provide questions here in the syllabus for some of the topics that we cover so that you can
prepare in advance. Preparing these will help you to actively participate in class. For the
questions in the schedule that are marked as “class preparation questions”, I ask that
students bring a one to two paragraph answer to ONE of the questions posted. These may
be typed or hand written (but be legible). I will randomly ask for students to turn in these
answers on the dates in which we discuss the respective topics. The grade of these
questions will be part of your participation grade. While I only ask you to turn in the
answer to one question, you are responsible for coming prepared to class to answer all
questions. Students must be actively engaged in the class discussions. Otherwise, this
could severely affect their participation grade. Pop quizzes are also a possibility.
Attendance is of most importance in fulfilling your participation requirements. Also,
attending the class regularly will benefit you, as I tend to cover material that is not available
on the readings or PowerPoint lectures.
FINAL PARTNER PROJECT REPORT (30%)
Each person will be assigned to a team (of approximately 5 students) that will undertake a
business strategy related-project with a local partner in the community. Partners are
usually firms or nonprofit organizations from the Portland area that have a particular
business strategy problem that must be addressed. These problems are quite diverse and
range from the need to assess the feasibility of a business opportunity to a detailed strategic
plan for an established firm or organization. The diversity of these problems requires that
the deliverables and specifically, the final report vary by team and partner (although teams
assigned to the same partner will likely have similar deliverables). Team members will
reach an agreement with the partners (together with me) on the specific deliverables that
the team will commit to submitting by the end of the term. The grade of this final report
will represent 30% of the total grade of the course. Examples of these reports from
previous terms will be available in D2L.
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Non-performance of a team member:
If one or more of your team members is not participating fully in the partner project, please
notify me before the end of the term. If there is consensus that one or more team members
are not doing their fair share of the work load, this person may be pulled out of the team
and may be required to do a different project independently (or simply asked to drop the
class). In order to do this, any final decisions on inadequate team participation must be
made no later than April 28th.
**Please note that the final grade of all team-based deliverables (including the partner
project final report and presentations) is subject to the evaluation of a student’s
performance and contribution to the project by all other team members.
PARTNER PROJECT PRESENTATIONS (25%)
Throughout the term, students will present different analyses on their partner organization
or firm. These include: 1) an external analysis of the firm’s environment (PESTEL and 5
Forces) (8%) on April 23rd; 2) an internal analysis of the firm’s and competitor’s
resources and capabilities; strengths and weaknesses (VRIO) (7%) on May 14; 3) final
project presentations (10%) on June 4th. All of these presentations are marked in the
course schedule. Your community partners will attend your external analysis and final
project presentations; and be present for questions and information sharing during those
sessions.
REFLECTIVE JOURNAL ENTRIES (8%)
Throughout the term, you will complete reflective entries that will ask you to explore
connections between your academic work, your engagement with your community partner,
and the University Studies goals (communication, community engagement, appreciation
of diversity, and social and ethical responsibility).
Reflective journal entries are written in ¾ to 1 page and address some of the questions
below as a guide for each entry. They will be graded on the basis of: Superficial = 1;
Superficial but writing is o.k. = 2; Adequate = 3; Superb = 4.
The first entry will be a printed (hard copy) submission and is due in class at the beginning
of the period. All other entries are submitted in the “Dropbox” section in D2L and are due
by 6:00 p.m. PT on the following due dates: (late entries will NOT be accepted).
Reflective Journal Entry 1: April 21, DUE IN CLASS
Reflective Journal Entry 2: May 7, 6:00 pm in D2L
Reflective Journal Entry 3: May 28, 6:00 pm in D2L
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Detailed guidelines for each journal entry:
ENTRY 1:
Diversity— “Reflection on group & client diversity”
Reflect and assess the diversity within your group. Use the following prompts as a guide:
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How does your group fare in terms of different kinds of diversity, such as cultural diversity (i.e.
ethnicity, age, gender), functional diversity (work/professional experiences, majors)?
Comment on some areas of diversity that can be potentially helpful or hindering to the project’s
progress or outcomes. For any challenges, how can you overcome them? In recognizing the positive
aspects of diversity, how can they be better harnessed in your project work to support your client
better?
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OR
Communication— “Reflection on group communication”
Reflect and assess how well your group has communicated so far and how this can be
improved. Use the following prompts as a guide:
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What is the frequency of--, nature of--, format of communication between the members of your group?
What effect has this had so far on the group's performance and productivity?
What could be improved?
What are the core features of communication that will ensure a good outcome in how you
communicate with your client? What previous experiences could you draw on for this?
