Growing the Online Portal of Business Fundas Harvard Case Solution & Analysis

Introduction/ Problem Background

In 2009, Business Fundas, a portal which was started by publishing the management articles and educational business, came into existence in the electronic publishing industry; which was highly fragmented and had many players. Business Fundasis acontent publishing portal, it had published articles across several domains of the business management including; finance, e-business, social media, economics, technology management, supply chain and operations management. The senior management has been pondering to compete with highly competitive firms within the industry by taking the company to the next stage, which would open gateways for more revenues, reaching larger customer base and generating greater visibilityin relation to the knowledge platform.

There are various challenges and issues being faced by the startup companies in its relentless efforts to take competitive advantage of various business models and innovative value proposition, also to position itself for growth. The senior manager has been hoping and expecting to gain insights into trends which are user-specific through using data analytics.

Although, the company stood steadily in the competitive market, being popular for the knowledge portal which has providedniche articles, it has been increasingly recognized among the top management and business blogs. Alexa ranked Business Fundas amongst the top 10000 websites, Business Fundas had enjoyed traffic rank and thecompany has contemplated todevelop the effective system engaging and retaining visitors on websites by moving towards the Word Press Platform rather than the Drupal Platform updates which was highly problematic in growth.

Qualitative Analysis

The analysis of the major factors affecting the company’s profitability can be understood by applying Porters Five Forces Model, which would illustrate the extent of competition within a market.

Growing the Online Portal of Business Fundas Harvard Case Solution & Analysis

Competitive Rivaly:

Evidently, the senior management has decided to become more prominent in the industry by competing against the strong companies within industry. It has been analyzed that the biggest threat for the company is the competitive rivalry. As the business model of companyhas been successfully drawing larger amount of customer traffic and generating massive revenues, there is a likelihood that the existing or current strong competitors would replicate the Business Fundas’s business model and they would offer various competitive pricing schemes.

Bargaining Power of Customers:

On the other hand, the bargaining power of customers is high because the market tends to be cost effective, providing online portal services at relatively cheaper cost, which in turn would allow the customers switch from one portal to another. Also the switching cost is low, the customers can select the portal that suits them best.

Thus, the company might mitigate threats with the effective strategy keep focusing to leverage the core audience and messages.

Bargaining Power of Suppliers:

In the market, there are few choices of suppliers, so companies might deal for the purpose of uplifting each other. Business Fundaswould be depending upon the technologies for the purpose of improvementupon its own, this in turn would allow the suppliers higher in the supply chain.................

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