Pandora Radio: Fire Unprofitable Customers? Harvard Case Solution & Analysis

Pandora Radio is at a crossroads. Creator Tim Westergren has actually simply been informed by a popular VC to gain rid of his unprofitable consumers for getting his expenses down, however Westergren is uncertain that such actions follow his business's company design Pandora Radio is the biggest Internet music stream website, and its quickly growing user base likes the complimentary adjustable music stream under a marketing supported design. Pandora needs to pay royalties for every single tune streamed, and has other variable expenses that scale linearly with hours taken in, however it has actually taken no actions to limit the quantity of use amongst its heaviest and most devoted users. Can Pandora make its design work when a substantial portion of its users trigger it to lose cash?
Pandora Radio Fire Unprofitable Customers Case Study Solution

PUBLICATION DATE: March 02, 2010 PRODUCT #: 610077-HCB-ENG

This is just an excerpt. This case is about TECHNOLOGY & OPERATIONS

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