Bharat N. Anand

Henry R. Byers Professor of Business Administration

Unit: Strategy

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(617) 495-5082

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Bharat Anand is a Professor in the Strategy Unit at Harvard Business School, is the faculty chair of the HBX initiative, and serves on the HarvardX Faculty Committee. His research is in applied and empirical industrial organization. His research examines competition in information goods markets, with a primary focus on media and entertainment. He is also an expert in multi-business strategy. He chairs several executive education programs, including the school's executive education program on media strategies. He received an AB in Economics, magna cum laude, from Harvard University, and his PhD in Economics from Princeton University, where he was nominated to the Princeton Junior Society of Fellows.

Professor Anand's research on media strategies has focused on two central strategic challenges that firms face in these markets. The first is the challenge of "getting noticed" amongst the increasing clutter of alternatives that are widely available to consumers. The second is the challenge that firms face in "getting paid" for what they produce, since property rights over inputs and outputs are often difficult to establish in these markets.

Professor Anand's papers have shed light on the roles of branding and advertising as vehicles of matching and information, on competition between cable news networks, and on strategies that firms employ to tackle the challenge of weak or insecure property rights. In prior work, he studied the financing of R&D, the structure of technology licensing contracts, and the industrial organization of financial intermediation markets. His papers have been published in several leading journals in economics, marketing, and strategy.

He has authored numerous case studies in business and corporate strategy, including those on Capital One, The Economist, International Management Group, News Corporation, Random House, and Schibsted. For several years, Anand taught the popular second-year elective course in Corporate Strategy, for which he received the Faculty Award for Teaching Excellence from the MBA class of 2006 and the MBA class of 2007. He has served as course head of the first-year Strategy course at HBS, and he currently teaches Strategy in the General Management Program.

Anand lives in Wellesley, MA with his wife, Anju and their daughter Rhea.

Publications

Journal Articles

  1. Structural Models of Complementary Choices

    Steven T. Berry, Ahmed Khwaja, Vineet Kumar, Andres Musalem, Kenneth C. Wilbur, Greg Allenby, Bharat Anand, Pradeep K. Chintagunta, W. Michael Hanemann, Przemyslaw Jeziorski and Angelo Mele

    Complementary choices are important and pervasive yet occasionally elusive. Single consumers make complementary choices in purchase decisions (e.g., chips and salsa), product inter-operabilities (smartphones and networks), and dynamic decisions (current exercise and future healthcare consumption). Multiple consumers make complementary choices when they interact in strategic games or form networks. Firms make complementary choices when determining production inputs, entering related markets, and strategic mergers.

    Citation:

    Berry, Steven T., Ahmed Khwaja, Vineet Kumar, Andres Musalem, Kenneth C. Wilbur, Greg Allenby, Bharat Anand, et al. "Structural Models of Complementary Choices." Marketing Letters 25, no. 3 (September 2014): 245–256. View Details
  2. Advertising, the Matchmaker

    Bharat N. Anand and Ron Shachar

    We empirically study the informational role of advertising in matching consumers with products when consumers are uncertain about both observable and unobserved program attributes. Our focus is on the network television industry, in which the products are television shows. We estimate a model that allows us to distinguish between the direct effect of advertising on utility and its effect through the information set. A notable behavioral implication is that exposure to informational advertising can decrease the consumer's tendency to purchase the promoted product. The structural estimates imply that an exposure to a single advertisement decreases the consumer's probability of not choosing her best alternative by approximately 10%. Our results are relevant for industries characterized by product proliferation and horizontal differentiation.

    Keywords: Advertising; Information; Consumer Behavior; Television Entertainment; Risk and Uncertainty; Product; Decision Choices and Conditions; Advertising Industry;

    Citation:

    Anand, Bharat N., and Ron Shachar. "Advertising, the Matchmaker." RAND Journal of Economics 42, no. 2 (summer 2011): 205–245. (Lead Article.) View Details
  3. The Value of a Broader Product Portfolio

    Bharat Anand

    The mantra "Every product must stand on its own bottom line" may no longer be the one to chant. Nowadays, broadening your portfolio can increase both your chances of a big win and the benefit your other products can get from a hit's popularity.

    Keywords: Brands and Branding; Product Development; Expansion; Value Creation;

    Citation:

    Anand, Bharat. "The Value of a Broader Product Portfolio." Special Issue on HBS Centennial. Harvard Business Review 86, no. 1 (January 2008): 20. View Details
  4. The Effectiveness of Pre-Release Advertising for Motion Pictures: An Empirical Investigation Using a Simulated Market

    Anita Elberse and Bharat N. Anand

    One of the most visible and publicized trends in the movie industry is the escalation in movie advertising expenditures over time. Yet, the returns to movie advertising are poorly understood. The main reason is that disentangling the causal effect of advertising on movie sales is difficult because of the classic endogeneity problem: movies expected to be more popular (for example, those with a talented director or well-known actor) also receive more advertising. In this study, we use data on a movie's stock price as it trades on the Hollywood Stock Exchange, a popular online market simulation, to study the impact of movie advertising. Since the entire dynamic path of a movie's stock price--a measure of revenue expectations for the movie--prior to release is observed, one can sweep out any time-invariant unobserved factors that affect both advertising and expectations. Furthermore, certain institutional constraints in the advertising allocation process imply that the first-differenced advertising series is plausibly exogenous over the sample period. We find that advertising has a positive and statistically significant effect on expected revenues, but that the effect varies strongly across movies of different “quality.” The point estimate implies that the returns to advertising for the average movie are negative.

