Limits to Board Effectiveness

Krishna G. Palepu; Jay W. Lorsch

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Other Unpublished Work | 2003

Limits to Board Effectiveness

by Krishna G. Palepu and Jay W. Lorsch

Keywords: Governing and Advisory Boards;

Language: English

Format: Print

Citation:

Palepu, Krishna G., and Jay W. Lorsch. "Limits to Board Effectiveness." May 2003.

About the Authors

Krishna G. Palepu

Ross Graham Walker Professor of Business Administration

Accounting and Management

General Management

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Jay W. Lorsch

Louis E. Kirstein Professor of Human Relations

Organizational Behavior

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Case | HBS Case Collection | April 2020 (Revised July 2020)

Amazon in China and India

Krishna G. Palepu and Kairavi Dey

Amazon has been unsuccessful in its efforts to develop a business in China. Even though Amazon was an early entrant into China’s e-commerce space, its domestic rivals, especially Alibaba, created innovative business models uniquely suited for the conditions in China. Amazon’s failure to adapt to the local conditions in China ultimately led to its exit from the country. Determined to learn lessons from this experience as it developed its business in India, Amazon made a number of innovations in its business model in India. By 2020, Amazon established a strong presence in India. However, the company faces a number of challenges because of changes in regulation that challenge its hybrid business model of both being a seller of its own goods and a marketplace for third party sellers, the rise of strong local rivals, and its own ambition to expand beyond top tier cities and upper middle class customers in India.

Keywords: Global Strategy; Multinational Firms and Management; Emerging Markets; Business Strategy; Expansion; Business Model; Retail Industry; China; India; United States;

Citation:
Palepu, Krishna G., and Kairavi Dey. "Amazon in China and India." Harvard Business School Case 120-111, April 2020. (Revised July 2020.) View Details

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Case | HBS Case Collection | April 2018 (Revised June 2020)

Tesla's CEO Compensation Plan

Krishna G. Palepu and Sarah Mehta

Tesla’s board of directors proposed an unusual compensation plan for the company’s CEO Elon Musk. The plan payouts were entirely contingent on achieving very ambitious market value, sales, and EBIT targets over the next ten years. If all the targets were achieved, Tesla would be one of the most valuable companies in the world, and Musk would receive the highest compensation of any CEO in U.S. corporate history. If the targets were not achieved, Musk would receive nothing. Proxy advisors (ISS and Glass Lewis) expressed serious reservations about the plan and urged shareholders to vote against it. Should shareholders approve or reject the plan?

Keywords: CEO compensation; compensation committee; Corporate Governance; Executive Compensation; Governing and Advisory Boards; Business and Shareholder Relations; Auto Industry; United States;

Citation:
Palepu, Krishna G., and Sarah Mehta. "Tesla's CEO Compensation Plan." Harvard Business School Case 118-085, April 2018. (Revised June 2020.) View Details

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Teaching Note | HBS Case Collection | June 2020

Tesla's CEO Compensation Plan

Krishna G. Palepu

Teaching Note for "Tesla's CEO Compensation Plan," HBS Case #118-085.

Citation:
Palepu, Krishna G. "Tesla's CEO Compensation Plan." Harvard Business School Teaching Note 120-120, June 2020. View Details

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Limits to Board Effectiveness

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