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Groupon's strategic capabilities

1. In the  case study  Andrew Mason admits  that Groupon  has thousands  of copycats yet  his assessment  is that imitating  Group  is difficult. Do you agree?Explain  one answer.

2. Assess  the bases  of Groupon's  strategic  capabilities  in the case study using the VRIO  framework.

3. From the case study, explain which you consider is the most important strategic capability that provides, or could provide, Groupen with sustained comptetive advantage.

4. Evaluate how Groupen has evolved since the CEO stepped down in February 2013 untill 2015.


Most important strategic capability of Group on which provides with a sustained competitive advantage

Group on is a company which has established itself heavily with a strong foundation in the industry of online business since 2008. Irrespective of its nature of business and the profit which the brand makes it has managed to establish a strong base for itself in terms of the customers and the type of daily deals which it sends its customers.

Group on’s major advantage is that it has a vast exposure to the local merchants who can offer wonderful deals and it can in turn churn the business out of those deals by reaping excellent profits. Its sustained strategic capability arises out of its advanced technology platform which has allowed itself to target more better customers and give them deals which are more relevant to them. Their way of acquiring customers was also a noticeable game which has managed to let the other competitors down.

Group on had a massive operational complexity where it has employed hundreds of people in about 46 countries where its sales people also talk to thousands of merchants on a daily basis to know about all the possible competitors and get the win the business to a maximum extent. Appreciating Group on is a sincere move where they are able to withstand serious competition and provide a great service to the Customers by slashing out their competitors.

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