Donatella Co.

ProHub Comment

This case tests the candidate's ability to structure an unstructured sustainability problem, moving from baseline emissions analysis (Exhibit 1) through competitive benchmarking (Exhibit 2) to strategic brainstorming and M&A evaluation (Exhibit 3). The case rewards quantitative rigor in calculating CO2e per brand, comparative thinking across competitors, and strategic recommendation synthesis.

Estimated Time 15 minutes
Difficulty Medium
Source ROSS
50 / 100
Donatella Co is an Italian-based, global fashion house with four luxury brands worldwide. As many of the brand’s designs are inspired by the beauty of the natural world, the CEO, Gianni, has become increasingly concerned with the company’s broader impact on the world, particularly the environmental impact. Further, Donatella Co’s Chief Sustainability Officer recently made him aware of new legislation in the EU called the Corporate Sustainability Reporting Directive. Gianni wants the company to be prepared for these new reporting requirements and to increase its sustainability within Donatella Co and its’ supply chain. He has contacted the amazing consulting firm, RossCo to help. Where should they start?

Clarifying Information

  1. Last year they did €1 billion in revenues across their brands.
  2. This legislation requires that all EU companies with more than €40M in annual revenue or non-EU companies with more than €150M in revenue in Europe start publishing detailed information on sustainability.
  3. Competitors will be addressed later
  4. Looking at improvements in the short-term horizon
  5. Customers are located globally, with largest markets in North America, Western Europe, and a fast-growing Asia customer base.