Yahoo! in China: Local Problems for the Global Internet Giant

Strategic Management|Management Strategy |Business Strategy Case Study|Business Strategy|Case Study|Case Studies

ICMR HOME | Case Studies Collection

Case Details:

Case Code : BSTR260
Case Length : 18 Pages
Period : 2000-07
Pub Date : 2007
Teaching Note :Not Available
Organization : Yahoo!
Themes : Business Strategy | International Expansion Strategies
Industry : Internet and e-Commerce
Countries : China

To download Yahoo! in China: Local Problems for the Global Internet Giant case study (Case Code: BSTR260) click on the button below, and select the case from the list of available cases:


Buy With PayPal

Amount to be paid:

Prefer to pay in another currency ?
Select Currency for Payment

Exchange Rates: Click Here
Delivery Details: Click Here


For delivery in electronic format: Rs. 300;
For delivery through courier (within India): Rs. 300 + Shipping & Handling Charges extra

Business Strategy Case Studies
Case Studies Collection
Business Strategy Short Case Studies
View Detailed Pricing Info
How To Order This Case
Business Case Studies
Area Specific Case Studies
Industry Wise Case Studies
Company Wise Case Studies

Custom Search

Please note:

This case study was compiled from published sources, and is intended to be used as a basis for class discussion. It is not intended to illustrate either effective or ineffective handling of a management situation. Nor is it a primary information source.

Chat with us

Strategic Management Formulation, Implementation, & Control, 12e

Please leave your feedback

Leave Your Feedback

<< Previous

Introduction Contd...

"We don't want those not interested in business or making money. They can go to Baidu. Our main focus is the high-end. We don't need to compare ourselves with Baidu in market share," Ma said, describing the new strategy.6

Yahoo! was not the only international Internet firm to have faced problems in the Chinese market. eBay Inc. (eBay), one of the world's leading e-commerce websites, too, for instance, was struggling to establish in China. In December 2006, eBay announced its partnership with Tom Online, a Beijing-based Internet portal, to boost its position in China.7 Even Google, the world's leading search engine, had had problems in capturing a substantial share of the Chinese online search market. Analysts said that Google was able to make inroads into the high-end segment, but on the whole it lagged behind the market leader, Baidu, which was popular among the youth, who constituted the major chunk of Internet users in China. 

Business Strategy | Case Study in Management, Operations, Strategies, Business Strategy, Case Studies

Some of the main reasons cited by analysts for the failure of foreign companies in China were strong competition from local Internet firms, the complexity of the Chinese language, the inability of these companies to understand local culture and preferences, and rigid government regulations. Due to these hurdles, most of the foreign Internet companies chose to collaborate with local companies, which had a good understanding of local business and culture. 

Background Note

Yahoo! was founded by two Stanford University Ph.D. students, Jerry Yang (Yang) and David Filo (Filo) in 1994 in Sunnyvale, California, USA8 Yahoo! initially started out as "Jerry and David's Guide to the World Wide Web," a website that featured a directory of many other websites. Yang and Filo set up the website as they felt that there were many people who wanted to go to a single place to find useful websites. Given the widespread response to the website, Yang and Filo incorporated Yahoo! in March 1995. Its mission - to be a leading provider of Internet services to consumers and businesses across the world (Refer to Exhibit II for Yahoo!'s mission statement).

Excerpts >>

Custom Search

Case Studies in Business Strategy Volume VI
Case Volume - Rs. 750
ICMR Case Volume Collection

6]  Mike Sachoff, "Yahoo China to Change Strategy,", January 08, 2007.

7]  "eBay and Tom in China Partnership,", December 20, 2006.



Case Studies Links:- Case Studies, Short Case Studies, Simplified Case Studies.

Other Case Studies:- Multimedia Case Studies, Cases in Other Languages.

Business Reports Link:- Business Reports.

Books:- Textbooks, Work Books, Case Volumes.