III. Competitive Strategy for Simon to enter the Internet Based Executive Program:
Simon’s Executive MBA online strategy should focus on existing competencies.
- Reputation – Use Simon reputation, research capabilities, and existing corporate relationships to develop specifications for program parameters attractive to students and corporations alike.
- Lower Costs – Offer lower tuition costs for corporations associated with the EMBA program. Offer larger discounts to long-time corporate sponsors.
- Differentiation – Offer hybrid opportunities for combination of online non-core “101” classes and core classes which require student interaction. Other opportunities could include web instruction in tandem with periodic campus visits so as to continue capitalizing on Simon’s out of class resources (Table 2).
EMBA programs can be tailored to entrepreneurial and corporate needs, UNext and Simon can offer diverse program opportunities for both broad and narrow target ranges.
o Broad Target: People who are abroad, managers in locations without access to educational opportunities.
o Narrow Target: Managers in close proximity to top universities, but lack the time to interact. Individuals without corporate sponsorship and/or who are looking to grow their career.
IV. Who will have the competitive advantage for next 10 years:
The advantage of online services strictly comes in the bottom line. The entity that can execute a complementary online service and generate extra cash flows will be able to further invest this money in more talented professors, more prolific research, increased endowments, and help reduce the tuition elasticity experienced with more recent economic downturns.