Case Study Discussion Questions 1. What information does the company need to gat
ID: 356456 • Letter: C
Question
Case Study Discussion Questions
1. What information does the company need to gather to pursue this opportunity?
2. What are some of the steps that it will have to take?
3. What challenges/risks will it face?
4. How can it overcome these challenges/risks? 5. What will the go – no go decision depend on?
Tangled in the Web Your Wob designs commercial Intenet sites for small businesses that do not have their own internal technical support capabilities. Your Wob can provide its customers with sites that include a promotional component, an online Catalogue, a payment capability and an automated delivery system. When it was first launched ten years ago, the company grew rapidly. Over the past couple of years however, growth has flattened and the company currently generates about $10 million a year in revenues. During their annual planning session, the company's senior managers reviewed its performance. The chief financial officer noted that revenues had not risen significantly in three years. The VP for marketing reported that there were many competing altematives in the marketplace providing similar service to the business community so that Your Web no longer had the unique selling proposition or competitve advantage that it once enjoyed. In preparation for the review process, the VP in charge of technical support had recently conducted a survey of Your Web's clients. He presented the survey findings at the planning session. Specifically, the survey was designed to find out from clients if they were satisfied with the service they were getting from Your Wob and if there was anything else that they required. Key findings were as follows: Your Web provided competent technical service; its sites worked as promised and the company was good at what it did. .Clients did not always understand what was available in terms of Internet site functionality. Many were uncertain if what they were getting represented leading edge or best practices on the Web. What clients did understand was that it was vital that their websites appeared as high as possible on Google search results. There was some grumbling that this was not happening to the extent needed. Your web delivered a standardized service that had not changed much in several years. This no longer represented everything that was available in terms of Internet services given the advent of Web 2.0 technologies. Some technology development work was clearly in order .Clients had no idea about design issues. Your Web provided them with some sample designs, but many felt that the process was rushed and that the choices they were offered were too limited. .Clients did not always know what they needed. They would have welcomed greater consultation regarding their own businesses and their needs, to ensure that their websites really optimized service to their clients.Explanation / Answer
1. The company wants to diversify in the advisory function. For that aspect the company needs to find out about the entry barriers of that industry. They need to evaluate the competitors in the Indian market for the same. The company also needs to gather data about what kind of information do the clients really desire.
2. The company may have to take the following steps:
3. The following can be the challenges/risks associated with the option of diversification:
4. The above challenges can be handled efficiently if Your Web does a comprehensive research about the industry before stepping in and pools in the best resources to tackle the competition. Strong marketing policies must also be put to practice to establish awareness among the consumers.
5. The evaluation of financials and resources and the estimated ROI of the diversification should be the basis for making such a choice.