Benson P. Shapiro is a well-known authority on marketing strategy and sales management with particular interests in pricing, product line planning, and marketing organization. He is also the Malcolm P. McNair Professor of Marketing Emeritus at the Harvard Business School where he taught full-time from 1970 to 1997. Since 1997, Professor Shapiro has concentrated his professional time on consulting, speeches, boards of directors, and writing. He continues to teach at Harvard, and in the recent past has taught in several executive programs including the CEO Program, Young Presidents' Program, and Business Marketing Strategy, and has chaired the Sustainable Marketing Leadership for Mid-Sized Firms Program.
He has served as a consultant to over 300 companies including startups, medium-size firms, and large international corporations. And, he has participated in well over 160 executive education programs outside of Harvard for corporations and associations. During his 27 years on the full-time Harvard faculty, he taught a wide variety of MBA courses including Industrial Marketing, Sales Management, Creative Marketing Strategy, Integrated Product Line Management, and participated in many executive programs. Professor Shapiro has also held many adminstrative positions including Senior Associate Dean for Publications, Research Director, Head of the Required MBA Marketing Course, and Faculty Chair for Strategic Marketing Management, a two-week program for senior marketing executives. He is the author or editor of 14 books, and 19 Harvard Business Review articles including "Leveraging to Beat the Odds: The New Marketing Mind-Set," "What the Hell is Market Oriented?", "Manage Customers for Profits, Not Just Sales" and "Staple Yourself to an Order". Two of his most recent books, both co-edited, are Seeking Customers and Keeping Customers from the HBS Press. Professor Shapiro holds a BSE (Chemical Engineering) from the University of Michigan as well as MBA and DBA degrees from Harvard.
Ben Shapiro has an office located in Concord, MA: B.P. Shapiro, Inc., 80 Thoreau Street, Concord, MA 01742-2409 Phone: (978) 369-7599, Fax: (978) 287-4006, E-Mail: bshapiro@hbs.edu
Rangan, V. K., B. P. Shapiro, and R. T. Moriarty Jr. Business Marketing Strategy: Cases, Concepts, and Applications, Instructor's Manual. Burr Ridge, IL: Irwin, 1995.
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Shapiro, Benson P., and Katherine B. Hartman. "Wiikano Orchards, Spreadsheet for Students (Brief Case)." Harvard Business School Spreadsheet Supplement 918-519, February 2018.
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Shapiro, Benson P., and Katherine B. Hartman. "Wiikano Orchards, Spreadsheet for Instructors (Brief Case)." Harvard Business School Spreadsheet Supplement 918-520, February 2018.
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Shapiro, Benson P., and Katherine B. Hartman. "Wiikano Orchards (Brief Case)." Harvard Business School Teaching Note 918-518, February 2018.
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Wiikano Orchards, a family-owned business, faces declining demand in a commodity industry. The president is considering rebranding Wiikano's apple juice, increasing its prices and promotions. If this proposal succeeds, wholesalers and retailers would be more likely to distribute and pay more for Wiikano's juice. The Wiikano case focuses on challenges related to product differentiation and can be used to discuss branding, pricing, and marketing communications. It also addresses issues that small- and medium-sized business owners face, by employing a product and distribution system that is easy to understand. The case is recommended for upper-level undergraduate students or first-year MBA students. It may also be used as an exam case.
Boris Groysberg, Das Narayandas, Benson P. Shapiro and Sarah L. Abbott
In 2009, Lee O'Rourke was promoted to district vice president in charge of Macy's newly created North Florida district. This district consisted of 11 stores located in the greater Orlando area and in the east coast towns of Daytona, Melbourne, Merritt Island, and Vero Beach. The performance of these stores had lagged in recent years, and O'Rourke was charged with building a cross-functional district team to support these stores and with improving their overall performance. O'Rourke and her team were able to drive almost immediate improvement in the district's sales growth and profitability and in other key areas such as customer service scores. How can O'Rourke ensure that these stores continue to perform well going forward?
Shapiro, Benson P., Frank V. Cespedes, and Alisa Zalosh. "SafeBlend Fracturing, Spreadsheet for Instructors (Brief Case)." Harvard Business School Spreadsheet Supplement 914-516, September 2013.
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Shapiro, Benson P., Frank V. Cespedes, and Alisa Zalosh. "SafeBlend Fracturing, Spreadsheet for Students (Brief Case)." Harvard Business School Spreadsheet Supplement 914-515, September 2013.
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Shapiro, Benson P., Frank V. Cespedes, and Alisa Zalosh. "SafeBlend Fracturing (Brief Case)." Harvard Business School Teaching Note 914-514, September 2013.
