Tuesday, July 31, 2012

Info 563 Case Reflection: Pandora


First of all, I would like to thank the KTE consulting group for their great presentation on our company. As KTE consulting group said, other future of Internet radio depends on the decision we make now and we need to make it quick. I was very surprised about the 5th option about the music store that they have recommended. KTE consulting group even gave us few pointers about how we should fund for the venture. And given their argument, I have to say that they sold me on that idea.

Before making any critical decisions, I would like to recommend to my other C-level executives’ one more possibility. Even though, 5th option of opening a music store is a great idea, it does not mean we only have to pick one option. I believe that 5th option is a great option because we can still have the other four options open. And my recommendation to my other C-level executives’ is to have a “freemium” model, which provides a limited but free service to all users, and also offer a premium-priced value-added membership. I believe this popular business model among Web start-ups will help us bring in the extra consistent revenue that we need without making the users turn away from us. I believe that “freemium” model and music store options can help our company “Pandora” to become one of the strongest companies in the music industry.

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