Netscape Case Memo

In: Business and Management

Submitted By JennaAlex
Words 1377
Pages 6
1. Why are investors excited about Netscape? What is Netscape’s business model? What must Netscape accomplish if it is going to be successful in the long run? What are the risks Netscape faces?

Marc Andreessen, along with the other founders of Mosaic, accomplished what other Internet providers before failed to do: they created a Web browser that did not require the user to have expertise in HTML coding. Mosaic’s user-friendly click-and-point interface allowed for a wider customer base. After purchasing the licensing rights of Mosaic from Spyglass, Andreessen’s newly formed Netscape Communications Corporation looked to expand the popularity of the software. Netscape’s founders followed the business model they used at Mosaic that created a 60% market share for the firm. Netscape initially gave the software away for free, hoping to generate demand for the product and later be able to sell it. This model allowed the company to gain 75% by spring of 1995. Through the product’s success, Netscape was able to handle the first immediate risk to the firm: to eliminate competition from Spyglass’s Mosaic software. Netscape was the first mover in combining a user-friendly web browser and also a comprehensive server system for companies to conduct business online.

Like any first mover, Netscape faced the risk of new entrants into the market. American Online and Prodigy came out with their own Web browsers. Companies like Compuserve and Microsoft purchased licensing rights from Spyglass to create their own web browsers. Microsoft, the largest software company in the world, posed as the largest long term threat to Netscape with the imminent release of Windows ‘95, which included its own Web browser. Prior to their Initial Public Offering, Netscape operated at a loss. Netscape would need to find a way to generate positive net income in order to ensure long-term success for the…...

Similar Documents

Netscape Case Memo

...2011年第14期(总第139期) 2011年6月16日 | | |期货合约规格发展研究[1] | | | | | | | | | |栏目:市场研究 | | | |作者:张丽芳 | |合约规格是影响合约流动性的关键因素,对合约的成败至关重要。在期货合约发展的历史上,对合约规 | | | |格进行调整已经是司空见惯的现象,根据不同的目的,有些期货合约进行了“瘦身”,有些期货合约进行 | | | |了“增肥”。近年来,商品期货mini合约竞相推出,使得合约规格开始进入人们的视野。本篇报告梳理了 | |编辑:朱晓燕 | |国内外期货合约规格调整的主要事件、归纳了mini合约的主要特点、分析了促使合约规格进行调整的主 | | | |要驱动因素,同时阐述了合约规格设计中需考虑的几个关键因素。 | 期货合约规格发展研究 | | | | | | |合约规格(Contract | |合约规格是影响合约流动性的关键| |Size)是指单一期货合约的货币交易价值。合约规格是影响合约流动性的关键因素,对合约的成败至关 | |因素,对合约的成败至关重要。 | |重要。1969年,CBOT为与COMEX展开竞争,开发了银期货合约。相比COMEX每手10000盎司的合约规格,CB| | | |OT新开发的银期货合约每手为5000盎司。除合约规格之外,其它合约条款均保持一致。CBOT的银期货合......

Words: 873 - Pages: 4

Hrm Case Memo

...CASE MEMO VERIZON COMMUNICATIONS INC: IMPLEMENTING A BALANCED SCORECARD By : Pallabi Roy (35) Pranjal Yadav (37) Rudra Prasad Banerjee (43) Sherin S Mathews (49) Sohini Banerjee (52) Srijan Sinha (53) Supratim Datta (55) By : Pallabi Roy (35) Pranjal Yadav (37) Rudra Prasad Banerjee (43) Sherin S Mathews (49) Sohini Banerjee (52) Srijan Sinha (53) Supratim Datta (55) CASE SUMMARY Company profile: Verizon is a global leader in delivering innovation in communications, information and entertainment. It has close to 90.0 million customers. 130 million customer connections (wireless, wireline, broadband and TV) are served every day by them. It has its headquarters in New York City and Operations Center in Basking Ridge, N.J. Its key products and services are: * Wireline voice and data services * Wireless services * Publishing of print and electronic directories Company Evolution: Originally, before the passage of the Act, Bell Atlantic, NYNEX, and other “baby bell” companies were formed. Then in 1996, Congress passed the Telecommunications Act which aimed at deregulation in the telecommunications industry. The total value of mergers and acquisitions had increased considerably after the passage of the act. Soon after this, Bell Atlantic / GTE merger was announced. The entity thus created was named as Verizon. Verizon had more than $22 billion in cash flow. * It had $6 billion revenues and 260,000 employees * It was the largest...