    Keywords: Advertising; Stocks; Investment Return; Price; Revenue; Quality; Mathematical Methods; Motion Pictures and Video Industry;

    Citation:

    Elberse, Anita, and Bharat N. Anand. "The Effectiveness of Pre-Release Advertising for Motion Pictures: An Empirical Investigation Using a Simulated Market." Information Economics and Policy 19, nos. 3-4 (October 2007): 319–343. (Special Issue on Economics of the Media.) View Details
  5. (Noisy) Communication

    Bharat Anand and Ron Shachar

    Communication is central to many settings in marketing and economics. A focal attribute of communication is miscommunication. We model this key characteristic as a noise in the messages communicated, so that the sender of a message is uncertain about its perception by the receiver, and then identify the strategic consequences of miscommunication. We study a model where competing senders (of different types) can invest in improving the precision of the informative but noisy message they send to a receiver, and find that there exists a separating equilibrium where senders' types are completely revealed. Thus, although communication is noisy it delivers perfect results in equilibrium. This result stems from the fact that a sender's willingness to invest in improving the precision of their messages can itself serve as a signal. Interestingly, the content of the messages is ignored by the receiver in such a signaling equilibrium, but plays a central role by shaping her beliefs off the equilibrium path (and thus, enables separation between the types). This result also illustrates the uniqueness of the signaling model presented here. Unlike other signaling models, the suggested model does not require that the costs and benefits of the senders will be correlated with their types to achieve separation. The model's results have implications for various marketing communication tools such as advertising and sales forces.

    Keywords: Communication Intention and Meaning; Interpersonal Communication; Cost vs Benefits; Marketing Communications; Performance Improvement; Mathematical Methods;

    Citation:

    Anand, Bharat, and Ron Shachar. "(Noisy) Communication." Quantitative Marketing and Economics 5, no. 3 (September 2007): 211–237. (Lead Article.) View Details
  6. Relationships, Competition, and the Structure of Investment Banking Markets

    Bharat Anand and Alexander Galetovic

    Keywords: Relationships; Competition; Banks and Banking; Markets; Banking Industry;

    Citation:

    Anand, Bharat, and Alexander Galetovic. "Relationships, Competition, and the Structure of Investment Banking Markets." Journal of Industrial Economics 54, no. 2 (June 2006): 151–199. (Lead Article.) View Details
  7. Brands as Beacons: A New Source of Loyalty to Multiproduct Firms

    Bharat Anand and Ron Shachar

    Keywords: Brands and Branding; Customer Satisfaction; Product; Business Ventures;

    Citation:

    Anand, Bharat, and Ron Shachar. "Brands as Beacons: A New Source of Loyalty to Multiproduct Firms." Journal of Marketing Research (JMR) 41, no. 2 (May 2004): 135–150. (Lead Article) and (Formerly titled: "Multiproduct Firms, Information, and Loyalty.") View Details

Book Chapters

  1. When Does Leadership Matter? A Contingent Opportunities View of CEO Leadership

    Noam Wasserman, Nitin Nohria and Bharat Anand

    There is by now a long-standing debate on the impact that CEOs have on company performance. Studies of leadership describe how CEOs can significantly impact company performance, while the "constraints" perspective argues that leaders are sufficiently constrained by their environments, and that their ability to impact performance is limited. This paper seeks to alter the framing of this debate by asking, instead, "When does leadership matter?" We develop a "contingent opportunities" theory of leadership and empirically examine our predictions on a dataset of 531 companies from 42 industries from 1979 to 1997. We show that CEO impact differs markedly by industry, and that CEOs have the most significant impact where opportunities are scarce or where CEOs have slack resources.

    Keywords: Business Ventures; Leadership; Performance Improvement; Research; Opportunities;

    Citation:

    Wasserman, Noam, Nitin Nohria, and Bharat Anand. "When Does Leadership Matter? A Contingent Opportunities View of CEO Leadership." Chap. 2 in Handbook of Leadership Theory and Practice, edited by Nitin Nohria and Rakesh Khurana. Harvard Business Press, 2010. View Details
  2. Strategies That Work When Property Rights Don't

    Bharat Anand and Alexander Galetovic

    Keywords: Property; Rights; Strategy;

    Citation:

    Anand, Bharat, and Alexander Galetovic. "Strategies That Work When Property Rights Don't." In Intellectual Property and Entrepreneurship. Vol. 15, edited by Gary Libecap, 261–304. Advances in the Study of Entrepreneurship, Innovation, and Economic Growth. Greenwich, CT: JAI Press, 2004. View Details

Working Papers

  1. The Strength of Peripheral Ties: Maintaining Status When Firms Lose Resources

    Mikolaj J. Piskorski and Bharat N. Anand

    This paper examines conditions under which high-status firms can retain their positions, even if they lose resources. Firms are considered high status when they obtain ties from other high-status firms. Among high-status firms, we distinguish between those that also receive ties from peripheral low status firms and those that do not. Though the peripheral ties contribute little to firms' status, we hypothesize that they play a critical role in maintaining it in the event of resource loss. Specifically, following resource loss, high-status firms with peripheral ties will retain their status, but those without such ties will lose it. Results of an empirical examination of venture capital syndicate formation in the United States support for these predictions.

