Rocket internet Diversification Strategy
6
Page 1 Corporate Strategy – IBS2, Group C Rocket Internet Diversification Strategy Rocket Internet Presentation April 21th, 2015
-
Upload
felice-biancardi -
Category
Internet
-
view
132 -
download
7
Transcript of Rocket internet Diversification Strategy
Page 1Corporate Strategy – IBS2, Group C Rocket Internet Diversification Strategy
Rocket Internet
Presentation
April 21th, 2015
Page 2Corporate Strategy – IBS2, Group C Rocket Internet Diversification Strategy
Introduction
“To Become the World's Largest Internet Platform Outside the United States and China”
2. Copy a Proven Business Model
1. Identify Basic Consumer Needs in Unserved Markets
3. Scale up the Company
Page 3Corporate Strategy – IBS2, Group C Rocket Internet Diversification Strategy
Rocket‘s Platform Elements
Rocket Network of Companies
Infrastructure
Processes
Technology
Proven Business Models Standardized Master-
Launch Process
Proprietary technology Same technical platforms
Leveraging on country knowledge
„Never making the same mistake twice“
Learning curve effects
Page 4Corporate Strategy – IBS2, Group C Rocket Internet Diversification Strategy
Value Creation through Transferring Skills
Transferring Skills
Independent Businesses
Largely Autonomous business units
Utilize Common Skills
Best Practice Approach
Corporate Staff as integrators
Internal Incentive System
Partly based on corporate results
Infrastructural support
(Elements of shared activities)
Office facilities
IT support
Marketing
Page 5Corporate Strategy – IBS2, Group C Rocket Internet Diversification Strategy
Strategy of Related Diversification (I)
Industries
E-Commerce Marketplaces Travel
Timing
Synergies
Offensive
Financial Technology
Leveraging existing strengths (Online + Industry Know-How) Best practice approach to gain critical size
High economies of scope on corporate level No shared activities (except IT and HR)
Page 6Corporate Strategy – IBS2, Group C Rocket Internet Diversification Strategy
Strategy of Related Diversification (II)
Ownership
Implementation Back-end integration Regional based divisions KPI driven control mechanisms
Grow the pie – Market Failure: Exploring new/unserved markets
Capturing more of the pie – Market Power: Scaling up quickly to build entry barriers through network effects Back-end integration and country knowledge as leverage
