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Harlequin Enterprises is a well-known publisher of women's fiction and the global leader in series romance fiction. In 2013, e-book penetration of romance fiction has exceeded 50 per cent of unit sales. The vice-president of strategy is trying to make sense of the e-book opportunity and threat. She is wondering what impact e-books would have on Harlequin's business model: its relationship with authors, distributors and competitors.
The case is suitable as a capstone case in strategy at the MBA level: it allows for a full analysis of Harlequin's value chain and comparisons with its closest competitors. The case allows students to ·Examine a company's business model, its sources of competitive advantage.Discuss how the company should respond to an industry-changing threat.