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The CEO of SafeBlend Technologies must set a price for the company's environmentally friendly fracturing fluid additive. The firm is negotiating a new contract with its biggest client, Bristol Natural Gas. For the last two years, SafeBlend has been the sole provider of additives to Bristol due to aggressive negotiation and limited competition. New competitors are entering the market and the CEO believes one competitor is prepared to offer Bristol a chemically free additive for 50% less per gallon than SafeBlend. Anticipating lower bids from competitors, he considers reducing the price in the new contract to maintain the relationship with Bristol—despite the impact on revenue. However, the competition may not be able to supply enough additive to meet all of Bristol's needs, so he also considers the impact of setting a more competitive and profitable price that assumes losing only a portion of Bristol's business.
Shapiro, Benson P., Frank V. Cespedes, and Alisa Zalosh. "SafeBlend Fracturing." Harvard Business School Brief Case 914-513, September 2013.
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This case concerns the selection and scheduling of orders by a small industrial titanium fabricator that recently has been plagued by poor deliveries and a lack of capacity. At the time of the case, Ti-Tech must decide which of four orders to accept, with capacity making it impossible to accept all four. Each order represents a different mix of labor, revenues, and potential future work. The case forces the student to choose among the four orders, given limited capacity available, other business likely to come along, and the requirements of each order. The case is an updated version of Fabtek (A).
Shapiro, Benson P., John T. Gourville, and Craig E. Cline. "Ti-Tech (A)." Harvard Business School Case 508-095, April 2008. (Revised May 2012.)
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The management team of an industrial equipment supplier is debating the company's method of compensating salespeople. Different executives have offered different alternatives to the current method of straight salary plus expenses. Each option has different implications for business strategy, organization, control systems, and sales management requirements. As a result, the case raises issues and analytics relevant to topics such as aligning strategy and organization, strategy implementation, and cross-functional incentive systems as well as sales management.
This note discusses how some firms (start-ups and established companies) maximize customer value and profits via their pricing processes. It is aimed at companies that compete on the basis of performance initiatives rather than absolute cost advantages and low price. It is suitable for use in courses or modules in pricing, entrepreneurial management, strategy, or marketing.
Curled Metal Incorporated has declining sales but has developed a new product (curled metal pile driver pads) that, in field tests, deliver customer benefits that are many times CMI's manufacturing costs. Joseph Fernandez and Rajiv Sanwal of CMI's Engineered Products Division are responsible for formulating a strategy for the new product. A key issue is the price to charge for the pads. The case raises issues of analyzing market potential, aligning price with business strategy, and the implications of a price on development and execution of integrated strategic options.
Hearts On Fire, a successful branded diamond producer, established the position of Brand Development Manager (BDM) to build the company's presence, sales, and relationships with its retail customers. After one year, the CEO, CFO and President must evaluate the impact of the BDM on retail customers, the type of person required to be successful in this position, internal coordination issues with the company's sales force, and the financial returns versus other uses of capital for the company. The case raises issues in aligning business strategy and sales management systems, motivating and managing resellers, people selection, and financial analysis of alternatives.
This case concerns the selection and scheduling of orders by a small industrial titanium fabricator that recently has been plagued by poor deliveries and a lack of capacity. At the time of the case, Ti-Tech must decide which of four orders to accept, with capacity making it impossible to accept all four. Each order represents a different mix of labor, revenues, and potential future work. The case forces the student to choose among the four orders, given limited capacity available, other businesses likely to come along, and the requirements of each order. The case is an updated version of an earlier supplement, Fabtek (B). It should be distributed in class after discussion of the (A) case.
The new district sales manager for a tool company must determine how to get his district "back on track." The case presents various qualitative and quantitative information on the salespeople. Teaching objectives include the specification of the tasks of a district sales manager and the sales analysis helpful to him in his job. A rewritten version of an earlier case series.
Interep must mobilize sales information technology, organizational structures, and sales management processes to protect and enhance its strong position as a radio advertising sales firm. Opportunities and risks are high in this complex, rapidly changing sales agency business.
Explains why sales management has become an increasingly important and complex topic for top managers. Demonstrates the financial impact of a superior salesforce and then describes a way to gain superiority. The focus is on a salesforce that is responsive to customer needs and competing imperatives. Organization and management receive careful attention.
Provides an integrated framework for creating customer value and managing the firm profitably. Focuses on the use of product/service line management and effective customer service to achieve customer satisfaction and high profitability.
A medium-sized investment management firm is attempting to decide whether to try to grow, and if so, how. It is a complicated decision because the managing partner and her colleagues have significantly different views. This case provides the background on the industry, firm, and situation.
Goes to the heart of the sales strategy issues by asking discussion participants to: 1) develop a salesperson recruiting process, 2) choose among four resumes, and 3) develop a sales compensation approach.
Provides the context and hard copy material to accompany a video sales presentation. Participants are asked to develop criteria for evaluating a sales presentation and then to apply the criteria to the video presentation.