Words: 1253 - Pages: 6

Case Memo of Roche

...Case Memo of Roche Group Members: Cai Aiyong, Gong Haoran, Song, Shizhong, Li Wei, Zhou, Wenjun 1. Why is Roche seeking to acquire the 44% of Genentech it does not own? From Roche’s point of view, what are the advantages of owning 100% of Genentech? What are the risks? (1) reasons and advantages are as follows: A. Genentech had become an important part of Roche’s business, representing 24% of Roche’s pharmaceutical product sales in 2008. Several of Genentech’s pioneering products achieved very strong market positions due to their medical differentiation, commanding high prices. Products originating from Genentech represented 46% of total sales of Roche’s 20 top-selling drugs on a worldwide basis. Avastin, for example, accounted for 14% of Roche’s total pharmaceutical sales in 2008. The market had many “me-too” drugs, which were similar in composition and treatment to existing products, and relatively little innovation. Given the lack of success in bringing new and innovative drugs to market, many pharmaceutical companies were also seeking to diversify from the prescription drug business by acquiring generic-drug companies. B. Genentech was increasingly coming into direct competition with Roche in several U.S. markets. In developing small molecular products, Genentech had begun to encroach on Roche’s traditional territory, while Roche was preparing to launch products in the U.S. that would compete with existing Genentech products. A merger of the two companies......

Words: 1671 - Pages: 7

Black & Decker Case Memo

...Black & Decker Case Memo If you think Galli should pursue a build share strategy, what actions do you recommend? Does DeWalt idea have any merit? How about using current name? Remember you have at least three audiences to please: a. The end consumer, i.e. the Tradesman b. Retailer c. Nolan Archibald and GarydiCamillio Actions that I recommend to Galli: * He should focus on leading distribution channels which are “Two-step” and “Home Centers”. Respectively 40% and 25% percent of Professional-Tradesmen Segment sales are done through these channels as shown in Exhibit 2. Especially emphasizing on sales through Home Centers is essential. Although sales through Two-Step channels are more frequent than Home Centers, Home Centers are growing in importance. They can provide superior customer services, lower prices and stock a huge amount of products. Two-step channels, that are sales through distributors to independent retailers can also provide technical expertise, service, stock a large number of products and deliver promptly as in the Professional-Industrial Segment. It will also enable to reach plenty of retailers. This action will also help to decrease SG+A costs. Therefore all parties will be pleased. * While focusing on Two-step and Home Center sales, I am not saying that he should stop sales through other channels. Sales through warehouse home centers, membership clubs and farm outlets should also be carried out. Consumers should be able to reach......

Words: 673 - Pages: 3

Netscape Ipo Case

...EF5052(A) INVESTMENT CASE 2 Netscape’s IPO   Group 7  JU Fei  LIU Yao  LIU Yini  WU Tianyi  ZHANG Xuehui ZHANG Yiyun          52752084 52815259 52750804 52748187 52700026 52738944   Netscape’s IPO  Brief Introduction  Netscape Communication Corporation is going to issue its initial public offering in August 9, 1995.  It is a young but rapidly growing company which is founded in April 1994 and only operates for 15  months. Netscape is also going through losses and never gain profits. But in the time of rapidly  developing of the Internet, Netscape now had succeeded in capturing 75% of the Web browser  market  by  using  its  most  popular  product,  Netscape  Navigator.  Netscape  has  set  the  industry  standard and is the indisputable leader of its kind. Netscape Navigator begun to ship in December  1994.  Until  then,  Netscape  did  not  earn  significant  product  revenues.  And  Netscape  Navigator  generated more than half of total revenues for the company in the first two quarters in 1995. The  other  main  source  of  revenues  is  generated  by  Netscape’s  server  and  integrated  applications  products. In terms of the market share, we can say that Netscape has a promising future by using  its  excellent  Web  browser,  Netscape  Navigator.  Another  reason  for  its  promising  future  is  the  industry background that Internet is in a rapidly developing position.   ......

