LinkedIn (A) Harvard Case Solution & Analysis

In the summer of 2005, LinkedIn, two-year-old start-up, was a choice between two options to monetize their 5 million business network. Users can communicate with each other through trusted intermediaries in the network in order to offer or look for work, consulting commitments, expertise and funding. Company ahead of its competitors by building the most populous online business network, but he had little income to show their investors. The first option entailed maintaining existing revenue opportunities unchanged and rolling out a set of eight new services for a monthly fee of $ 15. These services will be aimed at members of the network, which established many connections, I was often, and view profiles of other members. The second proposal involved changing the basic design feature of LinkedIn, allowing members to communicate with each other without intermediaries for a fee. Fewer members will take advantage of this feature, but those who would be willing to pay as much as $ 5 - $ 15 per post. This option ran substantial risk alienating members and led some to abandon LinkedIn. "Hide
by Mikolaj Jan Piskorski Source: Harvard Business School 18 pages. Publication Date: July 25, 2006. Prod. #: 707406-PDF-ENG

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