Case | HBS Case Collection | January 2010 (Revised April 2010)

Gobi Partners and DMG

by G. Felda Hardymon, Josh Lerner and Ann Leamon

Abstract

Thomas G. Tsao, founding general partner of Gobi Partners, an early stage venture capital firm in China, must decide how to manage his firm's largest investment after the departure of the CEO. Tom has temporarily stepped in as CEO, but finding a replacement with the necessary technical and language skills is difficult. Moreover, the company is facing significant challenges in winning business and restructuring its own operations. Should Tom stay on as CEO? Revisit one of the candidates who had withdrawn? Try harder to sell the company? At what price? The case provides an opportunity to discuss the issue of active investment management in an emerging market from the perspectives of the many stakeholders involved.

Keywords: Restructuring; Competency and Skills; Decision Choices and Conditions; Venture Capital; Investment; Business or Company Management; Management Succession; Emerging Markets; Problems and Challenges; Business and Stakeholder Relations; China;

Citation:

Hardymon, G. Felda, Josh Lerner, and Ann Leamon. "Gobi Partners and DMG." Harvard Business School Case 810-095, January 2010. (Revised April 2010.)