    Keywords: Venture Capital; Resource Allocation; Rank and Position; Status and Position; Financial Services Industry; United States;

    Citation:

    Piskorski, Mikolaj J., and Bharat N. Anand. "The Strength of Peripheral Ties: Maintaining Status When Firms Lose Resources." Harvard Business School Working Paper, No. 08-067, February 2008. View Details
  2. When Does Leadership Matter? The Contingent Opportunities View of CEO Leadership

    Noam Wasserman, Bharat Anand and Nitin Nohria

    Citation:

    Wasserman, Noam, Bharat Anand, and Nitin Nohria. "When Does Leadership Matter? The Contingent Opportunities View of CEO Leadership." Harvard Business School Working Paper, No. 01-063, January 2001. ((Later published as Ch. 2 in The Handbook of Leadership Theory and Practice, 2010.)) View Details

Cases and Teaching Materials

  1. Corporate Strategy

    Bharat N. Anand

    This note provides an overview of strategies for multi-business firms. The note describes (i) what is meant by "corporate advantage," (ii) the different approaches that multi-business firms can pursue in order to create corporate advantage, (iii) the specific corporate level choices (portfolio, ownership, and organizational choices) that firms make, (iv) certain principles that characterize effective corporate level strategy, and (v) reasons why corporate strategies can fail. In its treatment and coverage of these issues, the note emphasizes similarities between the core principles of business unit strategy and of corporate level strategy.

    Keywords: Corporate Strategy;

    Citation:

    Anand, Bharat N. "Corporate Strategy." Harvard Business School Module Note 713-415, July 2012. View Details
  2. The New York Times Paywall

    Vineet Kumar, Bharat Anand, Sunil Gupta and Felix Oberholzer-Gee

    On March 28, 2011, The New York Times website became a restricted site where most of the content was protected behind a "paywall." Users who exceeded the limit of 20 free articles per month were required to pay for either a digital or print subscription. The newspaper industry had been suffering from revenue declines over the past decade, and the transition to digital media was difficult to navigate. Revenues from online advertising were not sufficient to replace the loss of print revenue, and many publishers had explored charging readers for content, with mixed success, where specialized sources like The Wall Street Journal were successfully using the model, but several other general news sites had failed. Newspapers and content creators in general were very interested in understanding whether transitioning to the paywall at the most popular news website would succeed, and whether it could become a blueprint for future success as a sustainable business model. There were several difficult issues to examine in determining the digital strategy for The Times. Would consumers remain as engaged with a site protected by a paywall? Would advertisers react positively to such a move that walled off readers? Would readers value both the print and digital versions of the content, or would it become necessary to create new content? The Times had several choices in designing the paywall, including determining the digital content, pricing, as well as how to interface with readers of secondary news websites like blogs that posted links to news articles. Should they design a "leaky" paywall where determined users could easily slip through, or a "bulletproof" paywall like the Financial Times had done, where users had to pay before they could access any content? What choices would provide the foundation for a successful business model?

    Keywords: Newspapers; Strategy; Journalism and News Industry; Publishing Industry;

    Citation:

    Kumar, Vineet, Bharat Anand, Sunil Gupta, and Felix Oberholzer-Gee. "The New York Times Paywall." Harvard Business School Case 512-077, February 2012. (Revised January 2013.) View Details
  3. Danaher Corporation

    Bharat N. Anand, David J. Collis and Sophie Hood

    Between 1985 and 2007, Danaher has been one of the best-performing industrial conglomerates in the U.S. This case examines the corporate strategy of this diversified, global corporation. It describes the firm's portfolio strategy and the Danaher Business System—a systematic and wide-ranging set of organizational processes the firm has developed to drive growth and create value. In 2008, the firm confronts various challenges in sustaining its impressive historical performance. First, can it continue to balance organic and acquisition-led growth? Second, what will be the impact of increased competition from private equity players? Third, for how long can its strategy of "continuous improvement" continue?

    Keywords: Business Conglomerates; Global Strategy; Multinational Firms and Management; Growth and Development Strategy; Organizational Culture; Corporate Strategy; Value Creation;

    Citation:

    Anand, Bharat N., David J. Collis, and Sophie Hood. "Danaher Corporation." Harvard Business School Case 708-445, February 2008. (Revised April 2011.) View Details
  4. Tata Nano – The People's Car

    Krishna G. Palepu, Bharat N. Anand and Rachna Tahilyani

    The case explores how Tata Motors, India's largest automobile company, developed the Nano, the world's cheapest car. The case focuses on the translation of Ratan Tata's (chairman of Tata Motors) vision of a safe affordable car for the masses by Ravi Kant, managing director of Tata Motors into the Nano Project. The case raises questions around breaking the price-quality barrier and changing existing internal processes to accommodate revolutionary new ideas. The dilemma of success—Tata Nano was a runaway bestseller—left Tata Motors debating how large a bet they should make on the Nano and what kind of capacity commitment this requires.

