Strategic Management
4th Edition
ISBN: 9781259927621
Author: Frank T. Rothaermel The Nancy and Russell McDonough Chair; Professor of Strategy and Sloan Industry Studies Fellow
Publisher: McGraw-Hill Education
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Question
Chapter 3.5, Problem 2CC
Summary Introduction
Case summary:
The case deals with the development of Company A. Company A is founded by Person C and Person G, who were roommates and industrial designers. They initiated renting their room to fellow designers to make some money, which gives the idea to initiate a business. Person C and Person G started a website in 2008 along with Person B, who is a computer scientist. The website helps the host and guest to meet and transact.
In 2017, the value of the firm is $31 billion. Company A became the fourth most valuable private company on the planet. Even though they are the fourth most valuable company, they are not in smooth sailing. There were issues with PESTEL factors. Especially the regulation of State N was the issue for Company A.
To determine: The way an internet startup able to disrupt the hotel industry, which is dominated by Company M and Company H.
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