Linden Lab: Opening Second Life Harvard Case Solution & Analysis

In early 2008, managers at Linden Lab, creator of the virtual world Second Life, faced decisions about strategy. Despite deep initial skepticism about demand for custom virtual world, which was not a traditional game, Second Life achieved profitability and consistent growth. However, the growth of the company's infrastructure was strained as a result of frequent software failures. Software is easy to use is also a major problem. As a result, 90% of new users of Second Life abandoned after a short trial. Management considers a marketing partnership and its open source software can reduce stress and promote future growth. Linden Lab also discussed whether and how to provide interaction between Second Life and other virtual worlds.
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by Thomas R. Eisenmann, Alison Berkley Wagonfeld Source: Harvard Business School 27 pages. Publication Date: Mar 03, 2008. Prod. #: 808114-PDF-ENG

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