Words: 3858 - Pages: 16

Case Memo

...Re: Chocolate Manufacturers Association of the United States v. John R. Block, Secretary, U.S. Department of Agriculture; Samuel J. Cornelius, Food and Nutrition Service and U.S. Department of Agriculture 755 F. 2nd 1098 (1985) Facts of the case: The Food and Nutrition Service (FNS) of the United States Department of Agriculture (USDA), published a rule, for comment, that proposed a maximum sugar content specifically for authorized cereals used in the Special Supplement Food Program for Women, Infants, and Children (WIC Program) ( Chocolate Manufacturers Association v. Block). Under WIC, the USDA designs food packages reflecting the different nutritional needs of women, infants, and children and provides grants to state or local agencies to distribute cash or vouchers to qualifying individuals in accordance with the Departmental regulations regarding the quantity and type of food ( Chocolate Manufacturers Association v. Block). In addition to the rule, the USDA published a preamble which discussed the general purpose of the rule and problems associated with high sugar foods. Neither the proposed rule nor its preamble discussed sugar in relation to flavored milk, although the rule did include flavored milk in the list of approved food packages for women and children without special dietary needs ( Chocolate Manufacturers Association v. Block). Responding to public comments, the USDA deleted flavored milk from the approved packages list in the final rule (Chocolate......

Words: 853 - Pages: 4

Walmart Case Study Memo

...Memorandum RE: Wal-mart Case Study DATE: April 15, 2013 ******** The key source of Wal-Mart’s success through 1994 was their ability to optimize and be innovative in the area of technology. Wal-Mart not only exceeded their competitors in the amount they invested in technology - which was over $700 million from 1987 to 1994 - but was also well ahead of their competitors in the use of technology to reduce expenses. Through the use of technology, Wal-Mart was able to manage their company’s inventories more efficiently within their warehouses while also enabling them to utilize the assets of their suppliers. Wal-Mart’s inventory and sales data were tracked via UPC codes. This “tracking technology” allowed them to ensure accurate pricing, improve efficiency by the utilization of shelf pricing versus price tags (which was still being used by their competitors), along with the ability to identify inventory that was stolen from one store and attempted to be returned to another. With this cutting edge technology, combined with the installation of a satellite system, Wal-Mart had greater communication between stores, improving inventory control, resulting in reduced overstocks and inventory shrinkage, while allowing them to also track the daily results across all of their stores. Wal-Mart’s distribution network also benefitted from the investment in this satellite system. For example, when a consumer purchased an item such as a bottle of Just for Men’s......

Words: 537 - Pages: 3

Google Case Memo

...Google Case Memo 1. Culture at Google a. Diagnose the culture at Google. From the material provided, I believe that Google has a very unique culture that can be thought of as a very strong customer-responsive culture. Their company motto is “Don’t be Evil” which exemplifies their goal of developing products in the best interest of the customer. Although they deal with their customers in a virtual world, they have increased customer satisfaction through their innovations that are developed in order to improve the usefulness and efficiency of their products. Additionally, Google encourages innovation within its organization. Engineers are allowed to spend 20% of their time to work on “pet” projects, which has cultivated numerous projects. Some of the more successful projects include Google Earth, Gmail, and Google mobile which allows customers to get answers via text(Google gears down). Furthermore, this empowers the employees of Google to create and improve effective products that will increase the convenience and satisfaction customers will experience when using the internet. Google seeks to eliminate hierarchical structures by dividing employees into small teams that work on certain tasks. Also, Google offers employees with incredible perks that set them apart from other companies and increases job satisfaction and motivation within their employees. For example, there is free food, free fitness center, and a free doctor on site that the employees have access to. Google......

Words: 2174 - Pages: 9

Case Memo

...category basis, we reference to FASB, ASC 330-10-35-8. It states, “depending on the character and composition of the inventory, the rule of lower of cost or market may properly be applied either directly to each item or to the total of the inventory (or, in some cases, to the total of the components of each major category). The method shall be that which most clearly reflects periodic income”. Since the processed pork products do not have a lower cost or market issue, it is best to separate the inventories and have the other two assessed for impairment. Similarly, FASB, ASC 330-10-35-10 also supports this claim; it states, when “more than one major product or operational category exists, the application of the lower of cost or market rule to the total of the items included in such major categories may result in the most useful determination of income”. When determining whether live hogs should be evaluated for impairment, FASB, ASC 905-330-35-3 claims that unless all conditions are met, animals held for sale can be valued at the lower cost or market. In this case, all conditions do not meet because it is not stated that the hogs are “available for immediate delivery”. Thus, live hogs can be valued at lower cost or market. In the case of developing animals, FASB, ASC 905-330-35-2 states that developing animals can also be valued at lower cost or market. Therefore, because inventory is applicable to be valued at lower cost or market, inventory should be evaluated under end......