    Keywords: Price; Globalized Firms and Management; Disruptive Innovation; Emerging Markets; Business Processes; Quality; Competition; Auto Industry; Manufacturing Industry; India;

    Citation:

    Palepu, Krishna G., Bharat N. Anand, and Rachna Tahilyani. "Tata Nano – The People's Car." Harvard Business School Case 710-420, April 2010. (Revised March 2011.) View Details
  5. The Random House Response to the Kindle

    Bharat N. Anand and Peter Olson

    In early 2010, e-readers, like Amazon's Kindle and Apple's impending iPad, threatened to disrupt the book publishing industry. The case provides an overview of the industry, describes the broader trends regarding e-readers, and asks: how should major publishers like Random House respond to these trends?

    Keywords: Change Management; Trends; Disruptive Innovation; Technological Innovation; Consumer Behavior; Industry Structures; Corporate Strategy; Hardware; Publishing Industry;

    Citation:

    Anand, Bharat N., and Peter Olson. "The Random House Response to the Kindle." Harvard Business School Case 710-444, January 2010. (Revised February 2011.) View Details
  6. The Economist

    Felix Oberholzer-Gee, Bharat N. Anand and Lizzie Gomez

    In 2009 the Economist continued to experience impressive growth and operating margins while many of its peers reeled from both a cyclical downturn and structural threats to print publishing. The case describes the history, organization, and business model of the Economist, and describes three issues confronting Andrew Rashbass, the group's chief executive: first, reevaluating the magazine's digital strategy; second, preparing for e-readers; and, third, positioning the company to exploit what the Economist described as an era of "Mass Intelligence" where more readers sought out sophisticated and challenging information sources.

    Keywords: Business Model; Journals and Magazines; Growth and Development Strategy; Strategic Planning; Competitive Strategy; Online Technology; Publishing Industry; United Kingdom;

    Citation:

    Oberholzer-Gee, Felix, Bharat N. Anand, and Lizzie Gomez. "The Economist." Harvard Business School Case 710-441, March 2010. (Revised July 2010.) View Details
  7. eReading: Amazon's Kindle

    Bharat N. Anand, Peter W. Olson Esq. and Mary Tripsas

    In November 2007, Amazon introduced the Kindle, the first electronic reader with wireless functionality. The case describes the launch of the Kindle and provides information on representative players in the industry (or broader ecosystem) who are likely to be affected and react, including Penguin (the leading educational publisher), Barnes & Noble (the largest bricks-&-mortar retailer), Apple and Sony (as manufacturers of competing devices), Google (as a major provider of free e-content), and Adobe (as a competitor in creating an e-book standard).

    Keywords: Books; Disruptive Innovation; Technological Innovation; Industry Structures; Standards; Distribution Channels; Competitive Strategy; Publishing Industry;

    Citation:

    Anand, Bharat N., Peter W. Olson Esq., and Mary Tripsas. "eReading: Amazon's Kindle." Harvard Business School Case 709-486, February 2009. (Revised December 2009.) View Details
  8. Berkshire Hathaway

    Bharat N. Anand and Samhita Patwardhan Jayanti

    Berkshire Hathaway describes the history and strategy of one of the best known investment firms over the last forty years. The case describes the investment philosophy of Warren Buffett, its legendary chairman and CEO, the gradual diversification of its portfolio, its capital allocation strategy, compensation structure, and corporate governance approach, leading up to August 2008.

    Keywords: History; Private Equity; Diversification; Resource Allocation; Investment Portfolio; Corporate Strategy; Investment; Corporate Governance;

    Citation:

    Anand, Bharat N., and Samhita Patwardhan Jayanti. "Berkshire Hathaway." Harvard Business School Case 709-449, January 2009. View Details
  9. Strategy: Building and Sustaining Competitive Advantage

    Bharat N. Anand, Stephen P. Bradley, Pankaj Ghemawat, Tarun Khanna, Cynthia A. Montgomery, Michael E. Porter, Jan W. Rivkin, Michael G. Rukstad, John R. Wells and David B. Yoffie

    It's great to have a blockbuster quarter or a revolutionary product or service, but true business excellence demands sustainability. Maintaining your competitive advantage requires a strategy that makes your business unique and carries you forward as the world around you changes. What makes a winning, sustainable strategy? Strategy: Building and Sustaining Competitive Advantage is a multimedia resource developed by ten faculty members in the Strategy Department at Harvard Business School. Included in this resource are faculty presentation, animated frameworks, print- and video-based case studies, and workbooks to help business leaders formulate action plans specific to their own companies.

