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- Which markets do Isolde and Emanuel target respectively? How do their respective business/revenue models align with their markets?
- Isolde is targeting hospitals and big diagnostic labs using a razor-razorblade model, where the machines are sold at a cost and “the stuff machines use” make the money. Emanuel is targeting labs and universities and adjusts his
pricing policies to address customer demands, internal accounting guidelines, and competitive threats.
- What are the pros and perils of “imposing the structure of a single revenue model” vs. “letting [the company] continue on its flexible way”?
- Imposing a single revenue model is good because it will provide structure to generating revenue, which reduces uncertainty and the extra time/effort needed to constantly adjust the model. However, allowing for a flexible model, specifically in this context, means centering the business on the needs of the relevant stakeholders, including customers and employees. It means being agile to a rapidly changing and highly competitive market.
- Pretend that the CEO has decided the department heads must merge their divisions together. As a star PM assigned to mediate this interaction between department heads, how would you scaffold the discussion to ensure a fair merging process?
- If a merger were to happen, it would have to start with deep discussion with Isolde and Emanuel to align them on the vision, which is crucial since they seemed very rigid on staying disparate and flexible. While there are strengths to this previous model, they would have to understand the strengths of a merger in order for this to even work. There will have to be a lot of workshopping of ideas and finding ways for this to work for either party, especially if there is going to have to be only one leader to manage this new merger. Key points of discussion with regard to product should include using this merging of two products as a strong value proposition. There also needs to be discussion on how to stand out from competitors as well as a way to keep the company human-centered so that they can address the needs of customers and employees; this will not only address concerns of sticking to a single revenue model, but also ensure that the company succeeds moving forward in the future.
