Date: 4/13/2015 Group 2 GROUPON Group Members Elna Rony Evangeline Hombal Jessica Rae Velasquez Shilpa Karanam Sumadhuri Kasapuram Groupon made huge waves in the business world when they first started with their concept. Groupon launched in 2008 with just a few dozen employees to over 350 employees with in a year and a half. Groupon was reported to be worth $1 billion dollars in just 16 months in to the business. When they were just two years old‚ Groupon surprised the business world by turning
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Groupon is a deal-of-the-day recommendation service for consumers. Every 24 hours‚ Groupon broadcasts an electronic coupon for a restaurant or store in our city‚ recommending that local service while also offering a 40% to 60% discount if purchase that service. Groupon is a middleman service that promotes our city’s restaurants and stores. Groupon encourages people to try a different restaurant or store each day‚ and earns a commission whenever they successfully refer a customer. Groupon itself
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Groupon is a deal-of-day website that features discounted gift certificates to its customers redeemable at local or national retailers. For retailers who are associated with Groupon‚ It offers several advantages through free advertising and marketing. For one thing‚ it’s always beneficial for companies to feature their business free on the Groupon web site. With traditional advertising and e-mail marketing‚ retailers pay lots of money up front with no guarantee that the message will reach the consumers
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Groupon Inc. History Groupon is a word combination between “group” and “coupon.” Groupon is a website that offers the best daily deals on restaurants and bars around your area‚ getaways‚ spas‚ goods‚ and things to do. Groupon was launched in November 2008. Groupon is an outgrowth of ThePoint.com‚ an online community launched in 2007 for organizing all forms of group action and fund-raising around a “tipping point” of required participants. Its headquarters and first market was Chicago‚ then
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Introduction Groupon is a company that mainly conducts business operations online on a website. The company features discounted vouchers on its website that subscribers can purchase and use at local and international companies. The company started operating in 2008 in Chicago and gradually expanded its services to other parts of the world. This paper explores various issues presented in a case study about Groupon to determine whether its business model is sustainable or not Analysis Based on the
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Groupon As a group‚ we have chosen to examine and report on Groupon and relevant information on the marketing strategies and efforts employed by the organization‚ as well as the ethics and social responsibility related to Groupon’s marketing. Groupon’s mission statement according to their letter to shareholders is “To become the operating system of local commerce.” Groupon has stumbled and disappointed users of their services because of rapid growth. Instead of focusing on growth‚ Groupon must
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the Case of Groupon Maastricht University School of Business and Economics Maastricht‚ Dec. 4th‚ 2012 Course: Global Business Table of contents Page 1. Introduction 2 2. Business model 3 3. Organizational Structure 4 4. Groupon’s corporate strategy 5 5. Groupons global strategy 6 6. Groupon’s entry to China 7 7. An Evolving Role 10 8. Conclusion 11 9. References 12 10. Appendix 13 1. Introduction Groupon is a deal-of-the
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Sauber Groupon 1. An understanding of consumer behavior helped Groupon grow from 400 subscribers in Chicago in 2008 to 60 million subscribers in 40 countries today by developing the concept of making offers that are only carried out if enough people commit to participate in them. Groupon’s simple business model offers subscribers at least one deal in their city each day‚ but the coupon is only valid if a certain number of subscribers sign up for this deal. 2. The Groupon Promise is
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Writing Assignment 1) Groupon’s Revenue Recognition issues In September 2011‚ Groupon dramatically changed the way it reported revenue. Prior to this date‚ Groupon recorded revenue acting as a principal‚ not an agent. Recording revenue in this manner means that Groupon was recording a “cost of goods sold” entry with each “revenue” entry on every sale it made. These entries heavily inflated the amount of revenue Groupon was reporting. Although net income was not affected by this‚ many other things
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Major Issues - Labour intensive business model creates scalability challenges - Huge amount of competition : on paper coupons‚ similar sites‚ big players (amazon‚ facebook‚ google) ‚ living social‚ international markets - Easy business to replicate - Vendors not necessarily bought into the model (Merchants are not making money on daily deals (55%)‚ 36% of customers spent beyond the voucher value (pg. 30)) - Customers are simply not loyal Strategic Alternatives 1. become a niche player
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