Case

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Author(s): W. Chan Kim, Renee Mauborgne, Ben Bensaou, Y Shiina
ecch Product Number: 303-043-1
Publisher: INSEAD

Teaching Notes

Author(s):W. Chan Kim, Renee Mauborgne, Ben Bensaou, Y Shiina
ecch Product Number: 303-043-8
Publisher: INSEAD

Description:
As of November 2001, NTT DoCoMo is the only company that has been able to make money out of the mobile Internet. This case study describes how, in a very competitive industry engaged in a technology race and strong price erosion, NTT DoCoMo has been able to achieve superior performance when it launched in February 1999, its novel i-mode services. It was an immediate and explosive success. DoCoMo now exceeds its parent company in terms of market capitalisation as well as potential for profitable growth as we enter the age of mobile Internet. This case offers a value innovation perspective to analyse the success of i-mode with a particular emphasis on the business model used to exploit the i-mode innovation of DoCoMo. The case is designed to serve a variety of purposes in the 'value innovation and winning business ideas' teaching module of an MBA strategy course or executive education programme. It can also be used in an information technology course in a module focusing on mobile Internet. The case can be equally used individually in a standalone module on value innovation or as part of a sequence of three to four sessions. In the first instance, the instructor can use it to cover the following topics: (1) the value innovation logic; (2) the value curve and six paths analysis; (3) the buyer utility map; and (4) the price corridor of the mass and the business model guide. Alternatively, the instructor can use it to specially cover the last three topics.