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Article

«Эпсилон-2»: риски и перспективы нового проекта

Давий А. О., Прокофьева О. С.

The case presents the project “Epsilon-2”, the construction of a plant that provides machine processing of aircraft elements produced of various metal alloys parts in Khabarovsk region. The project is initiated by the Russian Energy Group of Companies. The case includes the information concerning peculiarities of the company’s development, description of the Russian aircraft and machining markets, and main business models used in these markets.  The project will allow the company to fill a market niche, but the high cost of the project, market risks and unstable economic situation in Russia in 2014 forced the top managers to rethink the project feasibility.

The case is appropriate for students enrolled in undergraduate and graduate programs, as well as during other programs on the general courses “Marketing”, “Management”, “Marketing strategy”, “Marketing management”. Courses focused on the management and marketing that will consider such fields as market analysis, competitive strategy, business models and value creation is also relevant. 

The case aims to attain the following learning outcomes: to analyze the sources of competitive advantage; to analyze the value creation process; to assess the competitive position and ways in which business can develop; to identify the existing and potential competitors; to adopt the managerial decisions in the field of strategic management and strategic marketing in industrial companies.