Presents a sales presentation, allowing students and executive participants to develop a set of criteria for such a presentation and apply them to a real one.
Continues the plot about growth and sales strategies, and adds interesting pricing and sales compensation elements. The partners' meeting sharpens the disagreements among the five partners, and forces Anne Howard, the managing partner, to develop a clear action plan.
Describes the Darwinian internal and external processes that lead to poor performance from a previously well performing company. Demonstrates why any business design eventually fails and the role of organizational calcification and poor leadership in the failure. Also provides prescriptions to prevent and alleviate the problems.
Shapiro, Benson P. "Cumberland Metal Industries (A), (B), (C), and (D), Teaching Note." Harvard Business School Teaching Note 584-096, April 1984. (Revised October 1994.)
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Provides the background on Cumberland Metal Industries' entry into the automotive components market as a supplier of emission control equipment parts. Cumberland Metal must decide what bid to quote on Beta Motor's 1978 model year business. The company previously had a three-year contract for 100% of Beta's business, but it is now faced with a competitive situation in which a small market share, yet one greater than 50%, is a virtual certainty.
Concerns the selection and scheduling of orders by a small industrial titanium fabricator that in recent months has been plagued by poor deliveries and a lack of capacity. Four orders are offered, from which the student must select one. Each order represents different order-mix/customer situation issues. The case forces the student to choose among the four orders, given conflicting estimates of capacity available, other business likely to come along, and the requirements of each order. A rewritten version of an earlier case.
Moriarty, Rowland T., Jr., Benson P. Shapiro, and Craig E. Cline. "Fabtek (A)." Harvard Business School Case 592-095, May 1992. (Revised November 1992.)
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Shapiro, Benson P., and John A. Quelch. "Amalgamated Aluminum Alloy Division, Teaching Note." Harvard Business School Teaching Note 591-121, May 1991. (Revised July 1992.)
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Presents an urgent order for repair service from an important customer who had purchased an item from a competitor. The item, which TiFab had bid on, went out at a price that TiFab predicted was below the amount necessary to ensure quality manufacture. Now the customer needs to have the unit, part of a much larger production system, repaired and is willing to pay a very high price. The student must choose a price for this order, and decide whether to take it. Should be handed out in class after discussion of the (A) case. A rewritten version of an earlier supplement.
Reviews important concepts related to the marketing mix, and summarizes key relationships within the mix and between the mix and other parts of the company's marketing approach.
Shapiro, Benson P. "Petite Playthings, Inc.--1984 (A) and (B), Teaching Note." Harvard Business School Teaching Note 584-095, March 1984. (Revised April 1991.)
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Describes how close relationships with customers require close interfunctional and interdivisional coordination. Explains where the closest vendor/customer relationships arise and how they stress internal coordination. Also enumerates and briefly describes the way in which interfunctional coordination can be achieved.
Explains the need for functional integration and the four ways to obtain it. A bibliography is provided. The note is managerial rather than scholarly in tone.
In late summer 1986, the management of the Manufacturing Productivity Division (MPD) of Hewlett-Packard (HP) was in the process of making major market selection and product policy decisions. MPD is a small division which develops and markets manufacturing productivity software (materials management, MRP, etc.). The product policy decisions included degree of product customization and choice of operating systems (UNIX or not?). The relationship between the marketing and research and development functions is a major issue.
Explains the concept of a family of performance curves. The most well known is the price/performance curve relating the prices of items in a product line to their performance. Also discusses the cost/performance curve and its impact on product positioning, product line length, and technological options. Also introduces a reservation price or value/performance curve. All are considered in the context of competitive behavior.
Shapiro, Benson P. "Teradyne, Inc.--1979: Semiconductor Test Division (A), Teaching Note." Harvard Business School Teaching Note 584-070, January 1984. (Revised January 1989.)
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Shapiro, Benson P. "Raymond Mushroom Corp., Teaching Note." Harvard Business School Teaching Note 584-094, June 1984. (Revised January 1989.)
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Shapiro, Benson P. "Deere & Co.: Industrial Equipment Operations, Teaching Note." Harvard Business School Teaching Note 584-127, June 1984. (Revised November 1988.)
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Shapiro, Benson P., and Suzy Wetlaufer. Anatomy of a ""Team Destroyer"": An Analysis of Individuals Who Stymie Interfunctional Coordination. Harvard Business School Case 589-038, September 1988. (Revised October 1988.)
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Describes four kinds of selling: 1) transaction, 2) systems, 3) major account management, and 4) strategic account relationships. Explains the advantages, disadvantages, and risks of each. The second half is devoted to a discussion of strategic account relationships which embody importance, intimacy, and longevity for both the vending and the buying companies.
Shapiro, Benson P. "Hoover: Multinational Product Planning, Teaching Note." Harvard Business School Teaching Note 584-131, June 1984. (Revised February 1988.)
