Close
    HomeResearch & Knowledgeback to HomeStrategyback to Research & KnowledgeNovozymes A/Sback to Strategy
    Case Study

    Novozymes A/S

    By Peter J. Killing
    6 pages
    November 2010
    Order this case study
    Reference: IMD-3-2158

    This case documents the situation facing Novozymes, the world’s leading enzyme producer, as it tries to figure out how best to get American bio-ethanol producers to adopt its second generation enzyme technology, which will allow the production of bio-ethanol from corn husks and other waste products, rather than using corn itself. Adoption of this technology will allow the industry to move past the “food versus fuel” controversy that arose from the use of corn to create fuel. However the economics of producing bio-ethanol using second generation technology are more difficult to justify, even though the costs are falling steadily. As of 2010 there are no commercial scale second generation bio-ethanol plants in existence. This case can best be used to explore the pros and cons of different types of partnerships. Novozymes could “go it alone” and build its own second generation bio-ethanol plant in the US, but the company does not want to become a fuel producer – it is a technology driven bio-tech company, and wants to remain one. It also does not want to compete with its existing customers. Novozymes could just wait for the bio-ethanol producers to decide to adopt second generation technology when they are ready. But the problem with that approach is that battery technology is improving rapidly and no one will need bio-ethanol if electric cars capture the heart (and wallet) of the environmentally conscious automobile driver. The apparent choices for Novozymes are a partnership with a major oil company, a bio-ethanol producer, a farmers co-operative, a venture capital firm, or some combination of these.

    Learning Objective

    Generate and examine strategic options for a company that holds a small but important piece of the value constellation leading to the production and sale of bio-ethanol. Examine potential alliance partners and the pros and cons of each. Consider the advantages and risks of moving quickly, and slowly.

    Keywords
    Bioethanol, Strategic Choice, Technological Innovation, Value Constellation, General Management, Strategy
    Settings
    Denmark
    2008-2009
    Type
    Field Research
    Copyright
    © 2010
    Available Languages
    English
    Related material
    Video
    Case clearing houses
    IMD case studies are distributed through case clearing houses. In order to browse the collection and purchase copies please visit the links below.

    The Case Centre

    Cranfield University

    Wharley End Beds MK43 0JR, UK
    Tel +44 (0)1234 750903
    Email [email protected]

    Harvard Business School Publishing

    60 Harvard Way, Boston MA 02163, USA
    Tel (800) 545-7685 Tel (617)-783-7600
    Fax (617) 783-7666
    Email [email protected]

    Asia Pacific Case Center

    NUCB Business School

    1-3-1 Nishiki Naka
    Nagoya Aichi, Japan 460-0003
    Tel +81 52 20 38 111
    Email [email protected]

    Copyright Information

    IMD retains all proprietary interests in its case studies and notes. Without prior written permission, IMD cases and notes may not be reproduced, used, translated, included in books or other publications, distributed in any form or by any means, stored in a database or in other retrieval systems. For additional copyright information related to case studies, please contact Case Services.

    Contact

    Research Information & Knowledge Hub for additional information on IMD publications

    Related topics
    Strategy
    Browse all topics
    Discover our latest research
    IMD's faculty and research teams publish articles, case studies, books and reports on a wide range of topics
    All case studies
    Keep reading
    Article
    Annual prognoses and corporate strategy - 2025 Trends

    Why the market for new year predictions is broken and how executives can better use forecasts to discern the implications for their companies.

    Future Readiness Strategy
    By Simon J. Evenett
    in I by IMD
    Read more
    Article
    Why leaders don’t engage in strategic thinking

    Strategic thinking is key to success. Overcome common excuses and develop the skills to navigate change, drive innovation, and prepare for future business challenges.

    Leadership Strategy
    By Michael D. Watkins
    in I by IMD
    Read more
    Article
    Leadership 2025 - 5 Key Behaviors - Tania Lennon

    The increasing pace of disruption and change means leaders need to cultivate behaviors that support their sustained success. From building strategic flexibility to broadening stakeholder connections, here is our expert guide to leading in an age o...

