How to Analyze a Business Case Problem

This Hands-on Guide presents a structured framework to help you analyze any business
problem. A case study helps students learn by immersing them in a real-corporate world business
scenario where they can act as problem-solvers and decision-makers. Analyst should focus on the
relevant facts provided in the case. The format of business case analysis is shown below where the
quick guides are lifted in the book Applied Strategic Management and Business Policy: A Case Study
Method by Ybanez, A.E Jr. (2014).

1.0 Time Context or Time Frame

The time context should inform us when the problem was noted which necessitate a decision or an
action. It is the takeoff point of the case. A good time context should be relevant that requires timely
solutions to a business problem.

2.0 Viewpoint

(S)He is a person who has authority over a specific area of concern or rightful owner of the problem
and who is ultimately capable to decide and implement the chosen ACA. Example, if the problem is
strategic in nature then, officer on strategic level should be considered.

3.0 Statement of the Problem

A problem is an area of concern or a difficult and perplexing situation in business that hinders or
may threaten the growth or attainment of company’s objectives. A problem exists when we perceive
a difference in the current state from a more desirable state (deviation statement). Symptoms and
causes are not problem. Do not use ‘lack of’ statements. They provide instant solutions (you need
only acquire what you lack to solve the problem).

4.0 Statement of Objective

It is a goal which the addresses the problem. It should satisfy the test of SMART - Specific,
Measurable, Attainable, Realistic and Time bound. The most common objectives are:

a. To establish previous conditions

b. To improve the current levels of performance
c. To create conditions never before realized

5.0 Areas of Consideration

A decision-maker should be made aware of the background of the case so that he can have a total
perspective of what needs to be solved.

5.1 Internal Environment

5.1.1 Strengths (Positives)
5.1.2 Weaknesses (Negatives)

5.2 External Environment

5.2.1 Opportunities(Positives)
5.2.2 Threats (Negatives)

Ybanez, A. Errol Jr. B. (2014) Applied Strategic Management and Business Policy: A Case Study Method Page 1
6.0 Assumption

It defines other factors affecting the organization which are not articulated in the case but need to be
assumed to better understand the case. It should have a clear basis or a link in the facts of the case.
Otherwise, it is not valid.

7.0 Alternative Courses of Action (ACA)

These refer to strategies or solutions identified to attain the objective and to solve the problem. The
ACA must be mutually exclusive. Meaning, these can stand alone or independent of each other.
There should be at least three alternatives, whether these would be for business-level strategy or
corporate-level strategy.

8.0 Analysis of ACA

Discuss the effects or implications of each ACA to the problem through presentation of advantages
and disadvantages by way of considering the SWOT as provided in the facts of the case. Each
alternative should be workable in order to match the firm’s strengths, capabilities, and especially the
core competencies.

9.0 Conclusion

This pertains to the recommendation to achieve the objective in order to solve the problem.

9.1 Decisions matrix

A good tool that will distinguish or differentiate each ACA is through the decision matrix
where there is a set of appropriate and defined criteria. The use of decision matrix with
corresponding rating/ranking provides a consistent, traceable and defensible basis for
making decisions.

9.2 ACA selection

Since you are analyzing the case to solve the problem and achieve the objective, it is wise
to use criteria that relate to the problem/objective.

10.0 Action Plan

An action plan is a series of activities in order to implement the chosen ACA in order to achieve the
stated objective/s. A comprehensive and effective plan of action must contain the following:

Time Budget
Activities to be undertaken Person responsible
frame (optional)

What must be done to carry out The first activities should start When will About how much
the decision? Sequence your from your viewpoint being the these will it cost to do
activities accordingly. Activities highest decision-making acts be it?
should be specific not general. authority. The purpose of which carried
(Ex. Prepare marketing plan). is to show that the viewpoint is out, and This is optional
in-charge of the area of concern. for how because if there
Do not include preliminaries Viewpoint is not necessarily long? are no data or
because it is already assumed doing every activities but information vis-
that you have done your research manifesting that he is actually on à-vis costs as
prior to offering your ACAs. top of the situation. base amount.

Ybanez, A. Errol Jr. B. (2014) Applied Strategic Management and Business Policy: A Case Study Method Page 2