Yahoo Business Model: Yahoo was co-founded in 1994 by two Stanford University graduates, Jerry Yang and David Filo (Yahoo Inc.). The Yahoo business model was to be an information provider and internet search engine, making money from display (banner) and search ads. Was this business model a success? It certainly would appear that this business model has been a success, a company that started out as a hobby for two Stanford students became a recognized global brand, changing the way people communicate with each other, as well as the way they find and access information online. The company was able to experience rapid growth and secured $2 million of funding from Sequoia Capital in 1995. By 2010 Yahoo attracted approximately half a …show more content…
The recession in 2008/09 also lead to an overall reduction in online ad spend (IAB 2010) which naturally impacted Yahoo. The company also continues to be rumored to a merger with AOL in the press and the long term future for the company certainly appears to be uncertain. What if I had been Yahoo CEO? One of the things I would have tried to achieve as Yahoo CEO was to find a public face for the organization. Companies within the computer industry that have had success appear to have benefitted significantly by having a strong public face of the company. Examples include Bill Gates at Microsoft, Mark Zukerberg at Facebook and Steve Jobs at Apple. The other thing that I would have tried to address is the ongoing issue of whether Yahoo is actually a consumer or advertising business. If I were Yahoo CEO I would have developed the packages and the services that Yahoo offers. They are also offered by other services providers such as MSN and Google. I think the Mail Box is so important to attract new potential users and it has to be developed with advertising and new services. Technology plays a vital role; Yahoo should adapt
I mean, this clever group of people developed an app/website where industry professionals like you and me can jump online and build our network of connections with other professionals from all over the world. And this is how they make their ends-meet, using two core revenue streams:
An online website was launched, but failed to function properly: customers ordered 4000 wallets for free with invalid coupons, and the company now finds itself wondering whether to cancel them. Search keywords and bids were bought to gain visibility on search engines, but almost half of them have not generated profit. A discussion on Big Skinny was stimulated on social media through the use of AddThis applets. The company had furthermore established a presence on global, trusted online retail portals: Amazon, Buy.com and eBay. Finally, A/B testing was conducted, also leading to an increase in visibility.
I would advise the CEO that to better serve the company’s desire we would start with a strategic plan by setting goals and objectives. It would be best to elicit the opinions of every staff member on how they feel about the company’s goal. After listening to the staff opinions on how best to implement the goals, a plan is to be put in place detailing the steps by steps on how to achieve each tasks. I would emphasize to the CEO the importance of setting goals and communicating them effectively to the staff members, especially those who will be the managers. Additionally, the CEO is to consider the needs of each individual in the company. It is important to address both the task and the needs of the employees ( Phillips & Gully, 2014).
Communication - Communication is very important to our well being as a company. The CEO will only be seen or heard from when there is an issue with business or there is a big decision to be made that can not be made by the workers and managers themselves. They make decisions and give instruction through our CFO who then distributes that information between to the personal assistant. The information then goes to the floor supervisors and the DC. From there it can go to the regular employees and therapist so that everyone is on the same page.
We recommend investing in the Web-Based Customer Portal. The expected high financial rewards with net present value of $346K and 41% IRR within five years (see Exhibit 1) are the main motivators. Based on our market research, we believe the high revenue would come from an expanded customer base, increased order frequency/size and reduced costs. Going beyond the financial rewards, the strategic impact of the project is not only to increase our penetration rate and customer service quality in the short run, but also to enhance
Below, I provided you with a list of CEO responses and also a list of non-CEO responses to this question.
In the editorial “Verizon’s AOL deal: ISPs go searching for content”, by The Times Editorial Board, points out the important benefits that Verizon acquired by buying AOL, the most popular dial-up internet service in the country. The principal reasons of the agreement to buy AOL and the benefits they received are: AOL’s content business, the subscriber's exclusive content access, and the probability to have preferable treatment to sites and services for their customers. First, Verizon's smart move was to obtain primarily the business content from AOL. All the advertising tools from AOL are an important investment for the future of Verizon's strong standing. Another benefit that Verizon obtain from AOL was the subscribers
Being the CEO of a company, your personality does affect the business of the company. In this article,
Fitbit Inc. needs to use its technology and innovation strength to overcome threats from its rivals. If I were CEO of Fitbit, I would explore a strategy of easy interface to many systems and devices and licenses some of the technology that key competitors have as a pilot, so that Fitbit Inc. can focus on wearable technology. Another example would be working with
1. What accounting approach has AOL used in the past that it is now changing (related to the $385 million)?
In order to be successful in the long range, the CEO's strategy must encompass countless factors. He must devise a plan to grow the business in the face of competitors, not only from within the United States but from any and every region of today's global economy. The CEO calls the plays for a team of tens (and sometimes hundreds) of thousands of workers. All of the actions of every employee and every aspect of the business must be coordinated and integrated to produce the cars, computers or CAT scanners that yield profits to the company. It is the CEO who is responsible for that integration.
In year 1999, Jack Ma who was a former teacher and his 18 friend in his Hangzhou apartment built up Alibaba group. At first, Alibaba working for the small manufacturers set up a B2B (business to business) website. But then Alibaba group was quickly expanded until seven different group, for example, Alibaba International Business Operations, Alibaba Small Business Operations, Tmall, Taobao, Alibaba Cloud Computing, Juhuasuan and Etao.
Yahoo was an early success due to a combination of factors such as timing, hard work, and a good understanding of Web surfer’s tastes and needs.. In early 1995, Net mania was just flowering. It was a great time to be a young entrepreneur with an Internet idea. Dave Faldo and Jerry Yang saw a consumer need for classifying and differentiating web sights. Resting the urge to automate this process, Yahoo’s founders instead chose to manually perform this search, reviewing and classifying roughly 1000 sights a day. This approach combined with their decision to offer a free service lead to early success.
Yahoo! Inc. is one of the oldest and most well-known Internet content providers. Yahoo! Inc. offers one of the most diverse Internet websites. It is believed that by expanding Yahoo!'s services and expanding broadband access, Yahoo! customers will stay on the website and spend increasing amounts of time and money. Yahoo! Inc's biggest obstacle lies in its competition in the form of
The strategy of implementation of an established dot com company, struggling to leverage current advertising methods with business objectives.