    Leadership Disruption Strategy
    By Tania Lennon
    in I by IMD
    8 January 2025
    Read more
    Article
    How luxury brands can build strategic resilience in 2025

    Officially, brands executives continue to display confidence that big luxury will shrug off the 2024 downturn as a cyclical one. They see it as the product of the combined collapse of real estate prices in China and a return to normalcy after the ...

    Luxury Strategy Branding Innovation
    By Stéphane J. G. Girod
    in Forbes.com
    3 January 2025
    Read more
    Article
    Here’s what we predicted for 2024… how did we do?

    Did our predictions for 2024 come true, a turbulent election year, bitcoin and CBDC, COP29 and electric cars, China, EU integration and Euro football

    Finance Future Readiness Geopolitics Strategy Sustainability
    By Robert Hooijberg, Arturo Bris, David Bach, José Parra Moyano, Michael R. Wade, Julia Binder, Howard H. Yu, Simon J. Evenett, Alyson Meister, Salvatore Cantale and Stefan Michel
    in I by IMD
    Read more
    Book Chapter
    The strategic imperative

    In a world where change is the only constant, the strategic imperative for sustainability is not just a theoretical construct – it’s a call to action. This section of the book delves into the core strategies that will enable businesses to thrive i...

    Business Transformation Innovation Strategy
    By Julia Katharina Binder and Knut Bjarne Haanaes
    in Binder, Julia Katharina (Ed.); Haanaes, Knut Bjarne (Ed.) / Leading the sustainable business transformation: A playbook from IMD, pp. 59-62 / Hoboken: Wiley, 2025
    Read more
    Book Chapter
    Framing the conversation

    In late 2020, as the world began to emerge from the worst of the COVID-19 pandemic, Wärtsilä, a Finnish corporation specializing in power systems, made a bold decision. Despite being a well-established company with a strong track record in...

    Strategy Leadership Disruption
    By Julia Katharina Binder and Knut Bjarne Haanaes
    in Binder, Julia Katharina (Ed.); Haanaes, Knut Bjarne (Ed.) / Leading the sustainable business transformation: A playbook from IMD, pp. 1-7 / Hoboken: Wiley, 2025
    Read more
    Article
    In the field with the International Olympic Committee

    How can a non-profit organization implement a carbon accounting system to promote sustainability in sports without impacting culture and collaboration?

    Sustainability Accounting Strategy
    By Florian Hoos, Giovanni-Battista Derchi and Valerie Keller-Birrer
    in In the Field
    19 December 2024
    Read more
    Case Study
    NTT at a crossroads (A): Quest for growth

    NTT Corporation, Japan’s information and communication technologies (ICT) leader since 1953, was the first to commercialize internet usage on mobile phones in the 1990s, which resulted in NTT achieving much success in Japan. However, by the end of...

    Strategy General Management Digital Disruption
    By Patrick Reinmoeller
    Case reference: IMD-7-2351, © 2024
    Read more
    Case Study
    NTT at a crossroads (B): Mapping growth options

    Building on NTT (A), the case starts with NTT’s CEO having narrowed down strategic growth options with the board to prepare NTT for the future. Past international investments in AT&T Wireless and KPN to tap into foreign markets had resulted in bil...

    Strategy General Management Digital Disruption
    By Patrick Reinmoeller
    Case reference: IMD-7-2352, © 2024
    Read more
    Annual prognoses and corporate strategy - 2025 Trends
    By Simon J. Evenett
    in I by IMD
    Summary
    Why the market for new year predictions is broken and how executives can better use forecasts to discern the implications for their companies.
    Read more
    Contact

    Research Information & Knowledge Hub for additional information on IMD publications

    Related topics
    Future Readiness
    Strategy
    Browse all topics
    Why leaders don’t engage in strategic thinking
    By Michael D. Watkins
    in I by IMD
    Summary
    Strategic thinking is key to success. Overcome common excuses and develop the skills to navigate change, drive innovation, and prepare for future business challenges.
    Read more
    Contact

