Case
Supplementary Resources
Abstract
Building an innovative company in a high-tech industry carries both benefits and risks. Often, competition is low due to entry barriers. However, the costs of developing advanced technology can be significant.
A123 Systems, a company built on green energy storage technology, exemplifies the benefits and risks inherent in nascent industries. Strategically, A123 must balance overhead, production, and development costs against revenues received within an undeveloped market. While government incentives abound within this newly emerging industry, the company must align strategy and operations with the realization that these incentives will not always be available to subsidize its operations.
This case was prepared for inclusion in SAGE Business Cases primarily as a basis for classroom discussion or self-study, and is not meant to illustrate either effective or ineffective management styles. Nothing herein shall be deemed to be an endorsement of any kind. This case is for scholarly, educational, or personal use only within your university, and cannot be forwarded outside the university or used for other commercial purposes.
2023 Sage Publications, Inc. All Rights Reserved
Resources
Appendix A: Revenues, Net Income, & Operating Income Quarterly
Data Source: A123 Systems Quarterly Income Statement 2007 - 2010: FACTSET (CompuStat North America)
Appendix B: Revenues, Net Income, & Operating Income, Annual
Data Source: A123 Systems Annual Income Statement 2007 - 2009: FACTSET (CompuStat North America)
Appendix C: Cash & Long-Term Debt
Data Source: A123 Systems Quarterly Balance Sheet 2007 - 2010: FACTSET (CompuStat North America)
Appendix D: Inventories & Accounts Receivable
Data Source: A123 Systems Quarterly Balance Sheet 2007 - 2010: FACTSET (CompuStat North America)
Appendix E: Stock Price: Sept 24th, 2009 (IPO) – December 9th 2010
Blue line: AONE
Red line: NASDAQ Index
Blue dots: A123 Systems Webcasts
This case was prepared for inclusion in SAGE Business Cases primarily as a basis for classroom discussion or self-study, and is not meant to illustrate either effective or ineffective management styles. Nothing herein shall be deemed to be an endorsement of any kind. This case is for scholarly, educational, or personal use only within your university, and cannot be forwarded outside the university or used for other commercial purposes.
2023 Sage Publications, Inc. All Rights Reserved
