SK-II, a leading luxury beauty brand in Japan, was experiencing a decline. Its customers were aggressively courted by rivals, and changes in society made it difficult for the brand to stay compelling to its customers. SK-II must formulate a new strategy to fundamentally transform itself, bolster relevance and transcend the competition. The case describes the market landscape, economic, societal and technological changes, as well as SK-II’s prior strategies and their implementation. In developing the new strategy, the brand needs to decide:

1. whether and how it should speak to social issues such as gender equality and incorporate those issues into its brand purpose;
2. how digital technologies should be effectively integrated into every aspect of the brand experience;
3. how it should synergistically leverage social media, metaverse and other media platforms; and
4. how it should work with established celebrities as well as emerging influencers to create a prestigious and yet engaging brand image.

The brand needs to thoroughly assess the pros and cons associated with the potential options, craft its strategy and develop a detailed implementation plan.

When Xiaomi entered the fiercely competitive smartphone market in 2010, it did so without even offering a real phone. The company only offered a free Android-based operating system (OS). Yet, within seven years, Xiaomi became one of the world’s largest smartphone makers, reaching $15 billion in revenue. Accelerating its growth rate, Xiaomi transformed into the world’s largest consumer IoT (Internet of Things) firm by 2020, with its revenue surpassing $37 billion and more than 210 million IoT devices (excluding smartphones and laptops) sold across more than 90 countries.

How was Xiaomi able to grow so explosively and what lessons can other companies learn from Xiaomi’s rise?