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Product cover image for Laplex: Disruptor or Exiter in the Wig Market?

Laplex: Disruptor or Exiter in the Wig Market?

Xiaoying Zhang, Su Liu, Meng Yuan, Yanhui Gai

Product #:W45716
Supplier:Ivey
Discipline:International Business, Marketing
Setting:Zimbabwe, 2024
Details:Case (PDF) • 9 pages • 2025-07-31

Subjects:

Digital transformationMarket entryBusiness managementSales and marketingInternational businessMarketing

Industries:

Fabrication and manufacturing

Geography:

ZimbabweAfrica
Your Price:$9.71

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Laplex Investments (Pvt.) Limited, founded in 2014, quickly secured a significant market share in Zimbabwe’s wig industry. However, increased competition from low-priced wig imports from Zambia and China significantly eroded Laplex’s sales. The company’s inability to accurately forecast shifts in consumer preferences further exacerbated inventory accumulation. By late 2024, operational challenges intensified, forcing founder Jianfeng Zhao to contemplate strategic options: sell the company, relocate production to a neighbouring country with lower labour costs, or pursue digital marketing and digital transformation strategies. What choice should he make?

Learning Objectives

Using Laplex as a case example, students will explore the complexities faced by businesses operating internationally and how digital marketing and transformation can enhance competitive advantage. The case is suitable for undergraduate and graduate courses in international business, strategic management, and marketing management.

Using this case, students have the opportunity to undertake the following:
  • Examine the motivations and challenges associated with establishing factories overseas.
  • Analyze common international business dilemmas, including cost management, local responsiveness, inventory control, digital transformation, and multi-channel sales integration.
  • Evaluate digital marketing strategies and identify their optimal integration with traditional marketing.
  • Apply the digital transformation canvas to design and implement effective digital transformation initiatives.
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Case Study: Laplex: Disruptor or Exiter in the Wig Market? (English version) | Ivey Publishing