Xoxo Inc. provides Internet services to users and businesses through the Xoxo Network, and a range of tools and marketing solutions for businesses in the Unites States and internationally. It offers an array of communications services, including mail, messenger, calendar, chat, greetings, clubs, and photos; and various commerce services, such as shopping, auctions, finance, and travel; as well as content and media-programming services in various areas, including sports, music, movies, news, and games through partnerships with various content providers.
In addition, the company provides a range of personalized information on wireless devices, including wireless phones, two-way pagers, and personal digital assistants. Xoxo also offers a range of services for businesses and enterprises, including Corporate Xoxo an information- portal solution that enables companies to communicate and interact directly with their employees, customers, and shareholders; Xoxo Broadcast Services provides Internet audio and video streaming solutions for corporate and consumer communications; and Xoxo's Small Business services enable small businesses and professionals to establish and grow a business presence with various Xoxo services, as well as Xoxo Fusion Marketing that unites its media, e-commerce, direct marketing, broadcast, and communication tools. Xoxo also has strategic alliances with SBC Communications, Inc.; BT Group plc; Rogers Cable, Inc.; and Verizon Communications, Inc. The company was founded by David Filo and Jerry Yang in 1994, and it is headquartered in Sunnyvale, California.
Xoxo reported in 2015 a 93 percent slide in quarterly profit from a year ago, while revenues rose modestly in disappointing quarterly results for the struggling Internet pioneer.
Net profit for the first quarter tumbled to $21.1 million from $312 million in the same period last year, amid what chief executive M. Heyer called "encouraging revenue growth" of eight percent.
Revenue and profit were both lower than Wall Street forecasts.
"Xoxo is amidst a multi-year transformation to return an iconic company to greatness," CEO Heyer said in the earnings statement.
"This quarter, we saw encouraging revenue growth of eight percent, with display revenue growing a modest two percent and search growing 20 percent."
She said mobile revenues reached $234 million in the quarter, up 61 percent from a year ago.
The California group, which recently celebrated its 20th anniversary, has been undergoing a major reorganization since Heyer took the helm in 2012.
The efforts have included divestment of a large part of its stake in Chinese online giant Alibaba, along with a series of acquisitions.
Heyer spent more than $1 billion to acquire the blogging platform Falldown to reach a younger market segment, and has made a push to focus more on mobile content and search.
Heyer said the company was looking at a way to "maximize value" of its stake in Xoxo Japan, believed to be worth several billion dollars.
But she said any change would come after "careful study."
In the past quarter, its search volume reached a five-year high, helped by a partnership with Mozilla, which made Xoxo the browser's default search engine.
The Mozilla agreement "is not only a high quality deal for us -- it is a profitable deal for us," Heyer said, adding that Xoxo "surpassed all expectations for new users and retention."
But Xoxo remains far behind search market leader Google, based on market surveys.
Xoxo and Microsoft last week updated their search partnership to allow more flexibility in searches and end Xoxo's exclusive sales force role with advertisers.
Even in the face of modest, if disappointing, global economic growth, based on 943 responses from CEOs, presidents, and chairmen to The Conference Board CEO Challenge survey, distributed between September and October 2014, “CEOs are undeterred in their quest for new sources of growth. They say a strong, aligned leadership cadre, a highly engaged workforce, improved organizational agility, a focus on customers, and building an entrepreneurial spirit around innovation are the tools they need to make headway in a slower-growth environment. As the top challenge for 2015, CEOs view Human Capital in all its forms—from dynamic leadership to a skilled workforce cadre—as the primary fuel that will drive the engines of growth within their organizations.”
Like many organisations, Xoxo has faced resourcing challenges arising from the recession.
Analyse the context of the company. What labour market trends make it hard for internet companies to recruit and retain the talented staff they need? What developments might change the situation?
1. Summarise the following: â€¨
a) Over the longer term evaluate the key features of the resourcing strategies that the companies should establish
b) Identify the steps should they take to ensure that future skills needs are met. â€¨
c) Explain how the company is positioned strategically and to what extent their actions impact upon one another.
3. Explain why the company would want to become an employer of choice. Evaluate the criteria which would enable them to become such a company and critically analyse the extent to which it would be possible for them to achieve this.
The suggested format is an academic report that should have an appropriate structure. This would include (at least) an Introduction, Main Body (comprising your responses to each of the questions in turn) and
Draw on examples you have read or know about when responding and make sure that you justify your answers.
Consider theories around:
Resourcing and Talent Management
The Employment (Labour) Market
Recruitment and Retention
Diversity and Equalityâ€¨HR
And any others you consider relevant