GST 5083 - INFORMATION SYSTEMS & ELECTRONIC COMMERCE

MASTER OF BUSINESS ADMINISTRATION

Malaysian Graduate School of Entrepreneurship & Business

UNIVERSITI MALAYSIA KELANTAN( UMK SARAWAK )

GROUP MEMBERS

1. Arni B. Hj. Morshidi P14D461P2. Anisah Bt Ismail P14D389P3. Syarifah Rohaya Bt Wan Idris P14D397P4. Dayang Adelina Bt Hj Abang Muan P14D394P5. Norhana Aini Bt Saini P14D398P

GROUPON’S BUSINESS MODEL: SOCIAL AND LOCAL

CASE STUDY MEETING 4

Question 1•How does Groupon take advantage of social networking and location technology?

Question 2•Do you think this business model is viable? Why or why not?

QUESTIONS

Question 1

How does Groupon take advantage of social networking and location technology?

Groupon’s Coupon• A loss leader is any kind of sale, promotion,

discount or special offer that entices customers to walk in the door

• The deals offered daily through Groupon start at 50 percent off and can go as high as 90 percent cheaper than the normal price

• Groupon claims that its service is a win-win for both businesses and consumers

• With an increase of users relying on mobile phones, tablets and their accompanying geo-location technology, businesses today are increasingly finding the need to think locally

Question 2

Do you think this business model is viable? Why or why not?

• Still viable• increasing the numbers of social networking user that will increase the numbers of Groupon's customers.• increasing the online business will helps this kind of business model to growth healthy

Question 2

Do you think this business model is viable? Why or why not?

Ability to get more profit and inexpensive deal

Currently social connectivity is proven as a platform to selling goods and services on the internet

Serves 500 markets in 44 countries

Need to strategize the marketing and business in order to maintain their profits

Need to maintain and increase competitive advantage for their products and services