Corporate Structure
Rosetta Stone's headquarters are in Washington, DC. Here the decisions are made that move the company forward. Their whole focus is put on their one product, which is a computer program that teaches people a language in an innovative way, they have differentiation in their product in the sense that they have different languages and that they specialize their products to their customer. They have a second office in America in Colorado. Furthermore there are offices allocated over the rest of the world; London, Munich, Tokyo, Seoul. The company employs 1738 employees, of which 922 full time. The majority of their employees work as the kiosk sales employees; 894. The rest of the employees work at the core of the company, quite a substantial amount of employees work on the research and development of their product (333) and then there are the marketing and sales department (266) and general administration (190). Since they focus on efficiency they use a third party to handle their packaging and distribution.
Business Model
In order to analyze Rosetta Stone. we first need to define and review its business model. Who does the company serve, what does it provide, how do they generate revenue, how are they different or what is their value proposition and how do they reach their customers. In order to do this the following model is used the Business Model Canvas by Alexander Osterwalder.
Starting on the right hand side of the canvas, Rosetta is targeting a couple of different markets which can roughly be broken down to four customer segments. They focus on individual consumers with their personal product edition. The government agencies, armed forces (which is part of the government in most cases), and corporations are met in their needs by the enterprise edition. Whereas the Classroom edition focuses on the educational institutions. Additionally the company has a home school addition which is designed to provide parents with