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Case Study Catatech : Prepared By: Batyuk Artem

This case study examines the challenges faced by Catatech, an old Spanish firm dealing in electric tools, as it faces growing competition from internet-based competitors at the turn of the 21st century. The CIO, Marisa Rivera, recognizes the need to integrate e-commerce to remain competitive but faces resistance from the conservative CEO Carlos Fernandez and executive board. Marisa must convince them to transition from traditional in-person sales to e-commerce across the whole company to boost performance, expand their customer base worldwide, and lower costs, despite the difficulty of changing the board's traditional mindset.

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77 views3 pages

Case Study Catatech : Prepared By: Batyuk Artem

This case study examines the challenges faced by Catatech, an old Spanish firm dealing in electric tools, as it faces growing competition from internet-based competitors at the turn of the 21st century. The CIO, Marisa Rivera, recognizes the need to integrate e-commerce to remain competitive but faces resistance from the conservative CEO Carlos Fernandez and executive board. Marisa must convince them to transition from traditional in-person sales to e-commerce across the whole company to boost performance, expand their customer base worldwide, and lower costs, despite the difficulty of changing the board's traditional mindset.

Uploaded by

Sasha Chest
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as DOCX, PDF, TXT or read online on Scribd
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Case study

«Catatech»

Prepared by:

Batyuk Artem

Date 16.11.2020

Moscow 2020
Summary
Catatech is an old-fashioned Spanish firm with couple of autonomous subsidiaries,
which deals with electric tools. At the turn of the century, the company is under
pressure of fast-growing expansion of the Internet. Moreover, company’s future is
not as prosperous as it used to be, considering emergence of competitors. The CEO
and Executive board adopt conservative attitudes; hence, it would be very hard for
them to make a fast and right decision.
The main problem is that Catatech must integrate ecommerce to save
competitiveness.
Characters are CIO Marisa Rivera and CEO Carlos Fernandez as people and
Catatech and eHerramintas as institutions.
Chronology
1999 (Today): Marisa came across the Internet shop, which may undermine
Catatech standings
1998: Catetch’s revenue were nearly $2 billion
1994: Marisa started her job as a CIO of Catatech, implementing ERP-system, first
experiments with ecommerce
1911: foundation of the Catatech by Carlos’s grandfather
Issues. Besides emergence of the competitor, which uses disruptive innovation,
Catatech’s decision-making process is obsolete. Marisa has to convince Carlos and
the board to react faster, but it is not going to be easy due to the fact that both
Carlos and the board are old-fashioned.
Options
First Option – adopting and integrating IT into business models and processes, via
transition from face-to-face sells to ecommerce in the whole company
Pros:
1. Worldwide expansion of client base
2. Boosting company’s performance
3. Lower cost
4. Fast response to consumer trends and market demand
Cons:
1. There are no direct negative consequences of e-commerce, but it would be
very hard to convince the board to implement it
2. Possible dismissals
Second option – choose one business unit, which is going to be completely
ecommerce-based
Actually, there are would be the same pros as in the first option, but it will take
much more time.
Recommendations.
Company has a chance to grow and expand rapidly, and it would be unwise, if it
will not take this opportunity. Marisa’s task is to supply Carlos and the board with
accurate information. She may gain the support of regional managers and give
appropriate example (Amazon)
Plan of action
1. Convincing CEO, providing advantages and great perspective of ecommerce
2. Hiring a team to create an internet shop
3. Enjoying great profit

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