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IB Organization and Management
Will the purchase of Tumblr by simply Yahoo drastically help this kind of former " internet leader regain traction with young internet users”?
Word Count: 1438
Candidate Name: Phoebe, Leung Ching Lam
Applicant Number: 003069-037
Class: F6. CassiaContents Webpage
1 . Launch
The purpose of this kind of essay should be to investigate whether or not the acquisition of Tumblr by Askjeeve will drastically help the previous Internet leading regain traction with youthful Internet users. Yahoo used to always be one of the most popular website and search engine inside the early days of Internet. It has provided a large range of services to its users, which include instant messaging, e-mail and social network services. (Yahoo, 2013)However, it is popularity quickly declined in the recent years and was quickly surpassed simply by newer websites, such as Google and Fb. The younger generation hardly knows about Google and it includes problems keeping high progress or coverage like different Internet companies.
While the younger generation is important for the Internet industry as they are the major users than it, Yahoo want to increase their market share inside the teenage and young adults sector by possibly developing fresh services by itself to accommodate the needs of theirs or to buy companies which can be popular among all of them. (Yahoo pr release, 2013) Probably because of this, Yahoo choose to get Tumblr, a microblog internet site that is well-liked by teenagers with a good presence inside the smartphone areas as well.
From this essay, main and secondary research will probably be done in in an attempt to find out whether this buy is beneficial to Yahoo in the expansion towards the youth marketplace or not really. Calculations within the cash flow very well as books reviews will probably be done in order to achieve this target. Also, evaluation would be manufactured according the ability learned by lessons and textbooks. installment payments on your Findings and Analysis
2 . 1 Advertising
Although it is very expensive to obtain Tumblr, Askjeeve can get even more attention from the media by purchasing Tumblr. According to the CEO of Yahoo, " Tumblr owners 105 mil different blogs. With more than three hundred million regular monthly unique guests and a hundred and twenty, 000 signups every day, Tumblr is one of the fastest-growing media systems in the world. ” (Yahoo pr release, 2013) This kind of large amount of blog posts gives Bing the simply click rates it needs and this may in turn make more advertisements revenue via it.
Yahoo is usually fading in the face of competition by Google. For example , Google includes a large variety of services and application provided, for example Google Convert and Google drive. Likewise, it attended the portable market, growing the android system and is very popular. When we look at Google however , that have very much popular fresh services recently and therefore is definitely far behind Google in its market share. By purchasing Tumblr, it might be able to regain some market share in the social media field, especially among teenagers who happen to be big fans of microblogging.
In fact , Tumblr could be key to Yahoo's new concentrate in the teen market because it is widely also suitable for youngsters, especially the ones in Europe and United States. In line with the CEO of yahoo, Tumblr could help Bing grow viewers by 50 percent to more than a billion month to month visitors, and can grow visitors by about 20%. (Dailymail, 2013) Tumblr can help yahoo to utilize the younger, active online number of users at Tumblr. A review this year carried out by the on-line data group Survata discovered Tumblr popular than Facebook . com among those aged 13 to twenty-five. (Dailymail, 2013) Also, very low good occurrence in mobile phones and almost half of the users are going to use it on the go. Therefore it can help Bing to attract youthful audience, whilst Yahoo is more used in the over-50 age group market.
In addition to the large amount of gain access to brought by Tumblr, the users with the website might also create a hip, younger image to Yahoo. Celebrities...
Bibliography: BBC Information - Google to buy Tumblr for $1. 1bn. (n. d. ). BBC -- Homepage. Gathered August twenty four, 2013, by http://www.bbc.co.uk/news/business-22591026
Bing! to Acquire Tumblr (NASDAQ: YHOO). (n. g. ). Bing! Inc. -- Investor Contact. Retrieved August 24, 2013, from http://yhoo.client.shareholder.com/releasedetail.cfm?ReleaseID=765892
Google - Yahoo! to Acquire Tumblr. (n. deb. ). Bing - Entrepreneur Relations. Gathered October 20, 2013, via http://investor.yahoo.net/releasedetail.cfm?ReleaseID=765892
Supporting Doc 2 – Financial Statements for Yahoo! Inc