    Keywords: Competitive Advantage;

    Citation:

    Anand, Bharat N., Stephen P. Bradley, Pankaj Ghemawat, Tarun Khanna, Cynthia A. Montgomery, Michael E. Porter, Jan W. Rivkin, Michael G. Rukstad, John R. Wells, and David B. Yoffie. "Strategy: Building and Sustaining Competitive Advantage." Harvard Business School Class Lecture 705-509, June 2005. (Revised September 2008.) View Details
  10. CNN and the Cable News Wars

    Bharat N. Anand, Rafael M. Di Tella and Dennis A. Yao

    Set in 1996, when ABC, NBC and Microsoft, and Fox all announced that they will challenge Cable News Network's near monopoly position in the 24-hour cable news channel market. The focus is on the interaction of the strategies likely to be adopted by each player given their relative resources, leadership, and interests.

    Keywords: Leadership; Resource Allocation; Monopoly; Rank and Position; Reputation; Adoption; Competition;

    Citation:

    Anand, Bharat N., Rafael M. Di Tella, and Dennis A. Yao. "CNN and the Cable News Wars." Harvard Business School Case 707-491, November 2006. (Revised July 2007.) View Details
  11. Schibsted

    Bharat N. Anand and Sophie Hood

    In 2006, newspaper firms in developed markets were severely threatened on three fronts: the growth of online news, online classified advertising, and free newspapers. Schibsted, however, had managed to cope with these challenges successfully, and had become something of a legend in the newspaper community. Describes the evolution of Schibsted's strategy from print media towards electronic media starting in 1995, including their choices around the internal structuring of new ventures. In September 2006, the management team confronted a few salient questions: first, should Schibsted allow Google to crawl its online news sites in Scandinavia?; and second, were Schibsted's successes within Scandinavia repeatable outside it? Indeed, how far could Schibsted's competitive advantage travel?

    Keywords: Transition; Product Launch; Organizational Change and Adaptation; Adaptation; Competitive Advantage; Media and Broadcasting Industry; Scandinavia;

    Citation:

    Anand, Bharat N., and Sophie Hood. "Schibsted." Harvard Business School Case 707-474, April 2007. View Details
  12. Random House

    Bharat N. Anand, Kyle F. Barnett and Elizabeth Lea Carpenter

    On June 12, 2003, the proposed merger of Random House and Time Warner Book Group was called off by the CEO of Random House's parent company, Bertelsmann. The announcement was welcomed by several critics who had questioned the logic of further consolidation in the book publishing industry, citing the power of the major publishing houses--Random House was already the world's largest book publishing company--and the accompanying commercialization of literature. Peter Olson, CEO of Random House, had to decide how to proceed and confront several other challenges facing the publishing industry: most notably, backward integration by Barnes and Noble into book publishing and the potential for digital devices such as e-books to undermine the traditional value chain of book publishing. Describes each of these tensions.

    Keywords: Mergers and Acquisitions; Business Conglomerates; Information Publishing; Problems and Challenges; Relationships; Business Strategy; Commercialization; Competition; Vertical Integration; Internet; Media and Broadcasting Industry; Publishing Industry;

    Citation:

    Anand, Bharat N., Kyle F. Barnett, and Elizabeth Lea Carpenter. "Random House." Harvard Business School Case 704-438, February 2004. (Revised April 2007.) View Details
  13. Giddings & Lewis: In Search of the Cutting Edge (Consolidated) (A)

    Nitin Nohria, Bharat N. Anand and Kyle F. Barnett

    Describes the conditions leading to the acquisition of Cross and Trecker by Gidding & Lewis.

    Keywords: Mergers and Acquisitions; Negotiation; Situation or Environment; Integration; Valuation;

    Citation:

    Nohria, Nitin, Bharat N. Anand, and Kyle F. Barnett. "Giddings & Lewis: In Search of the Cutting Edge (Consolidated) (A)." Harvard Business School Case 495-018, September 1994. (Revised August 2006.) View Details
  14. Bertelsmann AG

    Bharat N. Anand, Michael G. Rukstad and Christoph Kostring

    On July 28, 2002, Bertelsmann announced the firing of its CEO, Thomas Middelhoff, in a move that surprised industry observers, analysts, and many employees. Bertelsmann, a privately held company headquartered in Germany, was one of the largest global media conglomerates, with businesses spanning book publishing, printing, music, and television. Between 1998 and 2002, Middelhoff had initiated a series of strategic initiatives aimed at fostering greater integration among its diverse business units and strengthening their competitive positions, articulated a series of guidelines that would reevaluate Bertelsmann's portfolio mix, and looked to prepare Bertelsmann for a transition to a planned initial public offering in 2005. This case describes these initiatives in detail and the decision of the supervisory board to effect a change in leadership. The new CEO, Gunter Thielen, had to decide whether to effect a fundamental shift in the company's corporate strategy or a more modest reinterpretation of the course charted by Middelhoff. Includes color exhibits.

    Keywords: Business Conglomerates; Corporate Strategy; Entertainment; Media; Change Management; Integration; Resignation and Termination; Private Ownership; Initial Public Offering; Business Units; Media and Broadcasting Industry; Publishing Industry; Music Industry; Germany;

    Citation:

    Anand, Bharat N., Michael G. Rukstad, and Christoph Kostring. "Bertelsmann AG." Harvard Business School Case 703-405, March 2003. (Revised November 2005.) View Details
  15. Making Sense of Media Conglomerates

    Bharat N. Anand

    The media and entertainment sector has been characterized by the persistence of conglomeration over long periods of time, on the one hand, and several recent visible failures, on the other. Examines these phenomena in an attempt to make sense of each.

