GROUPON Case Solution And Analysis, HBR Case Study Solution & Analysis of Harvard Case Studies

I. CURRENT POSITION:

Performance:

Positive Factors:

• International expansion of business
• Record IPO of $700 million
• Innovative products introduction.
• Mergers and acquisitions
• CAGR revenue growth 380% over the past two years

Negative Factors

• Facing tough competition from its competitors and erosion of profits
• Downward stock price
• Mason awarded the title of “Worst CEO of 2012”, that gestures towards mismanagement from the top
• Burgeoning marketing and infrastructure costs
• Net loss increasing exponentially
Cost of lawsuits due to innovative accounting procedures. (Modest equity, increased debt and decreased efficiency)
Strategic Posture:
MISSION:
• “To become the operating system for local commerce”

OBJECTIVES:

• “Today, Groupon is a marketing tool that connects consumers and merchants. Tomorrow, we aim to move upstream and serve as the entry point for local commerce”
• To become an essential part of everyday commerce for consumers and merchants.

STRATEGIES:

• Expansion of subscribers and customer base – a number of tactics such as employee referral programs, affiliate marketing, display advertisements and search engine marketing were employed to expand the subscriber base. They tried to translate them into the fold of active customer base. These aforementioned programs had positive implications on augmenting the roster of people inducted in the subscriber base.
• Expand the number of merchant partners – The merchant partners were facilitated owing to the sort of relationship and rapport which they had with the sales force team on the initiative of Groupon. They were provisioned with value added services and two way communication and the feedback proved to be its winning point and an essential hallmark.
• To piggyback on the latest technology to offer their service – Groupon did it and harnessed the latest technological breakthrough to offer their services via smartphones, tablets and desktops, especially smartphones which had growing penetration worldwide, even in developing nation arising from the need fulfillment that it provides.
• Increase the number and variety of products via product offerings – Newer products were launched with novel features in order to cater customers with variegated needs and to make the merchant partners as much accessible as possible.
• Mergers and Acquisitions – Groupon targeted the technology and technology products as the corporation with which they would merge and acquire as to increase the technological base and harness it for their optimal use.

POLICIES:

• Innovative accounting procedures
• To specialize on one abstract idea and performing it really well
• Customer retention and growth – converting subscribers into active customers.
• Customer Service – Groupon Promise.
• Merchant satisfaction and retention
• Heavy investment in marketing sales and infrastructure.

STRATEGIC MANAGERS:

Board of Directors:

• There are a total of 8 members who are the Board of Directors
• All of them had enjoyed privileged positions at prestigious multinational corporations or other companies and institution, with par excellence track record.
• The members of the board of directors have efficiently been operating in the national and international levels.
B. Top Management:
• Higher hierarchy levels of the organization acquire an efficient skill set.
• The managers of the company are held accountable by the leaders of the company.......................

This is just a sample partial case solution. Please place the order on the website to order your own originally done case solution.