1. Overview (Summary)

Case 3.5. TEACHING NOTES

This case study is about Subbabel. It describes the start up, consolidation and growth of a company created during the economic crisis which is currently affecting the world markets. Appropriate training, both professional and entrepreneurial, together with the willingness of the founders to take risks, were the key ingredients needed to create this company. This example highlights, the importance of diagnosing and addressing from the onset the lack of training that the founders have so that this does not cause a problem for the company, but instead helps them to meet the challenge. This capacity for reflection allows the founders to share the workload efficiently , taking into account the preferences, personal strengths and professional profile of each individual.

Also, the case explains how a business angel joins the company without the new ownership structure creating collateral problems. It also highlights the importance of innovation, both from the point of view of production putting optimizing tools in place such as production processes for translators or marketing which is the generation of new marketable products, software production and the use of new communication channels.

It is remarkable how those involved in the creation of the company have managed to surround themselves with excellent advisors and how they have incorporated that advice into the running of the company, without losing the reins or changing its personality. The main objective of this case study is to offer reflective material to the students to enable them to identify and better understand the importance of training tailored to the needs of a company and of listening to professional advice and incorporating this into their business objectives.

2. Teaching/Training Objectives

In the discussion of this case the student should be able to:

• Draw up a SWOT matrix for the business project presented.

• Locate Subbabel correctly in the audio-visual production sector.

• Draw up the value chain of the company and the business model underlying this company.

• Understand the role and the scope of business angels in new technology based firms.

  3. Intended courses and target audience(s)

  The case study is intended for students interested in learning about the entrepreneurial process, as well as current and potential entrepreneurs. It can be used in specific entrepreneurship courses in areas related to strategic planning and market studies, in business organization, engineering, computer science and labour relations, among others.

  4. Suggested Training techniques (Teaching methods)

  The case study must be given to the students prior to their discussion, so that it can be read carefully in order to find the key points and take notes on the audio-visual sector, subtitling and translation, the company and its founders. The teacher should cover the following stages in the teaching process:

1. Provide an overview of the sector and its aspects, specifying that translation and subtitling is now accepted in Spain as a subsector together with audio-visual.

2. Review, with the students, the key elements that make up this business initiative observing: training, business opportunity, the entrepreneurial team, growth of the product portfolio, the production process management and also market expansion.

3. Create working groups for team discussions on the points made in 4 and 5.

4. Ask students to reflect on the general environment, the company environment, the companys financial plan and its model of growth.

5. Draw up future scenarios for the company, indicating how the original business model and the value chain should evolve.

6. Presentation (by the students) of the topics debated in points 4 and 5 by the working groups.

Questions (Topics) for discussion

The following questions may be discussed in the working groups:

1. In relation to the general and specific environment of the firm and its own characteristics as a company:

   1. What are the external environmental factors that could generate a positive impact (opportunities) or a negative impact (threats) for the company? 2. What are the internal environmental factors which should help (strengthen) the company in the future? 3. What are the internal environmental factors should the company improve (weaknesses) or remove to overcome competition in the market?

2. In relation to the finance plan: 1. Indentify the funding sources used by the company. 2. Indicate the advantages and disadvantages associated with these funding sources.

3. In relation to the expansion plan: 1. Indentify the internal and external growth plans used by the company. 2. Indentify the possible problems or consequences associated with those growth plans.

4. How do you think the company will evolve in the near future considering your answers to the previous questions (a, b and c)?