    Research Information & Knowledge Hub for additional information on IMD publications

    Related topics
    Leadership
    Strategy
    Browse all topics
    Leadership 2025 - 5 Key Behaviors - Tania Lennon
    By Tania Lennon
    in I by IMD 8 January 2025
    Summary
    The increasing pace of disruption and change means leaders need to cultivate behaviors that support their sustained success. From building strategic flexibility to broadening stakeholder connections, here is our expert guide to leading in an age o...
    Read more
    Contact

    Research Information & Knowledge Hub for additional information on IMD publications

    Related topics
    Leadership
    Disruption
    Strategy
    Browse all topics
    How luxury brands can build strategic resilience in 2025
    By Stéphane J. G. Girod
    in Forbes.com 3 January 2025
    Summary
    Officially, brands executives continue to display confidence that big luxury will shrug off the 2024 downturn as a cyclical one. They see it as the product of the combined collapse of real estate prices in China and a return to normalcy after the ...
    Read more
    Contact

    Research Information & Knowledge Hub for additional information on IMD publications

    Related topics
    Luxury
    Strategy
    Branding
    Innovation
    Browse all topics
    Here’s what we predicted for 2024… how did we do?
    By Robert Hooijberg Arturo Bris David Bach José Parra Moyano Michael R. Wade Julia Binder Howard H. Yu Simon J. Evenett Alyson Meister Salvatore Cantale and Stefan Michel
    in I by IMD
    Summary
    Did our predictions for 2024 come true, a turbulent election year, bitcoin and CBDC, COP29 and electric cars, China, EU integration and Euro football
    Read more
    Contact

    Research Information & Knowledge Hub for additional information on IMD publications

    Related topics
    Finance
    Future Readiness
    Geopolitics
    Strategy
    Sustainability
    Browse all topics
    The strategic imperative
    By Julia Katharina Binder and Knut Bjarne Haanaes
    in Binder, Julia Katharina (Ed.); Haanaes, Knut Bjarne (Ed.) / Leading the sustainable business transformation: A playbook from IMD, pp. 59-62 / Hoboken: Wiley, 2025
    Summary
    In a world where change is the only constant, the strategic imperative for sustainability is not just a theoretical construct – it’s a call to action. This section of the book delves into the core strategies that will enable businesses to thrive i...
    Read more
    Contact

    Research Information & Knowledge Hub for additional information on IMD publications

    Related topics
    Business Transformation
    Innovation
    Strategy
    Browse all topics
    Framing the conversation
    By Julia Katharina Binder and Knut Bjarne Haanaes
    in Binder, Julia Katharina (Ed.); Haanaes, Knut Bjarne (Ed.) / Leading the sustainable business transformation: A playbook from IMD, pp. 1-7 / Hoboken: Wiley, 2025
    Summary
    In late 2020, as the world began to emerge from the worst of the COVID-19 pandemic, Wärtsilä, a Finnish corporation specializing in power systems, made a bold decision. Despite being a well-established company with a strong track record in...
    Read more
    Contact

    Research Information & Knowledge Hub for additional information on IMD publications

    Related topics
    Strategy
    Leadership
    Disruption
    Browse all topics
    Related content
    Book
    Leading the sustainable business transformation A playbook from IMD

    Based on extensive research conducted in the past several years at the International Institute for Management Development in Switzerland (IMD), Leading the Sustainable Business Transformation: A Playbook from IMD helps readers understand why susta...

