Russki adventures

This case study, by Paul Beamish, was a prize-winner in the EFMD 1992 Annual Case Writing Competition, in the section entitled, 'Entrepreneurship'. It concerns a daring new business venture in the Russian Caucasus Mountains. In mid-1991, Guy Crevasse and Andrei Kakov, the two major partners in Russki Adventures contemplated their next move. They had spent the last year and a half exploring the possibility of starting a helipcopter skiing operation in Russia. Their plan was to bring clients from Europe, North America, and Japan to the Caucasus Mountains to ski the vast areas of secluded mountain terrain made accessible by the use of helicopters and the recent business opportunities offered by 'glasnost'. Three options for proceeding were being considered. The first was to proceed with the venture on their own, in the Caucasus Mountains area that had been made available to them by a Soviet government agency. The second was to accept the offer of partnership with Extreme Dreams, a French tour operator that had begun operations in the Caucasus region during the 1991 season. The final option was to wait, save their money and not proceed with the venture at this time. The data presented in the case includes information on: the company founders the helicopter skiing industry the Russian environment proposed market positioning of the business the potential alliance partners forecast financial analysis, under several scenarios.