Words: 973 - Pages: 4

Netscape Case Questions

...Equity Offerings Case: Netscape Initial Public Offering (HBS 9-296-088) Case Questions: Please use the excel sheet I prepared and uploaded on the Blackboard. I inserted already the assumption for your convenience. 1. Why has Netscape been successful to date? What is its strategy? How risky is its current competitive situation? 2. Value Netscape. Use the following assumptions: a. Total cost of revenues stays at 10.4% of total revenues. b. R&D stays at 36.8% of total revenues. c. Other operating expenses decline on a straight-line basis from 81% to 21% percentage of total revenues from 1995 to 2001 so that operating income as a percentage of total revenues is similar to Microsoft's in 2001. d. Capital expenditures decline on a straight-line basis from 45.8% to 10.8% as a percentage of total revenues from 1995 to 2001 so that capital expenditures as a percentage of total revenues is similar to Microsoft's in 2001. e. Property, Plant, and Equipment straight-line depreciate over 10 years. f. Changes in networking capital are essentially zero. g. Long-term steady-state growth of 4% annually after 2005. h. Long-term risk-free rate=6.71%, risk premium=6%, tax rate=34%. 3. How fast does Netscape have to grow on an annual basis over the next 10 years to justify the $28 offer price? 4. What sources of capital other than the public equity markets could be tapped to satisfy these capital needs? 5. What are the advantages and disadvantages of public ownership? 6. Why are many IPOs......

Words: 263 - Pages: 2

Case Study Memo

...Mr. Speed Alzheimer’s Case Study Erica Boozer HCS/245 January 7, 2015 Lisa Spencer Mr. Speed Alzheimer’s Case Study My name is Dr. Boozer. This is the case study of Mr. Speed and the condition of his Alzheimer disease. This memo will cover Alzheimer disease as a whole and resources of where more information about the disease can be found. This memo will also discuss any cultural issues that Mr. Speed may face having the disease and the impact Alzheimer’s has on society and its resources. Alzheimer’s is a disease that effects the central nervous system. According the livestrong.com, the loss of functioning brain tissue that occurs with Alzheimer disease initially causes problems with memory and learning. Personality, intellectual function and mood are greatly affected as the disease progresses. As Mr. Speed get in the later stages of the disease, it should be expected that he will lose his sense of self and present things that are going on around him (livestrong.com, 2015). In the early stages of this disease, Mr. Speed may not need any assistance with day to day activities. However as it progresses to where he experiences memory loss or trouble doing simple task such as paying bills, he may require some type of supervision (alz.org, 2015). More information such as symptoms, other systems of the body that Alzheimer’s may effect or what to expect in the different stages of this disease can be found on livestrong.com and alz.org. Alzheimer effects all races and......

Words: 567 - Pages: 3

Case Memo

...Re: Case Memo: Ethical Dilemma The ethical dilemma that I choose to write on is the dilemma about the bank teller. The dilemma states that In this dilemma if I was the other bank teller I would probably not say anything about the incident to anyone. If I were in the other bank tellers shoes I would have looked at all the possible different avenues that I could to try to gather up the ten grand for my daughter’s surgery to save her life. If I was unable to come up with the money for the surgery I would have done the same thing that this bank teller did which is taking the money from the bank. Even though it is possible and almost certain that I would be caught and suffer severe consequences of going to jail this is a choice of life or death for their daughter. Any “good” parent who says that they wouldn’t do the same is lying when they were faced with the same scenario. Yes, it would make a difference if the surgery were for one hundred dollars or if the surgery was an elective cosmetic surgery. First of all if the surgery was for one hundred dollars I am sure that this teller could fined other ways to pay for the surgery other than risking her job, life, and putting other people in a position of guilt for a hundred bucks, although again if it was the only option I would do the same if it was a matter of life and death. If it was for cosmetic surgery, which is an elective surgery that even if she did have insurance most companies would not pay for anyway it......