    Keywords: Media; Business Conglomerates; Media and Broadcasting Industry;

    Citation:

    Anand, Bharat N. "Making Sense of Media Conglomerates." Harvard Business School Module Note 704-466, December 2003. (Revised July 2005.) View Details
  16. Corporate Strategy: Course Note for Instructors

    Bharat N. Anand

    Introduces students to the concerns that impact a firm's choice of strategy, scope, and organization and assists in three central tasks that comprise the typical decision problem: diagnosing the sources of corporate advantage, evaluating the limits to such advantage, and offering prescriptions that overcome these limits. In studying a range of firms across a variety of contexts, from global market leaders to start-up companies, the course builds on the analytical tools introduced in nearly all the first-year courses, but particularly Strategy. To train students in this way of thinking, the course draws heavily on recent advances in economics, notably industrial organization, organizational economics, and financial economics.

    Keywords: Corporate Strategy;

    Citation:

    Anand, Bharat N. "Corporate Strategy: Course Note for Instructors." Harvard Business School Course Overview Note 704-461, December 2003. (Revised April 2005.) View Details
  17. Corporate Strategies in Media and Entertainment Businesses

    Bharat N. Anand

    In recent years, many debates in corporate strategy have centered around information goods markets, and the media and entertainment sector in particular. Vertical integration is the norm in many parts of the media sector, despite conventional wisdom that it offers no benefits. The major media and entertainment firms appear to consist of loosely held businesses under a single corporate umbrella, hence invoking the term "conglomerates." Family ownership continues to characterize many of these firms, even some of the very largest. And efforts by some firms (e.g., AOL-Time Warner) to extract synergies between their businesses have failed, reinforcing the call to break up these firms. Addresses these questions: How can one make sense of these factors? Why do media conglomerates exist and persist? And, what are the central strategic challenges in leading the media firm? Focuses on a few salient issues and firms.

    Keywords: Corporate Strategy;

    Citation:

    Anand, Bharat N. "Corporate Strategies in Media and Entertainment Businesses." Harvard Business School Background Note 705-479, April 2005. (Revised April 2005.) View Details
  18. Strategies of Related Diversification

    Bharat N. Anand

    Which businesses should a firm expand into? This question of corporate scope is central to corporate strategy. Flawed scope decisions can have severe consequences, and the trauma experienced by many companies as a result of mistaken decisions to expand scope is often large. What leads to such mistakes? Where do managers go wrong? And, what might be a sensible logic by which to approach the question of scope expansion? Examines these questions and the logic of the scope decision in those instances where the target business is ostensibly related in some way to a company's existing ones.

    Keywords: Diversification; Business Conglomerates; Corporate Strategy; Problems and Challenges;

    Citation:

    Anand, Bharat N. "Strategies of Related Diversification." Harvard Business School Background Note 705-481, April 2005. (Revised April 2005.) View Details
  19. Corporate Strategy: Course Introduction

    Bharat N. Anand

    Describes the objectives of the Corporate Strategy course; the conceptual framework used in the course; some central principles of corporate strategy that emerge from this framework; and the modular structure of the course, together with the topics each module covers.

    Keywords: Curriculum and Courses; Framework; Corporate Strategy;

    Citation:

    Anand, Bharat N. "Corporate Strategy: Course Introduction." Harvard Business School Background Note 705-482, April 2005. (Revised April 2005.) View Details
  20. Strategies of Unrelated Diversification

    Bharat N. Anand and Samhita Patwardhan Jayanti

    Conglomerates lie at the heart of debates in corporate strategy. They include, perhaps, the best known companies in history--Beatrice Corp., General Electric, ITT, Siemens, and ABB--and at various times over the last few decades have been both admired and vilified as a form of corporate organization. Regardless of the time at which these debates have occurred, they invariably focus on a few common questions, which this note addresses: Why do conglomerates exist? Do they add value to their component businesses? If so, how?

    Keywords: Diversification; Business Conglomerates; Corporate Strategy; Value;

    Citation:

    Anand, Bharat N., and Samhita Patwardhan Jayanti. "Strategies of Unrelated Diversification." Harvard Business School Background Note 705-480, April 2005. View Details
  21. Oscar de la Renta

    Bharat N. Anand, Elizabeth Lea Carpenter and Samhita Patwardhan Jayanti

    Over three decades, Oscar de la Renta (ODLR) had established itself as one of the premier luxury brands in America. Its mainstay business had always been producing and marketing high-priced, couture/ready-to-wear luxury goods. Now, in September 2003, it faced a series of critical strategic decisions. First, how should it grow the business while preserving its luxury brand? Should it diversify into the moderately priced segment of apparel and unserved customer segments like the Hispanic market, where it had a strong brand appeal but negligible presence? Second, as a family-owned company, how could it effectively compete against increasingly larger, publicly financed, luxury goods conglomerates? And, how might de la Renta, the company's founder and chief designer since inception and now 71 years old, effectively prepare the company for the future? Describes the company's business and highlights these key tensions: expanding the scope of a luxury brand, pursuing licensing or organic growth strategies, and competing against publicly owned conglomerates. Includes color exhibits.

