Question

Analyze the Yahoo! opportunity by identifying the major risk and rewards in each of these categories: TECHNOLOGY, MARKET TEAM and FINANCIAL. Rank order them.

Answer 1

Yahoo has great opportunities in the global internet based business segment. It comes after Google and Microsoft like companies. In my view Yahoo has capabilities of technology at top rank on second place financial news and alerts can be placed and t the third rank market team can be explained. Now, we shall see them in brief as follows:

1) Technology: It must try to launch mobile based applications so that global customers can be taped. It should provide capabilities like online knowledge platform, banking, shopping and tour and travel management with easy handling of web and app based tools. It must see its immediate competitors and then enter into those segments with sophisticated technology to target a specific group of customers like Sport lovers must be brought to a Yahoo sport app. It will provide advertising as well as many other business opportunities with big data management. Technology changes have moderate risk if pre planning will be done. A proactive approach might reduce the risk associated with the yahoo business.

2) Finance:

Yahoo has great expertise on this segment. It needs to go global and tap almost each stock market. It must offer free advisory offers to targeted customers. Most frequently utilized tools, terms and products should be given priority to its web based offers. User friendly interface to the finance might be launched. Corporate finance is the area where it can target. In these segments risks are high as many players are already facing substantial problems of cash, dynamic market forces etc.

3) Market team:

A group of executives must be appointed to analyze the business opportunities in global market. Yahoo has such teams and they have succefully recommended the many new opportunities to this technology based company.

It has low risk to be successful as people will be deputed to their original work assignments. it should bring sellers and financial institutions at local level to its platform which will reduce the authenticity like issue of firms to its business operations.