Words: 539 - Pages: 3

Question for Case Memo

...Strategic Management Case Analysis & Presentation Questions for the case memos: Case 1: The Chinese Fireworks Industry Discussion Questions: 1. If you were Jerry Yu, would you invest in a Liuyang fireworks factory? Why? 2. Is the fireworks industry a ‘sunset’ industry or an industry still worth being in for the long run? 3. If you were Jerry Yu, and you decided to make the investment, what would you do to win out in the competition? 4. If you were asked to provide advice to Liuyang Firecrackers and Fireworks Industry Department, as Jerry Yu, what would you say? Case 2: The Global Casino Industry Discussion Questions: 1. Examine the structure of the casino industry by using Porter’s five forces model. 2. What has been the effect of the changing industry structure on U.S. casinos? 3. What are the strategic groups in the casino industry? 4. Assuming your group as consultancy for the Macau government, provide some recommendations for the gaining industry in Macau. Case 3: McDonald’s Discussion Questions: 1. What situation did Easterbrook inherit when he became CEO? What are the current forces in the external environment that might affect the new CEO? 2. What source of competitive advantage does McDonald’s have, and is that position supported by its value chain and other internal resources? 3. What steps could Easterbrook take to fix the problems McDonald’s faced? 4. What other strategies did McDonald’s formulate to achieve a competitive advantage? Case 4: Apple......

Words: 379 - Pages: 2

Pressco Case Memo

...Hoyaaah Assignment: Pressco Case Memo TO: Paperco, Inc. From: Jane Rogers; Marketing Representative, Pressco, Inc. Date: November 1985 Re: Financial Analysis for Purchase of Mechanical Drying Equipment by Paperco, Inc. from Pressco, Inc. Recommendation: Based on the analysis attached as Exhibit A to this memo, Paperco should purchase new mechanical drying equipment now in advance/anticipation of the passage of new tax legislation. Purchasing the equipment now maintains a positive Net Present Value for the capital project if the legislation is not enacted, or if the new legislation is enacted and the capital project is contracted early enough so that it is grandfathered in. Being grandfathered in means that the project gets the benefit of the new lower corporate tax rate and the old ACRS depreciation method. Although when presented with this project one year ago in 1984 this capital project was able to be postponed since it was merely “moderately attractive,” the prospect of new tax legislation being enacted as proposed/rumored makes the Net Present Value of the project negative if the tax law changes are enacted, so Paperco should act now before tax law changes make this project infeasible. Analysis Framework: Paperco’s purchase of the equipment was analyzed in the attached spreadsheet based on the following Options, all using a 12% cost of capital for Paperco: 1. No Change in Tax Law. Analysis of the net present value of the......

Words: 831 - Pages: 4

Eye Vision Case and Memo

...Case 10-11 Eye Vision Inc. Eye Vision Inc. (Eye Vision) has been in the business of manufacturing medical devices for eye treatments for more than 20 years. Eye Vision enters into contractual arrangements to sell its equipment to large hospitals and universities throughout the United States. Eye Vision’s contractual arrangements also offer an initial option to purchase a two-year separately priced maintenance agreement for the equipment. There has been a significant increase in sales during the first quarter because of a surge in interest in the Clear View Laser product. Eye Vision has a December 31 fiscal year-end. In conjunction with the first quarter review of the revenue line item for Eye Vision, the audit senior (Jason Doolittle) completed the following procedures: 1. Reviewed the marketing brochure for Eye Vision’s product offerings, which included a significant focus on the Clear View Laser. 2. Interviewed the vice president of sales. 3. Reviewed the client’s memo supporting revenue recognition of its medical equipment sales of the Clear View Laser. 4. Performed an analytical test of Eye Vision’s medical equipment sales based on the increase in units sold compared to the prior quarter. 5. Read one of the standardized sales agreements for the Clear View Laser. The following is a summary of the key facts identified by the audit senior: MEMO To: Eye Vision Audit Working Papers From: Jason Doolittle, audit senior Subject: Contract Review Date: March 31, 2010 Eye Vision......

Words: 696 - Pages: 3