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ENTRY 2: Community Engagement— “Reflect on your connection with your partner and
the community at large”
Reflect on how your work can benefit your partner and the community.
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How can you contribute to the needs of your partner? How does the work of your team contribute to
helping (making a difference in) the Portland community?
Do you feel a personal responsibility to help your community partner?
Do you currently volunteer for your community outside of this course? How can the experience in this
course help you in your civic responsibilities after you graduate? What particular skills could you apply?
ENTRY 3: Ethics & Social Responsibility— “Reaction on Sustainability Readings and
Partner’s Environmental and Social Performance”
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What is the relationship between environmental or social responsibility and business strategy?
How does your partner company/organization address social and/or environmental responsibility?
How well integrated is this with the firm/organization’s strategy? What evidence or justification is there
for this?
How can your partner improve the connection between strategy and social or environmental responsibility?
What would be the implications of this for its competitive advantage?
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How can you personally help your partner in improving its social or environmental performance?
QUIZZES (17%)
There will be about 2 scheduled and various unannounced quizzes throughout the
semester. Quizzes generally last 20-30 minutes. Quizzes test for thoroughness of
understanding of the reading, and ability to integrate readings with broader course
themes.
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Schedule for the Term
Below is a tentative schedule for the quarter, which is subject to change. I will notify in class of any changes that may be necessary.
Date
March 31
Topic
Course Introduction
Readings
Due Dates/Action Items
Read:
1. The Syllabus
2. The Capstone Student
Handbook:
http://www.pdx.edu/sba/sit
es/www.pdx.edu.sba/files/
Handbook%20Student%20Capstone.
pdf
3. Materials on the
Business Capstone website:
http://www.pdx.edu/sba/ca
pstone
*Senior Management from partner organizations will
introduce their organizations and projects
Introduction to
Strategic
Management
Partner
April 2 Presentations
UNST goal:
Inquiry and Critical
Thinking
Assignment Questions/Activities
Read from Course Packet:
CH1: “What is Strategy
and Why is it Important?”
Prior to Class: Work on Partner Project:
(1) Prepare questions for the partner about their
organization and offerings.
(2) Research all of the partners online (if applicable, visit
their websites; competitor websites; etc.)
(3) Please take notes on the overview provided by the
senior manager from the partner organization. The
person will describe the pressing strategic issue that
you will address as part of your project and strategic
recommendation deliverable.
1
Date
Topic
Readings
Industry
Environment
Analysis
Read: 1. from Course
Packet: Porter, M.E. "The
five competitive forces that
shape strategy"
UNST goal:
-Inquiry and
Critical Thinking
2. “PESTEL” reading in
D2L
April 7
Due Dates/Action Items
Assignment Questions/Activities
Class Preparation Question:
Find a recent example of a firm that successfully entered an
industry with an unattractive industry structure. Based on
the 5 Forces Analysis, why was the industry unattractive?
How did the firm overcome the challenges of the industry
structure?
Data Sources for
Project/Client SOW
April 9 UNST goal:
-Inquiry and
Critical Thinking
-Communication
Working in
Teams/Diversity/
Client Scope of
Work
UNST goal:
-Inquiry and
April 14 Critical Thinking
-Communication
-Diversity of the
Human Experience
Read: “Teams” Reading
(posted in D2L)
Due: Draft of Scope of
Work document due in
class
2
Date
Topic
Market Analysis
and Data Sources
April 16 UNST goal:
-Inquiry and
Critical Thinking
Readings
Due Dates/Action Items
Assignment Questions/Activities
Read: “Market Analysis”
reading and Survey
Examples in D2L
Final SOW should be
shared with Partner by
Friday, April 18th and
posted in D2L.
In class: Each team will present their Scope of Work
for the partner project.
Competitive
Advantage I
April 21
UNST goal:
Inquiry and Critical
Thinking
Industry
Environment
Analysis II
Due: Reflective Journal
Entry I.
Read: Ch. 5 “Competitive
Advantage and Firm
Performance” from course
packet.
*Please bring a printed
version of your reflection
to class (just for this first
reflection, not necessary
for the next ones).
Due: (1) Each team will
prepare a PESTEL and
competitive and 5 forces
analysis in a PPT slide
deck (post to D2L) and
their recommendation to
the partner (see
assignment questions).
April 23
UNST goal:
-Inquiry and
Critical Thinking
-Communication
For Partner Presentations:
For PPT Deck and Presentation:
-Conduct a PESTEL analysis of your partner’s industry
-Evaluate the competition and the “5” forces that influence
the partner’s industry. Analyze the biggest threats and the
greatest opportunities. What would you recommend to the
partner regarding these forces?
