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Find out how and why yahoo lost the plot.<br><br>http://www.optincontacts.com/
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Ups and Downs OF Yahoo! Founded: March 2, 1995 Jerry Yang, David Filo
Yahoo’s Tale Of End! Yahoo has sold its operating business to the highest bidder. Verizon –the price was $4.8 billion. Yahoo’s market capitalization attained$125 billion in 2000. The next 16 years, it steadily plummeted — due to inaction and missed opportunities.
What went So wrong With Yahoo! • As the dominant web portal, money came easy for Yahoo. They never bothered to build a strong engineering culture, like Facebook and Google did. • In 2009, Yahoo scrapped their 13 year-old search engine in favor of licensing Bing Search, which Microsoft had just launched. • In 2012, Yahoo decided to sell off significant portions of its Alibaba stock. They sold even more in 2014.
Yahoo’s oops Moments • In 1998, Larry Page and Sergey Brin, who created PageRank – a quick way to find the most relevant website for a given search query. Yahoo skipped out on buying it for $1 million, rationalizing that it would take people off of Yahoo’s website. • Yahoo was turned down by Mark Zuckerberg. Yahoo offered to buy Facebook for $1 billion. This was a moment that billionaire Facebook investor Peter Thiel lauds as the major turning point for the company that allowed it to become the enormous one.
Deals That Backfired!! • Geocities $4.58 billion deal- It was shuttered in 2009 after failing to deliver any value to Yahoo shareholders. • Broadcast.com $5.7 billion deal- an online television site, internet connections were too slow in 1999 to run this type of video content off the web. • Tumblr for $1.1 billion deal- The business for this one too went down.
Reasons For Failure: • Losing out on Google • Missing an opportunity with Flickr • Not buying Facebook • Rejecting Microsoft • An array of Misfit CEOs
Yahoo’s Limitations Of Advertising Model • They didn’t evaluate on the type of advertising that works best online. • Immediate success hindered them from analyzing the e-commerce platform. • Yahoo lacked specific brand concept and future driven planning. • Yahoo lacked right resources at the right time.
The Lessons Yahoo Taught Us! • Don’t Consider being lucky at the right time as smartness in business. • Don’t forget your company’s foundation. • Don’t kill the golden goose, which is producing eggs. • Don’t go for “Professionals,” go for the knowledgeable one. • Don’t let your assumptions blind you to new opportunities
Sources Of Information: • https://medium.freecodecamp.com/the-rise-and-fall-mostly-fall-of-yahoo-ddbceb44670c#.sg55bz6xo • http://www.visualcapitalist.com/chart-rise-fall-yahoo/ • http://knowledge.wharton.upenn.edu/article/a-tale-of-two-brands-yahoos-mistakes-vs-googles-mastery/ • http://www.slideshare.net/vaidsanjay/yahoo-case-analysis
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