In early summer 2017, the Full Time MBA class and first year EMBA class traveled to Reykjavik, Iceland for Smurfit’s first MBA International Consulting Project.
We arrived at Reykjavik airport on a sunny Sunday in early June. After collecting our luggage, we were immediately taken by bus to the Blue Lagoon, the most visited geothermal spa in Iceland. It’s not an understatement to say that I was completely dumbfounded by its signature milky blue water, a pure nature’s wonder. After spending two hours in the mineral rich water, I felt so refreshed and ready for our consulting project the next day.
Unlike our previous study trip to Japan and Korea, which was more about experiencing business culture of the Far East, on the trip to Iceland we had the chance to apply what we learned during our MBA programme to help solve real business problems for local companies.
My group’s client was an herbal pharmaceutical company – a young startup whose products are aimed at treating some common diseases for women. It’s planning to enter the Danish market and wanted us to develop a go to market strategy which included a competitive analysis and a list of potential sales organisations with which to collaborate.
Our first working day in Iceland was ironically on a Bank Holiday, and as a result there were only five of us with another group in the innovation incubation centre. Walking through the empty hall, my attention was caught by a table filled with sample products, all of which were incubated in this centre. Among these, I was most impressed by some fish skin, which is used to make waterproof wallets and handbags. Iceland certainly knows how to make unique products from its natural resources!
In our meeting room, we were given a quick introduction by the Vice-President of Sales and Marketing – it was an informative presentation and we learned how they used a differentiation strategy to achieve price premium and healthy margins. Now with an understanding of the client’s requirement, we quickly got together and used Porter’s Five Forces framework to analyse industry competitiveness. Thanks to Smurfit’s strategy class, we quickly came up with an exhaustive analysis that covered every aspect of competitive landscape.
Over the following two days, we moved on to analyse the size of our client’s customer segment and realised that by catering only to female customers, our client would lose 50% of the Danish market. Further analysis led us to some unexpected conclusions, and on the final day our presentations and recommendations challenged their existing strategy.
On our final evening, we rented a car and drove around Iceland’s Golden Circle – a 300km route through many beautiful landmarks. As we returned to our hotel at midnight – with the sun still in the sky – we said goodbye to the land where the sun never sets.
Quang Huy Tang, Full Time MBA