(All team members
should present; note, this
is a graded presentation.)
Partners will join us in
class for these
presentations.
3
Date
Topic
Readings
Due Dates/Action Items
Assignment Questions/Activities
Class Preparation Question:
Competitive
Advantage
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UNST goal:
April 28 -Inquiry and
Critical Thinking
-Ethics & Social
Responsibility
Read from Course Packet:
Case: Patagonia
*Quiz 1
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How does Patagonia manage the tension between
social/environmental responsibility and profits?
How does Patagonia position itself strategically to gain
a competitive advantage (based on the Definition in
Ch.5)? How does Patagonia create value?
What is your assessment of the Product Lifecycle
Initiative (reduce, repair, reuse, and recycle)?
Would Patagonia’s business model differ if the
company were publicly held? What is the implication
for other companies who carry a central mission for
social responsibility?
Teams will meet with clients outside of classroom to
discuss progress and next steps.
Client
Visit/Meeting
April 30 UNST goal:
-Communication
Class Preparation Question:
Internal Analysis
UNST goal:
May 5
-Inquiry and
Critical Thinking
Read from Packet: Ch. 4
“Internal Analysis:
Resources, Capabilities,
and Activities”
Find an example of a high and low performing firm within
the same industry. Prepare an assessment of how the
VRIO framework accounts for the performance
differences across these two firms.
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Date
Topic
Business Strategy:
Competitive
Positioning
May 7 UNST goal:
-Inquiry and
Critical Thinking
-Communication
Financial Analysis I
UNST goal:
May 12 -Inquiry and
Critical Thinking
-Communication
Readings
Read from Packet: Ch. 6
“Business Strategy:
Differentiation, Cost
Leadership, and
Integration”
Read: 1. “Financial
Analysis” in D2L. 2.
Case: Chemalite, Inc. from
course packet
Due Dates/Action Items
Assignment Questions/Activities
Due: Reflective Journal
Entry 2 in D2L. Must be
posted in D2L
(“Dropbox”) by 6:00 pm
PT.
Due in class:
Chemalite’s case
questions (1 per team)
Assignment Questions for Case:
(1) With your team, develop Chemalite’s Balance Sheet,
Income Statement, and Cash flow (up to the last
transactions of the year).
For Partner Presentations:
Internal and
Competitor
Analysis
Presentation
May 14
UNST goal:
-Inquiry and
Critical Thinking
-Communication
Due: (1) Each team will
prepare and present a
PPT slide deck of the
“internal” and competitor
analysis for their partner
projects.
See assignment questions.
(All team members
should present; note- this
is a graded presentation.)
If Applicable:
1) Assess your client’s strengths and weaknesses relative to
1 competitor;
2) Analyze the partner’s resources and capabilities
ALL:
1) Identify at least 3 main competitors for your
partners
-Assess the strengths and weaknesses of all
competitors
-Analyze the competitor’s resources and
capabilities on the basis of VRIO
-Assess their overall strategic positioning based
on the discussion in Ch.6. How do they create
value?
-What are the implications of this for your
partner? How should your partner compete
given the strategies of competitors?
5
Date
Topic
Strategies for
Sustainability and
Growth
UNST goals:
-Inquiry and
Critical Thinking
May 19 -Ethics and Social
Responsibility
Readings
Due Dates/Action Items
Read: Sustainability
readings in D2L
*Quiz 2
Financial Analysis
UNST goals:
May 21 -Inquiry and
Critical Thinking
-Diversity of the
Human Experience
Financial Analysis
Presentations
Due: Each team will
present their financial
analysis for their projects
up to date.
Assignment Questions/Activities
(1) Be prepared to present your partner’s Pro forma
Income Statements and Cash Flow.
(2) How do your emerging recommendations play out
in the financials?
Due: Reflective Journal
Entry 3 in D2L. Must be
posted by 6:00 pm PT.
May 28 TBD
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Date
Topic
Integrating Insights
Readings
Due Dates/Action Items
Assignment Questions/Activities
UNST goals:
-Inquiry and
June 2
Critical Thinking
-Ethics and Social
Responsibility
Final Partner
June 4 Project
Presentations
Due:
*Final Partner Project
Presentations
Due:
June 10
Final Partner
Project Due
*Please email all deliverables to partner and
submit electronic copies in D2L
*Final Partner Project
Reports Due at 5:00pm
PT. Please deliver hard
copy at my office (no.
468)
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