    Keywords: Business Conglomerates; Borrowing and Debt; Growth and Development Strategy; Brands and Branding; Production; Family Ownership; Luxury; Competition; Diversification; Expansion; United States;

    Citation:

    Anand, Bharat N., Elizabeth Lea Carpenter, and Samhita Patwardhan Jayanti. "Oscar de la Renta." Harvard Business School Case 704-490, March 2004. (Revised March 2005.) View Details
  22. Music Industry and the Internet, The

    Bharat N. Anand and Estelle S. Cantillon

    Discusses the impact of the Internet on the music industry from 1990 through 2003. Discusses the technology, new business models, and record companies' moves. Provides the necessary background to discuss such matters as well as to assess the strategies of the five major record companies--Sony, BMG, Warner, EMI, and Universal. Ends with the question of whether the music industry will survive and with arguments from both camps.

    Keywords: Internet; Music Industry;

    Citation:

    Anand, Bharat N., and Estelle S. Cantillon. "Music Industry and the Internet, The." Harvard Business School Case 703-513, April 2003. (Revised January 2004.) View Details
  23. Capital One Financial Corporation (TN)

    Bharat N. Anand and Michael G. Rukstad

    Teaching Note to (9-700-124).

    Keywords: Customization and Personalization; Industry Structures; Internet; Competitive Strategy; Information Management; Financial Services Industry;

    Citation:

    Anand, Bharat N., and Michael G. Rukstad. "Capital One Financial Corporation (TN)." Harvard Business School Teaching Note 704-467, December 2003. View Details
  24. Fox Bids for the NFL-1993

    Bharat N. Anand and Catherine M. Conneely

    The Fox television network, launched in 1987 by Rupert Murdoch's News Corp. was in a precarious position in 1993. Although it had met its business plan targets, its ratings in the recently concluded November "sweeps" were indifferent, several of its newly launched shows had failed, and entry of two other networks was imminent. In December 1993, Fox made an outrageous offer to purchase the television rights for the National Football League (NFL) games and, in the process, broke the stranglehold of the major networks on broadcasting these games. Describes the events surrounding Fox's bid and those of the other three networks. Industry sources estimated that Fox could lose several hundred million dollars on the deal, whereas Fox believed that it had purchased the NFL at a discount.

    Keywords: Valuation; Competitive Strategy; Financial Reporting; Bids and Bidding; Revenue; Television Entertainment; Media and Broadcasting Industry;

    Citation:

    Anand, Bharat N., and Catherine M. Conneely. "Fox Bids for the NFL-1993." Harvard Business School Case 704-443, December 2003. View Details
  25. Fox and the NFL-1998

    Bharat N. Anand and Catherine M. Conneely

    In early 1998, a few major content deals threatened to shape the competitive battle between the television networks for the next several years. These were the bidding for the National Football League (NFL) games, the announcement by Jerry Seinfeld (star of the show Seinfeld on NBC) that this would be the show's last season, and the decision by Warner Brothers to invite multiple bids for its hit drama ER (which also aired on NBC). Describes how these various deals were concluded.

    Keywords: Bids and Bidding; Agreements and Arrangements; Competition; Media and Broadcasting Industry;

    Citation:

    Anand, Bharat N., and Catherine M. Conneely. "Fox and the NFL-1998." Harvard Business School Case 704-444, December 2003. View Details
  26. News Corporation

    Bharat N. Anand and Kate Attea

    In 2001, News Corp. is the smallest of the major media and entertainment conglomerates, but it has the broadest global presence. In an effort to establish a major distribution presence in the United States, News Corp. had looked to acquire DirecTV, the largest U.S. direct broadcast satellite provider, in what many observers had considered would be a "transforming acquisition." After 20 months of trying to do so, and the recent competitive offer from Echostar, Rupert Murdoch, chairman and CEO of News Corp., withdrew the company's bid for DirecTV. This case describes how Murdoch has created a global empire from a single newspaper in Australia. News' major assets include its newspaper businesses, film and television production, satellite broadcasting, television channels, and book and magazine publishing. Also describes News' distinctive operating style and Murdoch's role in shaping the corporate culture. News Corp. must now confront three sets of questions. First, how important is it for News Corp. to establish a distribution presence in the United States, and should it pursue a different approach? Second, how should it tackle the deteriorating economics of two of its core businesses: newspapers and network television? Third, what will be the impact of recent repeals of cross-ownership restrictions in the media industry on News Corp.'s competitive position vis-a-vis other major conglomerates?

    Keywords: Acquisition; Business Conglomerates; Globalization; Distribution; Organizational Culture; Family Ownership; Competition; Consolidation; Corporate Strategy; Entertainment and Recreation Industry; Journalism and News Industry; United States; Australia;

    Citation:

    Anand, Bharat N., and Kate Attea. "News Corporation." Harvard Business School Case 702-425, April 2002. (Revised June 2003.) View Details
  27. ICICI (A)

    Bharat N. Anand, Nitin Nohria and John Pegg

    ICICI was the first Indian company to be listed on the New York Stock Exchange. This case is set in 1998, when the company had to decide whether to enter the retail credit segment of the Indian financial market. Although the retail credit sector presents attractive growth opportunities, ICICI lacked many of the capabilities needed to succeed in this space and would have to compete against a host of established domestic and foreign banks. Describes how ICICI, under the visionary leadership of K.V. Kamath, has transformed itself, against all odds, from a development financial institution into a commercially competitive organization.

