Webvan
The Webvan Group
Case Analysis
TABLE OF CONTENTS
ISSUE STATEMENT 3
ANALYSIS OF CASE DATA 3
Vision and Mission 3
PESTLE Analysis 4
SWOT Analysis 5
Competitive Analysis – Porter’s Five Forces 6
Value Disciplines 7
Key Mistakes 8
RECOMMENDATIONS 9
Key Drivers for the Recommendation 9
Revised Webvan Vision 9
Revised Webvan Mission 10
Revised Webvan Business Model 10
Revised Webvan Revenue Sources 10
ACTION PLAN 10
CONCLUSIONS 11
ISSUE STATEMENT
The goal of this report is to make a recommendation to Webvan’s management team whether Webvan, once the largest online grocery enterprise in the United States and a large investment failure, should be restarted as a new enterprise using the original strategy and business model before the company went bankrupt in 2001. Webvan began in 1998 as an innovative business idea that excited and drew support from investors already caught up in the dot-com phenomenon. The company ultimately failed to attract and sustain an adequate customer base to justify the large investments it made in the development of high-tech information technology systems and elaborate distribution warehouses. Team 21 was hired to explore the key elements of Webvan's original business model and provide relevant recommendations and action steps to the company's management. ANALYSIS OF CASE DATA
Team 21 analyzed Webvan's original business model, decisions, and milestones using several strategic analysis tools, such as analysis of the external environment , SWOT analysis and Porter's Five Forces analysis. Furthermore, it reviewed the company's value disciplines and identified the key mistakes in the original business model. The results of the review provide insight to the company’s problems and serve as a basis for the development of the recommendation to Webvan's management.
Vision and Mission
The vision and mission are the key drivers of the analysis
Case Analysis
TABLE OF CONTENTS
ISSUE STATEMENT 3
ANALYSIS OF CASE DATA 3
Vision and Mission 3
PESTLE Analysis 4
SWOT Analysis 5
Competitive Analysis – Porter’s Five Forces 6
Value Disciplines 7
Key Mistakes 8
RECOMMENDATIONS 9
Key Drivers for the Recommendation 9
Revised Webvan Vision 9
Revised Webvan Mission 10
Revised Webvan Business Model 10
Revised Webvan Revenue Sources 10
ACTION PLAN 10
CONCLUSIONS 11
ISSUE STATEMENT
The goal of this report is to make a recommendation to Webvan’s management team whether Webvan, once the largest online grocery enterprise in the United States and a large investment failure, should be restarted as a new enterprise using the original strategy and business model before the company went bankrupt in 2001. Webvan began in 1998 as an innovative business idea that excited and drew support from investors already caught up in the dot-com phenomenon. The company ultimately failed to attract and sustain an adequate customer base to justify the large investments it made in the development of high-tech information technology systems and elaborate distribution warehouses. Team 21 was hired to explore the key elements of Webvan's original business model and provide relevant recommendations and action steps to the company's management. ANALYSIS OF CASE DATA
Team 21 analyzed Webvan's original business model, decisions, and milestones using several strategic analysis tools, such as analysis of the external environment , SWOT analysis and Porter's Five Forces analysis. Furthermore, it reviewed the company's value disciplines and identified the key mistakes in the original business model. The results of the review provide insight to the company’s problems and serve as a basis for the development of the recommendation to Webvan's management.
Vision and Mission
The vision and mission are the key drivers of the analysis