    Business Transformation Sustainability Organizational Design
    Edited by Julia Katharina Binder and Knut Bjarne Haanaes
    Published by Wiley, © 2025
    Read more
    In the field with the International Olympic Committee
    By Florian Hoos Giovanni-Battista Derchi and Valerie Keller-Birrer
    in In the Field 19 December 2024
    Summary
    How can a non-profit organization implement a carbon accounting system to promote sustainability in sports without impacting culture and collaboration?
    Read more
    Contact

    Research Information & Knowledge Hub for additional information on IMD publications

    Related topics
    Sustainability
    Accounting
    Strategy
    Browse all topics
    Related content
    Case Study
    Inspiring sustainability in sports: Carbon emission management at the International Olympic Committee

    The case highlights the significant role played by the International Olympic Committee (IOC) in reducing its environmental footprint and promoting sustainability in sports. As the leader of the Olympic movement, the IOC bore the responsibility of ...

    Sustainability Accounting Strategy
    By Florian Hoos, Giovanni-Battista Derchi and Valerie Keller-Birrer
    Case reference: IMD-7-2512, © 2024
    Read more
    NTT at a crossroads (A): Quest for growth
    By Patrick Reinmoeller
    Case reference: IMD-7-2351 ©2024
    Summary
    NTT Corporation, Japan’s information and communication technologies (ICT) leader since 1953, was the first to commercialize internet usage on mobile phones in the 1990s, which resulted in NTT achieving much success in Japan. However, by the end of the 2000s, Japan faced challenges with an aging population and a stagnant economy. Recognizing disruption in the ICT sector, CEO Satoshi Miura understood the need for the dominant players in the ICT industry to integrate emerging business domains beyond their existing frameworks. To secure leading global positions in ICT and the new paradigm of cloud computing, Miura needed to make strategic choices to revive growth. Case A provides information on NTT, its rivals, the global market and cloud computing disruptions. The case ends with NTT’s CEO exploring strategic growth options to prepare NTT for the future.
    Reference IMD-7-2351
    Copyright ©2024
    Copyright owner IMD Copyright
    Organization Nippon Telegraph and Telephone
    Industry Services, Telecommunications;Information Technology
    Available Languages English
    Contact

    Research Information & Knowledge Hub for additional information on IMD publications

    Related topics
    Strategy
    General Management
    Digital
    Disruption
    Browse all topics
    Related content
    Case Study
    NTT at a crossroads (B): Mapping growth options

    Building on NTT (A), the case starts with NTT’s CEO having narrowed down strategic growth options with the board to prepare NTT for the future. Past international investments in AT&T Wireless and KPN to tap into foreign markets had resulted in bil...

    Strategy General Management Digital Disruption
    By Patrick Reinmoeller
    Case reference: IMD-7-2352, © 2024
    Read more
    NTT at a crossroads (B): Mapping growth options
    By Patrick Reinmoeller
    Case reference: IMD-7-2352 ©2024
    Summary
    Building on NTT (A), the case starts with NTT’s CEO having narrowed down strategic growth options with the board to prepare NTT for the future. Past international investments in AT&T Wireless and KPN to tap into foreign markets had resulted in billion $ write offs and stopped international acquisitions. However, after reviewing the disruptive changes facing the ICT industry and considering the shareholders’ views, CEO Miura committed to internationalization. The B case details NTT’s growth strategy focused on internationalization, while considering the need for new capabilities and technologies. It provides more insights into NTT, its opportunities and the Japanese experience with M&As and ends with Miura’s determination to quickly grow through international expansion to prepare NTT for the future.
    Reference IMD-7-2352
    Copyright ©2024
    Copyright owner IMD Copyright
    Organization Nippon Telegraph and Telephone
    Industry Services, Telecommunications;Information Technology
    Available Languages English
    Contact

    Research Information & Knowledge Hub for additional information on IMD publications

    Related topics
    Strategy
    General Management
    Digital
    Disruption
    Browse all topics
    Related content
    Case Study
    NTT at a crossroads (A): Quest for growth

    NTT Corporation, Japan’s information and communication technologies (ICT) leader since 1953, was the first to commercialize internet usage on mobile phones in the 1990s, which resulted in NTT achieving much success in Japan. However, by the end of...

    Strategy General Management Digital Disruption
    By Patrick Reinmoeller
    Case reference: IMD-7-2351, © 2024
    Read more