    Keywords: Growth and Development Strategy; Diversification; Expansion; Strategic Planning; Competition; Competitive Strategy; Growth Management; Markets; Banking Industry; Financial Services Industry; India;

    Citation:

    Anand, Bharat N., Nitin Nohria, and John Pegg. "ICICI (A)." Harvard Business School Case 701-064, February 2001. (Revised March 2003.) View Details
  28. Must Zee TV

    Bharat N. Anand and Tarun Khanna

    Explores issues related to (1) the vertical boundaries of the firm in an emerging-economy context, especially the effects of lack of intellectual property rights and lack of contract enforcement on both industry structure and boundaries of the firm; and (2) the extent to which strategy and organizational structure must be localized to the country context, as illustrated by considering competition between multinationals and domestic firms and the sustainability of their respective positions.

    Keywords: Corporate Strategy; Multinational Firms and Management; Developing Countries and Economies; Copyright; Media and Broadcasting Industry; Entertainment and Recreation Industry;

    Citation:

    Anand, Bharat N., and Tarun Khanna. "Must Zee TV." Harvard Business School Case 700-122, June 2000. (Revised February 2003.) View Details
  29. International Management Group (IMG)

    Bharat N. Anand and Kate Attea

    In 2001, International Management Group (IMG) is the dominant company in the sports management industry. Its founder and CEO, Mark McCormack, is credited with having created the industry of sports management in the early 1960s. Over the next 40 years, IMG's expansion from athlete representation into other arenas--including representing models and classical music artists, producing and broadcasting television shows, operating training academies, corporate consulting, and financial planning--has been both dramatic and successful. This case describes the company's logic behind each expansion decision, as well as several challenges that the company has had to confront, specifically, maintaining the loyalty of the agents and clients, avoiding conflicts of interest with clients by virtue of the company's broad reach, deciding where to expand next, and meeting the challenge of increased competition from other sports management conglomerates.

    Keywords: Customer Focus and Relationships; Finance; Organizational Structure; Planning; Relationships; Conflict of Interests; Competition; Corporate Strategy; Expansion; Sports Industry;

    Citation:

    Anand, Bharat N., and Kate Attea. "International Management Group (IMG)." Harvard Business School Case 702-409, November 2001. (Revised September 2002.) View Details
  30. AtomFilms

    Bharat N. Anand and Taslim Pirmohamed

    Examines the evolution of AtomFilms--one of the few companies that survived the spate of failures in digital entertainment in 2000--from the time of its founding in 1998 to its merger with Shockwave in December 2000. Within a short period of time, AtomFilms had built up a significant library of short films, a brand name identified with short-form content, and revenue sources from multiple offline distribution channels. Focuses on several key decisions facing Mika Salmi, the CEO, including determining the company's future branding strategy, deciding on the allocation of resources between the online and offline parts of the business, structuring a deal with an emerging peer-to-peer network for audiovisual content, and managing relationships with several wireless companies for distributing short-form content. Finally, Salmi must decide on the strategy of the company postmerger and the implications of such a strategy on the organization of the company.

    Keywords: Mergers and Acquisitions; Resource Allocation; Brands and Branding; Organizational Structure; Problems and Challenges; Alliances; Strategy; Entertainment and Recreation Industry;

    Citation:

    Anand, Bharat N., and Taslim Pirmohamed. "AtomFilms." Harvard Business School Case 701-063, June 2001. View Details
  31. Capital One Financial Corporation

    Bharat N. Anand, Michael G. Rukstad and Christopher Paige

    Designed to explore the structure, implementation, and sustainability of an information-based strategy (IBS) undertaken by Capital One during the 1990s. Particular issues of interest are the impact of mass customization on industry structure, the ability to transfer IBS skills to new sectors, and the impact of the Internet on industry structure and competitor strategies.

    Keywords: Competitive Strategy; Customization and Personalization; Industry Structures; Internet; Innovation Strategy; Knowledge Use and Leverage; Financial Services Industry; United States;

    Citation:

    Anand, Bharat N., Michael G. Rukstad, and Christopher Paige. "Capital One Financial Corporation." Harvard Business School Case 700-124, April 2000. (Revised May 2000.) View Details
  32. Market Failures

    Bharat N. Anand, Tarun Khanna and Jan W. Rivkin

    Examines the role of transaction costs in impeding the functioning of markets and shows how the concept of transaction costs sheds light on a broad range of issues in strategy.

    Keywords: Competitive Strategy; Competition; Corporate Strategy; Cost; Market Transactions; Industry Clusters; Failure; Internet;

    Citation:

    Anand, Bharat N., Tarun Khanna, and Jan W. Rivkin. "Market Failures." Harvard Business School Background Note 700-127, April 2000. View Details

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        Harvard Magazine
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