Member library

    PB Case Studies on the Principles of Capitalism

    The full library of 18 Principled Business teaching cases, grouped by the six principles of the PB manifesto.

    01Respect for Individual Agency

    Apple Fifth Avenue, 2016

    Photo: Kanesue, Wikimedia Commons, CC BY 2.0

    Respect for Individual Agency

    Apple

    The locked iPhone

    How should a business defend customer agency when public duties conflict?

    A court order, an investigation and a disputed demand for technical assistance put the boundaries of customer trust before Apple's leaders.

    Tomato harvester, World Ag Expo, 2011

    Photo: Kowloonese, Wikimedia Commons, CC BY 3.0

    Respect for Individual Agency

    Morning Star

    Accountability without bosses

    Who can commit shared resources when authority rests with colleagues?

    A clearly labeled fictional investment dispute tests the responsibilities that make self-management possible.

    REI flagship store, Seattle, 2007

    Photo: Joe Mabel, Wikimedia Commons, CC BY-SA 3.0

    Respect for Individual Agency

    REI

    A day outside

    Can closing for a major shopping day strengthen the relationship with employees and members?

    REI's first Black Friday closure raises a practical question about employee choice, paid time and the economics of a visible commitment.

    02Creating Value

    Costco exterior, 2021

    Photo: Ambrosia LaFluer, Wikimedia Commons, CC BY 2.0

    Creating Value

    Costco

    The price of membership

    When does charging more help create more value?

    A pricing decision about trust, renewal and the economics of a long-term customer relationship.

    Mobile-money agent, Nairobi, 2016

    Photo: Fiona Graham, Wikimedia Commons, CC BY-SA 2.0

    Creating Value

    M-PESA

    The price of moving money

    A useful payment service must work for customers, agents and the operator.

    The case tests affordability, agent economics and the cash required to make a digital promise useful.

    Aravind Eye Hospital, Madurai, 2013

    Photo: Kannan shanmugam, Shanmugam studio, Kollam, Wikimedia Commons, CC BY-SA 3.0

    Creating Value

    Aravind

    The economics of wider access

    How can a hospital widen access while funding dependable care?

    A fictional capacity decision grounded in Aravind's published model connects paid services, subsidized access, operating discipline and patient outcomes.

    03Opportunity to Create

    Shopify's Toronto office, 2017

    Photo: Raysonho / Open Grid Scheduler / Grid Engine, Wikimedia Commons, CC0 1.0

    Opportunity to Create

    Shopify

    The business behind Snowdevil

    When does a tool built for your own business become a business of its own?

    A snowboard store's custom software creates a second opportunity.

    Falcon 1, fourth-flight launch, 2008

    Photo: SpaceX, Wikimedia Commons, CC0 1.0

    Opportunity to Create

    SpaceX

    The fourth attempt

    When should a founder keep investing after repeated failure?

    Before Falcon 1's fourth flight, a launch team must distinguish learning from persistence and choose how much evidence to buy before another attempt.

    Airbnb headquarters, San Francisco, 2018

    Photo: Steve Jurvetson, Wikimedia Commons, CC BY 2.0

    Opportunity to Create

    Airbnb

    Beyond airbeds

    How far should a young marketplace expand before it can deliver trust?

    Moving from event accommodation toward a broader lodging marketplace opens opportunity for hosts while increasing the burden of matching, verification and support.

    04Collaboration

    Toyota Motomachi plant, 2019

    Photo: Evelyn-rose, Wikimedia Commons, CC0 1.0

    Collaboration

    Toyota & Aisin

    When the network must act

    Can partners rebuild capacity before the inventory runs out?

    An operational crisis about shared knowledge, reciprocal commitments and the limits of trust.

    LEGO bricks, 2008

    Photo: Benjamin D. Esham, Wikimedia Commons, CC BY-SA 4.0

    Collaboration

    LEGO

    The rules of fan collaboration

    What should a company promise the people who help create its products?

    As a fan-submission experiment becomes LEGO Ideas, leaders must connect participation, commercial judgment and a reward system people can understand.

    IBM System/360 museum display, 2008

    Photo: Erik Pitti, Wikimedia Commons, CC BY 2.0

    Collaboration

    IBM

    Linux on the mainframe

    Should a company support an open technology that could erode part of its existing business?

    A local Linux initiative becomes a strategic choice about collaboration, customer value and the profit that may move between products.

    05Bottom-Up Experimentation

    Adhesive notes in use, 2008

    Photo: EraserGirl, Wikimedia Commons, public domain

    Bottom-Up Experimentation

    3M

    A second test for sticky notes

    Does a weak launch mean a weak product, or the wrong way of testing it?

    An unfamiliar adhesive note receives a mixed market response.

    Server racks, 2015

    Photo: Carl Lender, Wikimedia Commons, CC BY 2.0

    Bottom-Up Experimentation

    Amazon S3

    A small service, a serious promise

    What can be kept small when customers depend on the infrastructure?

    Launching a focused storage service lets developers experiment.

    Intuit headquarters, Mountain View, 2008

    Photo: Coolcaesar, Wikimedia Commons, CC BY-SA 3.0

    Bottom-Up Experimentation

    Intuit

    From pilot to nationwide

    When does a promising local pilot justify a broader launch?

    A mobile tax-preparation idea must move beyond convenience to demonstrate eligibility, accuracy and support across a larger customer population.

    06Aligning Interests

    Nucor Steel, Seattle, 2019

    Photo: Joe Mabel, Wikimedia Commons, CC BY-SA 4.0

    Aligning Interests

    Nucor

    Sharing the downside

    What does aligned compensation require when the business weakens?

    A performance-based pay system meets a sudden downturn.

    John Lewis, Oxford Street during lockdown, May 2020

    Photo: Kwh1050, Wikimedia Commons, CC BY-SA 4.0

    Aligning Interests

    John Lewis Partnership

    The Partnership bonus

    What does employee ownership require when there may be no surplus to share?

    The Partnership must weigh a valued bonus against financial resilience, future investment and the interests of employees who depend on the business continuing.

    Wells Fargo branch, 2017

    Photo: MiosotisJade, Wikimedia Commons, CC BY-SA 4.0

    Aligning Interests

    Wells Fargo

    What the scorecard rewarded

    How do you make genuine customer value the condition for growth?

    A governance decision about consent, incentives, escalation and rebuilding trust.