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Focuses on the development of a "market driven" culture at Hewlett-Packard (HP); the conflict between autonomous, well integrated divisions making products responsive to their own markets and a greater degree of systems integration at the corporate level; and the integration of the sales, marketing, and research and development functions.
Asks where in the Hewlett-Packard (HP) network of groups and sectors the Manufacturing Productivity Division should be placed. Provides a great deal of background regarding marketing, sales, and engineering at HP. It is thus possible to expand and broaden the discussion of the integration of the sales, marketing, and engineering functions at the division, group, sector, and corporate levels.
Shapiro, Benson P. "Hewlett-Packard: Manufacturing Productivity Division (A), (B), (C), and (D), Teaching Note." Harvard Business School Teaching Note 588-042, December 1987.
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Describes an interfunctional approach to product mix management and account selection. The approach uses a matrix of products and accounts. Also describes the concepts and implementation of the approach.
In 1979 Leo Bontempo, marketing vice president of Ciba-Geigy Agricultural Division was deciding whether to purchase an $840,000 program for TeleSession. This was a marketing service designed to accelerate the adoption of new products among large innovative growers by promotional telephone conferences with others who had used the products. Raises a variety of communications issues and introduces diffusion of innovation concepts.
In April 1984 Deborah Raymond, president of Raymond Mushrooms was deciding whether or not to raise prices on Raymond canned mushrooms in conjunction with an advertising promotional program to build consumer preference.
Explains the differences between commodities and specialties and defines four different types of specialty products. The analysis is customer oriented. Special attention is given to the distinctions between functions (product- ) and relationship (vendor-oriented) specialties and to the degradation of those specialty markets to commodities.
Describes the pricing of Deere's crawler tractors used in a variety of construction and industrial applications. Includes a strategic, multimillion-dollar move into the large bulldozer market as well as the pricing of tractors, accessories, and parts.
Shapiro, Benson P. "Motofabrikwerk S.A. (A), Teaching Note." Harvard Business School Teaching Note 584-075, June 1984. (Revised October 1985.)
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Shapiro, Benson P. "Dunkin' Donuts (C): Growth Strategy, Teaching Note." Harvard Business School Teaching Note 584-126, May 1984. (Revised October 1985.)
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Cumberland Metal Industries has developed a new product to help contractors drive piles faster. They are trying to decide how to price it. Provides substantial information on the industry, competition, etc. Students must decide what factors are relevant in making an industrial pricing decision. Decisions must also be made about promotion and distribution channels. Software for this case is available (9-589-528).
In 1979, the management of Teradyne's Semiconductor Test Division had to make important decisions regarding the allocation of engineering resources in the face of increased competition. They had to choose between upgrading an existing product and developing a new one.
Describes and explains the marketing process and its six phases: implementation, programming, allocating and budgeting, analysis and research, marketing planning, strategy formulation, and monitoring and auditing.
Dolan, Robert J., and Benson P. Shapiro. "Milford Industries (B)." Harvard Business School Supplement 584-013, August 1983. (Revised June 1985.)
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On January 2, 1983 Pepsi-Cola United Kingdom had to develop a plan to defend its successful Diet Pepsi brand against the about to be introduced diet Coke. Contains useful material on competitive behavior and on U.S. versus U.K. consumer behavior.
Shapiro, Benson P., and Edward J. Hoff. "Motofabrikwerk S.A. (A)." Harvard Business School Case 584-074, January 1984. (Revised June 1985.)
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Dolan, Robert J., and Benson P. Shapiro. "Milford Industries (C)." Harvard Business School Supplement 584-014, August 1983. (Revised June 1985.)
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In May 1983 Ms. Katherine O'Brien, vice president of marketing, was deciding whether Jamestown should discontinue the use of independent representatives in favor of a direct company salesforce. Jamestown sold informal stoneware dinnerware through department and gift stores. A rewritten version of an earlier case.
Shapiro, Benson P. "Sedek Industries, Inc. (A)--(I), Teaching Note." Harvard Business School Teaching Note 585-029, August 1984. (Revised April 1985.)
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Shapiro, Benson P. "Pepsi-Cola United Kingdom (A), (B), and (C), Teaching Note." Harvard Business School Teaching Note 585-032, August 1984. (Revised April 1985.)
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Shapiro, Benson P., and Rowland T. Moriarty Jr. "Airframe Industry (A)." Harvard Business School Case 579-057, October 1978. (Revised July 1981.)
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Poland Spring is a small domestic bottler of mineral water trying to compete in a rapidly expanding market against Perrier, the dominant brand, and 20 other foreign and domestic waters. Company management must decide how to position and promote its product with limited resources. An excellent case to force decision making on consumer marketing strategy.
Guidelines to aid the student in analyzing a case situation by casting himself or herself in the role of protagonist, developing criteria for alternative decisions, and generalizing to other situations.
