Case: 3.1 “Decisions-Decisions”
“Pets.com. Pets.com is one among many online retailers that failed as a business-to-consumer e-commerce entity.
The site was launched in November, 1998 about the same time as several other online firms offering pet products.
One problem with Pets.com’s business model was that it was not unique and did not offer consumers anything different from the other online pet supplies retailers.
Another problem that Pets.com faced was that it entered a market of selling low-margin food and supplies that are extremely costly to ship to consumers.
In June, 2000, Pets.com managers made the decision to purchase the assets of its rival Petstore.com.
Pets.com acquired the customer database, domain name, trademarks, live fish business, and several strategic supplier agreements from Petstore.com (Olsen, June, 2000).
Pets.com struggled with the fact that they were not making any profit.
In September of 2000, the decision was made to move part of its operations from San Francisco to a more affordable location in the Midwest to help decrease operating costs.
The new location had a lower cost of living and therefore, Pets.com could cut salaries to lower expenses. Pets.com had become the leading online pet store, but after months of trying everything possible to cut costs, recover dwindling stock prices, and attempt to gain some profits, the online retailer saw no better alternative than to shut down business”. Source: http://bit.ly/Rwaxx
Please Use This Strategy When You Analyze A Case:
Identify and write the main issues found discussed in the case (who, what, how, where and when (the critical facts in a case).
List all indicators (including stated “problems”) that something is not as expected or as desired
Briefly analyze the issue with theories found in your textbook or other academic materials. Decide which ideas, models, and theories seem useful. Apply these conceptual tools to the situation.
Identify the areas that need improvement (use theories from your textbook)
Specify and prioritize the criteria used to choose action alternatives.
Discover or invent feasible action alternatives.
Examine the probable consequences of action alternatives.
Select a course of action.
Design and implementation plan/schedule.
Create a plan for assessing the action to be implemented.
Conclusion (every paper should end with a strong conclusion or summary)
Provide a 3–5 pages in length (excluding cover page, abstract, and reference list)
APA format, Use the APA template located in the Student Resource Center to complete the assignment.
Please use the Case Study Guide as a reference point for writing your case study.
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