Question: Yahoo! Japan: A Study in Strategic Diversification (Case #23, Notes) Overview Yahoo! Japan is the leading portal and Internet-related service provider in Japan. Managed and

Yahoo! Japan: A Study in Strategic Diversification (Case #23, Notes)
Overview
Yahoo! Japan is the leading portal and Internet-related service provider in Japan. Managed and operated independently from Yahoo! Inc., the Company offers a variety of informational content on its web site and internet-related services. In financial year 2002, Yahoo! Japan recorded ¥59 billion in sales and ¥43 billion in gross profits.
Strategic Diversification
During the late 1990's, Yahoo!, Japan experienced tremendous growth. The company controlled the leading internet advertising channel in Japan and benefited from the belief that advertising on the internet had immense profit potential. The "internet crash" of 2000, however, and a loss of faith in the sustainability of Yahoo! Japan's advertising revenue placed immense pressure on the company to maintain positive revenue growth. Management recognized the strategic need to diversify its business and made the strategic decision to enter into auctions and broadband services. Management also recognized the strategic importance of broadband as a future digital channel for their fee-based services.
Portal Services

Step by Step Solution

★★★★★

3.44 Rating (167 Votes )

There are 3 Steps involved in it

1 Expert Approved Answer

Step: 1 Unlock

1 Yahoo Japan must be concerned by the constant threat of new entrants into the business segments it operates Barriers to entry are relatively low Yahoo Japans strategy can be also be duplicated there... View full answer

Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock

Step: 3 Unlock

Document Format (1 attachment)

910-B-M-I-M (1134).docx

120 KBs Word File

Students Have Also Explored These Related Marketing Questions!

The Nile Company is considering taking customers orders on its Web site. a. What information would Nile collect from the customer during this process? b. What information would need to come from...

I thought the Internet would be an ideal way to distribute our products. We've had a lot of success with our direct sales, but now we can reach a much larger audience. The baskets we make and sell...

[A] Aon Corporations Mezzanine Preferred Stock In its 2002 annual report to shareholders, Aon Corporation described its mandatorily redeemable preferred stock as follows: In January 1997, Aon created...

\f \f11TH EDITION STRATEGIC MANAGEMENT THEORY 11TH EDITION Strategic Management THEORY Charles W. L. Hill University of Washington - Foster School of Business Gareth R. Jones Melissa A. Schilling New...

What source of competitive advantage does eBay have, and is that position supported by its resources and assets? 250 and over words in total CASE 13 players such as Yahoo and Amazon posed a major...

5-407-753 MARK JEFFERY Air France Internet Marketing: Optimizing Google, Yahoo!, MSN, and Kayak Sponsored Search Rob Griffin, senior vice president and U.S. director of search for Media Contacts, a...

All class members are expected to prepare a typed single-spaced ( 12 point Times New Roman font with 1 inch margins) 1-2-page summary (TWO PAGES ABSOLUTE MAXIMUM-may be bullet pointed) for any FOUR...

1. What are the most important 1-2 general environment factors to be considered for the INDUSTRY and what is their effect (positive-negative-neutral)? 2)What are the most important 1-2 of the five...

. Question - Explain whether the product and geographic diversification coexist for OYO. (International Strategic Management) Ivey Publishing 9B19M123 OYO: GLOBAL EXPANSION Arpita Agnihotri and...

Use the case study as shown in the photo and your own research on Peloton to answer the following questions. (500 words each question, total of 2000 words) 1) Using the Business Model Canvas to...

Find and draw the regression line. Use the figure shown below. Keeping cars longer The median age of vehicles on U.S. roads for eight different years Median age in years Cars, x Light Trucks 14 104...

A length of wire is cut in half and the two lengths are wrapped together side by side to make a thicker wire. How does the resistance of this new combination compare to the resistance of the original...

How much will the Peruvian government have to pay for both Principal and Interest in 2 0 2 5 ? 4 0 0 0 million Poruvian sol 1 0 , 0 0 0 million Peruvian sol 3 , 0 0 0 million Peruvion sol -

Suppose we are testing H0: p0.5 versus (a) Using 0.05, find the power of the test for n 100, 150, and 300, assuming the true value p 0.6. Comment on the effect of sample size on the power of the...

Various classification schemes are sometimes used to given an indication of the potential of a foreign market/country. Explain why these schemes should or should not be used as a basis for deciding...

What is really meant by a company having a differential advantage over its competitors in one or more foreign markets?

1. Was the chairman of the US company wrong for not having found out in advance about Japanese business practice? Explain. 2. Were the Japanese wrong for not having found out about US business...

The present value (at t=0 ) of the following cash flow stream is $6000 when discounted at 11% annually. That stream consists of payments made at the end of each of four periods. One of the payments,...

2. The BIG Corporation issued 12-year bonds on 10 Feb 2010. Each of these bonds has a face value of $10,000 and they are currently trading at a yield of 11.50% per annum. The bonds pay quarterly...

Problem 10-14 NPV Break-Even Analysis (LO3) 20 points Modern Artifacts can produce keepsakes that will be sold for $70 each. Nondepreciation fixed costs are $2,000 per year, and variable costs are...