Investing in Online Marketplaces Harvard Case Solution & Analysis

Simon Rothman was recently placed in charge of managing a $100 million early-stage fund responsibility at a venture capital firm Greylock Partners. He was promoted from Executive-In-Residence (EIR) to Partner at Greylock and was the right man for the job. The fund was mainly committed to digital marketplaces. The year 2014 was a unique period for digital marketplaces, as Greylock’s management said, the start of a boom in the industry that was promoted by mobile technology and social identity. At the early stage of eBay, Simon was part of it and he established eBay Motors and transformed it into a lucrative business and also advised some effective online marketplaces like TaskRabbit, Wanelo, and Lyft. Rothman top priority, for his first investment as Partner, was the food delivery segment but it might be affected by digital marketplaces. He had five alternatives for his food delivery startup to select from, a philosophy on the most effective method to examine marketplace businesses, and several weeks to put his first investment being a Partner at Greylock.

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